Indonesian National Single Window - Presidential Regulation

In order to increase national competitiveness and facilitate trade in the face of global competition, the Government has issued Presidential Regulation No. 10 of 2008. This Regulation sets out the utilization of an electronic system within the framework of the Indonesian National Single Window (INSW).

The underlying premise of the regulation is to ensure that there is ease, speed, and legal certainty in the channels used for exports and imports that in turn are designed to drive a reduction in transactional fees, particularly the fees relating to customs releases and the clearance of cargo.

Furthermore, having signed onto the Agreement to Establish and Implement the ASEAN Single Window, Indonesia has a number of commitments that must be met under the provisions of that Agreement. In order to fulfill those commitments it is clear that Indonesia needs a NSW that is effective, efficient, and continuous.

A traditional criticism of customs procedures has been a lack of legal certainty, particularly in the handling of customs related documentation and licensing procedures. The Regulation has been drafted with these concerns in mind and it is expected that the use of an electronic system will ensure that many of these criticisms are overcome as the likelihood of documents being misused is significantly reduced. The Regulation provides for the creation of guidelines that will allow for the development and application of the INSW system throughout Indonesia.

The Government is to establish a dedicated portal for the INSW system. The portal is to be established by the Minister of Finance (MoF) and this is to be regulated in a separate Presidential Decree. The portal address is to be http://www.insw.go.id.

The Regulation also stipulates the contact and relationship between the portal and its users. Furthermore, it sets out the rights and obligations of all involved parties. The Regulation also stipulates that all exporters, importers, shipping agents, and customs services agents are to be charged a fee for any services provided under the electronic INSW system.

The inclusion of facilities in the system to ensure that an audit trail is produced is an integral part of being able to track and examine the accuracy of all electronic transactions that are completed through the INSW system.

The possibility of a force majeure occurrence is considered in the Regulation and to this end should such an event occur which renders the electronic INSW system unusable then the previously defined emergency procedures are to be implemented to ensure that the a manual INSW system continues to operate. These emergency procedures are to be stipulated in a MoF Regulation.

All Departments, Non-Government Departments, and all other agencies are to be using the electronic INSW system by the end of September 2008. However, the introduction of the system is to be phased in during the stipulated period.

The Regulation has been in force since 26 February 2008.