25 Nov 2015

NEW MINISTER OF MANPOWER REGULATION ON PROCEDURE FOR THE UTILIZATION OF FOREIGN MANPOWER

The Minister of Manpower (“MOM”) has amended MOM Regulation No. 16 of 2015 regarding Procedure for the Utilization of Foreign Manpower (“Reg. 16”), by issuing MOM Regulation No. 35 of 2015 (“Reg. 35”). MOM Regulation 35 regarding Amendment to MOM Regulation 16 has been in effect as of 23 October 2015. Reg. 35 brings, among others, the following changes in the provisions…
25 Nov 2015

NEW REGULATION ON IMPORTER'S IDENTIFICATION NUMBER

The Indonesian Minister of Trade just renewed the regulation on Importer’s Identification Number (Angka Pengenal Importir or “API”), by issuing Regulation No. 70/M-DAG/PER/9/2015 (“New Regulation”). This New Regulation was enacted on 28 September 2015, but will only come into force on 1 January 2016. When the New Regulation comes into force, the old Regulation No. 27/M-DAG/PER/5/2012…
25 Nov 2015

NEW BKPM REGULATION ON INVESTMENT PRINCIPLE LICENSE

The Investment Coordinating Board (Badan Koordinasi Penanaman Modal or “BKPM”) has revoked Head of BKPM Regulation Number 5 of 2013 concerning Guidelines and Procedures for Investment Licenses and Non-Licenses as amended by Head of BKPM Regulation Number 12 of 2013. In its place, it has issued Head of BKPM Regulation Number 14 of 2015 concerning Guidelines and Procedures for Investment…
28 Aug 2015

NEW RULES FOR COMPANIES ACTIVE IN FREIGHT FORWARDING

On 9 April 2015, the Indonesian Minister of Transportation issued a new regulation on freight forwarding: Regulation No. 74 of 2015. The new regulation, which was amended by Regulation No. 78 of 2015, replaces the old Decree No. 10 of 1988 on Freight Forwarding as amended by Decree No. 10 of 1989. It became effective on 16 April 2015. Compared to the old regulation, the new regulation contains more…
28 Aug 2015

PROCEDURES FOR COMPENSATION FROM THE STATE FOLLOWING JUDICIAL DECISIONS NOW REGULATED

On 15 April 2015, the Indonesian Minister of Finance enacted Regulation No. 80/PMK.01/2015 on the Execution of Judicial Decisions. The regulation became effective a day later, on 16 April 2015. The regulation is relevant to parties involved in court or arbitration proceedings involving the Republic of Indonesia. Parties can demand payment following a decision by a court or an arbitral tribunal validated…
28 Aug 2015

NEW HALAL LAW MAKES HALAL CERTIFICATION MANDATORY

Until recently, halal certification was outside the ambit of state law in Indonesia. Certification processes were conducted on a voluntary basis by the Islamic Clergy Council (Majelis Ulama Indonesia or MUI), a non-governmental institution. This changed with the enactment of Law No. 33 of 2014 concerning Halal Product Assurance on 29 September 2014. It redefines procedures to secure halal certificates…
27 Aug 2015

REGULATION ON MANDATORY USE OF RUPIAH AND PROHIBITION OF DUAL PRICE DENOMINATION

On 31 March, the Indonesian Central Bank (Bank Indonesia) issued Regulation No. 17/3/PBI/2015 on Mandatory Use of Rupiah Within the Republic of Indonesia (“PBI 17/2015”), followed on 1 June by Circular Letter No. 17/11/DKSP on Mandatory Use of Rupiah Within the Republic of Indonesia (“Central Bank Circular”). The mandatory use of the Rupiah for all cash and non-cash transactions…
25 Mar 2015

CHANGES TO BANKRUPTCY LAW IN RESPECT TO INSURANCE COMPANIES

The Government has revoked the applicability of the bankruptcy provisions of Law No. 37 of 2004 concerning Bankruptcy and Suspension of Payment to insurance companies and re-insurance companies. The revocation is done through Law No. 40 of 2014 concerning Insurance (“Law 40/2014”), which also provides that the prevailing implementing regulations of the old Insurance Law will remain effective…
25 Mar 2015

NEW REGULATIONS REGARDING FINANCIAL SERVICES INDUSTRY

In November 2014 the newly established Financial Services Authority (OJK) issued a set of regulations governing the financial services industry: Regulation 17 (POJK.03/2014) regarding the application of integrated risk management for financial conglomerates; and Regulation 18 (POJK.03/2014) regarding the application of integrated governance for financial conglomerates. The OJK noted in its preamble…
25 Mar 2015

