Key point of Indonesia Investment Coordinating Board Regulation No. 3 Of 2021 concerning the Electronic Integrated Risk-Based Business Licensing System

On April 1, 2021, the Investment Coordinating Board (“BKPM”) has promulgated BKPM Regulation No. 3 of 2021 concerning the Electronically Integrated Risk-Based Business Licensing System (“PerBKPM 3/2021”), which came into force on 2 June 2021 as one of the implementing regulations of Government Regulation no. 5 of 2021 concerning the Implementation of Risk-Based Business Licensing (“PP 5/2021”), where on the same date the Risk-Based Business Licensing OSS System must also be used. PerBKPM 3/2021 revoked the Regulation of the Head of BKPM No. 4 of 2014 concerning the Electronic Information Service and Investment Licensing System. This regulation is intended to regulate the use of information technology in the context of implementing integrated Risk-Based Business Licensing through the OSS System, so as to realize easy, fast, transparent and accountable implementation of Risk-Based Business Licensing through the use of information technology in electronic licensing services.

The scope of PerBKPM 3/2021 includes:

1. OSS system;
2. Access Rights;
3. information service subsystem;
4. Business Licensing subsystem;
5. Supervision subsystem;
6. complaint;
7. system interconnection;
8. Audit trail;
9. the person in charge of the OSS System;
10. OSS System development;
11. OSS System financing; and
12. force majeure.

The OSS system is built and managed by BKPM as an OSS Institution consisting of an information service subsystem, a Business Licensing subsystem, and (Supervision subsystem. The OSS System Device used to administer Risk-Based Business Licensing and Business Licensing to Support Business Activities as referred to in PP 5 /2021, must be used by:

1. Related Ministries/Agencies;
2. provincial local government;
3. district/city local government;
4. KEK administrator;
5. KPBPB concession agency; and
6. Business Actors.

The OSS system which is built in the form of an electronic system can perform automatic validation based on the requirements for Risk-Based Business Licensing and Business Licensing to Support Business Activities, as well as sending and receiving data by means of system interconnection from the Ministries/Relevant Agencies in the context of processing Risk-Based Business Licensing. electronically. In addition, the OSS System also provides an audit trail of all activities in the implementation of Risk-Based Business Licensing, which are useful for, among others, knowing and testing the correctness of electronic transaction processes and tracing the truth of data and information between stakeholders in the OSS System.

The OSS system, which is a web-based software whose servers are located in the territory of Indonesia, has been created with quality management and information security standards, is an information gateway and the implementation of Risk-Based Business Licensing as referred to in PP 5/2021, can be accessed by the public through the website address www.oss.go.id.

As for accessing this OSS System, its users have Access Rights that are given in the form of a code combination of numbers and letters to be able to access the Business Licensing and Supervision subsystems in the OSS System. This Access Right is granted by the OSS Institution to:

1. Business Actors;
2. Related Ministries/Agencies;
3. provincial DPMPTSP;
4. Regency/city DPMPTSP;
5. KEK administrator; and
6. KPBPB operating body.

The use of Access Rights granted to Business Actors is intended to, among other things, apply for a Risk-Based Business License for the first business activity, apply for a change, expansion and/or revocation of a Risk-Based Business License, submit reports, submit complaints and/or apply for business facilities.         

Business Actors who have obtained Access Rights to the OSS System prior to the issuance of this PerBKPM 3/2021 can and must replace their Access Rights to the OSS System when submitting requests for change, expansion and/or revocation of Risk-Based Business Licensing, when submitting reports. investment activities, or when submitting complaints and/or applying for business facilities.