July 23, 2017

Indonesia sets tariff ranges for Uber, Grab



phone with grab logo on screen
Image Courtesy of Grab

Indonesia has set minimum and maximum tariffs for online car-hailing services, aiming to ensure comparable pricing with conventional transport providers whose drivers have complained about being undercut by their newer competitors.

Ride-hailing services such as US group Uber Technologies Inc, Southeast Asia’s Grab and Indonesia’s GO-JEK have heavily subsidised their drivers in Indonesia in order to gain market share in the country of 250 million people, analysts say.

The transport ministry said it had set a tariff range for online car-hailing services of 3,500-6,000 rupiah (8.9-15.3 baht) per kilometre for the islands of Java, Bali and Sumatra. For Kalimantan, Sulawesi, Nusa Tenggara, Maluku and Papua, the range is 3,700-6,500 rupiah per kilometre.

The regulation kicked in on July 1 and will be evaluated in the next six months,  […]

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The News for the Gig Economy Staff is constantly searching the web for the latest news regarding freelancing and gig platforms to bring them to you in one handy place. All articles with this generic author have been sourced with the original location at the bottom of the piece. We encourage our readers to view the original source of all excerpts. NGE is a project of ARC Online, LLC.

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