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INDONESIA INVESTMENT 

PROMOTION CENTER 

New York Office

Industrial Estates Opportunity

Industrial Estates

Indonesia Industrial Estates plays a strategic role in driving national economic growth through the provision of various incentives and facilities that attract investors.

Facilities

Tax HolidayImplemented in accordance with the general provisions governing Tax Holidays, applicable to 18 designated pioneer industries. Exemption of Corporate Income Tax ranging from 50% to 100% for a period of 5 to 20 years for investments in pioneer industries.

Ease of Business Licensing in Industrial Estates

Within Industrial Estates

  • Approval for conformity of spatial utilization activities for Business Entities and Business Actors located within Industrial Estates is granted through the OSS-RBA system without the need for an assessment stage of the proposed spatial utilization document (automatic PKKPR).

  • Business licensing issuance is completed within 2 hours.

  • Industrial companies operating within Industrial Estates must prepare a Detailed Environmental Management and Monitoring Plan (RKL-RPL Rinci) based on the Estate’s RKL-RPL.

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Outside Industrial Estates

  • In regions where a Detailed Spatial Plan (RDTR) has been established, business actors may utilize the automatic KKKPR mechanism. However, if the region has not yet established an RDTR, business actors may apply for PKKPR based on the results of spatial planning studies, recommendations from the Spatial Planning Forum, and relevant technical considerations (Pertek).

  • Business licensing is issued under a risk-based approach in accordance with the Service Level Agreement (SLA) and Government Regulation No. 5 of 2021.

  • Business actors are required to obtain environmental approvals (SPPL, UKL-UPL, or AMDAL) according to their respective risk categories.

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