Indonesia’s Green Push: Prabowo Sets 2 Million E-Motorcycle Target
Indonesia is accelerating its transition to cleaner energy, with President Prabowo Subianto setting a bold target of two million electric motorcycles and ordering the phase-out of 13 gigawatts (GW) of diesel power plants.
President Prabowo Subianto is ramping up Indonesia’s green energy agenda by setting a new target for domestic manufacturers to produce two million electric motorcycles [218500]. The push aims to reduce the country’s reliance on imported fuel and make electric two-wheelers a mainstream option for commuters [218500]. To support this, the sovereign wealth fund Danantara Indonesia has confirmed that its financial subsidiaries will back the national e-motorcycle program, providing affordable financing for manufacturers and buyers [218487]. The investment minister has highlighted a potential investment pool of US$170 billion for the sector, driven by growing demand and Indonesia’s status as a major nickel producer, a key raw material for electric vehicle (EV) batteries [218498].
In a parallel move, Prabowo has ordered the state-owned electricity company, PT PLN, to retire all diesel-fired power plants with a combined capacity of 13 GW [218480]. The directive requires PLN to replace these units with cleaner energy sources, aligning with the government’s broader goal to cut carbon emissions and modernize the national energy grid [218480]. The phase-out is expected to affect power supply in several eastern provinces, where diesel generators are the primary source of electricity [218480].
Prabowo has also reaffirmed that public welfare is at the center of the green economy strategy, stating that environmental sustainability must go hand in hand with improving the lives of ordinary citizens [218453]. He emphasized that future policies will prioritize clean energy and eco-friendly industries while focusing on creating jobs and reducing poverty [218453]. Additionally, the government has reclassified nickel, copper, and bauxite as strategic resources, prioritizing domestic processing to support local industries tied to renewable energy and EV batteries [218481]. This move aims to reduce reliance on foreign markets and secure a stable foundation for Indonesia’s energy transition [218481].