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Thousands of Uber and Grab fleets threatened to fail as Rental Transport Provider

08:58:35 | 04 Apr 2016
Thousands of Uber and Grab fleets threatened to fail as Rental Transport Provider
Ilustrasi (dok)
JAKARTA (Indotelko) - Relationship of the app-based transport provider (Ride-sharing) of Uber and Grab with its driver’s partners that are incorporated in the Indonesia Rental Employers Association (PPRI) is reportedly troubled.

"Just now I received the representatives of the PPRI. They were consulting on the available quotas for car rental in Jakarta is limited for five thousand fleet only, whereas they have about 17 thousand fleet," said an Advisor to the Minister of Communications and Information Henri Subiakto last week.

He said that the license to operate a rental car in Jakarta is in the hand of the city's Transportation Department.

"PPRI asked for advice about the fate of the other 12 thousand fleets that are not accommodated. The car installments must be paid, while they cannot operate as the permits are under legal process. They think that Uber and Grab are not paying attention to the fate of the other 12 thousand fleets," he said. (See also: Measuring the fate of Uber and Grab)

Henri said that there must be a solution to this problem to prevent any social unrest re-occurs. "Well, this is not the concern of the Ministry of Communication and Information Technology, we are proposing to the Ministry of Transport. As far as I know that they can also propose for inter-provincial operating rental license," Henri added.

Earlier, Uber Indonesia spokesperson Amy Kunrojpanya expressed their readiness to meet all operating permits so their partner drivers can resume their operations in Jakarta.

PPRI itself is already incorporated as cooperative which affiliated with ridesharing app based providers such as GrabCar and Uber.

Indonesian government provided a deadline until June 1, 2016 for Uber and Grab and its driver partners to meet the state's transportation regulation. Both ride-sharing players chose to remains as the application providers and encourages its partners to meet the transport sector regulation. (es)

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