Search

English / Automotive

Indonesia drives all-electric transport push to reduce fuel import reliance

Indonesia drives all-electric transport push to reduce fuel import reliance
Indonesia drives all-electric transport push to reduce fuel import reliance

President Prabowo Subianto has unveiled an ambitious vision to transform Indonesia's entire transport sector, pushing for a complete shift to electric, solar-powered vehicles across personal, public, and commercial use.

Speaking in a session with journalists and economists at his residence in Hambalang, West Java, Prabowo said the transition would cover not only cars and motorcycles, but also buses, trucks, and heavy-duty vehicles such as tractors, declaring: "I want everything to be electric."

The push is driven by Indonesia's structural energy vulnerability. The country has been a net importer of crude oil and fuel since the early 2000s, as domestic output declined while demand kept rising.

Nearly half of daily fuel demand is now met through imports, with consumption reaching 232,417 kiloliters per day in 2025, according to Energy and Mineral Resources Ministry data.

To power the shift, Prabowo is targeting up to 100 gigawatts of solar capacity within two years, distributed partly through his flagship Red and White Cooperatives program, while aiming to convert up to 120 million motorcycles within three to four years.

Calling the Iran crisis a "rude wake-up call," Prabowo also said his administration is determined to eliminate fuel subsidies within three years, stating: "We cannot survive on subsidies in the long run."

Prabowo also reiterated plans to mass-produce a homegrown "national car," tasking state-owned defense firm PT Pindad with its development. He pointed to Japan and South Korea as countries that built world-class auto industries despite lacking raw materials, while Indonesia, rich in minerals such as bauxite, has yet to develop its own manufacturing brand.

Prabowo expressed confidence that within two years, if the strategy holds, Indonesia will be far less dependent on external energy sources: "We will be very, very not dependent on external sources." The combination of electrification, solar expansion, and domestic industrialization marks one of the most sweeping energy policy ambitions the country has seen in years.

Thank you for reading until here