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Ease of Doing Business in

Indonesia

Indonesia Download Profile (2090.2KB, pdf)
Region East Asia & Pacific
Income Category Lower middle income
Population 257,563,815
GNI Per Capita (US$) 3,440
City covered Jakarta, Surabaya

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 91 106 up
15
61.52 58.51 down
3.01
Starting a Business 151 167 up
16
76.43 67.51 up
8.92
Dealing with Construction Permits 116 113 down
3
65.73 65.26 up
0.47
Getting Electricity 49 61 up
12
80.92 77.60 up
3.32
Registering Property 118 123 up
5
55.72 53.24 up
2.48
Getting Credit 62 70 up
8
60.00 55.00 up
5.00
Protecting Minority Investors 70 69 down
1
56.67 56.67
-
Paying Taxes 104 115 up
11
69.25 64.47 up
4.78
Trading across Borders 108 113 up
5
65.87 63.53 up
2.34
Enforcing Contracts 166 171 up
5
38.15 35.37 up
2.78
Resolving Insolvency 76 74 down
2
46.46 46.48 down
0.02

Positive= Doing Business reform making it easier to do business.Negative= Change making it more difficult to do business.

Viewing the data for

DB 2017 DTF (% points):

79.86

DB 2016 DTF (% points):

77.60

Change in DTF (% points):

up2.26

STANDARDIZED CONNECTION
Price of electricity (US cents per kWh) 11.0
Name of utility PT PLN
City Jakarta
Indicator Jakarta East Asia & Pacific OECD high income
Procedures (number) info_outline 5 4.5 4.8
Time (days) info_outline 59 72.9 76.2
Cost (% of income per capita) info_outline 357 714.6 62.5
Reliability of supply and transparency of tariff index (0-8) info_outline 6 3.6 7.5
  • Measure of efficiency
    No. Procedure Time to Complete Associated Costs
    1

    Obtain inspection and compliance certificate for internal wiring installation

    Agency: KONSUIL/ PPILN/ JASERINDO

    The client needs to obtain a certificate that guarantees the proper operation of the internal installation from the Komite Nasional Keselamatan Untuk Instalasi Listrik (KONSUIL), Perkumpulan Perlindungan Instalasi Listrik Nasional (PPILN) or Jasa Sertifikasi Indonesia.

    KONSUIL, PPILN and JASERINDO act as independent bodies in charge of inspecting and verifying the conformity of the installation works vis-a-vis the norms in place. This is in accordance with articles 21 paragraph (7) and 22 paragraph (2) of the Government Regulation number 3 Year 2005, amending Government Regulation number 10 Year 1989 on the Supply and Electricity Connections.

    The following documents need to be submitted:
    • Installation drawings
    • List of materials used: brand, size / specs

    After Konsuil/PPILN/Jaserindo certify the installation, then Konsuil/PPILN/Jaserindo will produce an SLO. PLN recommends its client to apply once the installation has already been certified and there is an SLO.

    7 calendar days IDR 2,572,500
    2

    Submit connection application to PLN and await approval and estimate

    Agency: PT Perusahaan Listrik Negara (PLN)

    The client can apply for a new connection through PLN's web-site www.pln.co.id - or through its call center.

    The client needs to input the following information with the application:
    - Identity Card number
    - Capacity of electricity connection
    - Address of warehouse
    - SLO number: PLN recommends its customers to apply once they have already obtained a certificate from KONSUIL/PPILN/Jaserindo

    As part of the application process, PLN may carry-out an external site inspection in Jakarta. This is the case for most locations in West Jakarta like the Tegal Alur area where PLN has to ensure that the existing network can take an additional load and if a new transformer needs to be installed.

    Upon his application, the client receives a registration number. The registration number is a code with which the client can pay the connection fee and the security deposit charge. The payment can be done through most local banks and their delivery channels (e.g. ATM, e-banking). As the payment is then processed, one of the vendors of PLN will be informed that the external works can commence.

    9 calendar days IDR 152,017,987.99
    * 3

    Receive external inspection by PLN

    Agency: PT Perusahaan Listrik Negara (PLN)

    An inspection of the site is needed to carry out a technical study of the connection works.

    1 calendar day IDR 0
    4

    Obtain external works from PLN's contractor

    Agency: PT Perusahaan Listrik Negara (PLN)'s contractor

    The external works consist of expanding the distribution network by installing an overhead transformer and connecting the warehouse to the network. PLN will typically contract-out the external works to approved vendors, but it provides the main materials needed (e.g. transformer, cables).

    40 calendar days IDR 0
    5

    Obtain final connection from PLN

    Agency: PT Perusahaan Listrik Negara (PLN)

    Once the works are finished, the PLN officer who monitored the external works informs PLN's inspection body. The inspection body then comes to check the technical readiness of the installation until the connection (meter) point, after which the electricity can be turned on. The client needs to be present when the installation gets energized.

    3 calendar days IDR 0

    * Takes place simultaneously with previous procedure.

  • Measure of quality
    Answer
    Reliability of supply and transparency of tariff index (0-8) 6.0
    Total duration and frequency of outages per customer a year (0-3) 2.0
    System average interruption duration index (SAIDI) 2.61
    System average interruption frequency index (SAIFI) 1.72
    Mechanisms for monitoring outages (0-1) 1.0
    Does the distribution utility use automated tools to monitor outages? Yes
    Mechanisms for restoring service (0-1) 1.0
    Does the distribution utility use automated tools to restore service? Yes
    Regulatory monitoring (0-1) 1.0
    Does a regulator—that is, an entity separate from the utility—monitor the utility’s performance on reliability of supply? Yes
    Financial deterrents aimed at limiting outages (0-1) 1.0
    Does the utility either pay compensation to customers or face fines by the regulator (or both) if outages exceed a certain cap? Yes
    Communication of tariffs and tariff changes (0-1) 0.0
    Are effective tariffs available online? Yes
    Link to the website, if available online www.pln.co.id/blog/tarif-tenaga-listrik
    Are customers notified of a change in tariff ahead of the billing cycle? No
    Answer
    Price of electricity (US cents per kWh) 11.0

    Note:

    If the duration and frequency of outages is 100 or less, the economy is eligible to score on the Reliability of supply and transparency of tariff index.

    If the duration and frequency of outages is not available, or is over 100, the economy is not eligible to score on the index.