Marcell Sihombing, Hasyry Agustin, ANT

Gojek Riders. Photo by: RES
A decree issued by the Minister of Transportation (Minister) seeking to ban all application-based, public-transportation businesses came in for a huge amount of criticism from the general public past week. The debate reached its climax when the President stepped in and expressed his support for these new businesses. The Minister was thus forced to revoke the decree.
President Joko Widodo believes that the country’s new application-based public-transportation businesses represent great innovation from the younger generation. The President also stressed that these new businesses represented an intelligent response to the public’s need for a fast, reliable, decent public-transportation network and is thus ultimately supportive of these new application-based services.
“I will summon Minister Jonan later today [to discuss the matter],” the President stated.
President Widodo also asserted that laws and regulations must never be the cause of injuries or hardship for the general public. He further stressed that the country’s laws and regulations should not impede innovation. Thus, the President has suggested that the Ministry seeks to manage these businesses properly instead of simply banning them.
“After all, we are the ones who create the various rules and regulations. As far as a service is needed by the general public, then I believe that no major issue or obstacle should be placed in their way. The relevant laws and regulations can thus be adapted for a transition situation. For instance, when our mass-transportation services have already become comfortable and decent enough, then the public will naturally decide which transportation service they prefer,” explained President Widodo at the Presidential Palace in Bogor on Friday, 18 December 2015.
Responding to President Widodo’s statement of support, Nadiem Makarim, Gojek’s Chief Executive Officer, expressed his gratitude that the President had answered the aspirations of the public and decided to revoke Minister Jonan’s prohibition of online ojek (motorcycle taxi) and taxi businesses.
“Dear GO-JEK customers, President Joko Widodo has just responded to concerns expressed by all of us by revoking the Minister of Transportation’s decision to prohibit online-based ojek and taxis. Thank you all very much for your support on social media,” stated Mr. Makarim in an email that was sent to all users of the Gojek app.
Total Ban
As is widely known, Ignasius Jonan, the Minister of Transportation, once issued a decree banning all application-based, public-transportation businesses. Jonan asserted that the utilization of privately owned vehicles in order to offer a public-transportation service based on digital technology constituted illegal activity. Therefore, the Minister requested police assistance in an attempt to immediately stop the operation of all application-based, public-transportation and ojek businesses, including Uber Taxi, Gojek, and Grab Bike.
Djoko Sasono, the Director General of Land Transportation, is in agreement with the Minister and categorically asserted that public transportation can only be offered by parties who are official legal entities (badan hukum), and who have also passed the relevant periodic testing procedures. All public transportation vehicles should also sport official yellow license plates.
In response to President Widodo’s stance on this issue, Minister Jonan published an official press release on Friday, 18 December 2015. The press release stated that in spite of the fact that two-wheeled vehicles do not constitute official public transportation, according to the prevailing laws and regulations, a significant gap existed between the public’s need for decent public transportation and the current official infrastructure.
Furthermore, the Minister explained that this gap had been covered by regular ojek for many years, and that application-based technology was simply streamlining this long-standing service. Based on these considerations, the Minister stated that application-based ojeks, as well as conventional ojeks, could continue to operate until a proper solution as regards public transportation could be formulated.
(rfs/sp)
Marcell Sihombing, Hasyry Agustin, ANT

Gojek Riders. Photo by: RES
A decree issued by the Minister of Transportation (Minister) seeking to ban all application-based, public-transportation businesses came in for a huge amount of criticism from the general public past week. The debate reached its climax when the President stepped in and expressed his support for these new businesses. The Minister was thus forced to revoke the decree.
President Joko Widodo believes that the country’s new application-based public-transportation businesses represent great innovation from the younger generation. The President also stressed that these new businesses represented an intelligent response to the public’s need for a fast, reliable, decent public-transportation network and is thus ultimately supportive of these new application-based services.
“I will summon Minister Jonan later today [to discuss the matter],” the President stated.
President Widodo also asserted that laws and regulations must never be the cause of injuries or hardship for the general public. He further stressed that the country’s laws and regulations should not impede innovation. Thus, the President has suggested that the Ministry seeks to manage these businesses properly instead of simply banning them.
“After all, we are the ones who create the various rules and regulations. As far as a service is needed by the general public, then I believe that no major issue or obstacle should be placed in their way. The relevant laws and regulations can thus be adapted for a transition situation. For instance, when our mass-transportation services have already become comfortable and decent enough, then the public will naturally decide which transportation service they prefer,” explained President Widodo at the Presidential Palace in Bogor on Friday, 18 December 2015.
Responding to President Widodo’s statement of support, Nadiem Makarim, Gojek’s Chief Executive Officer, expressed his gratitude that the President had answered the aspirations of the public and decided to revoke Minister Jonan’s prohibition of online ojek (motorcycle taxi) and taxi businesses.
“Dear GO-JEK customers, President Joko Widodo has just responded to concerns expressed by all of us by revoking the Minister of Transportation’s decision to prohibit online-based ojek and taxis. Thank you all very much for your support on social media,” stated Mr. Makarim in an email that was sent to all users of the Gojek app.
Total Ban
As is widely known, Ignasius Jonan, the Minister of Transportation, once issued a decree banning all application-based, public-transportation businesses. Jonan asserted that the utilization of privately owned vehicles in order to offer a public-transportation service based on digital technology constituted illegal activity. Therefore, the Minister requested police assistance in an attempt to immediately stop the operation of all application-based, public-transportation and ojek businesses, including Uber Taxi, Gojek, and Grab Bike.
Djoko Sasono, the Director General of Land Transportation, is in agreement with the Minister and categorically asserted that public transportation can only be offered by parties who are official legal entities (badan hukum), and who have also passed the relevant periodic testing procedures. All public transportation vehicles should also sport official yellow license plates.
In response to President Widodo’s stance on this issue, Minister Jonan published an official press release on Friday, 18 December 2015. The press release stated that in spite of the fact that two-wheeled vehicles do not constitute official public transportation, according to the prevailing laws and regulations, a significant gap existed between the public’s need for decent public transportation and the current official infrastructure.
Furthermore, the Minister explained that this gap had been covered by regular ojek for many years, and that application-based technology was simply streamlining this long-standing service. Based on these considerations, the Minister stated that application-based ojeks, as well as conventional ojeks, could continue to operate until a proper solution as regards public transportation could be formulated.
(rfs/sp)