The Required Licenses and Compliance to Operate a Logistic Service Company In Indonesia

Perusahaan Freight Forwarding dan Perusahaan Angkutan BarangPursuant to Government Regulation Number 15 of 2013 on Post (“GR No. 15/2013”), Logistic Service is the activities of planning, management, and control of the delivery and storage of goods, including management information services, and related to administration which carried out by the company.

Logistic service is a part of definition of Postal Service, thus to operate Logistic Service Business. Furthermore, logistic is also regulated by Minister of Transportation Decree Number 10 of 1988 on Transportation Management Service (“MOT Decree No. 10/1988”).

In addition, in operating the vehicle to transport the freight on the road, the company shall also comply to Minister of Transportation Decree Number 69 of 1993 on Freight Transportation Operating on the Road as amended by Minister of Transportation Decree Number 30 of 2002 (“MOT Decree No. 69/1993”).

Thus, the required licenses are as follows:

(i)    Izin Penyelenggaraan Pos (Postal Service License/”IPP” )

Requirements

  1. Application Letter;
  2. Article of Association and its amendments;
  3. Taxpayer Registration Number (NPWP);
  4. Capital Structure, Board of Director and Board of Commissioner;
  5. Proposal of Business Plan;
  6. Recommendation from Governor or bupati/walikota;
  7. Comply with provision of foreign equity ownership limitation.

Issuers

IPP may be issued by the Ministry of Communication and Telecommunication to an Indonesian business entity.
Issuance period

IPP shall be issued no later than 14 business days as of the submitted application of IPP has been completely received by the authorized party.

Tariff on the issuance

In accordance with Government Regulation Number 7 of 2009 on Rates and Type of Non Tax Revenue Apply To Department of Communication and Information, the tariff for postal service business is Rp 1.000.000,00 per license.

Validity period

IPP shall be valid as long as the Company still running its business activities and meet the obligations. The Company also shall report their business activities every 6 (six) month to Minister of Communication and Telecommunication.

(ii)    Izin Usaha Angkutan (Transportation Service Business License/”IUA”)

Requirements

  1. Application Letter;
  2. Article of Association and its amendments;
  3. Taxpayer Registration Number (NPWP);
  4. Business Location Permit ( Surat Izin Tempat Usaha / “SITU”)
  5. Certificate of Domicile (SKDP)
  6. Statement letter of capable to own or control 5 (five) vehicles  (only for Applicant who domicile in Java and Sumatra);
  7. Statement Letter of capable to provide vehicles storage facility.

Issuer

IUA may be issued to an Indonesian Company by:

(a)    Regent or Mayor in accordance with domicile of the Company;
(b)    Governor of Jakarta for applicants who domiciled in Jakarta;
(c)    Governor of Riau Province to applicants who domiciled in Batam.

Issuance Period

IUA shall be issued no later than 14 business days as of the submitted application of IUA has been completely received by the authorized party.

Tariff on the issuance

There is no provision on the tariff on the issuance of IUA pursuant to our checking with the regulations.

Validity period

The regulations are not stipulated the IUA validity period, but in accordance with our conversation with Department of Information and Communication official the IUA shall be valid as long as the Company still running its business activities and meet its obligations.

(iii)    Izin Usaha Jasa Pengurusan Transportasi (Transportation Management Service Business License / “IUJPT”)

Requirements and Compliances

(a)    Application Letter;
(b)    Article of Association and its amendments;
(c)    Taxpayer Registration Number (NPWP);
(d)    The Company possessed paid up Capital in the amount of Rp 200.000.000 (two hundred millions rupiah);
(e)    All shares of the Company shall be owned by Indonesian Citizens or Indonesian Business Entity;

Issuer

IUJPT may be issued by the Ministry of Transportation to an Indonesian business entity.

Issuance Period

IUJPT shall be issued no later than 14 business days as of the submitted application of IUJPT has been completely received by the authorized party.

Tariff on the issuance

There is no provision on the tariff on the issuance of IUJPT pursuant to our checking with the regulations.

Validity period

The IUJPT shall be valid as long as the Company still running its business activities and meet its obligations.

