Hanoi: Indonesia’s Ministry of Energy and Mineral Resources on January 21 confirmed that incentives for electronic motorcycle conversion will continue in 2025 to foster the growth of the country’s electric vehicle (EV) ecosystem. Eniya Listiani Dewi, the ministry’s Director General of Renewable Energy and Energy Conservation, stated that the initiative aims at protecting the environment while promoting sustainable development.
According to Lao News Agency, the incentives were granted for the conversion of 1,111 units of gasoline-powered motorcycles into electric ones in 2024, marking a significant increase from the previous year’s figure of 145. In August 2024, the ministry launched a programme to convert 1,000 gasoline-powered motorcycles to electric vehicles at no cost, aiming to reduce carbon emissions.
The ministry has collaborated with partners, including business players in the energy and mineral resources sectors, who are participating as sponsors to carry out this programme. An incentive of 10 million IDR (around 612.34 USD) is provided per motorcycle unit being converted. Dewi emphasised that if Indonesians collectively switch their vehicles to electric options, it could lead to a reduction of up to 132.25 million tonnes of CO2 emissions.