Indonesia Finalizes Online Motorcycle Taxi Rules, What Will Change?
The Indonesian government is finalizing new regulations for online motorcycle taxi services, including a potential reclassification of drivers as MSMEs. The policy also aims to cap platform commissions at 8 percent to improve driver earnings.
Why it matters
This represents a significant shift in the gig economy regulatory landscape, potentially setting a precedent for how digital platforms interact with independent contractors in emerging markets.
TEMPO.CO, Jakarta – The Indonesian government is finalizing a presidential regulation governing the online transportation ecosystem, including motorcycle taxi services, as authorities work on a new business model for the industry.State Secretary Prasetyo Hadi said the government held another coordination meeting to finalize the regulation, with most of its key provisions already agreed upon."We held another coordination meeting yesterday to finalize the presidential regulation on online motorcycle taxis. We have managed to formulate almost all of the substantive principles," Prasetyo told reporters at the Presidential Palace complex in Jakarta on Tuesday, reported by Antara.He said one of the remaining issues was completing the formula for the updated business model for online transportation services."This will not affect the substance.
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