Friday, February 17, 2017
In order to implement Law No. 1 of 2016 on Guarantees, the Financial Services Authority (Otoritas Jasa Keuangan- “OJK”) has finally issued three regulations, namely OJK Regulation No. 1/POJK.05/2017 on Business Licensing and the Organizational Structures of Guarantee Institutions; OJK Regulation No. 2/POJK.05/2017 on the Organization of Guarantee Institutions; and OJK Regulation No. 3/POJK.05/2017 on Good Corporate Governance for Guarantee Institutions. This week’s edition of Indonesian Law Digest (ILD) will analyze and discuss various matters which relate to these new OJK Regulations, such as the general concept underlying guarantee institutions, their licensing, financial ratios and so forth.
Friday, February 10, 2017
As the volume of international trade continues to rise year after year, naturally the number of trade disputes arising is also simultaneously increasing. Indonesia engages in significant amounts of international trade and thus when the country’s businesses import and export various goods to other WTO members, caution is required with respect to international trade principles and the WTO’s various legal instruments . This edition of ILD will offer a concise review of three of the most recent disputes which involved Indonesia’s status as a WTO member. These disputes were related specifically to clove cigarettes and fatty alcohols, as well as various horticultural and animal products.
Friday, February 03, 2017
In a bid to promote strong and stable financial environments, the OJK has issued three implementing regulations in order to enhance the management of insurance companies, as well as the various financial requirements that they are required to meet. The first two of these regulations concern the financial soundness of insurance companies and address solvency threshold levels, as well as a requirement to establish guarantee funds. Meanwhile, the last of the recently issued regulations relates to the implementation of good corporate governance within insurance companies and offers guidelines on the prudent operation of insurance businesses.
Thursday, February 23, 2017
Postal-service management companies are required to pay contributions when providing any universal postal-services. With this in mind, the Ministry of Communication and Informatics has now issued Regulation No. 4 of 2017, which sets out a number of further provisions relating to the mechanism which is to be used when calculating and collecting such contributions. The new regulation also addresses the verification and examination of paid contributions, as well as the various companies responsible for such payments. In addition, the regulation also sets out sanctions for non-compliance with the various provisions contained therein.
Wednesday, February 22, 2017
In order to offer updated guidelines on the utilization of renewable energy for the generation of electrical power and therefore meet the national energy security target of lower levels of carbon dioxide in the environment, the Ministry of Energy and Mineral Resources (“Ministry”) has issued No. 12 of 2017 on the Utilization of Renewable Energy for the Procurement of Electrical Power. The new regulation addresses a number of important matters relating to the utilization of renewable energy, including maximum purchase prices, the due-diligence processes which are to be undertaken prior to purchase, domestic component levels and standards for power plants, the transparency of PLN, standards for power purchasing agreement, and sanctions for the delayed development of renewable-energy based power plants.
Tuesday, February 21, 2017
With the goal of redefining the requirements for operational feasibility certification for fishing vessels in mind, the Ministry of Marine Affairs and Fisheries has issued Regulation No. 1/PERMEN-KP/2017 on Operational Feasibility Certification for Fishing Vessels. This regulation eliminates the obligation for small fishermen and fish farmers to obtain SLOs, while simultaneously stipulating stricter requirements for other types of fishing vessels, particularly fish transportation vessels.
Tuesday, January 31, 2017
This edition of Monthly Law Review will outline the key aspects of 114 regulations which were issued in end of December 2016 and January 2017, and we have classified these various regulations into Energy and Natural Resources, Financial Service, Tax, Manufacturing and Industry, Telecommunication and Media, Trade, General Corporate, Litigation, as well as a number of other sectors which we have grouped under the Miscellaneous banner.
Friday, December 30, 2016
Moving on to the legislative sector, the House of Representative has passed 22 new laws this year. Seven of these relate to Indonesia’s ratification of several international treaties or agreements, and three are laws concerning the national budget. As such, the House has in fact only completed 12 new laws of the 51 new laws set by the 2016 Priority Legislative Program. This is a slight improvement by the House compared to last year’s performance, in which the House passed only one of 50 laws set by the 2015 Priority Legislative Program.
Wednesday, November 30, 2016
As part of our commitment to providing a comprehensive but easily digestible survey of any recent updates which are made to Indonesia’s overall regulatory framework, this edition of Monthly Law Review highlights the key aspects covered by 60 regulations. For ease of access, we have classified these various regulations into a number of groups, specifically: Trade, Manufacturing and Industry, Energy and Mineral Resources, Financial Services, Taxation, Telecommunications and Media, General Corporate and Miscellaneous.