South Tangerang Allocates IDR 19.95 Billion for Official Vehicle Rentals
The South Tangerang City Government (Pemkot Tangsel) plans to lease around 200 official vehicles for its officials, with a budget of nearly IDR 20 billion. South Tangerang Mayor Benyamin Davnie claims the rental scheme is more economical than buying new cars.
Benyamin stated that the city government has been using a rental scheme for official vehicles for the past few years. "Indeed, for the past few years we have used a rental system for official vehicles. My official car is also rented," Benyamin said, as quoted by Antara on Friday, 10 July 2026.
He explained that the vehicle rental costs have been allocated in the 2026 Regional Revenue and Expenditure Budget (APBD). Benyamin said the official vehicle rental mechanism is more efficient than purchasing vehicles for government operations.
With leasing, he said, the city government does not need to budget for asset maintenance. "The efficiency is clear, we do not need to budget for maintenance, that is handed over to the vendor, we only need to buy petrol," Benyamin stated.
According to Benyamin, leasing vehicles through a third party can reduce the government’s cost burden. Thus, he said, the funds spent are more efficient. "Like the other day, my Innova Zenix had a scratch, it was repaired and returned. So the efficiency is significant," he said.
Head of General Affairs at the South Tangerang Regional Secretariat, Herman Susilo, said the official vehicle rental policy has been in place since 2023. "Rented official cars started in 2023. At the end of 2022, if I am not mistaken," Herman said.
He stated that the rental costs vary each year. One of the influencing factors is the type of vehicle rented. "It varies per year, depending on the car," Herman said.
Based on data from the General Procurement Plan (RUP) system of the South Tangerang City Electronic Procurement Service (LPSE), the procurement package value for official vehicle rental in the 2025 fiscal year was recorded at IDR 17,885,768,692 with a utilisation period from January to December 2025.
Meanwhile, the official vehicle rental budget for the South Tangerang City Government in the 2026 fiscal year is recorded at IDR 19,953,672,920 for approximately 200 vehicles. In the APBD, this budget is allocated under the Regional Secretariat.