Ministry has prohibited ride-hailing
transportation companies from
offering promotional discounts for its ojek (motorcycle
taxi) services
that exceeded the price ceiling stipulated in the relevant ministerial decree.
(ditetapkan)
“The ban is [intended] to maintain business sustainability and healthy business
competition,”
He stated in a circular issued on Wednesday.
the “too high” promotional discounts were continuously being offered
to users
could kill off competing companies
and result in unhealthy competition.
The ministry will take a tough stance
against violators of the latest circular
the circular was also issued in response to rumors
that
the ministry was prohibiting from offering any promotional discounts.
He underlined that such promotions were still allowed,
as long as the discounts did not exceed the price ceiling.
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