legal alert_june 2015

LEGAL ALERT

JUNE 2015

June 2015SSEK legal alert © 1

general

Presidential Regulation No. 38 of 2015, dated March 20, 2015, regarding Government Cooperation with Business Entities in the Procurement of Infrastructure. This Regulation sets out the types of infrastructure projects on which the government can cooperate with business entities and the types of the cooperation. Under this Regulation, the minister/head of institution/regional head shall act as the Government Contracting Agency (Penanggung Jawab Proyek Kerjasama or “PJPK”). This also regulates several other matters including the stipulation and plan of cooperation, investment return, land procurement for cooperation purposes, government support and guarantees, and financing of projects undertaken on the basis of cooperation between the government and business entities. This Regulation came into force on the day of its stipulation.

Government Regulation No. 5 of 2015, dated February 24, 2015, regarding the Types and Tariffs of Non-Tax State Revenue Applicable to the Radio Public Broadcasting Institution of the Republic of Indonesia. This Regulation sets out the kinds and calculation of non-tax state revenue applicable to radio public broadcaster. This Regulation came into force 60 days as of the date of its issuance.

Government Regulation No. 6 of 2015, dated February 24, 2015, regarding the Types and Tariffs of Non-Tax State Revenue Applicable to the Technology Assessment and Application Body. This Regulation sets out the kinds and calculation of non-tax state revenue applicable to the Technology Assessment and Application Body. This Regulation came into force on the date of its issuance.

Government Regulation No. 7 of 2015, dated February 24, 2015, regarding the Types and Tariffs of Non-Tax State Revenue Applicable to the Indonesian Statistics Center (Badan Pusat Statistik). This Regulation sets out the kinds and calculation of non-tax state revenue applicable to the Indonesian Statistics Center. This Regulation came into in force 30 days as of the date to its issuance.

Government Regulation No. 8 of 2015, dated February 24, 2015, regarding the Types and Tariffs of Non-Tax State Revenue Applicable to the Ministry of Sports and Youth Affairs. This Regulation sets out the kinds and calculation of non-tax state revenue applicable to the Ministry of Sports and Youth Affairs. This Regulation came into force 30 days as of the date of its issuance.

Government Regulation No. 9 of 2015, dated February 24, 2015, regarding the Types and Tariffs of Non-Tax State Revenue Applicable to the Ministry of Tourism. This Regulation sets out the kinds and calculation of non-tax state revenue applicable to the Ministry of Tourism. This Regulation came into force 60 days as of the date of its issuance.

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Government Regulation No. 10 of 2015, dated February 24, 2015, regarding the Amendment of Government Regulation No. 45 of 2014 regarding the Types and Tariffs of Non-Tax State Revenue Applicable to the Ministry of Law and Human Rights. This Regulation amends the kinds, amount and calculation of non-tax state revenue applicable to the Ministry of Law and Human Rights. This Regulation came into force on the date of its issuance.

Government Regulation No. 11 of 2015, dated February 24, 2015, regarding the Types and Tariffs of Non-Tax State Revenue Applicable to the Ministry of Transportation. This Regulation sets out the kinds and calculation of non-tax state revenue applicable to the Ministry of Transportation. This Regulation came into force 30 days as of the date of its issuance.

Government Regulation No. 21 of 2015, dated April 6, 2015, regarding the Procedure for the Registration of Fiduciary Guarantee and the Costs for the Drafting of Fiduciary Guarantee Deed. The major change introduced by this Regulation is the use of an online system to register fiduciary guarantees. It also introduces provisions on the obligation for the fiduciary assignee to inform the concerned parties of the annulment of a fiduciary guarantee free of charge, and the costs for drafting a fiduciary guarantee deed. This Regulation revokes Government Regulation No. 86 of 2000 and came into effect on the date of its issuance.

Government Regulation No. 20 of 2015, dated April 6, 2015, regarding the Practice of Public Accountants. This Regulation is an implementing regulation of Law No. 5 of 2011 regarding Public Accountants. It further regulates the practices of public accountants, including professional tests, continued professional education, formulation of professional standards for public accountants and audit services that can be provided by public accountants. This Regulation came into force on the date of its issuance.

Governor of DKI Jakarta Regulation No. 141 of 2015, dated March 18, 2015, regarding the Amendment of Governor of DKI Jakarta Regulation No. 195 of 2014 regarding the Limitation of Motorcycle Traffic. This Regulation prohibits motorcycle traffic on Jalan MH Thamrin Road (from the Hotel Indonesia traffic circle to the Monas fountain roundabout) between the hours of 6 a.m. and 11 p.m. This Regulation came into force on the date of its issuance.

agriculture

Minister of Agriculture Regulation No. 02/Permentan/PD.410/1/2015, dated January 23, 2015, regarding the Amendment of Minister of Agriculture Regulation No. 139/Permentan/PD.410/12/2014 regarding the Importation of Carcasses, Meat and/or its Processed Products to the Territory of the Republic of Indonesia. The main change introduced by this Regulation is the appointment of a state-owned enterprise to import secondary cut carcasses and/or meat in response to food availability, price fluctuations, anticipated inflation and/or natural disasters, based on the instructions of the Minister of State-Owned Enterprises. This Regulation came into force on the date of its issuance.

Minister of Agriculture Regulation No. 11/Permentan/OT.140/3/2015 of 2015, dated March 25, 2015, regarding the Indonesian Sustainable Palm Oil (ISPO) Certification System. The attachment of this Regulation contains provisions concerning ISPO that must be complied with, either on a mandatory or voluntary basis, depending on the plantation business activity and the concerned parties. ISPO was established with the aim of creating a sustainable palm oil plantation industry to preserve the environment


and strengthen the economy and the palm oil plantation sector. This Regulation revokes Minister of Agriculture Regulation No. 19/Permentan/OT.140/3/2011 and came into effect on the date of its issuance.

Minister of Agriculture Regulation No. 12/Permentan/OT.140/3/2015, dated April 1, 2015, regarding the Quarantine of Animals and Plants at Quarantine Checking Areas. This Regulation establishes provisions related to the services and procedures at quarantine areas at seaports and airports, and the actions to be taken toward animals or plants at risk of carrying pests or disease. This Regulation came into force on the date of its issuance.

banking

Bank Indonesia (“BI”) Regulation No. 17/3/PBI/2015, dated March 31, 2015, regarding the Obligation to Use Rupiah within the Unitary State of the Republic of Indonesia. Pursuant to this BI Regulation, any party who conducts a transaction within the Unitary State of the Republic of Indonesia, whether an individual or corporation, shall use Rupiah as the currency for the transaction. The obligation to use Rupiah within Indonesia applies to (i) cash transactions including transactions using banknotes and/or coins as the payment instrument, and (ii) non-cash transactions including transactions using non-cash payment instruments and mechanisms. There are some transactions that are exempted from the obligation to use Rupiah and those transactions will be detailed in a Circular Letter to be issued by BI. This BI Regulation came into force on the date of its issuance.

Bank Indonesia (“BI”) Circular Letter No. 17/5/DSta, dated March 30, 2015, regarding the Fifth Amendment of BI Circular Letter No. 13/3DPM dated February 4, 2011, regarding Daily Reports for Commercial Banks. This Circular Letter provides that the offered interest rate shall be reported in Rupiah during the reporting time, which is from 7 a.m. to 9:30 a.m. Any corrections shall be submitted by 9:45 a.m. that same day. This Regulation came into force on April 1, 2015.