NEW RULES ON THE MANAGEMENT OF OFFSHORE DEBT BY NON-BANK DEBTORS

Bank Indonesia has issued Regulation No. 16/20/PBI/2014 dated 29 October 2014 (“BI Reg 16”) on the application of prudence principles in managing offshore debt taken out by a non-bank debtor (“NBD”). The requirements entail observance of a hedging ratio, a liquidity ratio and a credit rating. Bank Indonesia has also introduced Circular Letter No. 16/24/DKEM dated 30 December…
25 Mar 2015

NEW MEMR REGULATION ON DIRECT ELECTION AND DIRECT APPOINTMENT OF IPP BY PT PLN

To accelerate power plants development by PT Perusahaan Listrik Negara (Persero) (“PLN”), on 12 January 2015 the Minister of Energy and Mineral Resources (“MEMR”) issued Regulation Number 03 of 2015 on Procedures for the Purchase of Electricity and Benchmark Prices for the Purchase of Electricity from Mine Mouth Steam Power Plant (PLTU Mulut Tambang), Coal Steam Power Plant…
25 Mar 2015

NEW REGULATION REQUIRES LETTER OF CREDIT FOR EXPORT OF PRODUCTS FROM NATURAL RESOURCES

The Minister of Trade issued Ministerial Regulation No. 04/M-DAG/PER/1/2015 (“Regulation No. 4/2015”) on 5 January 2015. Regulation No. 4/2015 comes into effect from 1 April 2015. Regulation No. 4/2015 applies to the export of the following prescribed products; Coal; Unprocessed or partially refined Minerals including;oIron concentrate;oCopper concentrate;oLead concentrate;oZinc concentrate;oAlumina;oNickel;oSilver;oGold;…
19 Mar 2015

ABNR wins IFLR Asia “Project Finance Deal of the Year” Award

Ali Budiardjo, Nugroho, Reksodiputro (ABNR) acted as counsel to lenders in the financing of Sarulla project, which International Financial Law Review (IFLR) announced as “Project Finance Deal of the Year” during the IFLR Asia Awards ceremony in Hong Kong that took place on March 11, 2015. ABNR advised Asian Development Bank (ADB), Japan Bank for International Cooperation (JBIC), and six…
17 Mar 2015

International Seminar on Maritime Arbitration and Law

Ali Budiardjo, Nugroho, Reksodiputro is pleased to sponsor "International Seminar on Maritime Law and Arbitration" which will be held on April 6, 2015 at Hotel Pullman Jakarta. The full day seminar isorganized by BANI & SCMA and will discuss to what extent arbitration and other forms of alternative dispute resolution can be used for settling disputes, such disputes not only between parties, but…

NEW MINISTER OF MANPOWER REGULATION ON PROCEDURE FOR THE UTILIZATION OF FOREIGN MANPOWER

25 Nov 2015 The Minister of Manpower (“MOM”) has amended MOM Regulation No. 16 of 2015 regarding Procedure for the Utilization of Foreign Manpower (“Reg. 16”), by issuing MOM Regulation No. 35 of 2015 (“Reg. 35”). MOM Regulation 35 regarding Amendment to MOM Regulation 16 has been in effect as of 23 October 2015. Reg. 35 brings, among others, the following changes in the provisions…

NEW REGULATION ON IMPORTER'S IDENTIFICATION NUMBER

25 Nov 2015 The Indonesian Minister of Trade just renewed the regulation on Importer’s Identification Number (Angka Pengenal Importir or “API”), by issuing Regulation No. 70/M-DAG/PER/9/2015 (“New Regulation”). This New Regulation was enacted on 28 September 2015, but will only come into force on 1 January 2016. When the New Regulation comes into force, the old Regulation No. 27/M-DAG/PER/5/2012…

NEW BKPM REGULATION ON INVESTMENT PRINCIPLE LICENSE

25 Nov 2015 The Investment Coordinating Board (Badan Koordinasi Penanaman Modal or “BKPM”) has revoked Head of BKPM Regulation Number 5 of 2013 concerning Guidelines and Procedures for Investment Licenses and Non-Licenses as amended by Head of BKPM Regulation Number 12 of 2013. In its place, it has issued Head of BKPM Regulation Number 14 of 2015 concerning Guidelines and Procedures for Investment…

NEW RULES FOR COMPANIES ACTIVE IN FREIGHT FORWARDING

28 Aug 2015 On 9 April 2015, the Indonesian Minister of Transportation issued a new regulation on freight forwarding: Regulation No. 74 of 2015. The new regulation, which was amended by Regulation No. 78 of 2015, replaces the old Decree No. 10 of 1988 on Freight Forwarding as amended by Decree No. 10 of 1989. It became effective on 16 April 2015. Compared to the old regulation, the new regulation contains more…

PROCEDURES FOR COMPENSATION FROM THE STATE FOLLOWING JUDICIAL DECISIONS NOW REGULATED

28 Aug 2015 On 15 April 2015, the Indonesian Minister of Finance enacted Regulation No. 80/PMK.01/2015 on the Execution of Judicial Decisions. The regulation became effective a day later, on 16 April 2015. The regulation is relevant to parties involved in court or arbitration proceedings involving the Republic of Indonesia. Parties can demand payment following a decision by a court or an arbitral tribunal validated…

