I OVERVIEW

President Jokowi is focusing on the rapid development of Indonesia’s infrastructure and aims to accelerate the initiative by ordering the relevant ministries, governors and mayors to reduce the time it takes to issue necessary permits and to coordinate their respective departmental efforts to achieve this aim. In pursuit of his objective, President Jokowi issued a Presidential Regulation (PR) setting out projects with national strategic importance.2 Among the projects listed in PR 3/2016 are several TMT-related projects. The most significant is the East Palapa Ring broadband project, which involves the construction and installation of underwater fibre-optic infrastructure that will enable internet access for 57 cities in eastern Indonesia. The project is the last of the three (public–private partnership) Palapa Ring projects (the others being the West and Central Palapa Ring projects). The construction of the West and Central Palapa Ring projects is already underway, and the installation and construction of the East Palapa Ring project is due to commence during 2017. The next step will be the multifunction satellite project, which will provide a high-speed internet connection for integration with the Palapa Ring projects. At the time of writing, the Ministry of Communication and Informatics (MOCI) has yet to issue the tender for this project.

On 3 August 2017, to further support the rapid growth of the e-commerce industry, President Jokowi enacted PR 74/2017,3 which sets out a roadmap and programmes for e-commerce for the period from 2017 to 2019. It is aimed at optimising the potential of the electronic-based economy as well as at accelerating and developing national e-commerce trading, start-ups, business expansions and the logistics drive. The programmes as announced under PR 74/2017 include:

  • a simplification of the taxation for those e-commerce players with a turnover below 4.8 billion rupiah per year;
  • b tax incentives for e-commerce joint-ventures;
  • c a Ministry of Trade regulation obligating domestic and foreign e-commerce business players to register with the Ministry of Trade;
  • d a Government Regulation on Trade Transactions by means of Electronic Systems; and
  • e the development of cybersecurity through regulations on consumer data protection, certification of consumer data protection, and regulations and sanctions in connection with cybercrime.

The government has initiated a five-year strategic plan by way of the programme for strategic communications and informatics for 2015 to 2019 identifying the MOCI’s priorities for the communication and information technology sectors.

II REGULATIONS

i The Regulatory Authorities (Regulators)

In Indonesia, the TMT sector is regulated mostly by the MOCI. This ministry covers the wider sector and has several functions, including, inter alia:

  • a the formulation and designation of policies and regulations in the postal services, information technology and management of information sectors;
  • b the implementation of policies and regulations in the postal services, information technology and management of information sectors;
  • c the provision of technical guidance and supervision in the postal services, information technology and management of information sectors; and
  • d undertaking research for the development of the sector.

As a regulator, the MOCI can impose sanctions for violations of the regulations it issues. It also issues licences and permits for businesses operating in the TMT sector. It currently consists of the following 11 departments:

  • a Secretariat General;
  • b Directorate General of Posts and Informatics Resources;
  • c Directorate General of Implementation of Post and Informatics;
  • d Directorate General of Informatics Applications;
  • e Directorate General of Information and Public Communication;
  • f Inspectorate General;
  • g Agency for Human Resources Research and Development;
  • h legal experts;
  • i social, economic and cultural affairs experts;
  • j communication and mass media experts; and
  • k technology experts.

Besides the MOCI, there are a number of other independent bodies established to regulate the TMT sector, such as the Indonesian Telecommunications Regulatory Body (BRTI) and the Indonesian Broadcasting Commission (KPI). The BRTI is responsible for the regulation, supervision and management of telecommunication networks and services,4 while the KPI is responsible for establishing and supervising the implementation of standards for the broadcasting of programmes, and regulations and guidelines on broadcasting. The KPI is also responsible for imposing sanctions for the breach of regulations, and coordinating and cooperating with the government, the broadcasting entities and the general public.

