Indonesia officially bans ride-hailing service operators including Uber, GoJek, GrabTaxi

Source: Deal Street Asia (& Business Insider)

December 18, 2015

Indonesia Ministry of Transportation has banned the ride-hailing services that operate online, as they do not meet the official definition of public transport. There is no certainty when this rule will be enforced.

Director General of Land Transportation Ministry Djoko Sasono, said the ban was contained in the Notice letter No. UM.3012 /1/21/Phb/2015.

“This assertion has been made only because their operation of vehicles for public passenger transport is not in accordance with Law 22/2009 on Road Traffic and Transport and derivatives legislation is in violation of the law so that the operation is prohibited,” he said through a text message.




Read more: http://www.dealstreetasia.com/stories/indonesia-officially-bans-ride-hailing-service-operators-24064/

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Indonesia just banned a $100 million Uber-like startup, and it is suddenly worth nothing

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Indonesian media is reporting that the Ministry of Transportation has asked local police to take action against the operators of internet based transport services as well as prohibit drivers of the service due to their effect on other forms of public transport.

The government is claiming that their reasoning behind the bans of the services are due to the motorbikes not meeting the requirements needed for a public transport vehicle.

Go-Jek currently has around 20,000 drivers in Indonesia across major cities such as Jakarta, Bandung and Bali, with many driving as their sole source of income.

Just yesterday Google announced that Go-Jek was the most searched term in Indonesia in 2015.

Uber and other local app based transport services such as Grab Taxi have also been banned in Indonesia as part of the ruling.

More: http://www.businessinsider.com.au/100m-indonesian-start-up-has-just-been-banned-wiping-its-value-overnight-2015-12