Indonesia asked ride-hailing apps such as Grab and Uber to partner with a transport business and register their cars by the end of May if they want to continue to operate in the country, Indonesia’s Transportation Minister Ignasius Jonan.
“Uber, Grab are app companies. If they want (to operate), they have to partner with a transportation business entity, like a car rental company,” Jonan told reporters.
Traffic in the capital Jakarta came to a complete halt Tuesday as taxi drivers caused traffic jams by blocking off several main roads to protest in response to the Indonesian government’s apparent refusal to regulate or outright ban ride-hailing services.
Local news footage as well as videos posted on social media sites reportedly showed enraged taxi drivers pulling fellow drivers who were not part of the protest out of their vehicles and assaulting them on Tuesday.
Similar protests have erupted against ride-hailing apps such as Uber in London, Paris, the U.S. and parts of Brazil among other places as the apps have ushered in cheap taxis and threatened the business model of traditional taxi drivers.
“Even before the demonstration, we had started the process to help our drivers form a cooperative unit and meet the requirements,” Ridzki Kramadibrata, managing director of Grab Indonesia.
Donny Sutadi, Uber Indonesia’s commissioner, reportedly said that they would partner with a car rental company.