Bank Indonesia (“BI”) Circular Letter No. 17/6/DPM, dated March 31, 2015, regarding the Interbank Offered Rate. This Circular Letter is an implementing regulation of BI Regulation No. 17/2/PBI/2015, dated March 26, 2015, regarding the same. Under this Circular Letter, BI may determine any bank to be a contributor bank. A contributor bank is a commercial bank that submits the indicated interest rate to BI to be used in determining the Interbank Offered Rate or Jakarta Interbank Offered Rate (“JIBOR”). JIBOR is determined as a simple average after disposing 15% of the highest offered rate data and 15% of the lowest offered rate. It imposes sanctions on any bank that does not fulfill the agreed JIBOR during a transaction between an asking bank and quoting bank. This Regulation came into force on April 1, 2015.

customs and excise

Director General of Customs and Excise Regulation No. PER-2/BC/2015, dated February 13, 2015, regarding Procedures for the Storage, Acceptance, Release and Transportation of Excisable Goods. Under this Regulation, excisable goods may be stored at a temporary stockpiling site or bonded stockpiling site. Any acceptance of excisable goods by factories or storage sites must be reported by the factory entrepreneur or the storage site entrepreneur to the head of the local excise office using an Excisable Goods Transfer Notification (CK-5). This Regulation revokes Director General of Customs and Excise Regulation No. PER-54/BC/2011 regarding Procedures for the Storage, Acceptance, Release and Transportation of Excisable Goods, as amended by Director General of Customs and Excise Regulation No. PER-45/BC/2012. This Regulation came into force on February 15, 2015.


energy and mineral resources

Minister of Energy and Mineral Resources Regulation No. 1 of 2015, dated January 6, 2015, regarding Cooperation on the Provision of Electricity and the Joint Utilization of the Electricity Network. This Regulation provides that the holder of an electricity business license (Izin Usaha Penyediaan Tenaga Listrik or “IUPTL”) that has a business area is obliged to provide electricity within its business area. The holders of IUPTL in the concerned business area may engage in direct cooperation among themselves to meet such obligation. The selling price of electricity under such cooperation must be approved by the grantor of the IUPTL purchasing the electricity, unless the grantor has stipulated the benchmark price. This Regulation also provides that the electricity transmission and electricity distribution business entities shall provide the opportunity for the joint utilization of their network. Such joint utilization will be conducted in accordance with the capacity and rules of the power transmission or distribution network. This Regulation came into force on the date of its enactment.

Minister of Energy and Mineral Resources Regulation No. 8 of 2015, dated March 4, 2015, regarding the Amendment of Minister of Energy and Mineral Resources Regulation No. 1 of 2014 regarding Increasing the Value of Minerals through Domestic Processing and Purification. This Regulation aims to improve the efficiency of mandatory domestic mineral processing/purification by amending provisions regarding the processing/purification of minerals by joint operation mining companies, cooperation between mining companies and research or educational institutions to develop domestic mineral processing/purification, and the requirements for minimum levels of processed/purified minerals. This Regulation came into force on the date of its enactment.

Minister of Energy and Mineral Resources Regulation No. 12 of 2015, dated March 18, 2015, regarding the Third Amendment of Minister of Energy and Mineral Resources Regulation No. 32 of 2008 regarding the Provision, Utilization and Commercial Procedures for Biofuel as an Alternative Fuel. This Regulation amends the schedule as attached to Minister of Energy and Natural Resources Regulation No. 32 of 2008. The aim of this amendment is to accelerate the use of biofuels as an alternative to fossil fuels and to reduce fuel imports. This Regulation amends the schedule for meeting minimum obligations regarding the utilization of biodiesel, bioethanol and pure biofuel. This Regulation came into force on April 1, 2015.

Minister of Energy and Mineral Resources Decree No. 2805 K/30/MEM/2015, dated April 27, 2015, regarding the Coal Domestic Market Obligation (“DMO”) for 2015. This Decree stipulates the DMO for coal mining business entities for 2015. The appendix attached to this Decree lists companies and their domestic market obligation. This Decree came into force retroactively from January 1, 2015.

Ministry of Energy and Mineral Resources Circular Letter No. 03.E/30/DJB/2015, dated April 7, 2015, regarding the Requirement to Obtain Technical Consideration for the Deferment of Payment Using L/C. In response to the enactment of Minister of Trade Regulation No. 26/M-DAG/PER/3/2015 (“MOT Reg. 26/2015”) regarding Special Provision for the Use of Letter of Credit for the Export of Specific Goods, this Circular Letter sets out the requirements for parties that wish to defer this obligation set out under MOT Reg. 26/2015. This Circular Letter came into force on the date of its issuance.


Director General of Mineral and Coal Decree No. 579.K/32/DJB/2015, dated April 20, 2015, regarding Production Cost to Determine the Reference Price for Coal. This Decree adjusts the average production cost for determining the coal reference according to technical and other factors. This Decree stipulates the reference production cost to determine the reference price for coal for the calculation of the coal price for mine-mouth power plants and for other purposes. The Decree differentiates between open-pit and underground mining companies in connection with price obligation. Open-pit mining companies shall comply with the reference price in this Decree, while underground mining companies can submit a production cost plan to the director general for evaluation and approval. This Decree came into force retroactively from January 1, 2015.

environment and forestry

Minister of Environment and Forestry Regulation No. P. 9/Menlhk-II/2015, dated March 30, 2015, regarding the Procedures for the Granting and the Extension of Working Areas and the Extension of Business Licenses for the Utilization of Timber Products in Natural Forests, the Business License for the Utilization of Timber Products of the Ecosystem Restoration and the Business License for the Utilization of Timber Products of Industrial Plant Forests in Production Forests (Hutan Tanaman Industri pada Hutan Produksi). This Regulation sets out provisions for licensing and the extension of business licenses. Under this Regulation, individuals, cooperatives, Indonesian private business entities (PTs, CVs, firms), state-owned enterprises and regional-owned enterprises may apply for a business license. This Regulation allows foreign investors to invest capital in Indonesian business entities. Applications shall be submitted to the One-Stop Integrated Service of the Capital Investment Coordinating Board. For the expansion of a working area, this Regulation stipulates that the expanded area must be adjacent to the working area already under license, the area must not be under a forest utilization business license and must not exceed the stipulated permitted area. This Regulation revokes Minister of Environment and Forestry Regulation No. P. 31/Menhut-II/2014 and Minister of Environment and Forestry Regulation No. P. 51/Menhut-II/2014. It came into force on the day of its enactment.

Minister of Environment and Forestry Regulation No. P. 12/Menlhk-II/2015, dated March 30, 2015, regarding the Development of Industrial Forest Plantations. The objective of this Regulation is to increase the productivity of production forests, optimize the management area of industrial forest plantations and increase the competitiveness of products from forest plantations. This Regulation sets out the obligations of holders of Timber Utilization Business Licenses in regard to the development of industrial forests. This Regulation revokes Minister of Environment and Forestry Decree No. SK.70/Kpts-II/95 as amended lastly by Decree No. P.21/Menhut-II/2006 and Minister of Forestry Decree No. P.03/Menhut-II/2008. This Regulation came into force on the date of its enactment.

Minister of Environment and Forestry Regulation No. P. 13/Menlhk-II/2015, dated March 30, 2015, regarding Business License for Primary Industry of Forest Products. This Regulation sets out the procedures and requirements to obtain this business license. It also regulates the rights and obligations of the holders of such business license. This Regulation revokes Minister of Forestry Regulation No. P. 55/Menhut-II/2014 and came into force on the day of its enactment.


