ESDM Ministry Offers Free Electric Motorbike Conversions for 1,000 Units

Jakarta, VIVA – The Ministry of Energy and Mineral Resources (ESDM) has launched a new program offering free electric motorcycle conversions, with a quota of 1,000 units.

Secretary-General of the Ministry of ESDM, Dadan Kusdiana, explained that the program is funded by corporate social responsibility (CSR) contributions from several private energy sector companies.

Initially, the program was funded by the government with a budget of IDR 350 billion, offering a conversion incentive of IDR 7 million per unit in 2023.

However, due to low public interest, the government increased the incentive to IDR 10 million per unit.

“However, the IDR 10 million figure did not significantly impact the state budget for this year. Therefore, we are expanding the program by involving businesses to channel CSR funds,” Kusdiana said at the Ministry of ESDM office in Jakarta on Thursday (August 22).

Kusdiana hopes that private companies partnering with the Ministry of ESDM in this program will not only provide CSR funds for the electric motorcycle conversion but also contribute to promoting the adoption of electric vehicles within their organizations.

Thus, private companies partnering with the Ministry of ESDM could also convert their operational motorcycle to electric ones.

“For example, businesses in the energy sector could internally convert their existing motorbikes to electric,” he remarked.

At the same event, the Director-General of New Renewable Energy and Energy Conservation (EBTKE) at the Ministry of ESDM, Eniya Listiani Dewi, stated that reducing emissions is a key priority for the electric motorcycle conversion program.

By converting motorcycle to electric, Dewi estimated that total emissions could be reduced by up to 132.25 million tons of CO2, including from energy efficiency improvements.

“This represents 32 percent of our target to reduce emissions by 358 million tons of CO2 by 2030,” Dewi said.

She hopes that, in addition to reducing emissions, the electric motorcycle conversion program will also play a significant role in economic growth through its multiplier effect within the community.