The independent body with respect to the press is the Indonesian Press Council (DPI). It was originally established pursuant to Law Number 11 of 1996 (Law 11/1996), which law included the main provisions governing the press. The DPI was given its status as an independent body by the enactment of Law Number 40 of 1999 on the Press (Press Law), which revoked Law 11/1996. The DPI is responsible for:

  • a protecting the freedom of the press;
  • b conducting analysis of developments in the press community;
  • c establishing and supervising the implementation of the ‘Journalism Code of Ethics’;
  • d providing for adjudication procedures and assistance in the settlement of disputes resulting from press activities;
  • e managing communications between the press, the general public and the government;
  • f assisting press organisations in determining their internal regulations; and
  • g improving the quality of press reporting.

The main sources of law governing the TMT sector include:

  • a Law Number 36 of 1999 regarding Telecommunications (Telecommunication Law);
  • b The Press Law;
  • c Law Number 32 of 2002 regarding Broadcasting;
  • d Law Number 11 of 2008 concerning Electronic Information and Transactions, as most recently amended by Law No. 19 of 2016;
  • e Government Regulation Number 52 of 2000 regarding Telecommunications Operation;
  • f Government Regulation Number 53 of 2000 concerning the Use of Radio Frequency Spectrum and Satellite Orbit; and
  • g Government Regulation Number 82 of 2012 concerning Electronic System and Transaction Operation.

As is common in Indonesia, various (ministerial) regulations have been issued that give further guidance on the implementation of the laws and regulations mentioned above.

ii Regulated activities

Indonesia’s TMT sector is highly regulated and has a wide range of regulations governing businesses involved in the sector. In the telecommunications sector, any telecommunications activities that transmit, send or receive information in the form of signals, signs, writing, pictures, voice, sound through wire, optics, radio systems or other electromagnetic systems must obtain a licence from the relevant authority.

For broadcasting, any broadcasting activities that use land or sea transmitters and radio frequency spectrums that can be received by the public, including radio and television broadcasting, require a licence.

Licences for the TMT sector are issued mostly by the MOCI. Specifically for foreign direct investment, the authority to issue licences for foreign direct investment companies has been delegated by the MOCI to the Indonesia Investment Coordinating Board (BKPM). As a requirement applying in general to all sectors, all foreign-owned companies are required to obtain an investment licence from BKPM separate from any industry-specific operating licenses.

There are three categories of telecommunications licences: (telecommunication networks, telecommunication services and specialised telecommunications licences. In general, telecommunication businesses require both a main or principal licence and an operating licence. After obtaining a main or principal licence, a company can engage in infrastructure and facilities development. To commence commercial operations, a company must obtain an operational feasibility certification prior to applying for an operating licence from the MOCI. The operating licence is valid indefinitely, but the holder is subject to a comprehensive MOCI annual evaluation.

Special telecommunication licences do not require a main licence if the service is for personal use or relates to a special duty or function (e.g., a search and rescue agency or an astronomy association). Neither a main licence nor an operating licence is required where the service relates to Indonesia’s defence and security.

A licence to use radio frequency bandwidth for use by telecommunications companies as well as radio broadcasters consists of a radio frequency bandwidth permit, a radio station permit and a class permit. The use of a certain range of radio frequency is determined by the purpose for its use, the stage of development or maturity of the technology and the economic value of the radio frequency bandwidth. Moreover, telecommunication equipment is required to meet certain technical requirements of the government and to pass tests conducted by the government.

For classic radio broadcasting, a broadcaster is required to apply to the MOCI for an in-principle operating licence through the KPI. This in-principle licence is valid for six months, and during that six-month period the broadcaster must obtain a radio spectrum licence (where radio frequency spectrum is used for broadcasting); obtain satellite landing rights (if a foreign satellite is used for broadcasting) and conduct broadcasting trials. The broadcaster must then apply for a broadcasting licence. Once obtained, the broadcasting licence is valid for five years and is extendable.

