E-Commerce RPP Enters Public Test Stage, idEA admits it was a blunder

We received information that the Draft Government Regulation (RPP) regarding e-commerce submitted by the Ministry of Trade (Kemendag) has entered the public test stage. After seven days in this stage, this RPP is ready to be formalized and used to regulate e-commerce activities in Indonesia. idEA as the only association of e-commerce services, admits that they missed the government's move and considers the government not transparent.

RPP e-commerce itself is not new. This RPP has been proposed since more than three years ago during the presidency of the previous President. The head of idEA Daniel Tumiwa told DailySocial that the main focus of this RPP should be consumer protection, setting the position of the actors (e-commerce services, sellers, and buyers), their trading activities (such as imports, promotions, returning goods).

For a long time at the discussion level, suddenly the Ministry of Trade proposed a public test on this RPP without distributing public test materials in the form of draft final and only allows seven days for input to the regulations.

Daniel said, "Technically the invitation to start conducting public trials today leaves the conclusion that the Ministry of Trade is not transparent."

"That only given seven days to provide input on a regulation [which has not yet been obtained drafthis] that can turn our nation into a [nation] super powers or left behind, it doesn't make sense," he lamented.

New regulations tend to be counterproductive

idEA sees that the government's steps to regulate this tend to be counterproductive. An example is the policy regarding registration of KTP and NPWP for sellers in the service marketplace, no more talk certification. If this doesn't go well, idEA is concerned that sellers who have been painstakingly educated to use the platform marketplace will return to selling through social media services and messaging.

Daniel stated, "We believe [conditions] with minimal regulations are the best at this time. We agree that the priority is consumer protection. We will reject any rules that make us as local players not competitive against any foreign players, because from the beginning we did not get an incentive to develop this industry.."

"So all we ask is 'Level Playing Field'. If foreign players can't be controlled, why should local players have to be restrained? self regulation and ready to become an institution that carries out this task under any ministry," he continued.

Next idEA action

Against this public test, with idEA not even getting draft In the final RPP, idEA will focus on finding out how the rules for investment and ownership of e-commerce businesses are, how to protect the data privacy of e-commerce players, and of course the issue of certification polemics.

Daniel stated, "Today's action [yesterday], gives follow up against the meeting, that the promised rule matrix we have not received and that the seven-day public trial is an unlikely time. So we asked if we wanted to hold a public test, because the only opportunity for the industry to provide input officially and legally protected is during this public test."

"We are focusing on this public test period, so that we can immediately comment on the point by point [RPP]," said Daniel.