#Asia Indonesia’s ride-hailing app drama: Govt remains undecided, proposes alternative solutions


Cooperatives is being seen as possible solution to bridge the conflict between traditional public transportation and ride-hailing apps

Following a meeting with ride-hailing apps companies such as Uber and Grab yesterday at the Ministry of Communications and Informatics, Minister Rudiantara spoke to the press that the government remains undecided whether they are going to ban ride-hailing apps – or not.

“I cannot say whether we are going to ban or not. The fact is that there are transportation regulations that are being violated, but at the other hand, the people need safe and affordable public transportation. We simply cannot dismiss this fact,” he said as quoted by Kompas Tekno.

“The problem is not with the apps, but in how we are setting up a structure for this [type of] transportation business,” he added.

Rudiantara proposed cooperatives as an alternative solution to register ride-hailing apps such as Uber and Grab, and stated that he will meet Minister of Cooperatives Anak Agung Gede Ngurah Puspayoga to discuss the matter.

He also stressed that the government will continue to seek for solution for this issue.

Also Read: Chinese authorities hint at green-light for ride-sharing apps; with a major stipulation

On Monday, Jakarta added one more incident in the long history of the battle between ride-hailing apps versus traditional public transportation modes such as taxi and bus.

At least 2,000 taxi, bus, and minibus drivers went on a strike to call for the ban of such apps, and the protest turned violent with several cars being vandalised and a taxi driver attempted to assault a Go-Jek driver.

Minister of Transportation Ignasius Jonan called for the Ministry of Communications and Informatics to ban ride-hailing apps, citing numerous violations such companies have been violating.

Previously, Minister Jonan managed to ban ride-hailing apps for less than 24 hours before being intervened by President Joko Widodo.

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