Land transportation roadmap: Middle ground for Zero ODOL
This article has been translated by PwC Indonesia as part of our Indonesia Infrastructure News Service. PwC Indonesia has not checked the accuracy of, and accepts no responsibility for the content.
Bisnis Indonesia - Peta jalan angkutan darat: Opsi tengah zero ODOL
3 February 2023
By: Hendra Wibawa and Lorenzo A. Mahardhika
Jakarta - The Transportation Ministry is preparing the zero overload and over dimension (ODOL) roadmap as a policy that bans ODOL trucks in 2023. Businesses are asking for incentives to purchase vehicles that are up to the specification.
Land Transportation Director General of the Transportation Ministry Hendro Sugiatno said that the preparation of the zero ODOL roadmap was carried out comprehensively.
“The roadmap is being prepared for the short term, medium term, and long term. We will accommodate many parties so that the steps are clear. In 2023, there must be progress regarding zero ODOL,” he said on Wednesday (1/2).
He promises to invite the Industry Ministry, Trade Ministry, Indonesian Employers Association (Apindo), and Indonesian Truck Operators Association (Aptrindo) to discuss the implementation of zero ODOL in Indonesia. The discussion is planned to be held on 7 February 2023.
He stated that the discussion would be held to see the perspective of all stakeholders regarding zero ODOL in 2023.
According to him, discussions among government institutions and associations are crucial to ensure that the implementation of zero ODOL is smooth and optimum.
The policy does not only involve the Transportation Ministry because the impact will be felt by various sectors.
Meanwhile, Apindo Chairperson Hariyadi Sukamdani suggests the government to provide incentives for truck business players to support the zero ODOL policy.
He also said that the zero ODOL policy needed to consider the readiness of land transportation business players.
“We see that truck players are not ready as they need to make a huge investment if they want to comply with the zero ODOL policy,” Hariyadi said on Thursday (2/2).
He suggests three programs to facilitate the zero ODOL policy. One of the programs is to provide incentives for transportation players who are willing to modify their fleet to be in line with the regulation.
The incentives can be tax, duty, and levy exemptions that were previously borne by the business.
Besides that, the government can provide subsidies such as discounts for vehicle purchases or for fleet modifications to be in line with the applicable standards.
Regarding vehicle modification, Hariyadi said that the government must also make a comprehensive guideline. So, the vehicles will meet the zero ODOL standards.
Then, the government needs to review the standards of the roadworthiness test. According to him, some standards in the road worthiness test are not in line with developments in the transportation world.
He also affirmed that Apindo was supporting the implementation of the zero ODOL policy on roads in Indonesia.
“Basically, Apindo supports this regulation but there are steps that must be realised to achieve zero ODOL comprehensively,” he said.
Indonesia Transportation Society (MTI) Advocacy and Community Affairs Chairperson Djoko Setijowarno said that the ODOL issue could not be resolved merely by involving Land Transportation Directorate General, Highways Directorate General, and Traffic Corps of the Indonesian National Police (Korlantas Polri).
According to him, the involvement of the President in the zero ODOL regulation is required so that the policy is comprehensive and consistent.
One of the factors that hinders the implementation of zero ODOL is the national logistics system that is still full of issues.
