OSS – an Ease of Doing Business in Indonesia
(OSS – online process for an ease of doing business in Indonesia. Indonesia expects an increase of FDI)
Online Single Submission (OSS) is an integrated business license services administered by Coordinating Ministry of Economic Affairs was launched end of June 2018. OSS has also represented the ‘single gateway’ that previously managed by BKPM, different ministries and government agencies (INSW) , Administrative System from Ministry of Law and Human Right (AHU) , central and regional government (PTSP /SPIPISE )
OSS is part of implementation of Presidential Regulation no 91/2017 related to “Ease of Doing Business in Indonesia” ( Percepatan Pelaksanaan Berusaha) The implementation regulation is regulated under PP no 24/2018 which is a positive milestone and comprehensive platform to synchronize the licenses of central and regional government, said Mr Thomas Lembong , Head of BKPM
The purpose of Online Single Submission (OSS) is to simplify the business licensing through integrated system that should be obtained 100% through on- line
New or existing investment should obtain Nomor Induk Berusaha (NIB) and business license and or commercial license through OSS.Since it is already integrated, the application will be an auto approval with no review of documents. There are 20 sectors managed by OSS such as power plant, agriculture, education and culture, SME until nuclear industry. However, for financial sector is still managed under Bank Indonesia and Otoritas Jasa Keuangan (OJK) and mining sector is still under Ministry of Energy and Mineral Resources (ESDM)
Things that investors should aware once they want to start the business:
- Register the business to notary and obtain the approval from Ministry of Law and Human Right
( Akta and SK pengesahan) ,
- Register for NIB through OSS.
NIB will also act as a Company Registration (TDP), Import License (API), custom access and manpower utilization plan (RPTKA) for expatriates if applicable.
- Obtain the tax ID (NPWP)
- Obtain Business License (Izin Berusaha)
Investors need to obtain Location permit, environmental permit, building permit (IMB) if the activity / location for certain locations
- Obtain operational license / commercial license
Such commitment need to be fulfilled in certain sector such as : hygiene certificate for restaurant, etc.
Currently OSS is still under transition process and some new features/menu have been published almost every day to cover all of the process such as new menu for business expansion, close down of Foreign Constrution Representative Office (BUJKA) etc