Indonesia Deadline for Uber and Grab

Ilustrasi (dok)

JAKARTA (IndoTelko) - The Indonesian government began to show firmness in dealing with the presence of app-based transportation mode (Ridesharing) such as Uber and Grab.

"According to the agreement, we provide a two months dead line. Which is due on June 1, 2016, and if the licensing and transportation regulation compliance are not sorted yet then we might block both," said The Minister of Communication and Informatics Technology (MCIT) Rudiantara, in Jakarta, last week.

The minister said that the things that have to be complied by Uber and Grab namely their licensing, KIR and taxes to the Ministry of Transportation. "So, this two-month is the transition period. the companies may operate normally within the transitional period while waiting for finishing the requirements as the rules for the transport sector," he said.

Transport Minister Ignatius Jonan asked the ridesharing players should be cooperating with the existing public transport which is already incorporated by the deadline. "The choice is up to them, willing to cooperate with legitimate public transportation or establish its own legal entity, please," he said.

Jonan added that the government encourages public transport services in any forms. Second, the government is also very encouraging any transportation service management of road based public transportation based on the current times.

The Coordinating Minister for Politic, Legal and Security Luhut Binsar Pandjaitan guarantees the operating licensing or any legal entity process would not be complicated for all people and operators.

"We will monitor closely so that there should be no fuss. If there are more complaints, then it may be submitted verbally to my office or Rudiantara or Jonan's office. But, if Uber and Grab is caught cooperating with unlicensed fleets they can be blocked," said Luhut.

Earlier, the Acting Director General of Land Transportation Sugihardjo confirms the operation of Grab and Uber Car are illegal because they do not meet the provisions of Law No. 22 Year 2009 on Road Traffic and Transport.

Transport regulator provides two options for these ridesharing players namely to be a transport operator or application provider. If they opted to be transportation operator then both applications must have an operating license for public transport of the Jakarta Transportation Agency.

"If they take form as Taxi Company, it means that there should be metered and special marks given by the police. The driver must have the special “SIM B Umum” driver's license and others," he said.

If they opted as a provider applications, both should cooperate with the official transportation company or cooperative that are already registered.

Grab Indonesia Legal Manager Teddy Trianto said it would immediately comply with licensing regulations. "We have stated from the beginning as a technology company. We will encourage our partners to get all the formalities in accordance with the government provisions," he said.

Uber Technology Indonesia Commissioner Denny Sutadi has said that he will do the same. "We also asked the government to inform us, communicate on anything we should do," he said.

In conclusion, by choosing as application providers, Uber Car and Grab later will operate such as a rental car which uses black plates but will have a special mark from the police.(es)