Selasa, 20 November 2018

The Application of Online Single Submission in Indonesia


Indonesia is moving towards an advanced technology in the licensing administration. Yet, there are still some problems to solve. 

In an effort to give a better service to the foreign and domestic investors and business owners, Indonesia has been reforming its way of issuing business licenses. Moving towards a simpler and less complicated way, President of Indonesia, Joko Widodo, has announced the new Peraturan Presiden (PP) Number 24 the Year 2018 regarding of the simplification of the process of business licensing through the Online Single Submission.




Where Can the Online Single Submission Be Accessed?

The announcement of the decree marked the launched of the online portal www.oss.go.id. Through the website, the investors and business owners will be able to register for Nomor Induk Berusaha (NIB) as well as to apply for the basic business licenses. 


Gradually, every company that is doing their business in Indonesia is expected to utilize the new online system.
During the transitional time between moving to manual to the online application, the government has provided a center called the OSS Lounge in the office of the Ministry of Economic Affairs. 


The lounge would be a place where the applying company can be assisted in doing the online registration process.
In the future, the OSS Lounge would still be available in the office of Badan Nasional Koordinator Penanaman Modal—replacing the former Pelayanan Terpadu Satu Pintu. Until all the resources are ready, the OSS would still work on the similar function as PTSP.


The government is currently doing a process of socialization to every local authority in Indonesia so that the OSS would be a national program for almost all business licenses. As of the end of June, there were already 50 regencies across Indonesia which are ready to serve the online integrated business licensing process.




The Difference between OSS and PTSP

Some of the governmental critic questions the efficacy of having several online registering systems in one country. Long before OSS was launched, BKPM has already introduced a similar program called the PTSP. So, what is the difference between the application of both systems?


         The Online Single Submission integrates the flow and the issuing process of the business licenses across local and national authorities.
         PTSP only works for local licenses in which the company is doing their business activities. To obtain the national licenses, the business owners need to register directly in the related department.
         The Online Single Submission has an integrated and shared database system which means that the company should not waste time in refilling forms for other additional licenses.





The Difficulty in Applying the Online Single Submission in Indonesia

In its implementation, the Online Single Submission system still has some flaws. First, investors and business owners have just begun to adapt to the system of PTSP. Now, they need to do another adjusting process of applying for their business licenses.


Another problem that can still be found is that some of the local authorities have their own online submission system. It will take more time before all the local system is integrated with the national government’s OnlineSingle Submission system.



As a conclusion, though the Online Single Submission is indeed an advanced innovation from the government, the application of it would still need more improvement and more active involvement from each of the authority levels in Indonesia.




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