The incentive programme will cover sales of 200,000 electric motorcycles and 35,900 electric cars, said industry minister Agus Gumiwang Kartasasmita. It will also cover the conversion of 50,000 combustion engine motorcycles.
The incentives will start from March 20 2023, aiming to attract investment from industry giants such as Tesla, senior cabinet minister Luhut Pandjaitan said.
The two ministers did not disclose the budget set aside for the programme, but said 7 million rupiah (£379.31) will be disbursed to producers and retailers for each new motorcycle sold and for each converted into an electric bike.
"We are finalising negotiations with two big global car producers," Pandjaitan said, without revealing the names of the carmarkers. "We hope this new policy will make our position much stronger than before.
"If we don't give (incentives), they will not come to us."
Pandjaitan added that he plans to talk with the US carmaker...