Monday, 23 November 2020 05:51

RPP Risk Based Business License Completed, Ministerial Regulation No Longer Needed

The government continues to work on resolving the derivative rules of the omnibus law on the Job Creation Law. One of them is related to the Draft Government Regulation (RPP) on Risk-Based Business Licensing and Supervision Procedures. The regulation will establish Norms, Standards, Procedures and Criteria (NSPK) in implementing the risk-based licensing concept or Risk Base Approach (RBA). That way, every business activity does not need to apply for various permits.

So far, entrepreneurs have to apply for permits to various Ministries / Institutions (K / L) as well as Regional Governments (Pemda). This is because K / L have different patterns and policies in regulating business licensing in their sector. As a result, there are many hyper regulations governing business licensing and overlapping arrangements between sectors (K / L). This results in no legal certainty in undertaking and the implementation of supervision of business activities is not optimal. Through the RPP, the government determines licensing using a risk-based approach in all business sectors. Each K / L and local government uses the same pattern, namely risk level analysis with the criteria of Low, Medium or High risk levels.

Thus, opening a business in Indonesia will be easier and faster, as well as creating business certainty. "In accordance with the direction of the President to immediately cut Business Licenses, simplify Licensing Procedures and implement Business Standards. So that licensing will be easier and faster, and supervision will be more optimal, "said Coordinating Minister for the Economy Airlangga Hartarto in an official statement on Friday (20/11).

The grouping of business fields refers to the Standard Classification of Indonesian Business Fields (KBLI) in 2020. The regulations in the RPP also include the authority to issue licenses and carry out supervision. Furthermore, Airlangga said that the RPP would also regulate risk-based business licensing norms and supervision procedures that must be used as a reference by all Ministries / Agencies and the Regional Government. All of these licensing norms have been prepared by the Coordinating Ministry for the Economy. In addition, the RPP will regulate the business licensing service norms through the OSS system prepared by the BKPM, as well as the NSPK for each sector determined by each related K / L.

NSPK completion at 18 K / L
All Ministries / Agencies related to business licensing (18 K / L) have completed the entire internal risk level analysis process for all business activities. Furthermore, the Ministries / Agencies complete the NSPK and its attachments which regulate the entire business process for the business licensing. That way, Airlangga hopes that all licenses have been completely regulated in the RPP so that it is deemed necessary that there is no longer a need for norm regulation that binds the public at the Ministerial level or regulations under it. This makes the RPP on Risk-based Business Licensing a part of simplification and reducing hyper regulation. The 18 K / Ls that have completed the process and the NSPK are the Ministries: Trade, Industry, Agriculture, Health, Transportation, ESDM, PUPR, LHK, KKP, Kominfo, Defense, Religion, Manpower, Dikbud, Parekraf, BPOM, Bapeten and POLRI. All Ministries / Agencies have compiled the NSPK based on the basic norms of risk-based business licensing prepared by the Coordinating Ministry for the Economy. Apart from the NSPK, all Ministries / Agencies are currently pursuing the completion of the attachment of the NSPK in the form of KBLI Tables based on risk levels, obligations and / or licensing requirements, business standards and product / process / service standards. This will become a reference for business actors to carry out their business activities.

Source: https://katadata.co.id/febrinaiskana/berita/5fba462b26c1f/rpp-izin-usaha-berbasis-risiko-rampung-aturan-menteri-tak-perlu-lagi

 

 

platinum sponsor panel

piaggio logovfs global banner

institution partner panel2 

embassy of italy logoinstituto italianoita logo

business partners panel2

emabssy indonesia rome  kadin indonesia logo  eibn logo  iccs ibai logo  aidc logo  appmi logo