LEGAL ALERT

JANUARY 2014
SSEK Legal Alert is a monthly publication of Soewito Suhardiman Eddymurthy Kardono, Indonesian Legal Consultants. SSEK’s lawyers, advisors and
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general

Minister of Transportation Regulation No. PM.69 of 2013, dated August 20, 2013,
regarding National Airport Affairs. This Regulation implements Article 200 of Law No. 1
of 2009 regarding Aviation, helping to regulate the development and planning of airports
in Indonesia to support national and regional development. The National Airport Order is
applicable for a period of 20 years and will be reviewed once every 5 years (Article 35).
This Regulation came into effect on August 20, 2013.

Government Regulation No. 70 of 2013, dated November 8, 2013, regarding the

Amendment of Government Regulation No. 36 of 2007 regarding the Implementation of
Law No. 9 of 2006 regarding the Warehouse Receipt System. This Regulation amends
provisions concerning the information that must be included in a warehouse receipt
as well as the appointment of the Compliance Assessment Board (Lembaga Penilaian
Kesesuaian). This Regulation is of concern to businesses that utilize warehouse services,
warehouse organizers, and agencies wishing to be appointed to the Compliance
Assessment Board. This Regulation came into effect on the date of its issuance.

Governor of DKI Jakarta Regulation No. 101 of 2013, dated September 10, 2013,
regarding the Implementing Provisions for Business Premise License Based on the
Nuisance Law. This Regulation implements Articles 5, 13, 19 and 22, paragraph (3) of
Regional Government of DKI Jakarta Regulation No. 15 of 2011 regarding Business
Premise License Based on the Nuisance Law. Any person or entity must obtain a
Nuisance License for the business activities of: industry, trade, manpower, health,
tourism and other services (Articles 2 and 3). To obtain a Nuisance License, the owner
or the party responsible for the business must submit a written request and fulfill the
stipulated requirements (Article 17, paragraph (3)). If any person or entity wishes to
expand the business premise, the owner or the party responsible for the business must
obtain a Business Premise Expansion License by submitting a written request and
fulfilling the stipulated requirements (Article 24, paragraphs (1) and (2)). Members of the
public can submit a written nuisance complaint to the Governor in response to violations
by businesses (Article 39). This Regulation revokes DKI Jakarta Governor Decision No.
689 of 1994 and DKI Jakarta Governor Decision No. 1860 of 1997. This Regulation came
into effect on September 10, 2013.

Governor of DKI Jakarta Regulation No. 123 of 2013, dated November 1, 2013,
regarding the Provincial Minimum Wage for the Year 2014. This Regulation stipulates that
the Provincial Minimum Wage (Upah Minimum Provinsi) for 2014 in DKI Jakarta shall be
Rp 2,441,000 per month. This Regulation came into effect on the date of its issuance.

Governor of DKI Jakarta Regulation No. 128 of 2013, dated November 19, 2013,
regarding Rent Calculation for Advertising Space at Public Infrastructure and Facilities
Owned by the Regional Government of DKI Jakarta. This Regulation renews the
provisions relating to the pricing of advertising space in public areas. This Regulation
came into effect on the date of its issuance.

SSEK legal alert © 1 January 2014

agriculture

Minister of Agriculture Regulation No. 84/Permentan/PD.410/8/2013, dated August

29, 2013, regarding the Import of Carcasses, Meat, Viscera and/or Processed Products
into Indonesian Territory. This Regulation implements Article 59, paragraph (5) of Law
No. 18 of 2009 regarding Farm and Animal Health, and revokes Minister of Agriculture
Regulation No. 50/Permentan/OT.140/9/2011 regarding Recommendation for Approval
to Import Carcasses, Meat, Viscera and/or Processed Products into Indonesian Territory
and Minister of Agriculture Regulation No. 63/Permentan/OT.140/6/2013 regarding the
Amendment of Minister of Agriculture Regulation No. 50/Permentan/OT.140/9/2011. This
Regulation came into effect on the date of its issuance.

Minister of Agriculture Regulation No. 113/Permentan/PD.410/10/2013, dated

October 16, 2013, regarding Quarantine Measures for the Import of Calves, Breeding
Cattle and Cattle for Slaughter into the Territory of Indonesia. This Regulation implements
Article 59 of Government Regulation No. 82 of 2000 regarding Quarantine Measures
for Animals and is meant to prevent the introduction and spread of pests and of animal
disease in Indonesia. The quarantine measures may be conducted in the country
of origin or at the entry port in Indonesia. This Regulation revokes and replaces all
provisions regarding cattle quarantine contained in earlier regulations. It came into effect
on the date of its issuance.

banking

Bank Indonesia Regulation No. 15/8/PBI/2013, dated October 7, 2013, regarding

Bank Hedging Transactions. This Regulation concerns foreign exchange hedging for
consumers as a measure to reduce financial risk. This Regulation revokes Article 4,
paragraph (2) letter b of Bank Indonesia Regulation No. 10/37/PBI/2008 regarding
Foreign Exchange Transactions in Rupiah as amended by Bank Indonesia Regulation No.
11/14/PBI/2009. This Regulation came into effect on October 7, 2013.

Bank Indonesia Regulation No. 15/9/PBI/2013 of 2013, dated October 30, 2013,
regarding the Amendment of Bank Indonesia Regulation No. 10/13/PBI/2008 regarding
the Auction and Administration of Government Commercial Paper. The reason for the
issuance of this Regulation is that the Government is planning to issue foreign currency
bonds in the domestic primary market. This Regulation introduces two main changes,
allowing foreign currency government bonds and the administration of government
bonds by Bank Indonesia by way of a Scripless Securities Settlement System or other
method as determined by the central bank. This Regulation came into effect on the date
of its issuance.

Bank Indonesia Regulation No. 15/11/PBI/2013 of 2013, dated November 22, 2013,
regarding Prudential Principle in Capital Participation Activities. The objective of this
Regulation is to improve the competitiveness of the banking industry by giving banks
more leeway to invest in financial service companies, setting out how the prudential
principle is to be applied when banks make such investments. This Regulation came into
effect on the date of its issuance.

Bank Indonesia Regulation No. 15/12/PBI/2013, dated December 12, 2013,

regarding Bank Minimum Capital Requirement. This Regulation was issued to create a
healthy banking system and to help Indonesian banks compete internationally. This
Regulation requires banks to enhance their capitalization through a “capital conservation
buffer,” “countercyclical buffer” and “capital surcharge.” It classifies the capital of banks
as: (i) Primary Capital Component (Tier 1) or (ii) Additional Primary Capital (Tier 2). This
Regulation came into effect on January 1, 2014.

SSEK legal alert © 2 January 2014

 Bank Indonesia Regulation No. 15/13/PBI/2013, dated December 24, 2013,
regarding the Amendment of Bank Indonesia Regulation No. 11/3/PBI/2009 regarding
Sharia Banks. This Regulation amends, inter alia, (i) provisions on the types of Sharia
bank offices, i.e. Regional Offices and Functional Offices; (ii) provisions on the
cooperation between banks and related Sharia business units; and (iii) provisions on
Executive Officer reports, which can now be submitted electronically.

Bank Indonesian Regulation No. 15/14/PBI/2013, dated December 24, 2013,

regarding the Amendment of Bank Indonesia Regulation No. 11/10/PBI/2009 regarding
Sharia Business Units. This Regulation was issued to enhance good corporate
governance at Sharia business units and improve the accountability and accuracy of
reports prepared by the Executive Officers of such units. This Regulation adds several
provisions, inter alia a provision on the types of Sharia business units. It also governs the
process of revoking a Sharia business unit license.

