REGULATION OF THE PRESIDENT OF THE REPUBLIC OF INDONESIA NUMBER 14 YEAR 2017
CONCERNING
THE AMENDMENT TO PRESIDENTIAL REGULATION NO.4 YEAR 2016 CONCERNING THE ACCELERATED DEVELOPMENT OF ELECTRIC
POWWER INFRASTRUCTURE
BY THE GRACE OF GOD THE ALMIGHTY,
THE PRESIDENT OF THE REPUBLIC OF INDONESISA,
Regulation No.4 Year 2016 concerning the Accelerated Development of Electric Power Infrastructure:
In view of : 1. Article 4 sub-article (1) of the 1945 Constitution of the Republic of Indonesia;
2. Law No.30 Year 2009 concerning Electric Power (State Gazette of the RI of 2009 No.133, State Gazette Supplement of the RI No.5052);
3. Government Regulation No.14 Year 2012 concerning Business Activities of Supplying Electricity (State Gazette of the RI of 2012 No.28, State Gazette Supplement of the RI No.5281) as amended with Government Regulation No.23 Year 2014 concerning the Amendment to Government Regulation No.14 Year 2012 concerning Business Actvities of Supplying Electricity (State Gazette of the RI of 2014 No.75,State Gazette Supplement of the RI No.5530);
HAS DECIDED
To establish: THE REGULATION OF THE PRESIDENT CONCERNING THE AMENDMENT TO PRESIDENTIAL REGULATION NO.4 YEAR 2016 CONCERNING THE ACCELERATED
DEVELOPMENT OF ELECTRIC POWER
INFRASTRUCTURE.
Article 1
Several provisions in Presidential Regulation No. 4 Year 2016 concerning the Accelerated Development of Electric Power Infrastructure (State Gazette of the RI of 2016 No.8) are amended to read:
1. The provision of figure 9 Article 1 is amended, to read:
Article 1 In this Presidential Regulation:
2. The development of Electric Power Infrastructure hereinafter abbreviated to PIK refers to the activities of planning, procuring and realization in the framework of providing Electric Power Infrastructure.
3. PT Perusahaan Listrik Negara (Persero) hereinafter referred to as PT PLN (Persero) refers to a Corporation PT Perusahaan Listrik Negara.
4. Licensing refers to all forms of agreement issued by the Central Government and the Regional Government that has the competence in compliance with the provisions of laws and regulations.
5. Non-licensing refers to all forms of services, fiscal facilities,data, and information in compliance with the provisions of laws and regulations.
6. Central Government refers to the President of the Republic of Indonesia holding the authority of state governance of the Republic of Indonesia assisted by a Vice-President and ministers as referred to in the 1945 Constitution of the RI.
8. Self-managed refers to the activities of PIK whose work is planned, worked on and/or supervised by PT PLN (Persero) itself.
9. Developer of Power Plant hereinafter abbreviated to PPL refers to a business entity supplier of electricity in the form of state-owned business entity, region-owned business entity, coperatives and private entities in cooperation with PT PLN (Persero).
10.Electricity Primary Energy refers to an energy source, which either derived from fossil or renewable energy required to produce electricity. . 11. One Door Integrated Service hereinafter
abbreviated to PTSP refers to an integrated service in one unit process beginning from the application stage up to the stage of accomplishing the product of service through one door.
12. Capital Investment Body and One Door Integrated Service of a Province hereinafter abbreviated to Provincial BPMPTSP refers to the organizer of PTSP in a province.
2. The provision of Article 4 is added with 1 (one) sub-article,namely sub-srticle (3), thereby Article 4 reads:
Article 4
(1) The realization of PIK by PT PLN (Persero) as referred to in Article 3 sub-article (1) is caried out through:
a. Selfmanaged; and
b. Cooperation in supplying electricity
(2)The realization of PIK by PT PLN (Persero) through cooperation in supplying electricity as referreed to in sub-article (1) letter b, is effected with a business entity supplier of electricity, namely:
a.a subsidary company of PT PLN (Persero) b. PPL.
(3) The provisions concerning cooperation in supplying electricity in the framework of assignment is effected based on directives regulated by the Regulation of the Minister administering governance affairs in state-ownd business entity.
3. The provision of sub-article (2) Article 5 is amended, to read: Article 5
a. PT PLN (Persero) has a financing capacity for equity and cheap financing source;
b. low construction risk; c. availability of fuel supply;
d. peaker which has the function of controlling the dependability of operation; and/or
e. isolated development system.
(2)The realization of PIK through Selfmanaged, covers: a. generation;
b. transmission; c. distribution;
d. sub station; and/or e. other supporting means.
4. The provision of sub-article (1) letter d and sub-article (2) letter c Article 6, are amended to read:
Article 6
(1)In the framework of improving the financing capacity of PT PLN (Persero) as referred to in Article 5 sub-article (1) letter a, the Central Government supports the availability of financing through:
a. state capital participation;
b. extending of loans from Government loan from abroad and/or home;
d. providing ease in the form of incentives and taxation facilities in compliance with the provisions of laws and regulations; and/or
e. other financing in compliance with the provisions of laws and regulatiions.
(2)PT PLN (Persero) in improving its financing capacity carries out:
a. restructuring of financing through optimizing the financial assets of PT PLN (Persero);
b. hedging according to the expose profile of foreign currency obligation risk of PT PLN (Persero);
c. refinancing; and/or
d. usi g the o pa y’s usi ess profit y pressi g down dividend payout ratio as minimal as possible 5. Between Article 8 and Article 9 is inserted 1 (one) Article namely Article 8A, thus it reads:
Article 8A
(1)PT PLN (Persero) is conducting cooperation in supplying electricity with PPL through sale and purchase transaction and not in rental agreement transaction.