For television media, the licensing process is the same as for a radio broadcasting licence, but the in-principle operating licence is valid for one year and the broadcasting licence for 10 years (both are extendable).5

In the press sector and pursuant to the Press Law, no specific business licence is required. However, an entity involved in journalism must be an Indonesian business entity.

iii Ownership and market access restrictions

The foreign ownership requirements in the TMT sector are regulated under the Negative List.6 The limitations apply to businesses that are open to foreign investment with ownership limits and businesses that are closed to foreign investment.

Businesses open to foreign investment with ownership limits include, pursuant to the Indonesian Bureau of Statistics Regulation Number 19 of 2017 on Indonesian Standard Classification of Business Fields, the following:

Business*

Foreign ownership limitation (as per the Negative List) (%)

Fixed telecommunication network services

Maximum 67

Mobile telecommunication network services

Maximum 67

Telecommunication network providers integrated with telecommunication services

Maximum 67

Internet service providers

Maximum 67

Data communication system services

Maximum 67

Public internet telephony services

Maximum 67

Internet interconnection services (network access point),
other multimedia services

Maximum 67

Private broadcasting agencies (radio and television)

Only for business expansion and development; maximum 20

Subscription broadcasting agencies

Only for business expansion and development; maximum 20

Mail providers

Maximum 49

Newspaper and magazine publishers and bulletins (press) institutions

No foreign ownership permitted

Public Broadcasting Agency (radio and television)

Monopolies for the Public Broadcasting Agency are as follows: Radio Republik Indonesia, Televisi Republik Indonesia and the local public broadcasting agency (LPPL)

* Pursuant to the Indonesian Bureau of Statistics Regulation Number 19 of 2017 on Indonesian Standard Classification of Business Fields

Any sector not listed in the Negative List is generally open to 100 per cent foreign direct investment. However, consultation with the BKPM is necessary to determine any foreign investment limits for unlisted sectors.

The Negative List identifies sectors that are closed to foreign direct investment, for example newspaper and magazine publishing and bulletins (press) institutions; and providers, operators (operation and renting) and construction service providers for telecommunication towers. These operations can only be undertaken by domestic investors.

In certain areas, 100 per cent foreign investment is only permitted if certain requirements stipulated by government are met. For example, an online marketplace (i.e., e-commerce) with an investment value of more than 100 billion rupiah can be fully owned by foreign investors, but if the investment value is lower, foreign investment is limited to 49 per cent.

iv Transfer of control and assignment

Generally speaking, licences are not transferable, and a transfer of control over a licence is effected by a transfer of shares (or merger) of the licence holder.

A holder of a main telecommunication principal licence may not change the composition of its shareholding. Companies listed on the stock exchange are exempt from this restriction. The regulations provide that a change of shareholders can only be effected by companies holding telecommunication operating licences and have fulfilled 50 per cent of their obligations to develop the network, facilities and infrastructure detailed in their licence. Any transfer of shares of a company holding a telecommunication licence, including transfer of control, must be notified to the MOCI.

Applicable to all sectors, a transfer of control is supervised by the Commission for the Supervision of Business Competition (KPPU). The Competition Law provides for a merger control regime where post-closing notification of a merger or acquisition is mandatory if certain thresholds are exceeded. If the thresholds are exceeded, the KPPU will review the transaction to assess if competition is disrupted by the transaction. If the post-closing notification is not filed, fines can be imposed. If the transaction violates the Competition Law, the KPPU will permit the target entity to implement any remedial actions proposed by such entity or, if declined, the KPPU will determine its own remedial actions.

Companies listed on the stock exchange are also subject to capital market regulations where the entity effecting the change of control must comply with several requirements, such as a mandatory tender offer and an obligation to notify the Financial Services Authority.

iii TELECOMMUNICATIONS AND INTERNET ACCESS

i Internet and internet protocol (IP) regulations

The regulations on internet and IP are based on the Telecommunication Law, which classifies internet services as part of multimedia services. The sector is regulated by the MOCI.7

