Government Targets Completion of Ride-Hailing Regulation Before 17 August

The government is targeting the completion of a Presidential Regulation governing the online transportation ecosystem, specifically online motorcycle taxis, before the 81st Independence Day anniversary on 17 August. Minister of State Secretary Prasetyo Hadi stated after a meeting on the regulation at the parliamentary complex in Jakarta on Monday that the finalisation stages have been completed, meaning the regulation will be finished in the near future. He also confirmed that the status of online motorcycle taxi drivers will be categorised as micro, small, and medium enterprises. Minister of Micro, Small, and Medium Enterprises Maman Abdurrahman noted that around two articles in the regulation are still under discussion and will be resolved soon. He explained that with the UMKM status, drivers will have flexibility in working hours and can receive UMKM incentive policy packages. He further clarified that the government will not impose any taxes on drivers who attain UMKM status, as their income ranges from Rp10 million to Rp15 million. Maman stressed that claims suggesting online motorcycle taxi drivers will be taxed are entirely false and constitute a hoax. He added that various communities, associations, and organisations of online motorcycle taxi drivers have welcomed the UMKM status, as it opens up business opportunities, allowing them and their families to potentially own and rent out multiple motorcycles.