<article>Electrum, a joint venture between tech giant GoTo and Indonesia-listed energy company TBS Energi Utama, is targeting to start producing electric motorcycles in the second half of 2024, an executive said on Thursday.
Patrick Adhiatmadja, Electrum&#8217;s managing director, said the company will begin by sourcing electric scooters from other companies before producing the units itself. The company may also consider battery packing in 2024.</article>

Electrum, a joint venture between tech giant GoTo and Indonesia-listed energy company TBS Energi Utama, is targeting to start producing electric motorcycles in the second half of 2024, an executive said on Thursday.
Patrick Adhiatmadja, Electrum&#8217;s managing director, said the company will begin by sourcing electric scooters from other companies before producing the units itself. The company may also consider battery packing in 2024.
&#8220;We hope that by the end of this year we can choose the right technology for Indonesia. Equipped with insights from [Gojek] drivers, we will develop our own design — Electrum design,&#8221; Adhiatmadja told reporters.
GoTo was formed from the merger of ride-hailing giant Gojek and e-commerce marketplace Tokopedia in mid-2021.
Electrum has been <a href="https://www.dealstreetasia.com/stories/gojek-expands-ev-trial-282349" target="_blank" rel="noopener">conducting a commercial trial in cooperation with Gojek,</a> state-owned energy company Pertamina, Taiwanese battery-swapping electric scooter maker Gogoro, and local scooter maker Gesits since the beginning of the year to make way for EV ecosystem development in the archipelago.
The trial involved 300 motorcycles and focused only on South Jakarta. Adhiatmadja said the company has targeted to roll out 5,000-10,000 electric motorcycle units by mid-2023.
Results from the trial will indicate how Electrum should proceed with EV manufacturing, battery packaging, financing, and other critical decisions.
&#8220;The 2023 target is actually not demand-driven but it is more for us to build our own capability and capacity,&#8221; said Adhiatmadja. &#8220;When we have a dependable technology partner, we will buy from them first. So it will be CBU [Completely Built Unit], CKD [Complete Knock-Down], and then production.&#8221;
CBU products are put together from parts before they are sold and transported for Electrum, and CKD products mean Electrum has to assemble the parts.
TBS Energi Utama President Director Dicky Yourdan said having Gojek as a partner allows the company to access data points as well as actual demand for the motorcycles.
The companies did not elaborate on the size of investments needed to build manufacturing facilities, research, and other necessities but TBS has $350 million in planned capital expenditure for Electrum, part of its $500 million capital expenditure set aside up to end-2025.
&#8220;We will begin groundbreaking assembly facilities in 2023,&#8221; Nafi Achmad Sentausa, the head of strategy at TBS, said. &#8220;[Capital expenditure] will start picking up [for Electrum] in 2024 when we start selling the Electrum motorcycle because the batteries are part of the capex.&#8221;
While TBS claimed the company has enough cash to fund its plans, its executive said they may tap other financing sources when necessary. &#8220;We&#8217;re kind of like a startup with a cash flow. Coal prices are good, our power plants are producing despite COVID. So, given the steady cash flow we can focus more on renewable energy,&#8221; Yourdan said.

GoTo's Electrum targets electric motorcycle by 2024, exec says

Bring stories like this into your inbox every day.

Sign up for our newsletter - The Daily Brief

GoTo's Electrum targets electric motorcycle by 2024, exec says

Create an account to continue reading this premium story for free

Bring stories like this into your inbox every day.

Sign up for our newsletter - The Daily Brief