Speeding the Process
Three-hour license service for energy sector launched
By Fedina S. Sundaryani/The Jakarta Post
Tuesday, January 31, 2017
The Investment Coordinating Board (BKPM) has launched a three-hour service for obtaining nine licenses connected to energy and mineral resources.
The government is encouraging large investments in the energy and mineral resources sectors this year, said BKPM head Thomas Lembong.
"Exports are still sluggish. Our consumption is strong, but we cannot encourage more or we would become an over-consumptive country. Investment [in the energy and mineral resources sectors] is the one thing we can boost," he said during the launch on Monday.
The new service would be applied to nine licenses related to infrastructure. When done through the BKPM's regular service, the process can take between 20 and 40 days.
Company directors seeking the three-hour service merely need to submit the required documents at a one-stop integrated service (PTSP) agency.
The licenses will be issued if the firm has met all administrative and technical requirements stipulated in Energy and Mineral Resources Ministerial Decree No. 15/2016 on the three-hour licensing service for infrastructure in the energy and mineral resources sectors.
Meanwhile, Energy and Mineral Resources Minister Ignasius Jonan said that his ministry was also trying to reduce the total number of permits needed in the energy and mineral sectors to only 20 by March in order to encourage more investments.
"We want to make it simpler, but also to ensure that it complies with existing regulations," he said. (bbn)
The following is the list of licenses to be issued through the three-hour service:
1. Temporary business license for electricity,
2. Temporary business license for oil/fuel/liquefied petroleum gas (LPG),
3. Temporary business license for storage of processed products/compressed natural gas (CNG),
4. Temporary business license for liquefied natural gas (LNG) storage,
5. Temporary business license for oil refinery,
6. Temporary business license for processing oil residue industry,
7. Temporary business license for natural gas processing,
8. Temporary business license for general trade of oil/fuel,
9. Temporary business license for general trade of processed products.