In 2015, the MOCI issued a regulation concerning applications for IP addresses. The regulation requires that applications for IP addresses are to be addressed to national and local IP address managers. The national and local IP address managers have yet to be appointed by the government, and to date this regulation has yet to be implemented. In practice, the Indonesian Association of Internet Service Providers has been managing IP addresses for Indonesia through the agency of the Australian-based Asia Pacific Network Information Centre, which provides IP addresses to applicants.8

ii Universal service

Telecommunication network licence holders and telecommunication service providers are required to make ‘universal service obligation contributions’ for the improvement of telecommunication accessibility by the Indonesian public (contributions can be made in cash in kind, or as a combination of both).9 The contribution amounts to 1.25 per cent of the licence holder’s gross revenue every financial year. Payment must be made quarterly, semi-annually or annually through a mechanism of self-assessment based upon the operator’s annual financial statements.

Pursuant to the Telecommunication Law, the contributions will be used for the development of telecommunication infrastructure in remote areas and the improvement of the quality of services. An appropriate tariff for the services rendered will still apply.

iii Restrictions on the provision of services

Telecommunications network providers and telecommunications service providers are required to provide equal treatment and best service to all users. They must also improve the efficiency of telecommunication services, and provide facilities, infrastructure and services of a certain standard. Furthermore, telecommunication network providers have to guarantee that their users are free to choose other network providers. No implementing regulations in this respect have been issued to date. At the time of writing, discussions and issues around net neutrality are less of a topic of interest than in other jurisdictions.

Engaging in activities the violate the public interest, morals, security or public order are prohibited and sanctioned. Content made available by any legal entity must be monitored and screened for content displaying unauthorised personal data, gambling, defamation, extortion, threats and false information leading to economic loss, and content inciting hatred. Violations are subject to criminal penalties.

iv Security

To date, various regulations have been put in place to cover or include the issue of data protection according to the particular sector, for example:

  • a in the banking sector, the protection of customers’ data;
  • b in the health sector, the protection of medical records data;
  • c in the public services sector, the protection of personal data collected by a public institution; and
  • d in the telecommunications sector, and most recently in the IT sector, the protection of customers’ data.

The Indonesian House of Representatives is currently discussing a draft bill on Personal Data Protection. However, as yet there is no certainty on whether the bill will be passed.

Generally and under the current rules and regulations, all collectors of electronic personal data must keep any and all personal data they acquire confidential and are required to obtain the consent of the data owner for the collection, storage, processing and disclosure of the data. However, consent is not usually required for a disclosure made pursuant to a request from an Indonesian law enforcement agency.

An electronic system provider10 that provides a public service must register with the MOCI. To register its business, the electronic system provider must set up a data centre located in Indonesia (by the end of 2018) as well as have its own Indonesian domain (.id). Implementation of the relevant regulations is in progress, and services and types of data and services providers that fall under the scope of this requirement will require further clarification.11

In respect of online child protection, the MOCI has issued a regulation12 that governs negative content such as content containing pornography or other illegal activities. This regulation is far-reaching. It also provides that the MOCI will consider as a matter of urgency any report on negative content containing an infringement of privacy, child pornography, violence, prejudicial content regarding tribes, religions, races, and other groups, and any content that has a negative impact liable to cause public unrest. The MOCI has been seen to take a more active stance in this respect and is, inter alia, actively monitoring and blocking illegal content.

The MOCI is actively advocating public awareness about cybersecurity, and has developed initiatives involving the public. While cybersecurity is addressed in generic terms in various regulations, no specific cybersecurity regulations have been issued. In June 2017, the National Cyber and Cipher Agency was established. The Agency is a department of the MOCI and combines two pre-existing bodies into one government body.

IV SPECTRUM POLICY

i Development

As a member of the International Telecommunication Union (ITU), allocation of radio frequency spectrum in Indonesia is managed in line with the ITU’s radio regulations. In 2001, the government issued a regulation concerning the allocation of radio frequency spectrum.13 Any user of radio frequency must refer to the allocation table of radio frequency spectrum, as amended from time to time. The latest allocation of radio frequency spectrum was issued in 2014, and divides spectrum into the following ranges: 8.3–27500kHz; 27.5–10000MHz; and 10–3000GHz.