Minister of Environment and Forestry Regulation No. P. 14/Menlhk-II/2015, dated March 30, 2015, regarding Business License for the Utilization of Silvopasture Areas in Production Forests. This Regulation is a reference for the utilization of silvopasture areas in production forests to support food sovereignty programs. It stipulates that the maximum silvopasture area to be utilized is 500 hectares. This Regulation allows foreign investors to invest in Indonesian business entities engaged in this line of business. Business License for the Utilization of Silvopasture Area shall be valid for 20 years and may be extended if it is not contrary to the public interest. This Regulation revokes Minister of Forestry Regulation No. P.63/Menhut-II/2009 and came into force on the day of its enactment.

Minister of Environment and Forestry Regulation No. P. 8/Menlhk-II/2015, dated March 30, 2015, regarding the Second Amendment of Minister of Forestry Regulation No. P.36/Menhut-II/2009 regarding Licensing Procedures for the Utilization of Carbon Absorption and/or Retention in Production Forests and Protected Forests. This Regulation amends the procedures and requirements for Business License for the Utilization of Carbon Absorption and/or Retention in Production Forests and Protected Forests. This Regulation came into force on the day of its enactment.

finance

Minister of Finance Regulation No. 7/PMK.03/2015, dated January 12, 2015, regarding Procedures for the Formation and Implementation of Advance Pricing Agreement (“APA”). An APA may be submitted by a domestic taxpayer and foreign taxpayer that conducts business or activities in the form of a fixed business in Indonesia or by a domestic taxpayer of a Partner Country or Partner Jurisdiction. APA will bind the Director General of Taxation and the Taxpayer or the Director General of Taxation and the Taxpayer and the Taxation Authority of Partner Country or Partner Jurisdiction. The terms of enforcement of an APA may be granted for a maximum period of three tax years, or four tax years if the APA includes the Tax Authority of Partner Country or Partner Jurisdiction. This Regulation came into force 90 days after the date of its enactment.

Minister of Finance Regulation No. 32/PMK.04/2015, dated March 2, 2015, regarding the Amendment of Minister of Finance Regulation No. 202/PMK.04/2008 regarding the Procedures for the Granting, Suspension and Revocation of the Principal Number of Entrepreneurs of Goods (Nomor Pokok Pengusaha Barang Kena Cukai) for Ethyl Alcohol Factories, Storage Entrepreneurs, Importers and Retail Sellers. This Regulation exempts entrepreneurs of biologically produced ethyl alcohol from the requirement to have a minimum building space of 5,000 square meters if they possess the required license and transit storage place.

Minister of Finance Regulation No. 43/PMK.010/2015, dated March 9, 2015, regarding the Criteria and/or Details of Hotel Services Excluded from Value Added Tax (“VAT”). Room rentals in hotels, homestays, hostels and inns, and space rentals for meetings or events are non-VATable. This Regulation also clarifies those room rental services that do not fall within the services exempted from VAT.


Minister of Finance Regulation No. 55/PMK.04/2015, dated March 17, 2015, regarding the Procedures to Collect and Return Import Duty for Antidumping, Countervailing and Trade Safeguard Measures. This Regulation stipulates that import goods may be subject to Antidumping Import Duty, Countervailing Import Duty and Safeguard Import Duty in accordance with the provisions of this Regulation. The calculation of said import duties is set out in the Regulation. The import duties for antidumping, countervailing, safeguard and temporary safeguard measures shall be paid in cash by the importer, while the import duty for temporary measures may be paid in cash or the importer may provide a guarantee in the form of cash guarantee, bank guarantee or guarantee from insurance companies.

Minister of Finance Regulation No. 56/PMK.04/2015, dated March 19, 2015, regarding the Second Amendment of Minister of Finance Regulation No. 75/PMK.03/2010 regarding Other Values Used as the Basis for the Imposition of Tax. This Regulation amends Article 2 and Article 3 of MOF Regulation No. 75/PMK.03/2010, specifically regarding the determination of the other value (the value used as the basis for the imposition of tax) for the delivery of a particular service by travel agents/bureaus. Under the previous regulation, the rate of other value was 10% of the total invoice and was applicable for the delivery of all kinds of services. This Regulation clarifies that the delivery of service subject to 10% of other value is the delivery of tour packages and transportation and accommodation reservations not based on commission/compensation fees for their intermediary sales.

Minister of Finance Regulation No. 66/PMK.010/2015, dated March 27, 2015, regarding Import Duty Exemption for the Import of Capital Goods for the Construction or Development of the Electricity Generation Industry for the Public Interest. Capital goods exempted from import duty under this Regulation are goods used for the electricity generation industry that are not produced domestically or are produced domestically but in insufficient specifications or amounts. Import duty exemptions can be granted to: (i) PLN; (ii) electricity business license (“IUPTL”) holders that already have a business area; (iii) holders of IUPTL for the generation of electricity that already have a power purchase agreement with PLN stating that all of the produced electricity will be purchased by PLN or that have a finance lease agreement with PLN; or (iv) the holders of IUPTL for the generation of electricity that already have a power purchase agreement with another IUPTL holder that has a business area and all of the electricity produced will be purchased by that IUPTL holder.

Minister of Finance Regulation No. 70/PMK.03/2015, dated March 31, 2015, regarding the Amendment of Minister of Finance Regulation No. 79/PMK.02/2012 regarding Procedures for the Payment and Reporting of State Revenue from Upstream Oil and Gas Business Activities and the Calculation of Withholding Tax for the Purpose of the Payment of Income Tax for Oil and/or Gas in the form of Oil/Gas Volume. Pursuant to this Regulation, the oil price as the basis of calculation for income tax will be stipulated in a Minister of Finance Decree. Under this Regulation, the payment of income tax shall be in cash, where previously, payment could be made by the delivery of a determined volume of oil or gas.

Minister of Finance Regulation No. 80/PMK.01/2015, dated April 16, 2015, regarding the Execution of Legal Decisions. This Regulation sets out procedures to demand compensation from the state based on final and binding Indonesian court decisions or arbitration awards. A party that requests the execution of the court decision or arbitration award shall submit the request to the Minister of Finance for verification.

Minister of Finance Regulation No. 84/PMK.05/2015, dated April 24, 2015, regarding Procedures for the Withdrawal of Foreign Loans and/or Grants. This Regulation revokes Minister of Finance Regulation No. 151/PMK.05/2011. The withdrawal may be done by means of a transfer to the General State Treasury Account, direct payment, special account, Letter of Credit and/or pre-financing. This Regulation sets the procedures for withdrawal using each method.


Minister of Finance Regulation No. 88/PMK.01/2015, dated April 28, 2015, regarding the Implementation of Good Governance in State Enterprises (Persero) under the Development and Supervision of the Minister of Finance. This Regulation sets out the good corporate governance rules applicable for Persero of which shares are entirely owned by the Republic of Indonesia.

Minister of Finance Regulation No. 89/PMK.010/2015, dated April 28, 2015, regarding Procedures for the Granting of Income Tax Facilities for Investments in Certain Business Activities and/or in Certain Regions as well as the Transfer of Assets and Sanctions for Domestic Taxpayers Granted Income Tax Facilities. Domestic taxpayers who invest in business fields or regions listed in Government Regulation No. 18 of 2015 may be granted income tax facilities in the form of reduction of taxable income of up to 30% of the total investment in the form of tangible fixed assets including the land for main business activity. This 30% reduction will be given for six years (5% each year) as of the commencement of commercial operation. Other tax facilities include (i) the accelerated depreciation of tangible assets and accelerated amortization of intangible assets in accordance with the utilization term and depreciation/amortization rate set out in this Regulation; (ii) reduced withholding tax rate of 10% on dividend payments to nonresident taxpayers other than a permanent establishment in Indonesia, or the lower rate applicable under a tax treaty; and (iii) carryforward of losses for more than five years but less than 10 years.

