Taxi app Uber will improve conditions for its British drivers with changes including in-app tipping, after criticism from lawmakers and unions for not giving them more rights. (Reuters Photo/Kai Pfaffenbach)

Yogyakarta Set to Ban Go-Jek, Uber and Grab

BY : FUSKA SANI EVANI & RATRI M. SINIWI

MARCH 11, 2017

Jakarta. The Yogyakarta administration plans to issue a regulation next week that will ban ride-hailing services in the city.

The new regulation will prohibit the use of private vehicles as taxis, such as those offered by Go-Jek, Uber and Grab.

"The regulation is being processed and will be done within a week. We will take action in accordance with the regulation," Yogyakarta Transportation Agency head Gatot Saptadi said on Friday (10/03).

In addition to the ban, the agency is looking at ways to help conventional taxi companies improve their services.

"We need to support the existing taxi system to provide online services with clear tariffs," Gatot said.

Agus Andriyanto, head of the Yogyakarta Land Transport Organization, meanwhile welcomed the ban, but questioned the monitoring process after the implementation of the regulation.

He said not only are illegal taxis operating through ride-hailing apps, but also through unofficial apps.

"We saw that illegal taxis are operating without applications, or through social media – whether the regulation will cover that, we don't know," Agus said.

App-based public transportation services have become popular in Indonesia in recent years, resulting in fierce rivalry with traditional taxis.

A large protest by taxi drivers against app-based transportation services in Jakarta last year turned violent and caused chaos on streets in the inner city.

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