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Economy in brief: RI to maintain old rules on ride-hailing

The government will likely keep most points stipulated in an existing Transportation Ministry regulation for a proposed revision as it hears concerns of various stakeholders in the transportation sector

The Jakarta Post
Jakarta
Fri, October 20, 2017

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Economy in brief: RI to maintain old rules on ride-hailing

T

he government will likely keep most points stipulated in an existing Transportation Ministry regulation for a proposed revision as it hears concerns of various stakeholders in the transportation sector.

Transportation Minister Budi Karya Sumadi said the upcoming regulation, which is a revision of Ministerial Regulation No. 26/2017, will remain to stipulate requirements of, among others, argometer, fare, operational area, fleet quota and vehicle license (STNK).

“The philosophy of the regulation we are drafting is [to create] a level playing field for the [other] stakeholders,” Budi said on Thursday. “Ride-hailing is inevitable, but there should be a good [regulation] umbrella for other taxi companies.”

However, the government has yet to decide the base and ceiling fares, while the fleet quota will be decided by respective regional governments as well as the Greater Jakarta Transportation Body (BPTJ).

Budi said the proposed regulation would also include some new points, such as the obligation for ride-hailing apps to provide insurance as well as punishment for any violation of the rules.

“Later there will be a public hearing in five cities [for this regulation draft]. We hope there will be no major change,” he said.

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