Minister of Finance Regulation No. 90/PMK.03/2015, dated April 30, 2015, regarding the Amendment of Minister of Finance Regulation No. 253/PMK.03/2008 regarding Corporate Taxpayers as Income Tax Collectors from the Buyers of Luxury Goods. Corporate taxpayers that sell luxury goods may collect income tax from buyers of luxury goods, defined as private airplanes and helicopters, yachts, cruise ships, houses and land with a sale or transfer price of more than IDR 5 billion or an area of more than 400 square meters, apartments or condominiums with a sale or transfer price of more than IDR 5 billion or an area of more than 150 square meters, four-wheeled motorized vehicles with a sale price of more than IDR 2 billion or cylinder capacity exceeding 3,000cc, and two- and three-wheeled motorized vehicles with a sale price exceeding IRD 300 million or cylinder capacity exceeding 250cc.

Minister of Finance Regulation No. 91/PMK.03/2015, dated May 4, 2015, regarding the Reduction or Elimination of Administrative Sanctions for the Late Submission of Tax Returns, Correction of Tax Returns and Late Payment or Remittance of Tax. Taxpayers can apply for a reduction or elimination of administrative sanctions for failing to submit an annual tax return for the 2014 tax year and/or a previous period, for the late payment or remittance of payable tax for the period of 2014 and before, and for other conditions set out under Article 2 of this Regulation.


financial services authority

Financial Services Authority (“OJK”) Regulation No. 1/POJK.05/2015, dated March 26, 2015, regarding the Implementation of Risk Management for Non-Bank Financial Services Institutions. Pursuant to this OJK Regulation, risk management shall cover at the least (i) active monitoring by the Board of Directors or Board of Commissioners of the company; (ii) adequate policies, procedures and determination of risk limitation; (iii) adequate identification, measurement, monitoring and risk control; (iv) a risk management information system; and (v) a comprehensive internal control system. Financial services institutions shall submit an annual risk management report to the OJK at the latest by February 28 of the following year. There are administrative sanctions for any party that violates the provisions of this Regulation. This OJK Regulation comes into force on January 1, 2016.

Financial Services Authority (“OJK”) Regulation No. 2/POJK.05/2015, dated March 31, 2015, regarding the Maintenance and Reporting of Insurance Risk Data and Premiums for Property Insurance and Motor Vehicle Insurance. This OJK Regulation stipulates that property and motor vehicle insurance companies shall have their own information system that is able to process and maintain insurance risk data. Companies must submit an insurance risk data report to the OJK for property and motor vehicle insurance products. The insurance risk data report must be submitted at the latest on April 30. For such reporting, the insurance company shall appoint a responsible party for the insurance risk data. There are administrative sanctions for any party that violates the provisions of this OJK Regulation. This Regulation came into force within three months of its promulgation.

Financial Services Authority (“OJK”) Regulation No. 4/POJK.03/2015, dated April 1, 2015, regarding the Implementation of Good Governance for Rural Banks. This OJK Regulation provides that any rural bank shall implement the principles of transparency, accountability, responsibility, independence and fairness for all positions within its organizational structure. The OJK will assess the implementation of good governance by rural banks, and rural banks shall also conduct an annual self-assessment. This Regulation also stipulations the minimum number of directors and commissioners of a rural bank based on the total core capital owned by the rural bank. Rural banks must submit regular compliance reports to the OJK or risk administrative sanctions. This OJK Regulation came into force on the date of its enactment.

Financial Services Authority (“OJK”) Regulation No. 5/POJK.03/2015, dated April 1, 2015, regarding Mandatory Minimum Capital and Core Capital for Rural Banks. The stated aim of this Regulation is to improve the ability of rural banks to provide funds for the real sector, mainly micro and small businesses. Rural banks are obligated to have a minimum capital that is calculated using the lowest KPMM (minimum capital obligation or Kewajiban Penyediaan Modal Minimum) ratio of 12% of the Risk-Based Measured Asset or Aset Tertimbang Menurut Risiko (“ATMR”). In addition, rural banks are obligated to have core capital (modal inti) that is not less than 8% of ATMR. Under this Regulation, the capital of rural banks is divided into core capital and supporting capital. The minimum core capital of rural banks shall be Rp 6 billion. Rural banks that currently have less than that amount are given an adjustment period to comply with the stated requirement. All rural banks in Indonesia must fulfill the capital ratio as provided in this Regulation by December 31, 2019. A general meeting of shareholders of a rural bank shall approve the change of capital and deliver the capitalization plan to the OJK at the latest six months after the effective date of this Regulation. This Regulation came into force on the date of its enactment.


Financial Services Authority (“OJK”) Regulation No. 6/POJK.03/2015, dated April 1, 2015, regarding Transparency and Publication of Bank Reports. Pursuant to this Regulation, banks are required to prepare, announce and submit reports containing the financial statement, information on financial performance and/or other information to the public and/or to the OJK in accordance with the stipulated procedures. This shall consist of a monthly report, quarterly report, yearly report and other reports made by the directors and commissioners of the bank. These reports shall be published on the bank’s official website and submitted to the OJK through the OJK’s online system. Violations of this Regulation shall result in administrative sanctions in the form of a written reprimand or other penalty. This Regulation came into force on the date of its enactment.

health

Minister of Health Regulation No. 3 of 2015, dated January 16, 2015, regarding the Distribution, Safe Storage, Removal and Reporting of Narcotics, Psychotropics and Precursor Substances. This Regulation concerns the distribution, storage and removal of narcotics, psychotropics and precursor substances for learning purposes and the development of new products. Any party seeking to obtain one of the substances covered by this Regulation must obtain a distribution permit from the Minister of Health. This Regulation revokes Minister of Health Regulation No. 28/Menkes/Per/I/1978 regarding the Safekeeping of Narcotics, Minister of Health Regulation No. 688/Menkes/Per/VII/1997 regarding the Distribution of Psychotropic Substances and Minister of Health Regulation No. 912/Menkes/Per/VIII/1997 regarding Annual Demand and Reporting of Psychotropic Substances. This Regulation came into force on the date of its enactment.

industry

Government Regulation No. 14 of 2015, dated March 6, 2015, regarding the Development of a National Master Plan for Industry for the Years 2015-2035. This master plan referred to in this Regulation is a guideline to be used by the minister, governors and regents/mayors to prepare their development plans for industry, in accordance with their respective authorities. The master plan will be evaluated every five years. This Regulation came into force on the date of its issuance.

Minister of Industry Regulation No. 15/M-IND/PER/1/2015, dated January 20, 2015, regarding the Mandatory Application of the Indonesian National Standard (“SNI”) for LPG Stove Hoses. This Regulation imposes the mandatory application of SNI for LPG stove hose products in Indonesia. Companies producing LPG stove hoses must obtain a certificate indicating their ability to produce the hoses in accordance with the SNI, and must include SNI labels on the packaging of the LPG stove hoses. This Regulation comes into force nine months after the date of its issuance and will revoke Minister of Industry Regulation No. 19/M-IND/PER/2/2012.

Minister of Industry Regulation No. 34/M-IND/PER/3/2015, dated March 23, 2015, regarding the Four or More Wheeled Motor Vehicle and Motorcycle Industries. This Regulation provides business guidelines for motor vehicle manufacturers. It sets out the technical standards and requirements for manufacturing motor vehicles. This Regulation comes into force six months after the date of its issuance and will revoke Minister of Industry Regulation No. 80/M-IND/PER/9/2014 and Minister of Industry Regulation No. 59/M-IND/PER/5/2010.


