August 13, 2026 | 06:07 pm

TEMPO.CO, Jakarta – President Prabowo Subianto has outlined several measures to boost electric motorcycle sales in Indonesia, including lowering financing rates, eliminating down payments and introducing a trade-in scheme for gasoline-powered motorcycles.
Speaking at the launch of the domestically produced National Electric Motorcycle (Molinas) and its supporting ecosystem at PT Ilectra Motor Group (ALVA) in Cikarang, West Java, on Thursday, Prabowo said the measures could make electric motorcycles more accessible to consumers.
Lower Financing Costs
Prabowo said the government could work to reduce installment interest rates and remove down-payment requirements for electric motorcycle purchases.
“We will lower installment interest rates for the people. Then we will try to eliminate the down payment,” Prabowo said.
He also floated a trade-in program for consumers who already own gasoline-powered motorcycles.
“We have schemes for those who already own gasoline motorcycles. We will think about how we can make a trade-in scheme,” he said.
Prabowo said the measures were intended to encourage more consumers to switch to electric motorcycles while reducing Indonesia’s reliance on imported fuel.
Tax Incentives and Cost Savings
Prabowo said electric motorcycles could reduce transportation costs by up to 50 percent compared with gasoline-powered motorcycles, with daily savings potentially reaching 70 percent.
He also raised the possibility of applying carbon-tax schemes in major cities to encourage the transition to electric vehicles. He cited Beijing, China, where restrictions have been imposed on gasoline-powered motorcycles in certain areas.
Indonesia is also continuing to develop its electric vehicle ecosystem. A new electric vehicle plant in Subang, West Java, is expected to begin production in 2028.
Prabowo also praised private-sector companies for investing in electric motorcycle production despite competition from manufacturers from China, Japan and South Korea.
He said expanding domestic electric motorcycle production was part of a broader effort to strengthen Indonesia’s industrial base and reduce its dependence on imported fuel.
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