Home » today » Business » Luhut Announces Electric Vehicle Subsidies Effective March 20, 2023

Luhut Announces Electric Vehicle Subsidies Effective March 20, 2023

CNN Indonesia

Monday, 06 Mar 2023 13:32 WIB





Luhut Binsar Panjaitan announced that the government will provide subsidies for electric vehicles starting March 20 this year. (CNN Indonesia/Safir Makki)

Jakarta, CNNIndonesia

Coordinating Minister for Maritime Affairs and Investment (Coordinating Minister for Maritime Affairs) Luhut Binsar Panjaitan announced the government will deliver subsidy electric vehicle starting March 20 this year.

He said the subsidy was given to increase the affordability of prices and people’s purchasing power for a wider range of electric vehicles, as well as to spur the development of the new energy automotive industry.

“I will convey that this will be effective March 20 this year,” he said at the Coordinating Ministry for Maritime Affairs’ office, Monday (6/3).

Previously, the government leaked that there would be electric vehicle subsidies since last year, but so far the details have changed.

Initially, subsidies were said to be given for electric cars of Rp. 80 million, hybrid cars of Rp. 40 million, electric motorbikes of Rp. 8 million and convertible electric motorbikes of Rp. 5 million.

Later, Luhut said subsidies would be given first for electric motorbikes and convertible electric motorbikes in the amount of IDR 7 million. Meanwhile, electric cars will be subject to a tax scheme, namely a discount on Value Added Tax (VAT) to 1 percent from the current 11 percent.

He also stated that the subsidy would be released in February, then another change would be announced this March.

(pta/sfr)


Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.