Minister of Industry Regulation No. 37/M-IND/PER/3/2015, dated April 2, 2015, regarding the Mandatory Application of the Indonesian National Standard (SNI) for Type Two and Type Three Low-Pressure Gas Kitchen Stoves with Lighter Systems. This Regulation imposes the mandatory application of SNI for the above stoves (SNI Number 7469:2013) in Indonesia. Companies producing the stoves must obtain a certificate indicating their ability to produce the stoves in accordance with the SNI, and must include SNI labels on the stove packaging. This Regulation comes into force six months after the date of its issuance.

Minister of Industry Regulation No. 35/M-IND/PER/3/2015, dated March 26, 2015, regarding the Amendment of Minister of Industry Regulation No. 87/M-IND/PER/12/2013 regarding the Mandatory Application of the Indonesian National Standard (SNI) for Palm Cooking Oil. This amendment concerns technical standards and requirements, including the procedure to obtain certification indicating SNI compliance, the required vitamin A content of palm cooking oil and testing for vitamin A content. The Regulation also amends the date that palm cooking oil producers must comply with the SNI (SNI Number 7709:2012) to March 27, 2016. This Regulation came into force on the date of its issuance.

infrastructure

Presidential Regulation No. 38 of 2015, dated March 20, 2015, regarding Public- Private Partnership in the Procurement of Infrastructure. This Regulation provides a framework and provisions related to partnership and cooperation between the government and business entities (state-owned enterprises, regional-owned enterprises, private entities, foreign companies and cooperatives) in the procurement of infrastructure in Indonesia. This Regulation revokes Presidential Regulation No. 67 of 2005 as lastly amended by Presidential Regulation No. 66 of 2013, and came into force on the date of its issuance.

investment

Head of Indonesian Capital Investment Coordinating Board (“BKPM”) Regulation No. 8 of 2015, dated May 5, 2015, regarding Procedures to Apply for Income Tax Facilities for Capital Investment in Certain Business Sectors and Regions. This Regulation stipulates that income tax facilities may be given to taxpayers who want to establish or expand their capital investment in certain business sectors as listed in Government Regulation No. 18 of 2015 dated April 6, 2015 regarding Income Tax Facilities for Capital Investment in Certain Business Sectors and Territories. Taxpayers must submit the required documents including a statement letter from the relevant minister as attached in this Regulation to obtain the income tax facilities from the BKPM. This Regulation came into force on May 6, 2015.


land

Presidential Regulation No. 30 of 2015, dated March 17, 2015, regarding the Third Amendment of Presidential Regulation No. 71 of 2012 regarding Land Procurement for the Development for Public Interest. This Regulation adds new provisions, including the expansion of the definition of “institution” in connection with state institutions involved in the procurement of land for the procurement of infrastructure for the public interest. It also adds provisions on funding for land procurement for public interest, so that funding may originate with a business entity that requires land and obtains authority based on an agreement with the state institution. It also adds a provision that a land procurement process that is not completed in accordance with the provisions of Articles 123 and 123A, but for which a location stipulation or construction location stipulation approval letter has been obtained, or other document which is intended as a location stipulation for construction, can be completed according to the stages as referred to in the Regulation. This Regulation came into force on the date of its enactment.

Minister of Agrarian Affairs and Spatial Layout/Head of National Land Agency Regulation No. 3 of 2015, dated February 13, 2015, regarding Requirements and Procedures for the Imposition of Non-Tax State Revenue on a Specific Party. This Regulation implements Article 21 paragraph (3), Article 23 paragraph (7), and Article 24 paragraph (2) of Government Regulation No. 13 of 2010 regarding Type and Tariff on Non-Tax State Revenue Applicable to the National Land Agency. This Regulation came into force on the day of its enactment.

manpower

Minister of Manpower Regulation No. 3 of 2015, dated January 26, 2015, regarding Standard Procedures for the Issuance of Foreign Manpower Utilization Licenses through the One-Door Integrated Service (“PTSP”) at the Indonesian Capital Investment Coordinating Board (“BKPM”). This Regulation covers (a) the ratification of new Foreign Manpower Utilization Plan (“RPTKA”), (b) the ratification of RPTKA extension for a work location in more than one province, (c) the issuance of work visa recommendation letter, (d) the issuance of new Foreign Manpower Employment License (“IMTA”) and (e) the issuance of IMTA extension for foreign manpower with a work location in more than one province. For the ratification of the RPTKA, the issuance of work visa recommendation letter and the issuance of IMTA through the PTSP at the BKPM, the Minister of Manpower shall appoint Ministry of Manpower officials at the BKPM to receive and sign the documents. This Regulation came into force on the date of its enactment.

Minister of Manpower Regulation No. 4 of 2015, dated January 26, 2015, regarding Standard Procedures for the Issuance of Business License for the Domestic Placement of Indonesian Workers under the One-Door Integrated Service at the Indonesian Capital Investment Coordinating Board (“BKPM”). Foreign investment companies engaged in the domestic placement of Indonesian workers may obtain a business license from the BKPM.

Minister of Manpower Regulation No. 5 of 2015, dated January 26, 2015, regarding Standard Procedures for the Issuance of Business License for Work Training under the One-Door Integrated Service at the Indonesian Capital Investment Coordinating Board (“BKPM”). Foreign investment companies engaging in work training may obtain a business license from the BKPM.


Minister of Manpower Decree No. 13 of 2015, dated January 14, 2015, regarding Positions that Can Be Held by Expatriate Workers in Lease Services, Manpower, Travel Agents and the Selection and Placement of Domestic Manpower. Pursuant to this Decree, only the position of Marketing Director is open to expatriates, for an extendable five-year term of employment.

Minister of Manpower Decree No. 17 of 2015, dated January 14, 2015, regarding Positions that Can Be Held by Expatriate Workers in the Cigarette and Cigar Manufacturing Industry. This Decree sets out the positions that can be held by expatriates in the above sector, the terms of employment and whether employment terms are extendable.

maritime affairs and fisheries

Minister of Maritime Affairs and Fisheries Regulation No. 10/PERMEN-KP/2015, dated April 24, 2015, regarding the Amendment of Minister of Maritime Affairs and Fisheries Regulation No. 56/PERMEN-KP/2014 regarding Moratorium on Wild Fishery Business License in Fish Management Areas in the Republic of Indonesia. This Regulation stipulates that the moratorium shall be applicable until October 31, 2015. It came into force on the day of its enactment.

public works

Minister of Public Works and Public Housing Regulation No. 01/PRT/M/2015, dated February 24, 2015, regarding the Preservation of Cultural Conservation Buildings. This Regulation sets the requirements, implementation, compensation, public role, education, regional administration and funding for the preservation of cultural conservation buildings. It also stipulates the creation of a body of Construction Experts for Cultural Conservation Buildings to preserve buildings that have historical value. This Regulation came into force on the date of its enactment.