Bank Indonesia Regulation No. 15/15/PBI/2013, dated December 24, 2013,

regarding Statutory Minimum Reserves in Rupiah and Foreign Currency for Conventional
Banks. Under this Regulation the Statutory Minimum (“GWM”) shall be as follows: (i)
Primary GWM in Rupiah shall be 8% of third-party funds (“DPK”) in Rupiah; (ii) Secondary
GWM in Rupiah shall be 4% of DPK in Rupiah; and (iv) for foreign exchange banks, in
addition to the aforementioned GWM requirements, the GWM in foreign currencies shall
be 8% of DPK in foreign currencies.

Bank Indonesia Regulation No. 15/16/PBI/2013, dated December 24, 2013,

regarding Statutory Minimum Reserves in Rupiah and Foreign Currency for Sharia
Banks and Sharia Business Units. Under this Regulation the Primary Statutory Minimum
(“GWM”) in Rupiah shall be 5% of third-party funds (“DPK”) in Rupiah. Foreign exchange
banks must also fulfill GWM in foreign currency in the amount of 1% of DPK in foreign
currencies. This Regulation came into effect on December 31, 2013.

Bank Indonesia Regulation No. 15/17/PBI/2013, dated December 24, 2013,

regarding Hedge Swap Transactions with Bank Indonesia. This Regulation stipulates,
inter alia, that banks are allowed to conduct hedge swap transactions with Bank
Indonesia for a maximum of three years, and that the minimum amount of such
hedging shall be US$10 million and the maximum shall be the amount of the underlying
transaction. This regulation comes into effect on February 3, 2014.

Bank Indonesia Circular Letter No. 15/41/DKMP, dated October 1, 2013, regarding
the Calculation of Secondary Statutory Minimum Reserves and Statutory Minimum
Reserves Based on Loan-to-Deposit Ratio in Rupiah. This Circular Letter implements
Bank Indonesia Regulation No. 12/19/PBI/2010 regarding the Statutory Minimum
Reserves of Commercial Banks at Bank Indonesia in Rupiah and Foreign Exchange, as
lastly amended by Bank Indonesia Regulation No. 15/7/PBI/2013. This Circular Letter
contains procedures to comply with the Secondary Statutory Minimum Reserves and
Statutory Minimum Reserves Based on Loan-to-Deposit Ratio in Rupiah. This Circular
Letter came into effect on October 1, 2013.

Bank Indonesia Circular Letter No. 15/42/DPM, dated October 8, 2013, regarding
Bank Hedging Transactions. This Circular Letter implements Bank Indonesia Regulation
No. 15/8/PBI/2013 regarding Bank Hedging Transactions. It specifically governs the
documents to settle foreign-exchange transactions within the framework of hedge. This
Circular Letter came into effect on October 8, 2013.

SSEK legal alert © 3 January 2014

 Bank Indonesia Circular Letter No. 15/43/DPNP, dated October 21, 2013, regarding
the Amendment of Bank Indonesia Circular Letter No. 15/29/DKBU, dated July 31, 2013,
regarding Annual Reports and the Publication of the Financial Statements of Rural Banks.
This Circular Letter implements Bank Indonesia Regulation No. 15/3/PBI/2013 regarding
the Financial Transparency of Rural Banks. It governs financial statements that must be
made public by rural banks and submitted to Bank Indonesia for the final position at
September 2013. This Circular Letter came into effect on October 21, 2013.

Bank Indonesia Circular Letter No. 15/44/DPbS, dated October 22, 2013, regarding
Sharia Short-Term Funding Facility for Sharia Commercial Banks. This Circular Letter
implements Bank Indonesia Regulation No. 11/24/PBI/2009 regarding Short-Term
Funding Facility for Sharia Commercial Banks. It governs Sharia Short-Term Funding
Facility (“FPJPS”) related to the granting requirements, application procedures, calculation
of collateral, approval, granting procedures, settlement, enforcement of collateral,
granting cost and supervision of the FPJPS. This Circular Letter revokes Bank Indonesia
Circular Letter No. 6/9/DPM regarding Procedures to Grant Short-Term Funding Facility
for Sharia Banks, and Bank Indonesia Circular Letter No. 7/35/DPM regarding the
Amendment of Bank Indonesia Circular Letter No. 6/9/DPM. This Circular Letter came
into effect on October 22, 2013.

Bank Indonesia Circular Letter No. 15/45/DPNP/2013, dated November 18, 2013,
regarding the Amendment of Bank Indonesia Circular Letter No. 14/36/DKBU, dated
December 21, 2013, regarding Fit-and-Proper Tests for Rural Banks. This Circular Letter
serves to improve on the implementation of fit-and-proper tests under Bank Indonesia
Circular Letter No. 14/36/DKBU. It came into effect on November 18, 2013.

Bank Indonesia Circular Letter No.15/46/DPSP, dated November 20, 2013,

regarding Procedures for the Auction of Government Securities in the Primary Market
and the Administration of Government Securities. This Circular Letter complements
Minister of Finance Regulation No. 43/PMK.08/2013, introducing provisions that govern
the auction of foreign-currency government securities traded in the primary domestic
market. This Circular Letter sets forth the parties that are able to participate in the auction
and the auction mechanism. This Circular Letter came into effect on the date of its
issuance.

Bank Indonesia Circular Letter No. 15/47/Dsta, dated December 2, 2013, regarding
the Amendment of Bank Indonesia Circular Letter No. 15/37/Dsta, dated September 5,
2013, regarding the Monetary Stability Report and Monthly Financial System of Sharia
Banks and Sharia Business Units. This Circular Letter, inter alia, amends details on the
form that is used by Shariah banks and business units to file monetary stability and
financial system reports. This Circular Letter came into effect on the date of its issuance.

Bank Indonesia Circular Letter No. 15/48/Dsta, dated December 2, 2013, regarding
the Second Amendment of Bank Indonesia Circular Letter No. 13/3/DPM, dated
February 4, 2011, regarding Daily Reporting by Banks. This Circular Letter governs, inter
alia, the submission process for banks’ daily reports, which shall be addressed to the
Head Office of Bank Indonesia. For banks located outside the working area of the Head
Office of Bank Indonesia, the reports shall be carbon-copied to the Regional Office
of Bank Indonesia where the bank is located. This Circular Letter came into effect on
December 16, 2013.

Bank Indonesia Circular Letter No. 15/49/DPKL of 2013, dated December 5,

2013, regarding Credit Information Managing Bodies (Lembaga Pengelola Informasi
Perkreditan or “LPIP”), provides further clarification on Credit Information Managing
Bodies as governed under Bank Indonesia Regulation No. 15/1/PBI/2013. This
Circular Letter sets forth the (i) establishment, (ii) licenses, (iii) procedures for change of

SSEK legal alert © 4 January 2014

 capitalization, shareholders, members of Board of Directors, and/or members of Board
of Commissioners of LPIP, (iv) rights and obligations of LPIP, (v) data management by
LPIP, (vi) credit information, (vii) complaint management and settlement, (viii) supervision,
(ix) business activities termination and business license revocation, and (x) imposition of
sanctions by Bank Indonesia on LPIP. This Circular Letter came into effect on December
5, 2013.

