Indonesian Political, Business & Finance News

Jakarta Legislator Says Digitalising Parking Will Curb Regional Revenue Leakage

| Source: ANTARA_ID Translated from Indonesian | Economy
Jakarta Legislator Says Digitalising Parking Will Curb Regional Revenue Leakage
Image: ANTARA_ID

Jakarta (ANTARA) - Jakarta Regional House of Representatives (DPRD) member Hengky Wijaya has urged the city administration to immediately overhaul on-street parking management by accelerating system digitalisation to stem leaks in locally generated revenue (PAD) from the sector. “The PKB faction of the DPRD DKI Jakarta highlights the poor management of on-street parking, as it has not been managed optimally by the Jakarta Provincial Government,” he said in Jakarta on Wednesday. He argued the sector holds enormous economic potential to boost regional income. He explained that on-street parking must be managed in an accountable, modern, and professional manner, as it represents a significant source of retribution and tax revenue. Therefore, he continued, the PKB faction is urging the Jakarta Provincial Government to immediately accelerate the digitalisation of the parking system in the capital. His party is pushing for the comprehensive implementation of an electronic parking system (e-parking) at all on-street parking points, including a real-time transaction reporting system integrated with the regional financial system. He assessed that firm measures are needed to close revenue leakages from the parking sector, especially given the frequent illegal levies that often draw public complaints. Under Gubernatorial Regulation Number 188 of 2016, the Parking Management Unit (UP Perparkiran) is authorised to manage on-street parking on 441 road segments across Jakarta. However, as of 2025, UP Perparkiran has only managed 244 road segments, or 55 per cent of the total, leaving 197 other road segments unmanaged by the relevant parties. Previously, Deputy Head of the Jakarta Regional Revenue Agency (Bapenda) Elvarinsa stated that retribution revenue realisation up to 30 June 2026 reached Rp584.6 billion, or 26.40 per cent of the target. “For the 2026 Revised Regional Government Work Plan, all retribution-collecting regional work units did not propose changes to the retribution target,” Elvarinsa said in a statement on Wednesday. The 2026 retribution revenue target is known to be around Rp2.2 trillion. Jakarta Deputy Governor Rano Karno stated that the revision of Regional Regulation Number 1 of 2024 on Regional Taxes and Retributions aims to strengthen legal certainty, fairness, and tax governance that is transparent, accountable, and adaptive in the region. “The views of all factions are an important part of perfecting the substance of the regulation so that it can answer the needs of the community and the development progress in Jakarta,” he said in response to the general views of DPRD factions during a DPRD DKI Jakarta Plenary Meeting at the DPRD DKI Jakarta Building on Tuesday (14/7).

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