Minister of Public Works and Public Housing Regulation No. 02/PRT/M/2015, dated February 24, 2015, regarding Green Buildings. This Regulation provides a framework and guidance on qualifications and certifications for eco-friendly buildings (“Green Buildings”). Pursuant to this Regulation, Green Buildings are buildings that fulfill the requirements for green buildings and have a measured performance on energy, water, and other resource savings. This regulates (i) Green Building principles, (ii) buildings that are required to be categorized as Green Buildings, (iii) requirements for Green Buildings, (iv) the implementation of the Green Buildings concept, (v) Green Buildings certification, (vi) incentives for Green Buildings implementation, (vii) education, and (viii) the public role. This Regulation specifies those buildings that must meet the requirements for Green Buildings, based on the type and height of the building, energy and water consumed by the building, and stipulation by the mayor/regent or governor of the Special Capital City of Jakarta. Upon establishing a Green Building, the developer may report to the regional work unit or Satuan Kerja Perangkat Daerah (“SKPD”) regarding all aspects of the construction process. At the end of the establishment process, the developer must deliver a final report to the SKPD. Implementing regulations at the regional level must be drafted and issued within three years from the effective date of this Regulation. This Regulation came into force on the date of its enactment.


Minister of Public Works and Public Housing Regulation No. 04/PRT/M/2015, dated March 24, 2015, regarding Criteria and Zoning of Rivers. This is an implementing regulation for Law No. 11 of 1974 regarding Water (“Water Law”), which was re-enacted by Constitutional Court Decision No. 85/PUU-XI/2013, dated February 18, 2015. This Regulation classifies rivers as cross-country rivers, cross-province rivers, nationally strategic rivers, cross-regency rivers, and regency/municipality rivers. The management of water resources on small islands not included on the map shall be incorporated with the management of water resources for rivers in the relevant administration area. This Regulation came into force on the date of its enactment.

Minister of Public Works and Public Housing Regulation No. 05/PRT/M/2015, dated March 24, 2015, regarding General Guidance for the Implementation of Sustainable Construction in the Public Works and Housing Sectors. Pursuant to this Regulation, any public works and housing construction shall implement sustainability principles by taking into account, among other things, the efficient use of resources, waste management, recycling, protection of the environment, risk mitigation, technological innovation and institutional support. There are several stages to the application of sustainable construction concepts, including technical planning, construction, utilization and dismantling. The Minister of Public Works and Public Housing will issue further regulations on sustainable construction in the infrastructure sector. This Regulation came into force on the date of its enactment.

Minister of Public Works and Public Housing Regulation No. 06/PRT/M/2015, dated April 16, 2015, regarding the Exploitation and Maintenance of Water Sources and Irrigation Works. This is an implementing regulation of Law No. 11 of 1974 regarding Water (“Water Law”), which was re-enacted by Constitutional Court No. 85/PUU-XI/2013, dated February 18, 2015. Pursuant to this Regulation, the operation of water resource infrastructure consists of the setting up and allocation of such infrastructure, and water resource infrastructure maintenance consists of damage mitigation activities and repair work. The Minister of Public Works and Public Housing, the governor or regent/mayor shall stipulate the allocation priority for water sources in each area. This allocation priority will be on a five-year basis, reviewable after three years. The government can also ask the public to take a role in the operation and maintenance of water resource infrastructure. This Regulation came into force on the date of its enactment.

Minister of Public Works and Public Housing Regulation No. 07/PRT/M/2015, dated April 16, 2015, regarding Coastal Protection. This is an implementing regulation for Law No. 11 of 1974 regarding Water (“Water Law”), which was re-enacted by Constitutional Court No. 85/PUU-XI/2013, dated February 18, 2015. This Regulation covers various aspects of coastal protection, including planning, operation and maintenance, construction and the management of state/regional assets. Coastal protection activities are divided into (i) general aspects including feasibility studies for coastal protection and coastal protection program planning, and (ii) technical aspects on the planning, implementation, operation and maintenance of coastal protection programs. All coastal protection structures built using the state/regional budget shall be listed as a state/regional asset. This Regulation came into force on the date of its enactment.

Minister of Public Works and Public Housing Regulation No. 08/PRT/M/2015, dated April 16, 2015, regarding the Determination of Demarcation Lines for Irrigation Channels. This is an implementing regulation for Law No. 11 of 1974 regarding Water (“Water Law”), which was re-enacted by Constitutional Court No. 85/PUU-XI/2013, dated February 18, 2015. The stated aim of this Regulation is to protect irrigation channels against being impacted by the activities around them through demarcation lines. The procedure to determine the length of a demarcation line is included in this Regulation, which came into force on the date of its enactment.


Minister of Public Works and Public Housing Regulation No. 09/PRT/M/2015, dated April 16, 2015, regarding the Utilization of Water Resources. This is an implementing regulation for Law No. 11 of 1974 regarding Water (“Water Law”), which was re-enacted by Constitutional Court No. 85/PUU-XI/2013, dated February 18, 2015. This Regulation concerns the direct and indirect utilization of water resources and the utilization of water resources in emergency situations, and supplements the re-enacted Water Law. Pursuant to this Regulation, the direct utilization of water covers activities that will reduce the amount of available water such as household activities, irrigation, industrial use and business activities. Indirect utilization relates to activities that will not reduce the amount of available water, such as transportation, fisheries, water sports and tourism. To ensure the appropriate indirect utilization of water resources, the Minister of Public Works and Public Housing, along with the heads of regional governments, will implement a zoning system for water resource areas. This Regulation came into force on April 16, 2015.

Minister of Public Works and Public Housing Regulation No. 18/PRT/M/2015, dated April 28, 2015, regarding Fees for the Exploitation and Maintenance of Water Resources. This Regulation provides guidelines for the calculation of fees imposed on water utilization license holders for the exploitation and maintenance of water resources, particularly for business entities involved in the sectors of (i) industry, (ii) drinking water, (iii) hydroelectric generation, (iii) agriculture including plantations and (iv) fisheries. This Regulation came into force on the date of its issuance.

Minister of Public Works and Public Housing Circular Letter No. 04/SE/M/2015, dated March 19, 2015, regarding Water Utilization Permits and Private-Public Cooperation Agreements for Pipeline Drinking Water Supply Following Constitutional Court Decision No. 85/PUU-XI/2013. This Circular Letter responds to questions by businesses that utilize water in their operations, as to whether their business activities and investments are still intact. It also seeks to provide legal certainty for water utilization permits and public-private cooperation agreements for pipeline drinking water supply after the re-enactment of Law No. 11 of 1974 regarding Water (“Water Law”). The provisions of this Circular Letter are relevant for governors and regents/mayors, holders of water utilization permits and parties included in cooperation agreements in public-private partnerships. Pursuant to this Circular Letter, every water resource utilization permit for surface water issued before the Constitutional Court decision remains valid until its expiration. However, the permits shall be evaluated by the authorized institution to confirm their compliance with the principles as provided in this Circular Letter. This Circular Letter came into force on the date of its issuance.

tax

Government Regulation No. 15 of 2015, dated March 12, 2015, regarding the Treatment of Value Added Tax (“VAT”) for the Transfer of Fuel to Foreign Sea Transportation Vessels. This Regulation grants VAT free of charge facility for the transfer of certain fuels for Foreign Sea Transportation Vessels by a Taxable Entrepreneur having domestic fuel processing and storage facilities. This Regulation came into force 30 days after the date of its issuance.

Government Regulation No. 18 of 2015, dated April 6, 2015, regarding Income Tax Facility for Investment in Certain Business Fields and/or in Certain Regions. This Regulation provides certain income tax facilities to taxpayers who invest in certain business fields or certain business fields in certain regions. The purpose of this Regulation is to promote investment in those fields and regions where the tax facilities are granted. This Regulation revokes Government Regulation No. 1 of 2007 as lastly amended by Government Regulation No. 52 of 2011, and declares that all implementing regulations of Government Regulation No. 1 of 2007 as amended to be in effect in so far as they do not contradict this new Regulation. This Regulation came into force 30 days after the date of its issuance.