Bank Indonesia Circular Letter No. 15/50/DPbS, dated December 30, 2013,
regarding the Amendment of Bank Indonesia Circular Letter No. 11/9/DPbS, dated
April 7, 2009, regarding Sharia Banks. This Circular Letter follows the issuance of Bank
Indonesia Regulation No. 15/13/PBI/2013 and governs, inter alia, the documentation of
the appointment, dismissal and/or substitution of executive officers, as well as report
forms used to notify of plans to open, change the status of or close Regional Offices and
Bank Functional Offices. This Circular Letter came into effect on the date of its issuance.

Bank Indonesia Circular Letter No. 15/51/DPbS, dated December 30, 2013,
regarding the Amendment of Bank Indonesia Circular Letter No. 11/28/DPbS, dated
October 5, 2009, regarding Sharia Business Units. This Circular Letter was issued to
enhance provisions under Bank Indonesia Circular Letter No. 11/28/DPbS. One of the
amendments stipulated in this Circular Letter is a provision governing the documentation
of the appointment, dismissal and substitution of executive officers, as well as a provision
governing sample report forms used to notify of plans to open, change the status of or
close a Sharia Business Unit’s office. This Circular Letter came into effect on the date of
its issuance.

customs and excise

Minister of Finance Regulation No. 175/PMK.011/2013, dated December 6, 2013,

which raises the Article 22 income tax rate on certain consumer goods from 2.5% to
7.5%. This purpose of this Regulation is to limit imports of certain goods. This Regulation
came into effect 30 days as of the date of its issuance.

Minister of Finance Regulation No. 176/PMK.04/2013, dated December 6, 2013,

regarding the Amendment of Minister of Finance Regulation No. 254/PMK.04/2011
regarding import duty exemption on imports of goods and materials to be processed,
assembled or installed on other products for export. This Regulation concerns (i)
exemptions on import duty, value-added tax, and luxury goods tax; (ii) imports of
industrial raw materials; (iii) procedures for issuing Exemption Facilities Registration
Numbers (Nomor Induk Perusahaan Pembebasan); (iv) collateral for receiving exemption
facilities; (v) subcontracting of production; (vi) exporting finished products; and (vii)
accountability reports. This Regulation comes into effect 60 days as of the date of its
issuance.

Minister of Finance Regulation No. 177/PMK.04/2013, dated December 6, 2013,

with regard to import duty drawback for imported goods and materials to be processed,
assembled or installed on other products to be exported. This Regulation was issued to
support export activities and increase investment. This Regulation comes into effect 60
days as of the date of its issuance.

Minister of Finance Regulation No. 178/PMK.04/2013, dated December 9, 2013,

regarding the application of import duty under the Asean Trade in Goods Agreement
(“ATIGA”) using a self-certification system. This Regulation was issued to implement
Article 13, paragraph 1, sub-paragraph 2 of Law No. 10 of 1995 regarding Customs. This
Regulation came into effect 30 days as of the date of its issuance.

SSEK legal alert © 5 January 2014

 Minister of Finance Regulation No. 207/PMK.011/2013, dated December 31, 2013,
on the excise tariff for ethyl alcohol, drinks containing ethyl alcohol, and concentrates
containing ethyl alcohol. This Regulation was issued following a recommendation by
Commission XI of the House of Representatives that the Minister of Finance increase the
tariff on drinks containing ethyl alcohol. This Regulation came into effect on the date of
its issuance.

Minister of Finance Regulation No. 208/PMK.11/2013, dated December 31, 2013,

regarding the import duty tariff in the framework of Asean-Australia-New Zealand Free
Trade Area (“AANZFTA”). This Regulation was issued after the Minister of Trade sent letter
No. 2170/M-DAG/SD/11/2013, dated November 6, 2013, requesting the amendment of
the Minister of Finance regulation in relation to the Asean+1 Free Trade Agreement. This
Regulation came into effect on January 1, 2014.

Minister of Finance Decision No. KMK-1082/KM.1/2013, dated December 16,

2013, regarding the retention schedule for the Director General of Customs and Excise
Substantive Archives. This Decision amends Minister of Finance Decision No. 1430/
KM.1/1993. This Decision came into effect on the date of its issuance.

Minister of Finance Decision No. 2596/KM.4/2013, dated December 31, 2013, on

the stipulation of the export price to calculate export duty. This Decision implements
Article 5, paragraph 1 of Government Regulation No. 55 of 2008 regarding the imposition
of export price to calculate export duty. This Decision came into effect on the date of its
issuance.

Director General of Customs and Excise Regulation No. PER-28/BC/2013,

dated October 23, 2013, regarding the procedures for moving imported goods with
outstanding customs duty from one temporary storage location to another temporary
storage location. This Regulation took effect November 11, 2013, replacing Director
General of Customs and Excise Regulation No. P-26/BC/2007.

Director General of Customs and Excise Regulation No. PER-35/BC/2013, dated

December 24, 2013, regarding bonded zones. This Regulation implements Minister of
Finance Regulation No. 120/PMK.04/2013 regarding the third amendment of Minister of
Finance Regulation No. 147/PMK.04/2011. This Regulation took effect on the date of its
issuance.

Director General of Customs and Excise Circular Letter No. SE-16/BC/2013, dated
October 17, 2013, regarding the importation of science books. This Circular Letter
provides guidance on the customs process for the importation of science books at the
Customs and Excise Main Service Office and the Customs and Excise Service and
Supervisory Office. This Circular Letter came into effect on the date of its issuance.

Director General of Customs and Excise Circular Letter No. SE-23/BC/2013, dated
December 30, 2013, regarding certificates of origin in relation to the amendment of
operational certification procedures in the Asean-Korea Free Trade Area (“AKFTA”) and
Asean Trade-In Goods Agreement (“ATIGA”) schemes. This Circular Letter was issued
in response to the amendment of the Operational Certification Procedures contained
in the Decision to Endorse the Amendment of Appendix 1 (Operational Certification
Procedures for the Rules of Origin) of Annex 3 (Rules of Origin) of the Agreement on
Trade in Goods at the 8th Meeting of the Asean-Korea FTA Implementing Committee and
the amendment of the Operational Certification Procedures in the Asean Trade in Goods
Agreement. This Circular Letter came into effect on January 1, 2014.

SSEK legal alert © 6 January 2014

energy and natural resources

Minister of Energy and Mineral Resources Regulation No. 31 of 2013, dated

October 24, 2013, regarding the Use of Foreign Manpower and the Development of
Indonesian Manpower in Oil and Gas Business Activities. This Regulation implements
Article 39 and Article 42, letter l and letter j of Law No. 22 of 2001 regarding Oil and
Gas. This Regulation elaborates on the requirements and procedures to employ
foreign workers in the oil and gas sector. Prior to employing a foreign worker, two
recommendations from the Directorate General of Oil and Gas must be obtained, namely
the Foreign Workers Utilization Plan Recommendation (Article 9) and Foreign Work Permit
Recommendation (Article 12). Oil and gas businesses that employ foreign workers
must submit an annual report to the Directorate General (Article 18, paragraph (1)). This
Regulation came into force on October 24, 2013.

Minister of Energy and Mineral Resources Regulation No. 32 of 2013, dated

November 19, 2013, regarding Procedures to Issue Special Licenses in the Field of
Mineral and Coal Mining, implements Articles 43, 81 and 105 of Law No. 4 of 2009
regarding Coal and Mineral Mining and Articles 41 and 111 of Government Regulation
No. 23 of 2010 regarding the Implementation of Coal and Mineral Mining Business
Activities, as amended by Government Regulation No. 24 of 2012. Article 2, paragraph 1
of this Regulation expressly provides that the special licenses referred to therein consist
of (1) Temporary License to Transport and Sell; (2) Mining License to Sell; (3) Mining
License to Transport and Sell; and (4) Mining License to Process and/or Refine. This
Regulation came into effect on the date of its issuance.

