As ride hailing service has its growing market in China, the government will regulate the industry. Meanwhile Indonesia plan to ban the service to operate in its territory.
Growth in the ride hailing service in China is enormous, as Didi Kuaidi, the largest ride hailing service has operated in more than 300 cities in the mainland. On a daily basis, Didi Kuadi handles more than 1 million requests from its users.
Acknowledging the potential of the service, China plan to regulate the service. During the National People's Congress in Beijing, Transportation Minister Yang Chuantang said on Monday as quoted by South China Morning Post, "As a new invention, online ride-hailing services have been a good experience for consumers, and welcomed by some passengers. So our solution is to provide a legal way forward for the industry."
Nevertheless, Minister Yang stressed the importance to put the interest of all related parties and stakehoders, including traditional taxi. It is because ride hailing service has garnered intense objections from taxi companies and local governments. Up to now, the legitimacy of service provider such as Didi Kuaidi is in the grey area due to the absent of regulation,.
The ministry considering a draft that incorporate a set of regulations covering both taxi and ride hailing service using private car. Public opinion which gathered last year would also become a major consideration. According to Mashable, the regulations will grant licenses to Didi Kuaidi drivers, in order to allow private cars to pick up passengers.
Different ministries in China has been working of drafting plan to regulate the ride hailing service since last year. Ride hailing service has also been a hot topic for the country's lawmakers. Nevertheless, China government preferred to give more favor to public transportation networks in big cities to avoid traffic jams on the busy roads.
Meanwhile in Indonesia, the government plan to ban the ride hailing service over the pressure of taxi drivers. On Monday, thousands of taxi drivers and public transport drivers launched a rally on Monday to protest the ride hailing apps. Following the protest, Ministry of Transportation sent official letter to Communications and Information Minister requesting to ban ride hailing apps in Indonesia.
Transportation Minister Ignatius Jonan told Jakarta Post, "With this [letter], we are not trying to hamper the businesses at all." As a respond to the request, the minister of communication and information leave the matter to Transportation Ministry and City administration, and would only play a secondary role.
China and Indonesia take different view on its transportation issue. As Transportation Ministry of China plan to regulate the ride hailing service, Transportation Ministy of Indonesian seek a way to ban the service.
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