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Slow Absorption of Electric Motorbike Subsidy Program in Jakarta

Jakarta

The Rp. 7 million electric motorbike subsidy incentive program is still far from the target. The Indonesian Electric Motorcycle Association (AISMOLI) noted that up to now this subsidy program has only reached 8,000 registrants out of a total subsidy quota of 200,000 electric motorbikes.

Indeed, this number has increased, especially after the government expanded the scope of subsidy recipients in August 2023. Secretary General of the Indonesian Electric Motorcycle Industry Association (Aismoli) Hanggoro Ananta said that since the government expanded the scope of subsidies, electric motorbike registration has increased almost 4 times.

Initially, before the expansion of subsidies there were only around 2,000 registrants for the IDR 7 million electric motorbike subsidy program. However, when the subsidy coverage was expanded, there are now 8,000 registrants. This means that public interest is increasing, although it is still very far from the target.

“The increase is quite significant, yesterday it was only around 1,500-2,000. Now after the subsidy has been expanded to almost 8,000, just calculate it yourself, it’s almost 4 times that, from 2,000 it’s now almost 8,000,” said Hanggoro when met at the Ministry of Cooperatives’ Office, number Kuningan, South Jakarta, Friday (27/10/2023).

As previously known, there are four requirements for getting an electric motorbike subsidy. Starting from KUR recipients, recipients of work wage assistance under IDR 3.5 million, electricity users under 900 VA, and recipients of social assistance (bansos).

After evaluation, the government decided to eliminate the above conditions. Now, 1 KTP can get 1 unit of electric motorbike with a subsidy of IDR 7 million.

The culprit is slow absorption

Hanggoro said that the results of his party’s evaluation with the Coordinating Ministry for Maritime Affairs and Investment showed that lack of socialization in many areas was the main problem where subsidy absorption was still slow.

From the industrial side, according to him, production readiness is very good. He guaranteed that the request for 200,000 subsidized electric motorbikes could be handled.

“So, we routinely evaluate with the Ministry of Maritime Affairs and Fisheries, there are several reasons why the decision may be slow. Maybe it’s from less massive socialization,” said Hanggoro.

Hanggoro also highlighted that people don’t seem to be used to electric motorbikes. Indeed, more efforts are needed to socialize the use of electric motorbikes.

“Switching people from petrol to electricity is indeed quite an effort for us to do, in quotes inviting people to move, we still put quite a lot of effort into it,” said Hanggoro.

Meanwhile, AISMOLI General Chair Budi Setiyadi added that another problem is that so far there are not many official dealers who can distribute subsidized electric motorbikes in the regions.

According to him, this again has to be seen from market demand. If an area has a large demand, an official dealer must be created by the manufacturer.

Regarding this problem, according to him, the public can still be directed to use online purchases via SISAPIRa which can be accessed anywhere.

“I also add that, in fact, subsidies have not been that fast. So in that area, electric motorbike dealers who can get subsidies are still not evenly distributed. It’s true that SISAPIRa should be able to make things easier, but again, socialization must be massive, media friends can also help convey it,” said Budi Setiyadi.

Returning to Hanggoro, one way to promote and socialize electric motorbikes is by holding electric motorbike exhibitions. One of them will be held on 28-30 November 2023, namely Inbuyer EV Expo 2023 at the SMESCO Building, South Jakarta.

“Next, we will increase socialization, including exhibition events such as Inabuyer as a form of socialization as well. We hope this can increase one of the Rp. 7 million assistance,” explained Hanggoro.

Budi Setiyadi added that at this event his party invited electric motorbike manufacturers to provide additional discounts on the purchase of electric motorbikes after a subsidy of IDR 7 million from the government. That way, people will be more interested in buying electric motorbikes.

“We have agreed that each brand can provide discounts in addition to subsidies. So up to IDR 4 million, some IDR 1-2 million. If possible, in addition to IDR 7 million subsidies, so that public interest will increase,” said Budi Setiyadi.

Later at Inbuyer EV Expo 2023 there will be 15 brands of electric motorbikes that will serve the purchase of subsidized electric motorbikes of IDR 7 million. In total, there are 38 types of electric motorbikes being offered with a subsidy of IDR 7 million.

(hal/kil)

2023-10-27 11:30:08
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