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Ride-hailing drivers promised discount amid upcoming fuel subsidy cutbacks
The transportation minister says the government plans to offer discounted prices for on-demand drivers in anticipation of its new subsidized fuel restrictions, due to kick in on Sept. 1.
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Motorists line up on Aug. 9, 2022 to fill their tanks with subsidized Pertalite-branded RON-90 fuel at a gas station in Bogor, West Java, just weeks before the government hiked subsidized fuel prices. (Antara/Arif Firmansyah)
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he government is planning to offer a fuel price discount to on-demand drivers, known colloquially as ojol, to soften the blow of its upcoming restrictions on subsidized fuel, according to Transportation Minister Budi Karya Sumadi, who said the plan had been discussed with Coordinating Maritime Affairs and Investment Minister Luhut Pandjaitan.
“We’ve been in talks with Pak [Mr.] Luhut about providing benefits to [Grab driver partners]. Pray that this goes well. If it is successful, we will offer special fuel prices for our [on-demand drivers],” Budi said on Monday at a Grab Indonesia event, as quoted by Kompas.com.
Though Budi did not provide a timeline for the initiative, he emphasized that the plan underscored the government’s recognition of on-demand drivers as crucial to the national transportation system.
“They are our transportation heroes,” he said. “They don’t just deliver people, they deliver anything we need. Let’s hope this plan moves forward.”
Read also: ‘Cleaner’ fuel program to start on Sept. 1, but no restrictions yet
The minister’s statement comes on the heels of the government’s plan to restrict subsidized fuel sales starting from Sept. 1, postponed from the original start date of Aug. 17.
The Energy and Mineral Resources Ministry is finalizing a regulation to determine which consumers qualify for subsidized fuels like Pertalite and Solar amid ongoing discussions on how to cut fuel subsidy spending.