Minister of Energy and Mineral Resources Regulation No. 35 of 2013, dated

December 20, 2013, regarding Procedures for the Licensing of Electricity Businesses.
This Regulation implements Articles 18 and 32 of Government Regulation No. 14 of
2012 regarding Electricity Supply Business Activities and Article 18 (5) of Government
Regulation No. 62 of 2012 regarding Electricity Supporting Service Businesses. This
Regulation outlines the provisions and procedures to obtain business or operations
licenses for electricity supply businesses for the public interest, electricity supply
businesses for private interest, and electricity supporting service businesses.
This Regulation revokes Minister of Energy and Mineral Resources Decision No.
2500.K/40/M.PE/1997, dated December 19, 1997, and Minister of Energy and Mineral
Resources Regulation No. 10 of 2005, dated April 25, 2005. This Regulation came into
effect on December 20, 2013.

Minister of Energy and Mineral Resources Regulation No. 36 of 2013, dated

December 24, 2013, regarding Procedures for the Request of an Electricity Network
Utilization License for the Purpose of Telecommunications, Multimedia and Information
Technology. This Regulation implements Article 50, paragraph (5) of Government
Regulation No. 14 of 2012 regarding Electricity Supply Business Activities. This
Regulation provides the procedures and requirements to obtain an electricity network
utilization license. It came into effect on December 24, 2013.

Minister of Energy and Mineral Resources Regulation No. 37 of 2013, dated

December 24, 2013, regarding the Technical Criteria for Designated Mining Districts.
This Regulation implements Article 86, paragraph (3) of Government Regulation No. 26 of
2008 regarding the National Spatial Layout Plan. Designated Mining Districts under this
Regulation are categorized as designated mining districts for: (a) minerals, (b) coal, (c) oil
and gas, and/or (d) geothermal. The Regulation sets forth the technical criteria for each of
the designated mining districts. This Regulation came into effect on December 24, 2013.

SSEK legal alert © 7 January 2014

 Minister of Energy and Mineral Resources Regulation No. 38 of 2013, dated
December 24, 2013, regarding Compensation for Land, Buildings and Plants that are
Located under High-Voltage Power Lines and Extra High-Voltage Power Lines. This
Regulation implements Article 38 of Government Regulation No. 14 of 2012 regarding
Electricity Supply Business Activities. Under this Regulation, compensation will be
provided if land is indirectly used for the construction of high-voltage power lines without
any relinquishment or handover of the right to the land. This Regulation provides the
provisions for the granting of such compensation, which includes land and buildings on
the land, evaluation by the Appraisal Institution, and the calculation of compensation. This
Regulation came into effect on December 24, 2013.

Minister of Energy and Natural Resources Decree No. 3794 K/12/MEM/2013,

dated November 11, 2013, regarding the Amendment of Minister of Energy and Natural
Resources Decree No. 2046 K/12/MEM/2013 regarding the Benchmark Price for
Certain Oil Fuels for PT Pertamina (Persero) for the 2013 Budgetary Year. This Decree
adds a provision which stipulates that if Premium Fuel or Solar Fuel originates from a
domestic refinery, an additional Rp 20/liter will be given. This Decree came into effect on
November 11, 2013, but is retroactive to June 22, 2013.

Minister of Energy and Natural Resources Circular Letter No. 04 E/30/MEM/2013,

dated August 28, 2013, regarding the Implementation of Policy on the Export of Mining
Products in Conjunction with Economic Stabilization and Growth. This Circular Letter
provides that (i) holders of Mineral Mining Business Licenses (“IUP”) that have complied
with the applicable laws and regulations are to be granted recommendation approval to
export mining products based on a written application; (ii) holders of mineral IUPs that
have already obtained approval to export mining products are to be given leniency to
increase the amount of mining products exported based on a revised Work Plan and
Budget of 2013; and (iii) mining product exports shall be valid until January 12, 2014, in
accordance with the prevailing regulations.

Minister of Trade Circular Letter No. 04/M-DAG/ED/12/2013 of 2013, dated

December 9, 2013, regarding the Extension of Mining Products Export Approval, was
issued as a notification to all parties concerned that the export of mining products in
the form of raw minerals or ore may be conducted until January 12, 2014, and that
Registered Exporters of Mining Products that have obtained Mining Product Export
Approval may be given an opportunity to export raw minerals or ore until January 11,
2014, subject to the requirements set forth in this Circular Letter.

environment

Government Regulation No. 61 of 2013, dated September 12, 2013, regarding

Radioactive Waste Management. This Regulation implements Article 27, paragraph (2) of
Law No. 10 of 1997 regarding Nuclear Waste. This Regulation was issued as a more
comprehensive regulation for the management of radioactive waste. Radioactive waste
management is the collection, classification, processing, transportation, storage, and/
or disposal of radioactive waste. Radioactive waste is classified as low level, medium
level, and high level, and the management of radioactive waste is the responsibility of the
radioactive waste producer and the National Nuclear Energy Agency (“BATAN”). BATAN
shall obtain the license for radioactive waste management. This Regulation revokes
Government Regulation No. 27 of 2002 regarding Radioactive Waste Management. This
Regulation came into effect on September 12, 2013.

Government Regulation No. 73 of 2013, dated November 14, 2013, regarding

Swamps concerns the conservation, development, and control of swamp areas, as
referred to in Article 25, paragraphs (3) and (36) and Article 58 paragraph (2) of Law No.
7 of 2004 regarding Water Resources. This Regulation sets forth provisions concerning

SSEK legal alert © 8 January 2014

 procedures for determining swap areas, swamp area management, information systems
related to swamp areas, and licensing and supervisory procedures. This Regulation
revokes Government Regulation No. 27 of 1991 regarding Swamps. It came into effect
on the date of its issuance.

Minister of Environment Regulation No. 8 of 2013, dated October 28, 2013,

regarding the Evaluation and Examination of Environmental Documents and the Issuance
of Environmental Licenses. This Regulation implements Articles 26, 35, 41, 52 and 63 of
Government Regulation No. 27 of 2012 regarding Environmental Licenses. It provides
more comprehensive procedures for the evaluation of environmental documents by the
Environmental Impact Assessment Evaluation Commission (“KPA”) and the issuance of
environmental licenses. This Regulation came into effect on October 28, 2013.

finance

Minister of Finance Regulation No. 118/PMK.04/2013, dated August 6, 2013,

regarding Procedures on Importing Goods from the Northern Territory of Australia to
Indonesian Customs Areas Other than Java and Sumatra Islands. This Regulation
implements the Memorandum of Cooperation relating to the preliminary customs
inspection facility in Darwin, Australia, for imported goods from the Northern Territory
of Australia to Indonesian customs areas other than Java and Sumatra, and Article 3,
paragraph (4) of Law No. 10 of 1995 regarding Customs, as amended by Law No. 17
of 2006. This Regulation revokes Minister of Finance Regulation No. 177/PMK.04/2010
regarding Procedures on Importing Goods from the Northern Territory of Australia to
Indonesian Customs Areas Other than Java and Sumatra Islands. This Regulation came
into effect on the date of its issuance.

