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Lack of commitment, synergy hinders OSS licensing system
The OSS system is part of series of deregulatory measures and incentives implemented by President Joko ”Jokowi” Widodo’s administration to improve ease of doing business in the country
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Taiwan-based electronics company PT Pegatron Technology Indonesia, officially began operating its plants in the Batamindo Industrial Zone, Batam, Riau Islands, in July this year. A study by Regional Autonomy Watch (KPPOD), showed that the online single submission (OSS) licensing system had not been optimally implemented due to a lack of commitment from regional governments. (JP/Fadli)
D
espite its ability to speed up the process of obtaining business licenses, the centralized online submission system launched by the government last year has yet to be optimally implemented as sectoral ego remains a hindrance.
A study by Regional Autonomy Watch (KPPOD) revealed a lack of commitment, especially from regional administrations, in adopting the online single submission (OSS) system as each administration has already implemented its own application-based business licensing system that has not been integrated into the OSS system.
KPPOD researcher Boedi Rheza said on Sep. 11 that only a few of those regional administrations had issued business licenses, which comprised business opening license and operational license, through the OSS system even though these types of license should be issued through the OSS system as stipulated in Government Regulation No. 24/2018.
“Most administrations only use the OSS system to issue NIBs [business registration numbers],” he said at a discussion in Jakarta.
The study was conducted in 11 city and regency administrations in six provinces in Indonesia, namely Jakarta, North Sumatra (Deli Serdang and Toba-Samosir), West Kalimantan (Pontianak and Kubu Raya), East Java (Surabaya and Sidoarjo), West Nusa Tenggara (Mataram and Central Lombok) and South Sulawesi (Makassar and Maros).
The OSS system, which electronically integrates business licensing services, was officially launched in July 2018 and applies to all government offices throughout the country. In addition to the existing One Stop Integrated Licensing (PTSP), businessmen or residents can apply for permits not only to set up business but also to build a house through the online system.
The OSS system is part of series of deregulatory measures and incentives implemented by President Joko ”Jokowi” Widodo’s administration to improve ease of doing business in the country.