Additional Compliance to operate Vehicle with Cooling Box/Freezer

(i)    The Vehicles

To Vehicles with freezer should meet the requirements as follow:
(a)    The name of the Company should be attached to right and left side of the vehicle’s body;
(b)    Identification of the driver should be place in the dashboard of the vehicle.

The Procedure of Operation

The standard of operation to operate the vehicles should meet the requirement as follow:

(a)    Before the loading and unloading of the goods, this requirement should be done by the Company:

  1. The Company should check or provide the loading or unloading equipment in accordance with the good to be transported;
  2. The loading and unloading activities should be done in appointed places and do not interfere the safety, security and continuity of traffic activities.

(b)    In the case of the loaded goods exceeds the outer rear of the vehicles, the Company should sign the vehicle with lights and reflectors.

The Required Licenses and Compliance To Operate The Cold Storage (Warehouse).

Based observation on prevailing regulations, there is no special licenses or compliance to operate the Cold Storage/Cold Warehouse, thus to operation subject to general regulations concerning Storage/Warehouse establishment.

Requirements and Compliances

(i)    Storage Registration Certificate (Tanda Daftar Gudang/”TDG”)

Requirements
(a)    Application Letter;
(b)    Copy the establishment warehouse issued by Regional Government;
(c)    Document evidencing the ownership or controls of the Building.

Issuer

TDG may be issued to an Indonesian Company by Regent or Mayor in accordance with domicile of the Company.
Issuance Period

TDG shall be issued no later than 5 business days as of the submitted application of TDG has been completely received by the authorized party.

Tariff on the issuance

In accordance with Regulation of Ministry of Trade Number 3 of 2006 Concerning Warehouse Arrangement and Development, the tariff issuance of TDG  is as follow:
(a)    Small Warehouse is no more than Rp.100.000;
(b)    Medium Warehouse is no more than Rp.200.000;
(c)    Large Warehouse is no more than Rp.300.000;

Validity period

The TDG shall be valid for 5 years as of the date of the issuance and shall be renewed 3 (three) months before the expired date.

(ii)    The Compliance with Standard of Building Construction as stipulated in Regulation No.28 of 2002 Concerning Buildings.

(a)    Administrative Requirement /Compliance, which include:

i    Certificate of the rights of land;

ii    Document evidencing the ownership of the Building issued by Regional Government;

iii    Building Construction Permit (Izin Mendirikan Bangunan /”IMB”)

(b)    Technical Requirement / Compliance, which include:

i    Layout Requirement / Compliance which includes:

  • Designation and intensity requirement, it’s should Comply with Rencana Tata Ruang Wilayah kabupaten/kota (“RTRW”), Rencana Detail Tata Ruang Kawasan Perkotaan (“RDTRKP”), and  Rencana Tata Bangunan dan Lingkungan (“RTBL”);
  • The requirements for the architecture of the building, the building should be designed by considering the rules of aesthetic forms, architectural characteristics, and the environment around them.
  • The requirements of the Environmental Impact Management, Each buildings that produce significant impacts, must be preceded by an environmental impact management to include in accordance with the laws and regulations in the field of environmental management

ii    Reliability requirements, which includes:

  • Safety requirements, Every building structure must be planned as strong / sturdy, and stable in shouldering the load combinations and meet the requirements serviceability during the planned service life by considering the function of the building, location, durability, and the possible implementation of construction
  • Health requirement, every building should possess has heater, lighting, sanitation and the use of building materials system.
  • Convenience Requirements, the building convenience requirements includes the convenience of latitude and the relationship between each latitude, air condition inside the space, the views, and the level of vibration and noise levels.
  • Simplicity Requirements, the conveniences connection to, from, and within the building, as well as the completeness of the utilization of infrastructure and facilities in the building.

About the Author

Seorang Lawyer dan Auditor yang menguasai ilmu khusus seperti Tindak Pidana Korupsi, Penyelesaian Sengketa Pemilihan Kepala Daerah, Pengadaan Barang dan Jasa Pemerintah dan Hibah Daerah /Bantuan Sosial

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