Minister of Finance Regulation No. 137/PMK.08/2013, dated October 17, 2013,

regarding the Sale and Re-Purchase of Government Bonds in Foreign Currency in the
International Market. This Regulation merges the provisions contained in Minister of
Finance Regulation No. 77/PMK.08/2013 and Minister of Finance Regulation No. 236/
PMK.08/2012. It also amends several requirements to be able to become party to
the sale or re-purchase of government bonds. This Regulation revokes Minister of
Finance Regulation No. 77/PMK.08/2013 and Minister of Finance Regulation No. 236/
PMK.08/2012. This Regulation came into effect on the date of its issuance.

Minister of Finance Regulation No. 138/PMK.02/2013, dated October 17, 2013,

regarding the Amendment of Minister of Finance Regulation No. 113/PMK.02/2009
regarding Oil and Natural Gas Accounts. This Regulation was issued in response to the
issuance of Presidential Regulation No. 9 of 2013 regarding the Management of Oil and
Natural Gas Upstream Activities, which transfers the tasks, functions and organization
of the Upstream Oil and Gas Regulatory Body (BP Migas) to the Special Task Force for
Upstream Oil and Gas Business Activities (SKK Migas). This Regulation amends Article
1, paragraph (3), Article 4, paragraph (1) b, Article 5, paragraphs (3) and (6), introduces
Article 5, paragraph (6)a, and deletes Article 9. This Regulation came into effect on the
date of its issuance.

Minister of Finance Regulation No. 139/PMK.02/2013, dated October 17, 2013,

regarding the Payment Procedures for Fulfilling Domestic Market Obligations, and
Overlifting and Underlifting Contractors Fees in Upstream Oil and Gas Busines Activities.
This Regulation sets forth the payment procedures for domestic market obligations
(“DMO”) and underlifting fees stipulated by the Special Task Force for Upstream Oil and
Gas Business Activities (SKK Migas) for companies designated as contractors for oil and
gas exploitation and exploration activities. DMO requires contractors to sell a portion of
the oil and gas they produce to the Government for domestic consumption. There are
three variables in determining DMO payment: excess DMO fees for the previous period;

SSEK legal alert © 9 January 2014

 value of the contractor’s overlifting that is due; and excess reimbursement of VAT and/or
VAT on luxury goods to the contractor (Article 8, paragraph (1)). All payment applications
must be verified by the Director General of Treasury. This Regulation revokes Minister
of Finance Regulation No. 56/PMK.02/2006 and came into effect on the date of its
issuance.

Minister of Finance Regulation No. 143/PMK.011/2013, dated October 21, 2013,

regarding Guidelines for Providing Government Feasibility Support in the Form of Partial
Construction Costs to Infrastructure Projects under the Public-Private Partnership
Scheme. This Regulation implements Article 9, paragraph (2) of Minister of Finance
Regulation No. 223/PMK.011/2012. There are three stages under the Regulation, namely
(1) application of assistance principle license; (2) application for approval of the amount
of assistance; and (3) application for final approval. Additionally, this Regulation also sets
forth the process to disburse the assistance. This Regulation came into effect on the
date of its issuance.

Minister of Finance Regulation No. 174/PMK.06/2013, dated December 4, 2013,

regarding Procedures to Lease State Property. This Regulation concerns the leasing of
state property connected with the Armed Forces, the upstream oil and gas industry, the
mining and natural resources industry, and former assets of Pertamina. This Regulation
came into effect on the date of its issuance.

Minister of Finance Regulation No. 192/PMK.08/2013, dated December 16, 2013,

concerns the sale of state bonds by private placement in the public primary market. This
Regulation provides a legal basis for the purchase of state bonds by private placement
by a general service body. This Regulation came into effect on the date of its issuance.

Minister of Finance Regulation No. 209/PMK.02/2013, dated December 31, 2013,

on procedures for the procurement, disbursement and accountability of the fertilizer
subsidy fund. This Regulation was issued to support the national food policy. This
Regulation came into effect on the date of its issuance.

Minister of Finance Regulation No. 223/PMK.05/2013, dated December 31, 2013,

concerns the procedures for preparing and refunding foreign loans and/or foreign grants.
This Regulation implements Article 80, paragraph 2 of Government Regulation No. 10 of
2011 regarding the procedures to obtain foreign loans and grants. This Regulation came
into effect on the date of its issuance.

Minister of Finance Regulation No. 225/PMK.011/2013, dated December 31, 2013,

regarding the procedures to provide business feasibility guarantees to PT Perusahaan
Listrik Negara (Persero) for the development of power plants using renewable energy,
coal, and/or gas through cooperation with private electricity developers. This Regulation
implements Article 7, paragraph 2 of Presidential Regulation No. 4 of 2010 regarding the
appointment of PT Perusahaan Listrik Negara (Persero) to accelerate the development of
power plants using renewable energy, coal, and/or gas. This Regulation came into effect
on the date of its issuance.

Minister of Finance Decree No. 2160/KM.4/2013, dated October 30, 2013,

regarding the Stipulation of Export Prices for the Calculation of Export Duties. This
Decree was valid from November 1, 2013, until November 30, 2013.

SSEK legal alert © 10 January 2014

 Minister of Finance Decree No. 64/KM.11/2013, dated December 24, 2013,
regarding Currency Values as a Basis for the Repayment of Customs Duties, VAT on
Goods and Services, Sales Tax on Luxury Goods, Export Taxes, and Income Tax,
applicable as of December 25, 2013, until December 31, 2013.

forestry

Law No. 18 of 2013, dated August 6, 2013, regarding the Prevention and Eradication
of Forest Destruction. This Law sets forth, among other things, the types of actions
categorized as activities resulting in forest destruction, investigation, prosecutions and
court examinations related thereto, international cooperation for such prevention, witness
protection, reporting of forest destruction and sanctions for such violations. This Law
came into effect on the date of its issuance.

Minister of Forestry Regulation No. P.42/Menhut-II/2013, dated August 16, 2013,

regarding the Third Amendment of Minister of Forestry Regulation No. P.38/MENHUT-
II/2009 regarding Standards and Guidelines for Assessing the Utilization of Production
Forests and the Verification of Permits and Forest Use Rights. This Regulation came into
effect on the date of its issuance.

Minister of Forestry Regulation No. P.60/Menhut-II/2013, dated November 14,

2013, regarding River Basin Management Plans. This Regulation implements Article 37
of Government Regulation No. 37 of 2012 regarding the Management of River Basins.
Under the Regulation, the central and regional government, private sector, and the public
shall be involved in drawing up river basin management plans, and such plans should
be issued by the Minister, Governor, or Regent/Mayor in accordance with their authority.
River basin management plans will be valid for 15 years and will be evaluated and
reviewed once every five years. This Regulation revokes Minister of Forestry Regulation
No. P.39/Menhut-II/2009 regarding Guidance for the Stipulation of Integrated River Basin
Management Plans. It came into effect on November 14, 2013.

Minister of Forestry Regulation No. P.62/Menhut-II/2013, dated November 19,

2013, regarding the Amendment of Minister of Forestry Regulation No. P.44/Menhut-
II/2012 regarding the Determination of Forestry Areas. This Regulation was issued in
response to a Constitutional Court decision that found that customary forests are no
longer state forests and gave indigenous communities the right to manage their forest
areas. The Regulation introduces new provisions on the right of indigenous communities
to manage forestry areas. The Regulation came into effect on November 19, 2013.

