Jakarta (ANTARA) - Industry Minister Agus Gumiwang Kartasasmita expressed his intent to soon evaluate the policy of providing electric motorcycle purchase subsidies, as the distribution is still low since the subsidy program was launched in March 2023.

The minister conveyed the statement to the press after attending the Kick Off Indonesia Halal Industry Awards (IHYA) 2023 here on Thursday.

According to Kartasasmita, the evaluation will be conducted in all areas, including the policy, price, scheme, and distribution pattern, and the result is expected to be implemented in the policy this year.

However, he did not furnish details regarding when the evaluation will be conducted and when it would be completed.

Kartasasmita underscored the need to conduct the evaluation, as the program had been budgeted for this year and next year.

"We also want to ensure that the government assistance program for electric vehicles for both cars and motorcycles this year can run well, and therefore, an evaluation will be carried out," he remarked.

He further emphasized that the electric vehicle purchase subsidy program is part of the efforts to encourage the strengthening of the electric vehicle industry in the country.

To this end, the manufacturers must be able to obtain benefits from the policy.

He explained that the manufacturers benefited from the government assistance are required to meet the minimum criteria of reaching at least 40-percent domestic component level (TKDN).

Based on the Two-Wheeled Electric Vehicles Purchase Assistance Information System (SISAPIRa), as of Thursday, July 27, 2023, there is still a remaining quota of 198,791 motorcycle units for electric motorcycle purchase subsidies.

In fact, the government is targeting as many as 200 thousand new electric motorcycles to be sold this year through the electric vehicle purchase subsidy program.

The government has budgeted Rp7 trillion (around US$466.57 million) for electric motorcycle purchase and conversion subsidies in the 2023-2024 period.

With the budget, the government is targeting to provide subsidy worth Rp7 million (around US$466.58) for each purchase of new electric motorcycles and electric motorcycle conversion, with a total target of one million units of motorcycles.

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Translator: Ade Irma, Raka Adji
Editor: Azis Kurmala
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