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Gov`t Sets 31 May Deadline for Grab, Uber to Get License

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25 March 2016 07:46 WIB

Taxi drivers ride on a taxi bearing a banner which reads "shut down Uber and Grab" during a protest against competition from the ride-hailing apps at the main business district in Jakarta, March 22, 2016. Thousands of taxi drivers caused traffic chaos in the Indonesian capital Tuesday in a rowdy protest against what they say is unfair competition such ride-hailing apps. AP/Achmad Ibrahim

TEMPO.CO, Jakarta - Uber and Grab have been given until May 31, 2016 to obtain their license to become legal app-based public transports.

The deadline was set in a meeting held at Coordinating Ministry of Political, Legal and Security Affairs yesterday which discussed the final solution on the legality of app-based public transports.

According to Julius Adravida Barata, Head of Public Communication Center of Transportation Minister, the meeting, attended by Transport Minister Ignasius Jonan, Communication and Informatics Minister Rudiantara and other relevant parties, has resulted in a number of crucial points, among others, the procedure for illegal app-based taxi to become legal in accordance with the applicable regulations.

Moreover, Grab and Uber have two choices: remain as content providers or become public transport operators. “In the meeting, Grab and Uber have decided to remain as content providers, not as public transport operators,” Barata said in a written statement, Thursday, March 23, 2016.

The decision means that Grab and Uber have to cooperate with public transport operator that is a legal entity, in this case, cooperatives. Therefore, such legal entity or cooperatives must obtain the license as public transport operator and must gone through the process of vehicle registration, roadworthiness test (KIR) and seven other regulations to comply with.

In the future, such cooperatives would accomodate GrabCar and Uber drivers. “The drivers incorporated in the cooperatives must have SIM A Umum (public driving license A) and operate as car rental business. Therefore, the vehicles could operate with black license plates [private car plates], not the yellow one [public transport plates],” Barata said.

Therefore, the legal entity (cooperatives) that cooperates with either Grab or Uber has been given until May 31, 2016 to obtain its license. Failing that, Grab and Uber will be banned from operation.

DESTRIANITA K.




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