Indonesia to enforce 8 percent ride-hailing fee cap from July 1

Jakarta (ANTARA) - Transportation Minister Dudy Purwagandhi confirmed that the policy limiting ride-hailing companies' commission fee to eight percent of online taxi drivers' fares will take effect on July 1, with no trial period.

Speaking in Jakarta on Saturday (June 27), he said the implementation date had been agreed upon by the House of Representatives (DPR) and ride-hailing companies, advancing the commission cap announced by President Prabowo Subianto on May 1.

The government, he added, has comprehensively briefed service providers on the new policy and urged them to complete all necessary preparations before implementation.

Purwagandhi credited Director General of Land Transportation Aan Suhanan for maintaining close coordination with ride-hailing companies and aligning their understanding of the policy with the government's objectives.

"In terms of commitment, ride-hailing operators have expressed their readiness to implement the policy after taking various considerations into account," he said, adding that the measure is in line with President Prabowo's commitment to establishing a fairer system for drivers.

The minister explained that the policy primarily aims to reduce the maximum commission fee from 20 percent to eight percent. He added that the Ministry of Transportation plans to revise an existing regulation to provide a stronger legal basis for the policy.

In addition to introducing the commission cap, the ministry is also working to strengthen insurance coverage and improve protection for online taxi drivers.

President Prabowo has signed Presidential Regulation No. 27 of 2026, which limits the commission fee to eight percent, reinforcing the government's commitment to improving workers' welfare.

"I hereby affirm that I do not agree with a 10 percent fee, the rate must be below that," the president said before approximately 200,000 workers attending a May Day rally at the National Monument complex in Jakarta on May 1.

He emphasized that the policy was introduced to protect the rights of ride-hailing drivers, whom he said work under demanding conditions, face daily risks on the road, and often deal with income uncertainty.

Related news: May Day: Prabowo caps ride-hailing commissions at 8 percent

Related news: How Indonesia's driver-first "ojol" policy tests the digital economy

Translator: M. Harianto, Tegar Nurfitra

Editor: Primayanti

Copyright © ANTARA 2026