Minister of Forestry Regulation No. P.64/Menhut-II/2013, dated December 5,

2013, regarding Water and Hydropower Utilization in Wildlife Reserves, National Parks,
Forest Parks, and Tourism Parks. This Regulation implements Article 40, paragraph
(2) of Government Regulation No. 28 of 2011 regarding the Management of Natural
Reserves. This Regulation stipulates that a license is needed for the utilization of water
and hydropower in these areas, and classifies the commercial use of such resources.
This Regulation came into effect on December 5, 2013.

Minister of Forestry Regulation No. P.65/Menhut-II/2013, dated December 12,

2013, regarding Forestry Policy Advisor for Borrow-Use Mining License Holders. The
holder of a forest area borrow-use license for mining activities must appoint a Forestry
Policy Advisor, who shall be either (a) a retired Ministry of Forestry official or (b) an official
from some other institution who is competent in forestry development policy. This
Regulation came into effect on December 12, 2013.

SSEK legal alert © 11 January 2014

 Minister of Forestry Decision No. SK.938/Menhut-II/2013, dated December 23,
2013, regarding the Amendment of Minister of Forestry Decision No. SK. 324/Menhut-
II/2012 regarding the Types of Licenses under the Online Licensing Service System.
Under this Decision, the types of licenses that may be obtained online are: (a) Natural
Forest Utilization Business License; (b) Industrial Forest Utilization Business License; (c)
Ecosystem Restoration Business License; (d) Forest Area Borrow-Use License for Mining
Production Activities and Non-Mining Activities; (e) Forest Area Borrow-Use License for
Survey/Exploration Activities; (f) Captivity License for Plants and Wild Animals Protected
by Law; (g) Eco-Tourism Business License; (h) Conservation Institution License; (i) Forest
Plant/Seed Export License; (j) Forest Plant/Seed Import License; (k) Business License for
Forestry Primary Industry with Capacity over 6,000 m3/year, (l) Relinquishment License
for Convertible Production Forest Area. This Regulation came into effect on December
23, 2013.

health

Government Regulation No. 86 of 2013, dated December 24, 2013, regarding

Procedures for Imposing Administrative Penalties on Employers excluding State Officials,
Certain Others, and Employers, Workers, and Recipients of Social Security Assistance.
This Regulation implements Article 17, paragraph (5) of Law No. 24 of 2011 regarding
Social Security Agencies. Employers, aside from State Administrators, must: (a) register
itself and its employees as participants in the Social Security Agencies (“BPJS”) and (b)
provide employee data to the BPJS. Administrative sanctions will be given to employers
that fail to register with the BPJS as required. This Regulation came into effect on
December 24, 2013.

Government Regulation No. 87 of 2013, dated December 24, 2013, regarding the
Management of Health Social Security Assets, implements Article 47, paragraph (2) and
Article 50, paragraph (2) of Law No. 40 of 2004 regarding the National Social Security
System, and Articles 41 (3), 43 (3), and 45 (2) of Law No. 24 of 2011 regarding Social
Security Agencies (“BPJS”). Under this Regulation, the BPJS for Health will manage the
Health Social Security assets). This Regulation came into effect on January 1, 2014.

Minister of Health Decree No. 312/MENKES/SK/IX/2013, dated September 3,

2013, regarding the 2013 National Essential Drugs/Medications List. The objective of
this Decree is to improve the quality of health services and guarantee the availability of
affordable medicines for all members of society. It revokes Minister of Health Decree No.
2500/Menkes/SK/XII/2011 regarding the 2011 National Essential Medicine List. This
Decree came into effect on September 3, 2013.

industry

Minister of Industry Regulation No. 51/M-IND/PER/10/2013, dated October 3,

2013, regarding the Definition, Limitation and Classification of Certain Labor-Intensive
Industries. Labor-intensive industries are defined as those where: i) the company
employs at least 200 people, and/or ii) manpower costs reach at least 15% of all
production costs. Labor-intensive industries include the food, beverage and tobacco
industries; textiles and ready-to-wear clothing; the leather and leather goods industry;
footwear industry; the toy industry; and the furniture industry. This Regulation came into
effect on October 3, 2013.

SSEK legal alert © 12 January 2014

land

Director General of Treasury Regulation No. PER-31/PB/2013, dated August 1,

2013, regarding Procedures for the Acceptance, Sharing and Distribution of Revenue
from Land and Building Tax. This Regulation implements Article 13, paragraph (3)
and Article 15, paragraph (6) of Minister of Finance Regulation No. 06/PMK.07/2012
regarding the Implementation and Accountability of Budget Transfers to the Regions.
This Regulation revokes Director General of Treasury Regulation No. PER-59/PB/2010
regarding Procedures for the Acceptance, Sharing and Distribution of Revenue from
Land and Building Tax; Director General of Treasury Circular Letter No. SE-01/PB/2911
regarding Further Guidance on Director General of Treasury Regulation No. PER-59/
PB/; and Director General of Treasury Circular Letter No. SE-21/PB/2011 regarding
Implementing Guidance for the Issuance of the Stipulation Letter on the Sharing of
Revenue from Land and Building Tax. This Regulation came into effect on August 1,
2013.

manpower and transmigration

Government Regulation No. 84 of 2013, dated December 19, 2013, regarding

the Ninth Amendment of Government Regulation No. 14 of 1993 regarding the
Implementation of the Manpower Social Security Program. This Regulation provides that
the dues for Work Accident Security and Death Security are to be fully borne by the
employer. This Regulation came into effect on January 1, 2014.

Government Regulation No. 99 of 2013, dated December 27, 2013, regarding

the Management of Employment Social Security Assets. Under this Regulation, the
Manpower Social Security Agency (“BPJS”) will manage Manpower Social Security
assets. This Government Regulation revokes Government Regulation No. 22 of 2004
regarding the Management and Investment of the Manpower Social Security Program. It
came into effect on January 1, 2014.

Presidential Regulation No. 109 of 2013, dated December 27, 2013, regarding
Stages of Participation in the Social Security Program. Stages of participation for
employees who work for employers aside from the state are categorized according
to the size of the business. Depending on the size of the business, employers must
register employees with the Manpower Social Security Agency to participate in the work
accident security program, old age security program, retirement security program, and
death security program starting from July 1, 2015. This Regulation came into effect on
December 27, 2013.

Minister of Manpower and Transmigration Regulation No. 12 of 2013, dated

December 30, 2013, regarding the Procedures to Utilize Foreign Employees. Foreign
workers may only be employed in certain positions and for a certain period of time. This
Regulation also provides comprehensive procedures for the licenses and obligations
to employ foreign workers, including the Foreign Worker Utilization Plan (“RPTKA”)
and License to Employ Foreign Workers (“IMTA”). This Regulation came into effect on
December 30, 2013.

