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Lawmakers to add ride-hailing rules in new transport law

House lawmakers met representatives from Gojek, Grab and Maxim to discuss the new rules.

Divya Karyza (The Jakarta Post)
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Jakarta
Thu, March 31, 2022

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Lawmakers to add ride-hailing rules in new transport law Convenient option: An online transportation bike drives through the Hotel Indonesia traffic circle in Central Jakarta, in this undated photograph. (The Jakarta Post/Dhoni Setiawan)

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awmakers are set to add provisions on ride-hailing services in the revised Law No. 22/2009 on Traffic and Land Transportation (LLAJ) to better regulate the fast-growing industry.

House Commission V overseeing transportation met with ride-hailing companies Gojek, Grab and Maxim during a work meeting in Jakarta on Monday. House members said the law would cover matters related to regulatory oversight, partnership schemes, taxation, employment and the legal status of ride-hailing as a form of public transportation, among other issues.

“We will discuss several issues, including transportation using non fixed-route public vehicles using online-based applications,” lawmaker Lasarus, chairman of the House Commission V overseeing transportation, said during the work meeting.

The transportation law is among those included in the 2022 National Legislation Program (Prolegnas). 

Indonesia's ride-hailing industry is expected to grow 28 percent over a five-year period to US$16 billion in 2025, the second fastest growth rate after online travel among digital industries, according to the 2020 Google-Temasek SEA e-Conomy report.

The rapid growth has brought along a raft of issues, including ride-hailing tariffs, passenger safety, data privacy and worker protection, among other things. The transportation ministry has issued several regulations on these matters, but ride-hailing drivers have demanded stronger rules for the industry.

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