Currently, there are five categories of radio frequency spectrum permits in Indonesia:

  • a the permanent and mobile land radio station permit;
  • b the radio and television radio station permit;
  • c the air transportation radio station permit;
  • d the maritime radio station permit; and
  • e the satellite radio station permit.

In 2017, the MOCI issued several regulations on the use of radio frequency spectrum. Under MOCI Regulation Number 3 of 2017 on the Radio Frequency Master Plan for the Purpose of Frequency Modulation Radio Broadcast, the government allocated radio frequency spectrum for FM radio on 87.6–108MHz.

As a result of MOCI Regulation Number 12 of 2017 on the Use of Radio Frequency for Mobile Network Development, use of 450Mhz, 900MHz, 2.1GHz and 2.3GHz radio frequency bands are also specifically regulated. Furthermore, based on MOCI Regulation Number 13 of 2017 regarding the Amendment of Use of Point to Point Microwave Link Band Plan, the 27500–29500MHz frequency was removed from the plan.

ii Flexible spectrum use

Since the main legislation in this area was passed in 2000, the government plans to review the legislation in the near future. The main policies that are expected to be implemented will encourage widespread network sharing and the elimination of unneeded interconnection costs.

Network sharing is permitted (with the prior approval of the MOCI), and the current sharing models used in Indonesia are the multi operator radio access network and the multi operator core network models.

iii Broadband and next-generation mobile spectrum use

The plan for the use of bandwidth is detailed in the Indonesian broadband plan for 2014 to 2019 issued by the Indonesia Development Board. Prior to 2014, rural areas (and eastern Indonesia in particular) had a lower connectivity than urban areas, consequently causing a development gap. The government is taking active measures to improve connectivity by setting targets and increasing the use of internet-based public services.

Furthermore, the government will offer for tender the 2.3Ghz radio frequency, and increase the bandwidth from 15Mhz to 30Mhz. The tender is only open to mobile services providers. The tender is being held because the government considers the network that is currently available to be insufficient to support the volume of traffic.

To date, no policy or regulation for the implementation of 5G mobile services has been issued by the MOCI. The government has stated that it needs more time to evaluate the implementation of 5G in Indonesia.

iv Spectrum auctions and fees

Through its regulations, the MOCI will occasionally auction spectrum and then issue auction procedures. Examples include MOCI Regulation Number 07/PER/M.KOMINFO/2/2006 and MOCI Regulation Number 04/PER/M.KOMINFO/01/2006, which provide for an auction selection method for the 2.1GHz spectrum.

Spectrum licence holders are required to pay a right to use fee (BHP) for the use of spectrum. The BHP must be paid annually, and is calculated based upon the type of spectrum, bandwidth or frequency channel, coverage, location and market demand. Once the spectrum is no longer used, it must be released.

v MEDIA

i Restrictions on the provision of services

Network providers are prohibited from performing actions that constitute monopolistic or unfair business practices that are contrary to public interest, decency, security or public order; and that are discriminatory in providing interconnection services.

Radio and television broadcasters are required to comply with the following:

  • a television broadcasting programmes broadcast by private and public broadcasting institutions are required to comprise at least 60 per cent of domestically produced shows;
  • b broadcasting content must be neutral and is not allowed to:

• favour selected groups, contain slander, incite, be misleading or contain lies;

• highlight elements of violence, obscenity, gambling, drug and drug abuse;

• be prejudicial to different tribes, religions, races, and groups;

• insult, degrade, harass or ignore the values of religion and human dignity in Indonesia; or

• damage international relations;

  • c 30 per cent of the total foreign-produced shows must use subtitles;
  • d broadcasting journalists are bound by the Journalism Code of Ethics;
  • e commercial advertisements are not permitted to:

• promote selected religions, ideologies, persons or groups, or offend the feelings of or degrade other religions, ideologies, persons or groups;

• promote alcohol, addictive materials or substances;

• promote cigarettes while depicting the act of smoking cigarettes;

• contain other matter that is contrary to the values of propriety, morality or religious values; or

• exploit underage children (i.e., those below the age of 18 years);

  • f commercial advertising by private broadcasting institutions is limited to 20 per cent and public services to 10 per cent of total air time;
  • g films and advertisements must obtain a censorship pass from the film censorship body; and
  • h broadcasting activities are subject to the broadcasting guidelines issued by the KPI.