Minister of Manpower and Transmigration Circular Letter No. SE.04/MEN/

VIII/2013, dated August 26, 2013, regarding Guidelines for the Implementation of
Minister of Manpower and Transmigration Regulation No. 19 of 2012 regarding the
Requirements for Outsourcing. This Circular Letter contains two main objectives:
to stipulate procedures for business associations in creating workflow charts for

SSEK legal alert © 13 January 2014

 outsourcing, and to regulate the registration obligations for companies that provide
outsourced labor and companies that contract for such outsourced labor. This Circular
Letter came into effect on August 26, 2013.

maritime affairs and fisheries

Minister of Maritime Affairs and Fisheries Regulation No. 23/PERMEN-KP/2013,

dated September 2, 2013, regarding the Registration and Marking of Fishery Vessels.
This Regulation implements Articles 36 and 37 of Law No. 31 of 2004 regarding
Fisheries, as amended by Law No. 45 of 2009. Any Indonesian-flagged fishing vessel
that operates within fishing management areas of the Republic of Indonesia must be
registered as an Indonesian fishing vessel. This Regulation came into effect on the date
of its issuance.

public works

Minister of Public Works Regulation No. 09/PRT/M/2013 of 2013, dated October 2,

2013, regarding Competency Requirements for Skilled Labor in the Field of Construction,
implements Article 8C, paragraph 6 of Government Regulation No. 4 of 2010 regarding
the Amendment of Government Regulation No. 28 of 2000 regarding Business and
Construction Services. This Regulation serves as a reference for the Construction
Services Development Board (“LPJK”) in issuing Expertise Certificates and Skills
Certificates. This Regulation came into effect on the date of its issuance.

Minister of Public Works Regulation No. 12/PRT/M/8/2013, dated November 21,

2013, regarding Water Savings by the Providers of Drinking Water Procurement Systems
within the Government, Regional Governments, State-Owned Enterprises and Regional-
Owned Enterprises. This Regulation came into effect on the date of its issuance.

tax

Government Regulation No. 77 of 2013, dated November 21, 2013, regarding

a reduced income tax rate for listed companies. Under this Regulation, listed
companies can receive a 5% reduction in the generally applicable corporate tax rate.
The requirements for such reduction are: (a) at least 40% of the paid-in capital is listed
for trading on the Indonesia Stock Exchange and included in the collective custody of
a custody and settlement institution; (b) such shares must be owned by at least 300
parties; (c) each party may only hold less than 5% of the total issued and paid-in shares;
and (d) the abovementioned requirements must be maintained a minimum of 183 days
within one fiscal year. This Regulation came into effect on November 21, 2013.

Government Regulation No. 100 of 2013, dated December 31, 2013, regarding the
Amendment of Government Regulation No. 16 of 2009 regarding the tax rate for bonds
interest held by mutual funds. Under this Regulation, a 5% tax rate will apply for the
period of 2014 to 2020, and that will increase to 10% beginning in 2021. This Regulation
came into effect on December 31, 2013.

SSEK legal alert © 14 January 2014

 Minister of Finance Regulation No. 142/PMK.02/2013, dated October 18, 2013,
regarding Procedures to Reimburse Value Added Tax on Taxable Goods and/or Services
for Geothermal Power Generating Businesses. This Regulation sets out the requirements
and procedures to reimburse Value Added Tax paid by geothermal businesses in the
2013 fiscal year. As of the effective date of this Regulation, Joint Decree of Director
General of Financial Bodies and Director General of Tax No. KEP-1288/LK/2000 and
No. KEP-68/PJ/2000 regarding Technical Guidance to Refund Value Added Tax Paid by
Geothermal Power Generating Businesses shall be revoked. This Regulation came into
effect 60 days as of the date of its issuance.

Director General of Taxation Regulation No. PER-29/PJ/2013, dated August 26,

2013, regarding the Form and Contents of Calculation Notes, Form and Contents of Tax
Assessment Letters and Contents of Tax Assessment Letters for Sale Tax on Contractors
of First Generation Coal Mining Procurement Agreements. This Regulation implements
Article 15 of Minister of Finance Regulation No. 145/PMK.03/2012 regarding Procedures
to Issue Tax Assessment Letters and Tax Collection Letters. It came into effect on the
date of its issuance.

Director General of Taxation Regulation No. PER-36/PJ/2013, dated October 30,

2013, regarding the Amendment of Director General of Taxation Regulation No. PER-47/
PJ/2008 regarding Procedures for the Electronic Submission of Notification Letters and
Extension Notifications through Application Service Provider Companies. This Regulation
deletes Article 5, paragraph (3) and Article 9, amends Article 5, paragraphs (2) and (4)
and Article 7, paragraph (1) of the preceding regulation. This Regulation also deletes
Attachment II and amends Attachment I of the preceding regulation. It came into effect on
January 1, 2014.

Director General of Taxation Regulation No. PER-37/PJ/2013, dated October 30,

2013, regarding Guidelines for Paying Income Tax for Taxpayers with Certain Gross
Earnings through Automated Teller Machines. This Regulation came into effect on the
date of its issuance.

Director General of Taxation Circular Letter No. SE-50/PJ/2013, dated October

24, 2013, regarding the Technical Guidelines for Audits of Taxpayers with Special
Relationships. As of the effective date of this Circular Letter, Director General of Taxation
Circular Letter No. SE-04/PJ.7/1993 regarding Guidance to Address Transfer Pricing
Cases is revoked and shall be deemed void. This Circular Letter came into effect on the
date of its issuance.

Director General of Taxation Circular Letter No. SE-54/PJ/2013, dated November

8, 2013, regarding the Appointment of Prospective Category II Civil Servants.

Director General of Taxation Circular Letter No. SE-55/PJ/2013, dated November

12, 2013, regarding Procedures for the Issuance of a Substitute Tax Assessment
Receipt.

Governor of DKI Jakarta Regulation No. 129 of 2013, dated November 21, 2013,
regarding Granting of Reductions and Elimination of Administrative Penalties for
Outstanding Land and Property Tax Receivables in Rural and Urban Areas based on
Delegation from the Central Government. This Regulation also provides individual and
corporate taxpayers in Jakarta with time-limited tax concessions. It is effective for 12
months as of the date of its issuance.

SSEK legal alert © 15 January 2014

trade

Minister of Trade Regulation No. 38/M-DAG/PER/8/2013, dated August 1, 2013,

regarding the Amendment of Minister of Trade Regulation No. 82/M-DAG/PER/12/2012
regarding Provisions on the Import of Cellular Phones, Handheld Computers and Tablet
Computers. This amendment is aimed at improving the supervision of cellular phone,
handheld computer and tablet computer imports. It provides new provisions on the
appointment of local distributors for cellular phones, handheld computers and tablet
computers; the obligation of local distributors to establish a business in Indonesia; and
exceptions on import requirements. This Regulation came into effect on August 1, 2013.

Minister of Trade Regulation No. 45/M-DAG/PER/8/2013, dated August 28, 2013,

regarding the Amendment of Minister of Trade Regulation No. 24/M-DAG/PER/5/2013
regarding Provisions on the Import of Soy under the Soy Price Stabilization Program. This
Regulation was issued to improve the movement and effectiveness of soy imports to
stabilize soy prices. This Regulation is effective as of August 29, 2013, save for Article 7,
paragraphs (6) and (7) and Article 7A, which are effective as of November 1, 2013.

Minister of Trade Regulation No. 61/M-DAG/PER/9/2013, dated September

30, 2013, regarding the Amendment of Minister of Trade Regulation No. 83/M-DAG/
PER/12/2012 regarding the Import of Certain Products. This Regulation amends, among
other things, verification mechanisms for imported products, the list of ports for imports
and exemptions on certain imported products. This Regulation came into effect on
September 30, 2013.

Minister of Trade Regulation No. 64/M-DAG/PER/10/2013, dated October 25,

2013, regarding the Stipulation of the Export Benchmark Price for Agriculture and
Forestry Products Subject to Export Duty. This Regulation implements Article 2,
paragraph (2) of Minister of Trade Regulation No. 36/MDAG/PER/5/2012 regarding
the Procedures to Stipulate the Export Benchmark Price for Agriculture and Forestry
Products Subject to Export Duty, as amended by Minister of Trade Regulation No.
54/M-DAG/PER/9/2013. This Regulation revokes Minister of Trade Regulation No.
58/M-DAG/PER/9/2013. It came into effect on November 1, 2013.

