JAKARTA - Chairman of the Indonesian Special Rental Transport Organization (ORASKI) Fahmi Maharaja asked the DPR not to interfere with the process of making online transportation regulations that are being prepared.
This is in response to the results of a hearing (RDP) between the government, in this case the Ministry of Transportation with Commission V of the DPR.
"We support every effort to improve the welfare of online drivers, but do not approve of the DPR's proposal regarding limiting application cuts to a maximum of 10 percent because this will have a negative impact on the online transportation ecosystem," Fahmi said in his statement, Monday, July 21.
According to Fahmi, cutting app costs is a business domain between applicators and online transport drivers as partners. The government as a regulator should not go too far into the space.
"In our opinion, if the application costs are reduced, this will be counterproductive because the impact is not that it can increase driver income but only have an impact on tariffs to passengers, which will be lower," he explained.
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Therefore, ORASKI considers a better solution to improve driver welfare in the form of tax incentives, vehicle subsidies, and sustainable education from the Government.
"It is better to apply the elimination of VAT and PPh for the purchase of operational vehicles, tax deductions for the purchase of spare parts, education and training program subsidies for drivers, and business protection approaches that have been also given to conventional taxis," he explained.
Fahmi emphasized that if the government or the DPR continues to impose interventions on tariff regulations and discounts that are not in the realm of its authority, then the risk of the entire online transportation ecosystem is very large.
"ORASKI believes that the sustainability of the online transportation sector can only be maintained through healthy dialogue, proportional regulations, and real involvement of the main actors, namely driver-partners themselves," he added.
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