Road Map Policy for Truck Fleet Modernisation in Indonesia

Multi-stakeholder discussion on the development of road map for truck fleet modernization in Indonesia

The cooperation between GIZ and Ministry of Transportation of the Republic of Indonesia through the TRANSfer Project has developed the mitigation action plan on the truck fleet modernisation. This outlined a governmental programme designed to mitigate GHG emissions in the freight sector through the deployment of an environmentally friendly fleet. Find the detailed mitigation action outline here.

The proposed direct measures are:

  1. scrapping high-emitting and less efficient trucks
  2. accelerating the transition to cleaner and efficient trucks, and
  3. enhancing in-use truck management respectively.

In order to have clear guideline and timelines, a roadmap policy is needed to implement such action.

A multi-stakeholder discussion on the development of road map of the truck fleet modernisation was held at the end of August 2021. It was a brainstorming session led by Director General of Land Transportation, Drs. Budi Setiyadi, S.H., M.Si., and the Director of Road Traffic, Mr. Suharto. The draft roadmap was presented by UGM Transportation and Logistics Study Center (PUSTRAL) on behalf of Ministry of Transportation and GIZ. The event has attracted more than 140 high-level people both from public and private sector stakeholders.

As planned, this road map will be equipped with comprehensive financial mechanism study that focus on the scrappage programme and related incentives. The overarching questions of this financial mechanism are on how much the scrapping programme would cost and how these costs could be financed. The mitigation actions outlined a significant emission reduction from transport sector, where the largest contributor is come from the land transportation. Once implemented, strong and good monitoring are necessary to ensure compliance.


Yoel Priatama, Jakarta

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