Nani Afrida, The Jakarta Post,

Jakarta -A dozen foreign companies have expressed interest in making more than US$5 billion in investments in Indonesia over the next three to five years, an official says.

“Their interests include coal, railways, ports and bauxite smelting,” Investment Coordinating Board (BKPM) chairman Gita Wirjawan Gita said on Monday after the European Union-Indonesia Business Dialogue in Jakarta.

In the case of bauxite, a planned smelter would process the ore into aluminum, he said.

“The smelter will boost the bauxite’s value, so Indonesia will get benefits from the smelter,” Gita said.

Jakarta,– The Investment Coordinating Board of The Republic of Indonesia (BKPM) announced and gave Appreciation To the One Stop Service Providers (PTSP) in the Field of Best Investment in Level of Province, Regency and City of the Year 2010.
This award is one efforts in success of the Presidential Instruction Number 1 Year 2010 on the Acceleration of Implementation of National Development and the Joint Circular of the Minister of Home Affairs, Minister for Administrative Reform and the Chairman of BKPM No. 570/3727/SJ; Number SE/08/M.PAN-RB/9/2010; Number 12 Year 2010 on 15 September about the Synchronization the Implementation of Investment Services in the Region.
“This award is an appreciation of BKPM for the efforts held by local governments in providing licensing service and non-licensing related to investment. It is expected that areas that receive the award will continue to maintain and continuously improve the quality of services to investors and potential investors. And for other areas that have not been awarded, this can spur healthy competition in order to improve the implementation of PTSP, “said Chairman of BKPM, Gita Wirjawan.
In 2010 BKPM has conducted evaluation and assessment of qualifications to 130 One Stop Service Providers in Capital Investment at province, regency and city. Implementation of assessment refers to Rule of Capital Investment Coordinating Board Number 11 Year 2009 on Guidelines and Procedures for Implementation, Development and Reporting Integrated Services in the Field of Investment with aspects of the assessment, include: professionals human resources and meet the reliable competencies, venue of PTSP, facilities and infrastructure of work, information media, mechanism of work in the form of a clear investment guidelines of PTSP, easily understood and easily accessible to investors, the help desk and interconnection of Information Service System and Electronic Investment Services (SPIPISE).

Collection and verification of data and information in site to 130 Providers of PTSP in Capital Investment held by PT. Surveyor Indonesia. 130 Providers of PTSP in Capital Investment consists of 33 Providers of PTSP Provincial Investment (entire province), 53 Providers of PTSP Investment Regency, and 44 Providers of PTSP City Investment. From the verification of data and information in site has been selected 10 nominees Providers of PTSP Investment of the Year 2010 for each Province, Regency, and the City (details attached).

Based on verification of data and information in site, and explanation made by Nominee, Assessment Team consisting of representatives from Secretariat of the Vice President, Coordinating Ministry for Economic Affairs, Ministry of Interior, Ministry of Commerce, Ministry of Administrative Reform and Bureaucratic Reform and the Investment Coordinating Board, has agreed One Stop Service Providers (PTSP) in the Capital Investment of the Year 2010 at the Level of Province, Regency and City as follows:

1) PTSP Providers in Provincial Capital Investment of the Year 2010:

First Rank             : Investment Board of East Java Province

Second Rank        : Regional Investment Board of South Sumatera Province

Third Rank           : Integrated Licensing Service Board of West Java Province

2) PTSP Providers in the Field of Regency Capital Investment of the Year 2010:

First Rank             : Integrated Licensing Board of Sragen Regency – Central Java

Second Rank        : Integrated Licensing Service Board of Sidoarjo – East Java

Third Rank           : Investment Board and One Stop Licensing Service of

Purwakarta Regency – West Java

3) PTSP Providers in Best City Capital Investment in 2010:

First Rank             : Integrated Licensing Service Office of Cimahi – West Java

Second Rank        : Licensing Service Board of Pekalongan – Central Java

Third Rank            : Licensing Service Board and Regional Investment of Bitung City – North Sulawesi

“With existence of PTSP qualifications in the Field of Capital Investment, it will make easier for Capital Investment Coordinating Board in conjunction with the Ministry of Interior and Ministry of Administrative Reform and Bureaucratic Reform to conduct a more directed and focused guidance so that the investment-related services in various regions throughout Indonesia can be repaired and upgraded, “explained the Chairman of Investment Coordinating Board, Gita Wirjawan.
In 2011, BKPM plans will do qualification to the 265 PTSP Providers in Capital Investment Regency/City (which has not been in this qualification in 2010.)

What is the Negative Investment List (DNI)

On May 25, 2010, the Government of Indonesia issued decrees establishing a new list of sectors that were either wholly or partially closed to private foreign and/or domestic investment called the Negative Investment List, known as the acronym DNI.

BKPM has used clear and transparent criteria to account for policy positions. Foreign investors for instance regard the formation of the DNI as an ad-hoc undertaking. But BKPM has clarified its rationale on DNI, including why it is offering a grandfathering provision and a backstop against reversion of ownership splits between foreign and domestic capital for partially closed sectors. BKPM has been focusing its efforts towards the sectors that are considered to have the largest value potential, including courier services, hospitals, creative industry, and education.
Please see below for the relevant Presidential Decrees pertaining to Negative Investment List.