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Indonesia struggles to implement car-hailing regulations

Uber, Grab, Go-Jek strongly oppose new rules on fares, vehicle numbers

People queuing at an Uber motorcycle driver registration session in Jakarta.

JAKARTA -- Controversial new rules for online transportation operators can only be implemented gradually, the Indonesian transportation minister said on Thursday, giving some relief to ride-hailing apps like Uber and Grab.

The new regulations set maximum and minimum fares for four-wheeled-vehicle rides booked online, and cap the number of vehicles available. Although these are to come into effect on Saturday, Transportation Minister Budi Karya Sumadi said immediate implementation is unlikely, owing to the "magnitude of the technical rules" still undecided. He said there are ongoing "adjustments and discussions between the central and regional governments" regarding fares and vehicle limits.

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