Broadcasting activities are also subject to prohibitions set out in Law Number 44 of 2008 on Pornography (i.e., broadcasting institutions must not broadcast any material containing pornographic content), and Law Number 8 of 1999 on Consumer Protection prohibits misleading statements or misrepresentations in advertisements and promotions.

Content providers on cellular mobile networks are prohibited from:14

  • a providing initial information or offering content that contains, inter alia, misleading information, coercions to accept content or information that contravenes Indonesian legislation; and
  • b providing content that:

• is contrary to the Pancasila15 and the Indonesian Constitution;

• could potentially cause tribal, religious, racial or inter-group conflict;

• violates decency and is pornographic;

• contains gambling elements, or insulting, extortionate or defamatory statements;

• violates intellectual property rights; or

• contravenes legislation or government regulations.

ii Internet-delivered video content

Currently, there is no specific regulation in force to govern the delivery of video content over the internet. Pending the issuance of such regulation, the MOCI has issued Circular Letter Number 3 of 2016 on the Provision of Application Services and/or Content over the internet (OTT), and circulated the Letter to OTT service providers as a notice on the MOCI regulations that are expected to be issued in this respect (Draft OTT Regulation). Content covers all digital information comprising (among other matters) video content, whether accessed via streaming or downloaded through the internet. The Draft OTT Regulation is already in circulation but was not yet final at the time of writing. Important issues covered by the Draft OTT Regulation are:

  • a that OTT service providers (domestic and foreign) are, inter alia, obligated to register with the MOCI, provide a contact centre, and keep records on services and traffic of OTT services for a minimum of three months;
  • b an obligation for all OTT service providers to:

• use the Indonesian national payment gateway;

• comply with Indonesian laws on competition, trade, consumer protection, intellectual property rights, broadcasting, filming, advertising, pornography, anti-terrorism, taxation and other matters;

• actively conduct data protection;

• filter content and apply censorship mechanisms;

• use an Indonesian IP number;

• guarantee access for lawful interception and evidence collection for law enforcement purposes; and

• provide information and user guidelines in the Indonesian language;

  • c the Regulation, which is applicable to all OTT service providers, prohibits them from providing any service that, inter alia:

• violates the Indonesian constitution and the fundamental values of the state;

• incites hate against groups, tribes, religion, race and class;

• humiliates, harasses or desecrates religious values;

• incites unlawful behaviour;

• infringes intellectual property rights; and

• violates the laws and regulations of Indonesia;

  • d an obligation for foreign OTT service providers to establish a permanent business establishment in Indonesia (effectively establishing a presence in Indonesia that is subject to the Indonesian taxation regulations);
  • e the MOCI is being granted the power to sanction breaches of these obligations; and
  • f the MOCI intends to establish a national forum on OTT services policies comprising representatives from the government and the general public.

vi THE YEAR IN REVIEW

The government is committed to amending provisions in network sharing plans and effectively implementing a programme to improve telecommunication infrastructure and connectivity throughout Indonesia.16 In addition, it has started organising conferences open to relevant parties to formulate provisions and procedures to be implemented for the development of broadband in urban areas pursuant to Presidential Decree Number 96 of 2014.

The government has recognised that more broadcasting frequency is required, and has offered the 2.3Ghz frequency for tender. Given the delayed rollout of 5G technology, the government intends to prepare for operator consolidation to allow for the full utilisation of the available network frequency. The government will also proceed with 5G spectrum policy planning and identifying potential 5G candidates. Accordingly, the government may draft regulations concerning the use of 5G technology, especially concerning the use of 28GHz spectrum and procedures for allocation. It may also need to prepare sufficient infrastructure (including passive infrastructure) to support the implementation of 5G technology.

