Due to New Regulations, Uber Movement, GrabCars, and Go-Cars are getting complicated

The Minister of Transportation Regulation has just been passed. With index number PM 32 of 2016, this regulation specifically regulates the operation of people transportation with public motorized vehicles not on the route. It could be said that this regulation regulates public transportation services such as taxis and vehicles. More specifically, the motive can be said to "get in order" application-based application services. Let's look at the rules that have been released.

Apart from the discussion about taxis as a mode of transportation not on a route, in chapter 11 explained about the details of the transportation of people with a specific purpose, namely transportation that serves shuttle services, housing, employee transportation, charter and rental transportation. As rental vehicles, Uber services, GrabCar and Go-Car fall into this category.

Discussion

Own rental transportation is regulated specifically in chapter 18. From these rules, it is stated that several points are mandatory criteria that must be met by service providers, including:

1. The service operation area is not limited by the administrative area.
2. Not scheduled.
3. Payment of tariffs is in accordance with the agreement between the service user and the transportation company.
4. The use of the vehicle must be through a reservation or agreement, not to load passengers directly on the road.
5. Must meet the specified Minimum Service Standards.
6. Using a public passenger car vehicle of at least 1.300 cc.

The criteria mentioned above when applied to application-based transportation services that currently exist generally have met. However, it goes into the rules written in the next point regarding the transportation requirements used, namely:

1. Equipped with a vehicle number sign with a black plate base color with white writing that is given a special code.
2. Equipped with a special sign in the form of a sticker.
3. Equipped with valid travel documents, in the form of a vehicle number in the name of the company, a test card and a surveillance card.
4. Equipped with a public complaint number in the vehicle.

The third point feels the most burdensome. Draft sharing economy in application-based transportation the company only provides platform as an intermediary between vehicle owners (private) and consumers. It is almost impossible to have a vehicle registration certificate (STNK) in the name of the company.

Continuing on to the next chapter, namely chapter 21, which requires all components in the transportation provider not on the route to have an operating permit. This will also burden the company with the cost of Non-Tax State Revenue. All organizers must be legal entities, in the form of:

1. State-owned enterprises.
2. Regional owned enterprises.
3. Limited liability company.
4. Cooperative.

Meanwhile, transportation services have chosen to operate in the form of a cooperative, as has been done Grab and Ubers.

And to obtain a permit, conditions are also imposed (listed in chapter 23), namely:

1. Have at least 5 vehicles as evidenced by a vehicle registration on behalf of the company and a proof of passing the periodic motor vehicle test.
2. Has a vehicle storage area.
3. Provide vehicle maintenance facilities.
4. Employing drivers who have a General SIM according to the vehicle class.

The permit will be given in the form of several documents as follows (stated on: chapter 24):

1. Transportation management license.
2. A statement of ability to fulfill the obligation to serve transportation in accordance with the permit granted.
3. Surveillance card.

Regarding the use of the application itself, it is regulated in article 40. The use of the application in the transportation system is allowed. In chapter 41 explained in the first point, that the application provider company must cooperate with public transportation companies that already have operating licenses. Because the application company is not allowed to act as a public transportation operator, it is not allowed to do the following things:

1. Set rates and collect fees.
2. Hiring drivers.
3. Determine the driver's fare.

Meanwhile, vehicles that are not on the route must also comply with the provisions of Articles 21, 22 and 23, which means that they must continue to cooperate with licensed parties. For example, operational vehicles must have a vehicle registration in the name of the company.

Conclusion

uber Service, GrabCar and Go-Car must revolutionize existing business processes in order to operate under the correct regulatory framework. Draft sharing economy cannot really involve individual components personally, because vehicles are required to have a STNK on behalf of a transportation service company.

It's clear, that this sweet rule is indeed designed to kill the concept of application-based transportation services that currently exist. Unless suddenly this rule is repealed, as happened during the two previous polemics, Uber driver partners, GrabCar, and Go-Car can only drive a car that is registered in the name of a rental company or cooperative.