Indonesian Govt orders Go-Jek and Grab to register as business transportation

0 19

Get real time updates directly on you device, subscribe now.

To meet the safety requirements as a public transport provider and to increase the costs and scrutiny of the ride-hailing firms. The Indonesian Government is making it mandatory for Go-Jek and Grad to register as business transportation companies.

In a press conference on Monday, the Transportation Minister in Indonesia government Budi Karya Sumadi said that “The Indonesian government has finalized the new regulation which requires al the ride-hailing companies to get a license from his ministry to provide public transportation services.” “The rules would be discussed with all the stakeholders within one or two days”, also he added.

The director general of land transportation Budi Setyadi said that “Once a ride-hailing company obtained a license from the ministry, the company has to follow certain norms which are mentioned for public transport providers.”

All the licensed public transport providers have to make sure that its vehicles regularly pass a safety test and its driver have a special license for driving a public transport vehicle. The Government have said that these would only apply for car transport and not for motorcycles.

Both the Grab Indonesia and Go-Jek have declined to comment on this order. But the ride-hailing companies have often said that they only offer transportation services in partnership with drivers.

Get real time updates directly on you device, subscribe now.