Zero ODOL 2027: Between Safety Targets and Logistics Ecosystem Readiness

Freight transport plays a vital role in maintaining the national supply chain and economic activity. From industrial estates to ports, and from plantation centres to traditional markets, goods vehicles serve as the arteries that keep the economy moving. Yet behind this routine logistics traffic, a major change is looming. The government is targeting full implementation of the Zero Over Dimension Over Loading (ODOL) policy starting 1 January 2027. This policy aims to end the practice of freight vehicles frequently carrying loads exceeding capacity or using vehicle dimensions modified beyond regulations.

There is virtually no meaningful opposition to the policy from a safety or road infrastructure protection standpoint. Business operators, logistics companies, and trucking entrepreneurs in principle agree that ODOL practices must end. However, problems arise because the path towards that target still leaves considerable homework to be completed.

For the business world, Zero ODOL is not merely about reducing loads or adjusting vehicle dimensions to comply with rules. This policy touches the heart of the national supply chain, which has long relied on road transport efficiency. Consequently, operators in the logistics, manufacturing, trade, plantation, and mining sectors need to make various adjustments, from fleets and distribution systems to supply chain management, to comply with the applicable provisions.

Chairman of the Indonesian Logistics Association, Mahendra Rianto, stated that the ODOL issue is far more complex than simply enforcing rules on the highway. This includes the absence of regulations governing upper and lower tariff limits for road freight transport. This situation means transport tariffs are entirely determined by market mechanisms. As a result, logistics companies tend to choose fleets capable of carrying goods at the lowest possible cost while having large capacity. On the other hand, trucking entrepreneurs have limited room for manoeuvre because transport efficiency demands are part of increasingly fierce business competition.

“This transport service has no other choice to find other customers. Because for certain industries, that is the typical situation. So low prices, heavy loads. If you don’t want to take it, then fine,” Mahendra said in mid-May.

When the Zero ODOL rule is fully implemented, the distribution patterns that have been running will change. Trucks will no longer be able to carry loads exceeding the specified limits. The consequence is simple yet far-reaching. To transport the same volume of goods, the number of trips or fleets used must increase. This change means higher operational costs. More fleets mean more fuel, drivers, maintenance costs, and distribution costs. Ultimately, these additional costs could be passed on to the next supply chain link and eventually reach consumers. However, compliance with Zero ODOL remains a non-negotiable necessity. The challenge is ensuring the transition process is supported by adequate ecosystem improvements so that adjustments can proceed gradually and sustainably.

Another issue still haunting the logistics sector is the practice of illegal levies along distribution routes. For some companies, these costs have become an unwritten yet real operational component. “Jakarta-Surabaya, for example. At several points we still pay. Because we don’t always use the toll road. If we take arterial roads, we definitely encounter many illegal levies,” Mahendra said. He believes fundamental problems like illegal levies should be resolved first before the Zero ODOL policy is fully implemented. If the number of fleets and trip frequency increases, these informal costs could also potentially swell. “That forms a cost. Because every journey must allocate funds for it.”

Chairman of the Indonesian Trucking Entrepreneurs Association (Aptrindo), Gemilang Tarigan, shares similar concerns about potential freight tariff increases after the Zero ODOL policy is implemented. This condition could become a technical obstacle in policy implementation. Trucking entrepreneurs, Gemilang said, are also required to make adjustments to comply with Law Number 22 of 2009 on Road Traffic and Transport. At the same time, the freight transport sector is also being pushed to transform through innovation and technology-based fleet modernisation. Therefore, the plan to transition towards electric trucks, as encouraged by the government, presents its own challenge for business operators, given the relatively large investment required.

Gemilang proposed that the government consider diverting a portion of diesel subsidies into incentives for purchasing electric vehicles. According to him, this step could help business operators adapt by accelerating fleet rejuvenation while supporting the energy transition agenda. “Well, if we replace diesel with electric trucks, the government no longer needs to subsidise and there is no longer high exhaust emissions, right? This is very positive,” Gemilang said recently.

On the other hand, the technical fleet issues are not as simple as imagined. Academic from the Trisakti Institute of Transport and Logistics (ITL Trisakti), Suripno, explained that vehicles which have been modified to increase carrying capacity cannot simply be returned to standard condition and immediately operated. Each fleet must undergo roadworthiness testing to ensure safety and technical compliance are met. This process inevitably requires time and additional costs. However, the former Director of Land Transport Safety at the Ministry of Transportation is most concerned about the broader economic impact.