TEMPO.CO, Jakarta - Transportation Minister Budi Karya Sumadi asserted that the new regulation of online-based ride-hailing tariff or online ojek (motorcycle taxi) tariff to come into effect starting on May 1, 2019. The ministry, he said, had conducted the dissemination to the app companies; Go-Jek and Grab Indonesia.

"We've conducted the dissemination in and outside of Java Island," Budi Karya said at the Grand Sahid Hotel, Central Jakarta, Friday, April 26.

The new law regulates motorcycle safety protection for the public.

In disseminating the new regulation, the transportation ministry collaborated with the drivers. It hoped that the regulation will be able to facilitate both parties; the company and its driver partners.

The ministry has previously released the new online ojek tariff on Monday, March 25. The government set the tariff based on three different zones or areas.

Zone I covers Sumatra, Java, and Bali, while Jakarta and its surrounding area (Jabodetabek) are included in Zone II. Zone III covers Kalimantan, Sulawesi, NTT, Maluku, Papua, and NTB. In total, the new tariff increases of around 10-20 percent from the previous one.

The lower cap tariff for Zone I is set at Rp1,850, while in Zone II at Rp2,000, and Rp2,100 in Zone III. The upper cap tariff for Zone I is set at Rp2,300, Zone II at Rp2,500, and Zone III at Rp2,600, per 1-kilometer.

Meanwhile, the minimum tariff for service fee (flag fall) is set at Rp7,000-10,000 for Zone I and Zone III, and Rp8,000-10,000 for Zone II. This will be implemented for a minimum distance of 4-kilometer.

The Transportation Ministry's director-general of land transportation said the tariff set based on the interest of the drivers, the public, and the ride-hailing app companies, namely Go-Jek and Grab Indonesia.

Francisca Christy Rosana

Read: Budi Karya: Without Regulation Online Ojek will be Disfranchised