UU LLAJ Revised, Digital Transport Ecosystem Begins to Be Regulated

The Government and the House of Representatives (DPR) began discussing the third revision of the Road Traffic and Road Transport Law (LLAJ) on Wednesday, 30 September 2026. As reported by ANTARA, at a meeting with Commission V of the DPR, Minister of Transportation Dudy Purwagandhi presented the Government's List of Issues (Daftar Inventarisasi Masalah/DIM) concerning the revision of Law Number 22 of 2009 on LLAJ. The Government has proposed amendments to 55 articles and the addition of 28 new articles.

The proposal covers a number of issues that have developed in the transportation sector, ranging from the regulation of app-based transportation, electric vehicles, and autonomous vehicles to increased sanctions for over dimension over loading (ODOL) vehicles. For app-based transportation, the Government has proposed regulations concerning special rental transport and limited two-wheeled transport, including fares and quotas. Meanwhile, with regard to ODOL, legal liability would no longer be directed solely at drivers, but could also extend to vehicle owners, logistics operators, corporations, and cargo owners.

The revision is still under discussion. However, the inclusion of these various new issues indicates that the amendment of the LLAJ Law is not merely a matter of increasing fines or providing a legal basis for online motorcycle taxis. There is a more fundamental question: to what extent are traffic regulations enacted in 2009 capable of regulating a transportation ecosystem that now involves digital platforms, electronic technology, and substantially more complex business chains?

Online Motorcycle Taxis Finally Included in the LLAJ Law

One of the most significant changes concerns the regulation of digital platform-based transportation. The Government has agreed to add Chapter XIII A, which regulates special rental transport as well as limited transportation using motorcycles to carry persons, goods, and food.

The Bill will also regulate the rights and obligations of application companies, fares, and quotas for digital-based transportation services. This means that activities that have so far largely depended on technical regulations and government policies are now intended to have a legal basis at the statutory level.

This is important because relationships in online transportation involve not only passengers and drivers. There are application companies that determine how services are offered, including the platform's fare-setting and operational mechanisms.

However, such regulation needs to be distinguished from employment-related issues. Previously, the DPR had agreed that the rights and obligations of information technology-based transportation drivers and the protection of digital economy workers should be examined in a separate law. Accordingly, the LLAJ Law would not automatically become the regulation that resolves all issues concerning the relationship between drivers and application companies.

Fares and Taxes: Who Regulates Them?

The inclusion of digital platforms in the LLAJ Law also raises a new issue: to what extent should the State regulate the economic activities underlying online transportation services?

In the latest discussions, the DPR stated that the LLAJ Bill would also regulate taxation mechanisms within the transportation ecosystem. However, the details of such mechanisms remain under discussion and cannot yet be regarded as final provisions.

The same applies to fares. The Government has stated that the Bill will regulate fares and quotas for digital platform-based transportation services. Accordingly, the Bill should also anticipate questions concerning the parameters to be used and how changes in fares are to be implemented.

ODOL: Liability No Longer Ends with the Driver

Another significant change concerns ODOL vehicles. The Government has proposed increasing sanctions while also expanding the parties who may be held liable.

Where enforcement previously focused largely on drivers, the new proposal may encompass vehicle owners, corporations or logistics operators, as well as cargo owners. The Government has also proposed inspections of load capacity and procedures for transportation using electronic equipment.

Furthermore, under the Government's proposal, criminal fines for certain violations could reach Category VII, or IDR 5 billion, while the criminal category structure under Law No. 1 of 2023 on the Criminal Code recognizes Category VIII fines of up to IDR 50 billion. However, these figures must be read in accordance with the type of violation and the subject upon whom the sanction is imposed, rather than as an automatic fine applicable to all ODOL violations.

Not Merely an Update to the Existing Rules

The revision of the LLAJ Law also covers electric vehicles, autonomous vehicles, the use of technology in law enforcement, as well as the addition of roles for the Ministry of Primary and Secondary Education, the Ministry of Health, and the Ministry of Communication and Digital Affairs in the administration of LLAJ.

The LLAJ Law was enacted in 2009, when app-based transportation models had not developed as they have today. This revision presents an opportunity to align the law with an already transformed transportation ecosystem.

This means that the direction of the proposed amendments should not merely be to update sanctions or insert the term “online motorcycle taxi” into the law. The Bill should be able to ensure that the allocation of responsibilities in the provision of digital transportation is clear: who regulates, which legal subjects are involved, how the relationships among those legal subjects are structured, who is responsible when a violation occurs, and how supervision is to be carried out.