Uber Is Ready to Get Incorporated in Indonesia

Adjie Priambada - 14 July 2015

The service that bridges passengers with private car drivers, Uber, stated that it’s ready to abide the law. It is shown by its readiness to establish an incorporated company in Indonesia and support the ride-sharing legislation that the government applies on such services.

As we know, Uber is curently having a clash with the government, especially the local government of DKI Jakarta, regarding the existence of its legal body and tax entity in Indonesia. It ended up with Uber being reported to the police and five of its drivers got arrested.

Responding to those incidents, Uber Jakarta’s International Launcher and Acting GM Alan Jiang stated that his team are currently preparing to establish a legal entity in Indonesia. It would take the form of a Foreign Investment (FI) company with future Uber’s full ownership on it.

All this time, Uber only has a representative office standing in Jakarta, which is located in Pacific Place area, SCBD. If this making-Uber-an-incorporated-company succeed, then one of government’s expectations on Uber can be fulfilled.

Jiang stated:

“We’re currently in the process of sending the application to create an investment company in Indonesia.”

“In every country we operate, Uber always tries to collaborate with the local government and abide the law. We also do the same in other countries like India and The Philippine. We sit on the same table with the government to reach an agreement,” Jiang added.

Further, he also voiced his support to government’s blueprint of setting the regulation on ride sharing services for companies like Go-Jek and GrabBike.

The Ministry of Communication and Information Rudiantara previously stated that there should be a a regulation that regulates the use of technology to run services that serve transportation services, like Go-Jek and Uber.

Jiang said, “We will support government’s decision (like the ride-sharing initiation) at any place as long as it is beneficial, both for our drivers and customers.”

Uber and Go-Jek are indeed stealing public’s attention nowadays, especially after the advanced tech-based services the companies offer got challenged by licensing and taxation issues.

Uber opens the opportunity for individuals to join through the union

In Indonesia, to provide transportation units, Uber has partnered with a number of car rentals. Uber also strictly emphasized that it doesn’t allow independent drivers to join the team. Nonetheless, it doesn’t mean that they can’t join at any cost.

For those independent drivers to join the team, they may register at Uber’s partner, Trans Usaha Bersama Union. They will get fully evaluated and must submit every required document such as SKU and other licenses.

As for the monetization, Jiang revealed that for now, every fare 100 percent belongs to the drivers. However, after Uber being well-established in Indonesia, it’s not impossible to see Uber taking 20% of the fare.

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