Effective from June 13, 2019, the Minister of Public Works and Public Housing has enforced Regulation No. 08/PRT/M/2019 (or Regulation 8/2019) on Guidelines for National Construction Service Business Licensing Services. This regulation is enacted for the purpose to fulfill the requirements for standardised business licensing for construction companies in Indonesia.
Regulation 8/2019 has replaced the previous Regulation No. 04/PRT/M/2011 (Regulation 4/2011) on Requirement Guidelines for the Granting of National Construction Service Business Licenses.
Regulation 8/2019 addresses licensing regulations for construction service sector, especially at the regional level. This regulation covers the following items:
For the construction service sector in Indonesia, there are two types of applicable license: TDUP and IUJK. Both licenses have to be issued by relevant authorities through the Online Single Submission (OSS) system.
This license is given to individuals, covering the construction service operations.
This license is released to National Construction Service Enterprises BUJKN (Badan Usaha Jasa Konstruksi Nasional), covering the construction service operations as well.
Holders of TDUP or IUJK are able to participate in the following activities:
By possessing a TDUP under the new regulation, TDUP will remain valid permanently for Indonesian individuals, as long as the registered services for TDUP are in operation. The following lays out the process of securing a TDUP:
1. Individuals must register via the OSS system to secure the NIB or Business Identification Numbers.
2. TDUP will only be issued when individuals upload the following items:
3. TDUP commitment must be fulfilled within 30 working days once the TDUP is issued through OSS.
4. Individuals submit all commitment documents. Then, these documents will be verified and validated by DPM PTSP (Investment Units and One-Stop Integrated Service) within five working days.
5. TDUP is only effective when it passes verification and validation, issued by OSS with the approval from DPM PTSP.
BUJKN that obtains the new IUJK will have a IUJK validity that lasts for as long as the operation is active, instead of the previous three-year validity with the extensions. The process is shown below:
1. The person in charge or PJBU (Penanggung Jawab Badan Usaha) must register via the OSS system to secure the NIB or Business Identification Numbers.
2. IUJK will only be issued when the following items are uploaded:
3. IUJK commitment, which is to possess the Enterprise Certificates (SBU), must be fulfilled within 30 working days once the IUJK is issued through OSS.
4. PJBU should submit all commitment documents. Then, these documents will be verified and validated by DPM PTSP within five working days.
IUJK is only effective when it passes verification and validation, issued by OSS with the approval from DPM PTSP.
It is compulsory for TDUP and IUJK holders to perform the following activities during their construction service operations.
Holders of TDUP
Holders of IUJK
Cekindo helps entrepreneurs and international businesses to set up construction companies and other companies as well in Indonesia. Our team of professional consultants and legal specialists can also assist you in applying for relevant business licenses in Indonesia.
Talk to our experts now and we will guide you further. Fill in the form below or visit one of our offices in Jakarta, Bali and Semarang.