Financial Service Authority in compliance with the provisions in laws and regulations in the capital market.
(3)The implementation of accountancy as referred to in sub-article (2) may start to be realized for the financial report of 2016.
6. The ptovision of Article 9 is amended to read:
Article 9
(1)The realization of PIK through cooperation in supplying elctricity with PT PLN (Persero) subsidiary company as referred to in Article 4 sub-article (2) letter a is effected in the case of cooperation between PT PLN (Persero) and domestic business entity and/or foreign business entity.
(2)PT PLN (Persero) subsidiary company as referred to in sub-article (1) is a subsidiary company of PT PLN (Persero) whose shares are at least 51% (fifty-one percent) owned by PT PLN (Persero) either directly and/or through another subsidiary company of PT PLN (Persero).
a. provision of financing required by PT PLN (Persero);
b. possessing the availability of energy to be used by PT PLN (Persero) in PIK;
c. Transfer of technology; and/or
d. Improving the capacity of domestic production. (4)Cooperation with foreign business entity as referred
to in sub-article (1) is prioritized with business entity whose shares are owned by the country concerned (foreign-owned busiess entity).
7. The provision of Article 16 is added with 1 (one) sub-article, namely sub-article (4) thereby Article 16 reads:
Article 16
(1)In the framework of augmenting the use of local goods/services (local content), PT PLN (Persero), the subsidiary company of PT PLN (Persero), and/or PPL may cooperate with foreign business entity which has a commitment in developing electric power equipment and components, national human resources, and transfer of technology required in the realization of PIK (2) Development of electric power equipment and
(3)The realization of cooperation as referred to in sub-article (1) is effected in inter-government cooperation scheme.
(4)The provision regarding cooperation with foreign business entity in the framework of assignment is effected based on directives regulated by the Regulation of the Minister administering governance affairs in state-owned business entity.
8. The provision of sub-article (3) Article 32 is erased to read:
Article 32
(1)In the framework of expediting the realization of PIK, the Central Government and the Regional Government finalize the determining of the National Area Spatial Plan, Detailed Plan of Area Spatial Design, or Coastal Area and Small Islands Zoning Plan.
of Area, whose Change in Spatial Allotment has not been determined (Holding Zone).
(3)Deleted.
(4)PIK in the form of the use of water power,solar and wing may be carried out in Natura Reserves and Nature Conservation Area in compliance with the provision of laws and regulations.
(5)PIK as referred to in sub-article (4) includes transmission.
9. The provision of Article 33 is amended to read:
Article 33
(1)Land for realizing PIK is readied by PT PLN (Persero), the subsidiary company of PT PLN (Persero), or PPL in the framework of realizing PIK.
(2)Preparing the land as referred to in sub-article (1) may be done through land procurement or using other infrastructures land.
(3)Land procurement as referred to in sub-article (2) is done based on the provision of laws and regulations in land procurement for development in public interest using minimum time.
transferred by the owner to another party except to the National Land Agency.
(5)The use of another infrastructure land as referred to in sub-article (2) constitutes the use of land used for road infrastructure, railroad infrastructure, or infrastructure of gas pipe to be traversed by the Electric Power Infrastructure either above the ground or underground.
10. Between Article 35 and Article 36, 1 (one) article is inserted, namely Article 35A which reads:
Article 35A
(1)The use of other infrastructure land as referred to in Article 33 sub-article (5) is effected through cooperation with the Central Government, the Regional Government and/or business entity.
(2)The period of cooperation as referred to in sub-article (1) is the period of using the Electric Power Infrastructure determined by PT PLN (Persero).
(4)In the framework of cooperation as referred to in sub-article (3) PT PLN (Persero) provides compensation in the form of rental of state/regional property given once during the period of cooperation.
(5)The Central Government or the Regional Government may give a relief on the rental tariff/amount of state/regional property as referred to in sub-article (4).
(6)Cooperation between PT PLN (Persero) and a business entity is based on good business principles. (7)In the framework of cooperation, PT PLN (Persero) as
referred to in sub-article (6) provides compensation given once during the period of cooperation.
(8)In the case the business entity as referred to in sub-article (6) is a state-owned business entity, cooperation is made between state-owned business entities.
(9)The realization of cooperation between state-owned business entities as referred to in sub-article (8) is coordinated by the minister who administers governance affairs in state-owned business enterprise.
administers governance affairs in energy and mineral resources.
11. Between CHAPTER VII and CHAPTER VIII 1 (one) chapter is inserted, namely CHAPTER VIIA that reads:
CHAPTER VIIA
ENVIRONMENTAL MANAGEMENT 12.Between Article 37 and Article 38, 1 (one) article is
inserted, namely Article 37A that reads: Article 37A
(1)PT PLN (Persero), a subsidiary company of PT PLN (Persero) or PPL may make use of the waste, used by a power plant, which derived from fossil energy in the form of coal in compliance with the provision of laws and regulations in environmental management.
(2) Utilization of waste as referred to in sub-article (1) can be used as construction material for infrastructure.
Article 11
In order that it be known to all, the promulgation of this Presidential Regulation is ordered to be published in the State Gazette of the RI.
Established in Jakarta On February 13, 2017
PRESIDENT OF THE REPUBLIC OF INDONESIA Signed
JOKO WIDODO
Promulgated in Jakarta On February 20, 2017
THE MINISTER OF JUSTICE AND HUMAN RIGHTS OF THE REPUBLIC OF .INDONESIA.
Signed
