Govt. Rolls Out Detailed Standards and Accreditation Process for Industrial Area Companies: Compliance Grace Period to Run until January 2027

In 2024, the Indonesian Government introduced Regulation of the Government No. 20 of 2024 on Industrial Zoning (“Regulation 20/2024”).[1] In essence, the framework of Regulation 20/2024 addresses the overall organization of industrial zoning and the development of concentrated areas that are equipped with adequate facilities for industrial activities (“Industrial Areas”).[2] This includes the obligation for companies that manage and develop Industrial Areas (“Industrial Area Companies”) to comply with various standards that apply to Industrial Areas. These standards comprise three core aspects (i.e. infrastructure, environmental management, and management and services), while any Industrial Area Companies that meet these standards will be designated with an accreditation.[3]