In a surprising turn of events, Gojek and Gogoro have ended their partnership aimed at electrifying Indonesia's two-wheeler market. This breakup comes as a significant blow to Indonesia's electric vehicle (EV) push, especially given the ambitious goals set by both companies.

Background and Initial Partnership

The partnership between Gojek, Indonesia's leading mobility platform, and Gogoro, a Taiwanese electric scooter and battery-swapping giant, was announced in late 2021. The collaboration aimed to build a robust two-wheeler EV ecosystem in Indonesia, leveraging Gogoro's battery-swapping technology and Gojek's extensive network. The initial pilot included 250 Gogoro Smartscooters and four GoStation battery swapping stations in Jakarta, with plans to scale up significantly.

Challenges and Breakup

Despite the promising start, the partnership faced several challenges. Indonesia's relatively low gas prices and weak EV incentives made it difficult for the EV market to gain traction¹. Additionally, operational issues during the pilot phase highlighted differences in strategic priorities between the two companies. According to Patrick Adhiatmadja, managing director at Electrum, it became apparent that Gogoro was not interested in pursuing a joint venture.

Impact on Indonesia's EV Market

The breakup is a setback for Indonesia's EV ambitions. Gogoro had plans to expand its presence in Southeast Asia's largest two-wheeler market, but these plans are now uncertain. Gojek, on the other hand, has shifted its focus to Electrum, a joint venture with local energy company TBS, to continue its EV initiatives.

Future Prospects

While the end of the Gojek-Gogoro partnership is disappointing, it also opens up new opportunities for both companies to explore other avenues. Gogoro continues to expand internationally, securing significant funding to support its growth. Gojek remains committed to its goal of fully electrifying its fleet by 2030, now through its collaboration with Electrum.

The breakup underscores the complexities and challenges in transitioning to electric mobility, especially in markets with strong fossil fuel dependencies. However, it also highlights the resilience and adaptability of companies like Gojek and Gogoro in navigating these challenges and continuing to push for a sustainable future