Director General of Tax (“DGT”) Regulation No. PER-13/PJ/2015, dated March 10, 2015, regarding Guidelines for the Implementing Provisions for Tax Consultants. This Regulation governs the license to practice as a tax consultant, the Association of Tax Consultants, the sustainable development of the profession, the rights and obligations of tax consultants, warnings and the suspension and revocation of license to practice. This Regulation applies retroactively from December 9, 2014.

Director General of Tax (“DGT”) Regulation No. PER-14/PJ/2015, dated March 13, 2015, regarding the Revocation of DGT Regulation No. PER-01/PJ/2015 regarding the Amendment of DGT Regulation No. PER-53/PJ/2009 regarding the Tax Return Form for Final Income Tax Article 4 Paragraph (2), Tax Return Form for Income Tax Article 15, Article 22, Article 23 and/or Article 26, and the Receipt of its Withholding/Collection. Pursuant to this Regulation, the tax return forms for the income taxes governed under this Regulation shall be in accordance with DGT Regulation No. PER-53/PJ/2009.

Director General of Tax (“DGT”) Regulation No. PER-16/PJ/2015, dated March 31, 2015, regarding the Revocation of Director General of Tax Regulation No. PER-10/PJ/2015 regarding Procedures for the Collection of Value Added Tax for Toll Road Services. The stated aim of the revocation of DGT Regulation No. PER-10/PJ/2015 is to increase investment growth.

Governor of DKI Jakarta Regulation No. 150 of 2015, dated March 31, 2015, regarding the Amendment of Governor Regulation No. 11 of 2014 regarding the Procedure for the Acceptance of Regional Tax Payment by Electronic Payment System. This Regulation amends the transitional period for the payment of taxes through the electronic system, considering that the electronic tax system has not yet been effectively implemented. This Regulation applies retroactively from September 2014.

telecommunications

Minister of Communications and Information Technology Regulation No. 4 of 2015, dated February 6, 2015, regarding Operational Provisions and Licensing Procedures for the Utilization of the Radio Frequency Spectrum. This Regulation sets guidelines for businesses that wish to obtain a license from the minister to use the available radio frequency spectrum. This Regulation divides the frequency utilization license into three types: radio frequency tape license, radio station license and grade license, and specifies the respective requirements for licensing purposes. This Regulation revokes Minister of Communications and Information Technology Regulation No. 17/PER/M.KOMINFO/10/2005 and Minister of Communications and Information Technology Regulation No. 23/PER/M.KOMINFO/12/2010. It came into force on the date of its enactment.

Minister of Communications and Information Technology Regulation No. 6 of 2015, dated February 6, 2015, regarding the Third Amendment of Minister of Communications and Information Technology Regulation No. 21 of 2013 regarding Content Service Providers on Mobile Cellular Network and Wireless Local Fixed Network with Limited Mobility. This Regulation amends Article 24 paragraph (6) and paragraph (7) regarding the validity period for the use of access numbers. It also amends Article 27 paragraph (1) regarding the minimum time period for the evaluation of business license applications. This Regulation came into force on the date of its enactment.


Minister of Communications and Information Technology Regulation No. 7 of 2015, dated February 12, 2015, regarding the Second Amendment of Minister of Communications and Information Technology Regulation No. 01/PER/M.KOMINFO/01/2010 regarding the Implementation of Telecommunication Services. The stated aim of this Regulation is to improve services for securing the required licenses for the provision of telecommunication services. This Regulation is applicable to the principal license for telecommunication network operations and the license for telecommunication network operations. This Regulation came into force on the date of its enactment.

Minister of Communications and Information Technology Regulation No. 9 of 2015, dated February 12, 2015, regarding the Amendment of Minister of Communications and Information Technology Regulation No. 32 of 2014 regarding Licensing Requirements and Procedures for Postal Operations. One of the highlighted matters that this Regulation amends is the authority for granting licenses. This Regulation grants the licensing authority to the director general, which previously belonged to the minister. This Regulation came into force on the date of its enactment.

Minister of Communications and Information Technology Regulation No. 16 of 2015, dated April 27, 2015, regarding Technical Requirements for Next-Generation Synchronous Digital Hierarchy (“SDH”) Devices. This Regulation governs that any next-generation SDH devices made, assembled, imported for sale and/or used in Indonesia shall fulfill the technical requirements set out in this Regulation. An accredited assessment office shall assess devices for compliance. This Regulation revokes Director General of Post and Telecommunication Regulation No. 266/DIRJEN/2008. It came into force on the date of its enactment.

trade

Minister of Trade Regulation No. 03/M-DAG/PER/1/2015, dated January 5, 2015, regarding the Export and Import of Oil, Gas and Other Types of Fuel. The stated aim of this Regulation is to strengthen the control over the export and import of crude oil, natural gas, other types of fuel oil and their derivative products, as listed in its schedule. Business entities that wish to export or import fuel are required to be acknowledged and registered by way of the submission of an application to the Minister of Trade through the director general. This Regulation revokes Minister of Trade Regulation No. 42/M-DAG/PER/9/2009. It came into force 90 days as of the date of its enactment.

Minister of Trade Regulation No. 10/M-DAG/PER/1/2015, dated January 29, 2015, regarding the Amendment of Minister of Trade Regulation No. 96/M-DAG/PER/12/2012 regarding the Delegation of Authority to Issue Trade Business Licenses under the Framework of One-Stop Integrated Services to the Head of the Capital Investment Coordinating Board. This Regulation amends several provisions in the previous regulation including the types of license for foreign capital and the types of license under the authority of the Government. Under this Regulation, the Minister of Trade delegates his authority with to the Capital Investment Coordinating Board in connection with the issuance of licenses. This Regulation came into force on the date of its enactment.


Minister of Trade Regulation No. 16/M-DAG/PER/2/2015, dated February 18, 2015, regarding the Stipulation of Freight and Insurance Value in Filing Notification of Exported Goods related to the Term of Delivery Cost, Insurance and Freight for Export Implementation. This Regulation provides the stipulation of freight and insurance value in the attached appendix. The appendix attached to this Regulation sets out the formula for freight and insurance value on export notification. This stipulated freight and insurance value shall be applicable as of March 1, 2015, until December 31, 2015. This Regulation revokes Minister of Trade Regulation No. 07/M-DAG/PER/1/2014 as amended by Minister of Trade Regulation No. 13/M-DAG/PER/3/2014. It came into force on March 1, 2015.

Minister of Trade Regulation No. 21/M-DAG/PER/3/2015, dated March 20, 2015, regarding the Amendment of Minister of Trade Regulation No. 80/M-DAG/PER/10/2014 regarding Packaged Cooking Oil (“MOT Regulation No 80/2014”). This Regulation extends the time period for producers, packagers and business actors that trade cooking oil to comply with the requirements under MOT Regulation No 80/2014. This Regulation came into effect on March 27, 2015.

Minister of Trade Regulation No. 22/M-DAG/PER/3/2015, dated March 20, 2015, regarding Provisions and Procedures to Issue Indonesian Certificate of Origin. This Regulation establishes guidelines for exporters to secure a certificate of origin, which is necessary for exporting goods from Indonesia. This Regulation revokes Minister of Trade Regulation No. 33/M-DAG/PER/8/2010 and Minister of Trade Regulation No. 59/M-DAG/PER/12/2010. It came into force on April 1, 2015.