NEW HALAL LAW MAKES HALAL CERTIFICATION MANDATORY

28 Aug 2015 Until recently, halal certification was outside the ambit of state law in Indonesia. Certification processes were conducted on a voluntary basis by the Islamic Clergy Council (Majelis Ulama Indonesia or MUI), a non-governmental institution. This changed with the enactment of Law No. 33 of 2014 concerning Halal Product Assurance on 29 September 2014. It redefines procedures to secure halal certificates…

REGULATION ON MANDATORY USE OF RUPIAH AND PROHIBITION OF DUAL PRICE DENOMINATION

27 Aug 2015 On 31 March, the Indonesian Central Bank (Bank Indonesia) issued Regulation No. 17/3/PBI/2015 on Mandatory Use of Rupiah Within the Republic of Indonesia (“PBI 17/2015”), followed on 1 June by Circular Letter No. 17/11/DKSP on Mandatory Use of Rupiah Within the Republic of Indonesia (“Central Bank Circular”). The mandatory use of the Rupiah for all cash and non-cash transactions…

CHANGES TO BANKRUPTCY LAW IN RESPECT TO INSURANCE COMPANIES

25 Mar 2015 The Government has revoked the applicability of the bankruptcy provisions of Law No. 37 of 2004 concerning Bankruptcy and Suspension of Payment to insurance companies and re-insurance companies. The revocation is done through Law No. 40 of 2014 concerning Insurance (“Law 40/2014”), which also provides that the prevailing implementing regulations of the old Insurance Law will remain effective…

NEW REGULATIONS REGARDING FINANCIAL SERVICES INDUSTRY

25 Mar 2015 In November 2014 the newly established Financial Services Authority (OJK) issued a set of regulations governing the financial services industry: Regulation 17 (POJK.03/2014) regarding the application of integrated risk management for financial conglomerates; and Regulation 18 (POJK.03/2014) regarding the application of integrated governance for financial conglomerates. The OJK noted in its preamble…

NEW RULES ON THE MANAGEMENT OF OFFSHORE DEBT BY NON-BANK DEBTORS

25 Mar 2015 Bank Indonesia has issued Regulation No. 16/20/PBI/2014 dated 29 October 2014 (“BI Reg 16”) on the application of prudence principles in managing offshore debt taken out by a non-bank debtor (“NBD”). The requirements entail observance of a hedging ratio, a liquidity ratio and a credit rating. Bank Indonesia has also introduced Circular Letter No. 16/24/DKEM dated 30 December…

NEW MEMR REGULATION ON DIRECT ELECTION AND DIRECT APPOINTMENT OF IPP BY PT PLN

25 Mar 2015 To accelerate power plants development by PT Perusahaan Listrik Negara (Persero) (“PLN”), on 12 January 2015 the Minister of Energy and Mineral Resources (“MEMR”) issued Regulation Number 03 of 2015 on Procedures for the Purchase of Electricity and Benchmark Prices for the Purchase of Electricity from Mine Mouth Steam Power Plant (PLTU Mulut Tambang), Coal Steam Power Plant…

NEW REGULATION REQUIRES LETTER OF CREDIT FOR EXPORT OF PRODUCTS FROM NATURAL RESOURCES

25 Mar 2015 The Minister of Trade issued Ministerial Regulation No. 04/M-DAG/PER/1/2015 (“Regulation No. 4/2015”) on 5 January 2015. Regulation No. 4/2015 comes into effect from 1 April 2015. Regulation No. 4/2015 applies to the export of the following prescribed products; Coal; Unprocessed or partially refined Minerals including;oIron concentrate;oCopper concentrate;oLead concentrate;oZinc concentrate;oAlumina;oNickel;oSilver;oGold;…

ABNR wins IFLR Asia “Project Finance Deal of the Year” Award

19 Mar 2015 Ali Budiardjo, Nugroho, Reksodiputro (ABNR) acted as counsel to lenders in the financing of Sarulla project, which International Financial Law Review (IFLR) announced as “Project Finance Deal of the Year” during the IFLR Asia Awards ceremony in Hong Kong that took place on March 11, 2015. ABNR advised Asian Development Bank (ADB), Japan Bank for International Cooperation (JBIC), and six…

International Seminar on Maritime Arbitration and Law

17 Mar 2015 Ali Budiardjo, Nugroho, Reksodiputro is pleased to sponsor "International Seminar on Maritime Law and Arbitration" which will be held on April 6, 2015 at Hotel Pullman Jakarta. The full day seminar isorganized by BANI & SCMA and will discuss to what extent arbitration and other forms of alternative dispute resolution can be used for settling disputes, such disputes not only between parties, but…