The Draft OTT Regulation, if passed in its current form, will impact all internet business players. The draft requires non-Indonesian OTT players to have a presence in Indonesia and to register with the MOCI. All OTT players will be required to have a data protection and data privacy policy, a censoring mechanism and a customer service centre, use the national payment system (where relevant) and provide information to law enforcement when such is requested. Noncompliance, pursuant to the draft, may lead to the MOCI blocking the OTT service.

Increasingly, market actors are becoming aware of the (potential) data localisation requirements entering into force at the end of 2018. Further regulations are required to determine the exact scope of such requirements.

In mid-2017, the MOCI showed its willingness to actively sanction violations relating to prohibited content. For one month, a popular messaging service was blocked from service (for allegedly not properly filtering terrorist and radical content). Only after its CEO personally visited the MOCI and promised to comply with the requirements imposed by the MOCI was the block removed. Historically, with respect to enforcement of the Pornography Law, the MOCI had ordered ISPs to block access to a number of video and image-sharing sites and message boards.

VII CONCLUSIONS and OUTLOOK

The TMT sector is undergoing a phase of rapid development with the potential introduction of several new policies, regulations and amendments. Given the rapid growth of internet and phone-based technology in the world’s largest mobile-first country, the sector is considered extremely important to this emerging economy.

Due to the high density of regulations, market actors will need to follow developments closely, especially in respect of the Draft OTT Regulation, data localisation requirements and the draft data privacy law.

Author name

Hogan Lovell

Biography of around 200 to 300 words.

Hogan Lovells

Address

Tel:

Fax:

Email address

www.hoganlovells.com

1 Author is a job title at Hogan Lovells.

2 Presidential Regulation Number 3 of 2016 on The Acceleration of The Implementation of National Strategic Projects (PR 3/2016) as amended by Presidential Regulation 58 of 2017 enacted on 16 June 2017.

3 Presidential Regulation 74 of 2017 regarding the Road Map of an Electronic-Based National Trading System 2017-2019 as detailed in the 14th Economic Policy Package.

4 Now regulated through MOCI Regulation Number 36/PER/M.KOMINFO/10/2008 concerning Establishment of the Indonesian Telecommunications Regulatory Body (MOCI 36/2008).

5 Per MOCI Regulation Number 18 of 2016.

6 Also known as Presidential Regulation Number 44 of 2016 on List of Business Fields that are Closed and Open with Conditions to Investment.

7

8 Regulations include Ministry of Transport Regulation Number KM.21 of 2001 on the Provision of Telecommunication Services for (amongst others) internet services providers, internet interconnection services, and data communication system services. This Regulation has been amended four times by the MOCI (for the last time by the enactment of MOCI Regulation Number 8 of 2015); MOCI Regulation Number 8 of 2017 on Provision of Public Internet Telephony Services. This Regulation revokes MOCI Regulation Number KM 23 of 2002; MOCI Regulation Number 6 of 2017 on Provision of Internet Protocol Television Services. This Regulation revokes MOCI Regulation Number 11/PER/M.KOMINFO/07/2010.

9 MOCI Regulation No. 17 of 2016 (Article 3(2)).

10 An electronic system provider, per MOCI Regulation Number 82 of 2012, is defined as any party that provides, manages, and/or operates a series of devices and electronic procedures that serve to prepare, collect, process, analyse, store, display, publish, transmit, and/or distribute electronic data.

11 Applications for registration can be submitted online through https://pse.kominfo.go.id/pendaftaran-pse.

12 MOCI Regulation Number 19 of 2014 on the Handling of Internet Sites With Negative Contents.

13 MOCI Regulation No. 25 of 2014.

14 MOCI Regulation Number 9 of 2017.

15 Indonesia’s fundamental values.

16 GR 52/2000 and GR 53/2000.