Indonesia Accelerates Electric Motorcycle Conversion Program, Targets 6 Million Units Annually

Jakarta – President Prabowo Subianto has instructed the acceleration of Indonesia’s clean and renewable energy initiatives, with a key focus on converting gasoline-powered motorcycles to electric. The ambitious target is to convert 120 million gasoline motorcycles to electric models, with a potential conversion rate of up to 6 million units per year, according to Energy and Mineral Resources Minister Bahlil Lahadalia.

Presidential Directive and New Task Force

President Prabowo Subianto expressed his desire for swift implementation, stating a goal of completing the conversion within 3 to 4 years, or even faster if possible [1]. To facilitate this, President Prabowo has established a task force dedicated to accelerating the energy transition, with Bahlil Lahadalia appointed as its chairman [4].

Expanding Renewable Energy Initiatives

Beyond motorcycle conversions, the government is also prioritizing the implementation of clean and renewable energy sources, including Solar Power Plants (PLTS) for schools and villages [4]. The broader goal encompasses achieving 100 gigawatts of PLTS capacity and expanding new renewable energy sources.

Policy Framework and Subsidies

The Ministry of Energy and Mineral Resources is currently developing a policy framework to support the conversion program, including the potential for subsidies [3]. The task force will play a crucial role in refining this framework to ensure effective and precise planning.

Reducing Subsidies and Increasing Efficiency

A key objective of the energy transition is to reduce government subsidies. Converting from diesel power generation to PLTS and promoting electric vehicles are expected to improve efficiency in electricity subsidies [4]. The government is also focused on accelerating electrification in remote islands as part of its strategic program to expand energy access.

Increased Conversion Targets Driven by Technology

The government is significantly increasing its annual conversion target from approximately 200,000 units to around 4, 5, or potentially 6 million units per year [3]. This increase is attributed to the growing availability and decreasing cost of conversion technologies [3].

The initiative aims to address the large number of conventional motorcycles currently in use – approximately 120 million units – and accelerate Indonesia’s transition to a cleaner energy future [3].