Prepare ministerial regulations Kemenkominfo Require E-Commerce to Use Local Domains

To protect the public from fraud committed by E-commerce unclear, the Ministry of Communication and Informatics (Kemenkominfo) will oblige the organizer E-commerce to register. One of the conditions for registering is that the site E-commerce to use a local domain ending in .id.

The regulation will appear in one of the articles of the Draft Ministerial Regulation (RPM) concerning Procedures for Registration of Electronic System Operators. According to the plan, this regulation will be finalized and published in April.

According to the Director of E-Business Directorate General of Informatics Applications Kemenkominfo, Azhar Hasyim as quoted by Seconds Finance, the obligation to use local domains is intended so that the Government can track, block, and enforce the law on sites E-commerce which is problematic. This action cannot be performed on the site E-commerce with foreign domains (.com for example), because according to Azhar, the government does not have site owner data E-commerce Indonesia with a foreign domain.

Azhar confessed Kemenkominfo received many reports, including from people abroad, about fraud committed by the site E-commerce in Indonesia. In addition to providing benefits to consumers, this regulation is also intended to provide benefits to the organizers E-commerce itself. E-commerce with Indonesian domain and registered, will be published by Kemenkominfo as a safe shopping site.

Written by MetroNews, Yusuf IJsseldijk, Managing Director and CEO of GoIndonesia assessed that this step would hamper growth E-commerce in the country. In addition to being burdensome with the terms and costs to get a domain, the use of an .id domain will also make it difficult for the site E-commerce to compete on a global level.

The good news, still according to the article by MetroNews, this rule will not apply retroactively. That is, the site E-commerce that already exists, there is no need to switch to using a local domain. It's just that, the organizers of the electronic system include: E-commerce will still be subject to the obligation to register in accordance with Government Regulation on the Implementation of Electronic Systems and Transactions (PP PSTE).

In addition to setting about E-commerce, it seems that this RPM will also regulate the obligation to place data centers in Indonesia for system operators and electronic transactions. As is known, although PP PSTE has been issued, this obligation has not been carried out by electronic system operators such as BlackBerry (formerly RIM) and Google for reasons there is no technical regulation that regulates this yet.

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