Minister of Trade Regulation No. 65/M-DAG/PER/10/2013, dated October 25,

2013, regarding the Stipulation of the Export Benchmark Price for Mining Products
Subject to Export Duty. This Regulation implements Article 2, paragraph (2) of Minister
of Trade Regulation No. 33/MDAG/PER/5/2012 regarding the Procedures to Stipulate
the Export Benchmark Price for Mining Products Subject to Export Duty, as amended
by Minister of Trade Regulation No. 55/MDAG/ PER/9/2013. This Regulation revokes
Minister of Trade Regulation No. 56/M-DAG/PER/9/2013. It came into effect on
November 1, 2013.

Minister of Trade Regulation No. 70/M-DAG/PER/12/2013, dated December 12,

2013, regarding Guidelines for Administering Traditional Markets, Department Stores
and Modern Stores. Under this Regulation, the establishment of traditional markets,
department Stores and modern stores shall be guided by the Regional Spatial Layout
Plan and the Provincial/Regency/Municipality Spatial Layout Plan. Business players
must obtain a license for a traditional market, department store or modern store. This
Regulation comes into force six months after its enactment, i.e., on June 12, 2014.

Minister of Trade Regulation No. 75/M-DAG/PER/12/2013, dated December

17, 2013, regarding Import Provisions for Used Capital Goods. Used capital goods
may only be imported by a: (a) Direct User Company, (b) Reconditioning Company, (c)
Remanufacturing Company, and/or (d) Medical Equipment Supply Company. The import

SSEK legal alert © 16 January 2014

 of used capital goods may only be done after obtaining import approval from the Director
of Imports at the Directorate General of Overseas Trade. This Regulation came into effect
on January 1, 2014, and expires on December 31, 2016.

Minister of Trade Regulation No. 77/M-DAG/PER/12/2013, dated December

20, 2013, regarding the Simultaneous Issuance of Business Trade Licenses and
Company Registration Certificates for Trading Companies. This regulation was enacted
to accelerate the issuance of Business Trade Licenses and Company Registration
Certificates. Under this Regulation, a trading company may submit a request for a
Business Trade License and Company Registration Certificate simultaneously through
the one-door integrated Service. This Regulation came into effect on December 20,
2013.

Minister of Trade Circular Letter No. 04/M-DAG/ED/12/2013, dated December 9,

2013, regarding Extensions for the Approval of Mining Products Export. This Circular
Letter provides that the export of raw minerals or ores is valid until January 12, 2014. This
Circular Letter came into effect on December 9, 2013.

Head of Commodities Futures Trading Regulatory Agency (“Bappebti”) Regulation

No. 106/BAPPEBTI/PER/2013 of 2013, dated October 30, 2013, regarding
Mandatory Financial Reporting and Provisions on Adjusted Net Capital for Futures
Brokers. This Regulation aims to provide Bappebti accurate information on futures
trading. It also aims to protect consumers by ensuring the financial soundness of futures
brokers. This Regulation came into effect on the day it was issued.

Head of Commodities Futures Trading Regulatory Agency (“Bappebti”)

Regulation No. 107/BAPPENTI/PER/11/2013 of 2013, dated November 26, 2013,
regarding Amendment to Head of Bappebti Regulation No. 99/BAPPEBTI/PER/11/2012
regarding Customers Online Electronic Acceptance in the field of Futures Trading.
The amendments are intended to provide more comprehensive requirements and
mechanisms for the acceptance of new customers through the online system. This
Regulation came into effect on the day it was issued.

transportation

Government Regulation No. 62 of 2013, dated October 2, 2013, regarding

Transportation Accident Investigations. This Regulation implements Article 177 of
Law No. 23 of 2007 regarding Trains; Article 257 of Law No. 17 of 2008 regarding
Shipping; Article 369 of Law No. 1 of 2009 regarding Aviation; and Law No. 22 of 2009
regarding Traffic and Road Transportation. This Regulation aims to regulate investigation
procedures for airplane, ship, train and land vehicle accidents by the National
Transportation Safety Committee (Komite Nasional Keselamatan Transportasi or “KNKT”).
The KNKT conducts investigations based on the “no blame, no judiciary and no liability”
principle, and the results of an investigation may not be used for court proceedings. This
Regulation came into effect on October 2, 2013.

Government Regulation No. 79 of 2013, dated December 10, 2013, regarding Traffic
Network and Road Transportation. This Regulation covers, inter alia, the Traffic Network
and Road Transportation Master Plan; road equipment; general parking facilities; and
support facilities. The Traffic Network and Road Transportation Master Plan is valid for
20 years and will be evaluated periodically, a minimum of once every five years. This
Regulation revokes Government Regulation No. 43 of 1993 regarding the Road Facilities
and Traffic. It came into effect on December 10, 2013.

SSEK legal alert © 17 January 2014

 Minister of Transportation Regulation No. PM.69 of 2013, dated August 20, 2013,
regarding National Airport Affairs. This Regulation implements Article 200 of Law No.
1 of 2009 regarding Aviation. The national Master Plan for Airports offers guidelines for
the construction, operation and development of airports. The National Airport Order
is applicable for a period of 20 years and will be reviewed once every five years. This
Regulation came into effect on August 20, 2013.

Minister of Transportation Regulation No. PM 74 of 2013, dated September 13,

2013, regarding the Amendment of Minister of Transportation Regulation No. KM 24 of
2009 regarding Civil Aviation Safety Regulation Part 139 regarding Aerodromes. This
Regulation concerns the operational hours of airports. It came into effect on September
13, 2013.

Minister of Transportation Regulation No. PM 83 of 2013, dated October 7, 2013,

regarding the Road Transportation Safety Polytechnic. This Regulation implements
Government Regulation No. 17 of 2010 regarding the Management and Execution
of Education, as amended by Government Regulation No. 66 of 2010. The Road
Transportation Safety Polytechnic (“POLTRAN”) organizes vocational education programs
related to road transportation safety. This Regulation came into effect on October 7, 2013.

Minister of Transportation Regulation No. PM 84 of 2013, dated October 7, 2013,

regarding the Recruitment and Employment of Ship Crews. This Regulation implements
Article 151 of Government Regulation No. 20 of 2010 regarding Transportation on Water.
Vessel owners/agents must sign a Sea Work Agreement (Perjanjian Kerja Laut or “PKL”)
to provide certainty and legal protection for sailors. This Regulation came into effect on
October 7, 2013.

Minister of Transportation Regulation No. PM 87 of 2013, dated November 6,

2013, regarding 2013 Pioneer Air Transport Tariffs. Pioneer air transportation tariffs
are stipulated by the Directorate General of Air Transportation based on the cost of
airplane operation and the purchasing power of communities. This Regulation revokes
Minister of Transportation Regulation No. PM 44 of 2012 regarding the 2012 Pioneer Air
Transportation Tariffs. This Regulation came into effect on November 6, 2013.

Minister of Transportation Regulation No. PM 90 of 2013, dated November

20, 2013, regarding Safety Measures for Dangerous Goods Transported by Air.
This Regulation provides a set of rules for transporting dangerous goods by air. The
Directorate General of Air Transportation shall oversee the implementation of the
Regulation. This Regulation came into effect on November 20, 2013.

***

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SSEK legal alert © 18 January 2014