Friday, August 18, 2017
In 2016, the Indonesian Consumers Foundation (YLKI) reported an increase in the number of property-sector related submitted by the general public. A total of 123 complaints were filed in all, making property the second most-complained-about sector after the financial sector. Unfortunately though, such complaints usually lead nowhere for at least two reasons. Firstly, there has been no improvement as regards the regulatory framework which governs this sector, and secondly, demand for property remains very high. This edition of ILD will elaborate upon certain key aspects of the property sector within Indonesia, while highlighting a number of important areas which need to be taken into consideration by buyers of either houses or apartments.
Friday, August 11, 2017
The use of new and renewable energies in order to produce electricity is a growing trend, both internationally and in Indonesia. Under the Paris Agreement, the nations of the world are required to support a shift from non-renewable sources of energy to newer forms of renewable energy. In national scope, the necessity for alternative energy resource for electricity is critical. However, will this shift prove beneficial for business players across the energy sector?
Friday, August 04, 2017
The tourism industry is in the business of pleasure and there are many ways of putting smiles on tourists’ faces. This edition of ILD will scrutinize the various legal elements underlying the fun and take a look behind the scenes at the establishment of tourism businesses.
Wednesday, August 23, 2017
The Ministry of Agrarian Affairs and Spatial Planning/Head of the National Land Agency has issued Regulation No. 7 of 2017 on Provisions and Procedures for the Determination of the Right to Cultivate, with the aim of providing a comprehensive set of guidelines for determining this right. This area was previously addressed under a number of separate regulations. Due to the broad scope of this new regulation, this edition of Indonesian Legal Brief will limit its discussion to the following matters: 1) Land status for HGU; and 2) Procedures for securing HGU.
Tuesday, August 22, 2017
The Ministry of Energy and Mineral Resources has issued Regulation No. 49 of 2017, which amends Ministry Regulation No. 10 of 2017 on Main Provisions for Power-Purchase Agreements, with the ultimate goal of offering greater certainty as regards the sale and purchase of electrical power by removing government force majeure from the list of risks which must be covered. In essence, the amendment alters two main provisions, specifically: 1) The scope of the risks that must be covered by sellers and buyers of electrical power (risk allocation); and 2) The scope of force-majeure events.
Monday, August 21, 2017
In order to accommodate the needs of experts across the banking sector, the Financial Services Authority has issued Regulation No. 37/POJK.03/2017 on the Employment of Foreign Workers and the Transfer-of-Knowledge Program Within the Banking Sector. This regulation basically makes no alteration to any of the provisions which were originally set out under Bank Indonesia Regulation No. 9/8/PBI/2007, which addressed the same matters. The new regulation addresses several provisions, including: 1) Eligible positions for foreign workers; 2) Employment of foreign workers; and 3) The Transfer-of-Knowledge program.
Monday, July 31, 2017
This month, President Joko Widodo put his signature to a controversial regulation aimed at attenuating the rising trend in anti-Pancasila oriented mass organizations, namely Government Regulation in Lieu of Law No. 2 of 2017 on the Amendment to Law No. 17 of 2013 on Mass Organizations (“Perppu 2/2017”). Perppu 2/2017 expands the government’s authority to dismantle mass organizations that espouse ideologies that run contradictory to the values enshrined under the official state ideology, Pancasila.
Friday, June 30, 2017
This month, the disclosure of financial information for tax purposes is in the spotlight once again as a result of the issuance of Ministry of Finance Regulation No. 73/PMK.03/2017 on the Amendment to Ministry Regulation No. 70/PMK.03/2017 on Technical Guidelines for Access to Financial Information for Taxation Purposes. This amendment has been issued owing to public concerns regarding the minimum threshold for financial-account disclosure.
Wednesday, May 31, 2017
This month, public attention has also been focused upon the enactment of Government Regulation in Lieu of Law No. 1 of 2017 on Access to Financial Information for Tax Purposes. This regulation has been issued in order to accommodate the international taxation disclosure practice known as the Automatic Exchange of Financial Account Information (AEOI). Under the regulation, financial-service institutions are required to submit reports on certain types of customers or accounts to the Directorate General of Tax. Through such a reporting regime, the hope is that tax-compliance levels can be improved, while tax avoidance and evasion are ultimately reduced. The Minister of Finance is expected to issue several implementing regulations for this main regulation.