Minister of Trade Regulation No. 23/M-DAG/PER/3/2015, dated March 20, 2015, regarding the Amendment of Minister of Trade Regulation No. 39/M-DAG/PER/8/2013 regarding Self-Certification Provisions for the Second Pilot Project for the Implementation of Self-Certification System. This Regulation was issued in response to statement letters from Thailand and Vietnam in regard to their intention to participate in the self-certification system. This Regulation amends the previous appendix to adjust it to the participation of Thailand and Vietnam. This Regulation came into force on April 1, 2015.

Minister of Trade Regulation No. 26/M-DAG/PER/3/2015, dated March 30, 2015, regarding Specific Regulation on the Use of a Letter of Credit for Exporting Certain Commodities. This is an implementing regulation for Minister of Trade Regulation No. 04/M-DAG/PER/1/2015. It provides a deferment for exporters to use a letter of credit as the method of payment. The Minister of Trade has the authority to grant the deferment by taking into account considerations from the relevant technical minister. This Regulation also stipulates the documents that will be assessed for the purpose of granting deferment. It came into force on April 1, 2015.

Minister of Trade Regulation No. 28/M-DAG/PER/4/2015, dated April 8, 2015, regarding the Stipulation of the Purchase Price of Farmers’ Soybeans in the Framework of Securing the Price of Soybeans at the Level of Farmers. This Regulation sets the purchase price of soybeans at Rp 7,700/kg. This price shall be applicable for the harvest period as of April 9 until June 30, 2015. This Regulation came into effect on April 9, 2015.

Minister of Trade Regulation No. 29/M-DAG/PER/4/2015, dated April 23, 2015, regarding the Stipulation of the Benchmark Export Price for Agricultural and Forestry Products Subject to Export Duty. This Regulation stipulates, among other things, the benchmark export price for crude palm oil, timber and cocoa, the export duty for crude palm oil and the list of RBD Palm Olein brands. The benchmark export price for each commodity is provided in the attachment of this Regulation. This Regulation revokes Minister of Trade Regulation No. 24/M-DAG/PER/3/2015 and came into effect on May 1, 2015.


Minister of Trade Regulation No. 30/M-DAG/PER/4/2015, dated April 23, 2015, regarding the Stipulation of the Export Benchmark Price on Processed Mining Products Subject to Export Duty. This Regulation stipulates the export benchmark price as provided in its attachment. The stipulated benchmark price is used as a basis to stipulate the export price for the calculation of export duties by the Minister of Finance. The stipulated benchmark price is applicable as of May 1, 2015, until May 31, 2015. This Regulation revokes Minister of Trade Regulation No. 25/M-DAG/PER/3/2015 and came into force on May 1, 2015.

DKI Jakarta Governor Instruction No. 11 of 2015, dated January 27, 2015, regarding the Collection of Data on Minimarts, 7-Elevens, Lawsons and Similar Entities. This Instruction instructs, among others, mayors, heads of cooperative, micro, small and medium business and trade service offices, district heads and sub-district heads in DKI Jakarta to collect data on Minimarts, 7-Elevens, Lawsons and similar entities and report the same to the Deputy Governor through the Regional Secretary at the latest one month after the date of the stipulation of this Instruction. This Instruction came into force on the date of its stipulation.

transportation

Minister of Transportation Regulation No. 53 of 2015, dated March 4, 2015, regarding the Amendment of Minister of Transportation Regulation No. PM 60 of 2014 regarding the Administration and Business of Cargo Handling to and from Vessels. This Regulation amends one provision under PM 60 of 2014 to require cargo loading companies to have liability insurance and use stevedores from a business entity in the form of an Indonesian legal entity including limited liability companies, cooperatives and the Stevedores Foundation that has been registered with the local Port Administrator and has social security.

Minister of Transportation Regulation No. 56 of 2015, dated March 18, 2015, regarding Business Activities at Airports. This Regulation stipulates that there are two types of business activities at airports, namely airport services and business services related to the airport. Airport services include the provision and/or development of (a) facilities for the landing, taking off, maneuvering, parking and storage of planes; (b) terminals for passengers, cargo and mail; (c) electronic, electricity, water and waste installation facilities; and (d) land for buildings and constructions related to the continuity of air transportation. Business services related to airports include related services to support the operational service of planes (e.g., catering, ground handling, hangars, etc.), passenger and cargo services, and other related services to provide added value to the airport business (e.g., transit hotel, shops and restaurants, money changers, etc.). Airport services may be carried out by an airport business entity for commercially operated airports after obtaining a license from the Minister of Transportation or the airport administration unit established by the government for airports that are not commercially operated. This Regulation governs, among other things, the requirements and procedures to obtain a license for airport services business, and the rights and obligations of airport business entities. Indonesian business entities may engage in commercial business for greenfield (new) or brownfield (existing) airports. The commercial business of airports may be conducted in the form of the state/region’s capital participation in a state- or regional-owned enterprise or through a concession or other form of cooperation on state/regional-owned property with the Indonesian legal entity.


Minister of Transportation Regulation No. 57 of 2015, dated March 16, 2015, regarding the Pilotage and Towage of Vessels. This Regulation revokes Minister of Transportation Regulation No. 53 of 2011 regarding Pilotage as amended by Minister of Transportation Regulation No. 75 of 2014. It governs maritime pilotage, the procedures and requirements for the stipulation of maritime pilotage, the pilots, the administration of vessels’ pilotage and towage, the delegation of towage and pilotage, the procedure to grant towage and pilotage services, and pilotage and towage fees.

Minister of Transportation Regulation No. 67 of 2015, dated April 1, 2015, regarding the Implementing Guidelines for the Type and Rate for Non-Tax State Revenue Applicable to the Directorate General of Air Transportation (“DGAT”). This Regulation governs the types of non-tax state revenue and the procedures for the receipt, remittance and reporting of non-tax state revenue applicable to the DGAT.

Minister of Transportation Regulation No. 68 of 2015, dated April 2, 2015, regarding the Fourth Amendment of Minister of Transportation Regulation No. KM 25 of 2008 regarding the Administration of Air Transportation. This Regulation amends several provisions and revokes several provisions under KM 25 of 2008. The amended provisions concern the change of routes and the addition of domestic and/or international routes. The deleted provisions are Article 68 and Article 69.

Minister of Transportation Regulation No. 69 of 2015, dated April 2, 2015, regarding the Implementing Guidelines for the Type and Rate of Non-Tax State Revenue Applicable to the Directorate General of Sea Transportation (“DGST”). This Regulation governs the types and tariff of non-tax state revenue as well as the procedures for the receipt, remittance and reporting of non-tax state revenue applicable to the DGST.

Minister of Transportation Regulation No. 70 of 2015, dated April 2, 2015, regarding the Implementing Guidelines for the Type and Rate of Non-Tax State Revenue Applicable to the Directorate General of Land Transportation (“DGLT”). This Regulation governs the types and tariff of non-tax state revenue as well as the procedures for the remittance of non-tax state revenue applicable to the DGLT.

Minister of Transportation Regulation No. 77 of 2015, dated April 30, 2015, regarding the Standardization and Certification of Airport Facilities. The standardization of airport facilities includes the technical and worthiness standards. The certification of airport facilities includes the issuance of certificates and the extension of worthiness tests. Certification is conducted for airport infrastructure, equipment and utilities.

Minister of Transportation Regulation No. 80 of 2015, dated April 28, 2015, regarding the Amendment of Minister of Transportation Regulation No. PM 26 of 2012 regarding the Administration of Crossing Transportation. This Regulation amends the provisions of PM 26 of 2012 concerning the requirements for Crossing Transportation Services, the consideration for the placement of vessels for crossing routes and the approval for the operation of vessels.

legal alert_june 2015

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