Indonesia says Go-Jek, Grab need to register as transport businesses

Young journalists club

News ID: 21162
Asia » Asia
Publish Date: 13:45 - 02 April 2018
TEHRAN, April 02 - Indonesia is making it mandatory for Go-Jek and Grab to register as transport companies within two months to ensure they meet safety requirements as a public transport provider, potentially increasing costs and scrutiny of the ride-hailing firms.

Indonesia says Go-Jek, Grab need to register as transport businessesTEHRAN, Young Journalists Club (YJC)-Indonesia is making it mandatory for Go-Jek and Grab to register as transport companies within two months to ensure they meet safety requirements as a public transport provider, potentially increasing costs and scrutiny of the ride-hailing firms. 

The Southeast Asian nation and some other countries have been grappling with how to regulate ride-hailing companies. The App-based companies say they should not be treated as a public transport provider since they do not own cars or employ drivers.

But Transport Minister Budi Karya Sumadi said on Monday the Indonesian government has finalised a new regulation to require ride-hailing companies to get a license from his ministry for providing public transport. The new rules would be discussed with all stakeholders “within one or two days”, he told a news conference.

Go-Jek and Grab are the dominant ride-hailing providers in the country.

Source:Reuters

Your Comment