Licensing process in Industrial Areas are Trimmed

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Desember 8, 2015

JAKARTA, – Head of Indonesian Investment Coordinating Board (BKPM) Sibarani Franky said, to facilitate the investors, the government will simplify the licensing process, especially in the industrial area.

Franky explained, generally the permit of investment consists of three stages, namely the principle permits, environmental permits, and the location permits. He said, usually in the industrial area of ​​licensing has been completed, namely two principle permits and location permits. To accelerate the process of investment, environmental permits can be taken care in parallel with the principle permits.

“We are trying to short cut, how to make investment license can be used by investors to undertake construction. While in parallel permit or other norms that are processed,” said Franky met after a coordination meeting at the Coordinating Ministry for Economic Affairs, Jakarta, Monday (28/9 / 2015).

Franky admits the required period of acquisition of the license in principle to enter the construction phase, usually lasting between 6 months to 1 year. With the short cut, then the construction phase can be started early.

According to Franky, this deregulation will not conflict with the AMDAL permitting process. Therefore, these deregulations are new force in the industrial area which incidentally had been prepared for industrial activities. However, the issue of sewage treatment plant, investors must fulfill the quality standards as the reference.

Franky said, the supervision order on this quality standard under the authority of the Ministry of Environment and Forests (KLHK).


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