NGOs Will Sue the OSS Investment Licensing System

OSS Service Office. (CNN Indonesia/Yuliyanna Fauzi)

A number of non-governmental organisations (NGOs) engaged in the environmental field, ICEL, Walhi, JATAM East Kalimantan, Kaoem Telapak, BEM UI, and others will sue the ease of online integrated investment licensing (OSS) processes run by the government.


National Walhi Campaign Coordinator Edo Rahman said the lawsuit was filed because according to them the investment licensing system posed problems for environmental protection. Environmental problems mainly occurred in investment in the forestry, electricity, palm oil plantations sector.


Apart from that the investment licensing was also considered by the NGOs to be in conflict with the law. The conflict is related to the management of EIA as an investment condition that can be dealt with later.


“This is certainly contrary to Law No. 32 of 2009 concerning Environmental Protection and Management which places EIA as a condition before the issuance of environmental permits and business license,” explained Edo, Monday (12/8).

Deputy Director of Indonesian Center for Environment Law (ICEL) Raynaldo Sembiring said the ease of licensing investment with the OSS System had brought Indonesia back to a 30 year ago era where EIA was not an obligation in investment.


“So with the new order era as long as there is a permit issued, everything can work, OSS is just like that,” said Raynaldo.


Before suing, the NGO asked President Joko Widodo to revise the OSS system. They especially asked for revisions to be made immediately on aspects of licensing that could potentially damage nature.


Other than that, the NGO also asked the president to immediately instruct all Ministries and institutions to carry out the process of issuing permits based on the applicable laws prior to the implementation of the OSS system. This implementation was carried out immediately before the OSS was revised.


“We also ask the government to restore the rights of citizens which were seized due to the enactment of the OSS System,” Edo added.


If the request is not carried out, the NGO will use legal steps to dispute the OSS System. This legal step is needed to prevent the wider and serious impact of the enactment of the regulation.


It is known, the central government carried out the licensing process with the OSS system since last year. Through this system, business operators only need to arrange in one place online for all licenses needed for investment, both at the central and regional levels.


In addition, business actors who already have a Joint Master Number (NIB) no longer need to upload documents repeatedly to take care of various investment permits because of the convenience offered by this system.


Based on the appendix of PP 24/2018, licenses that can be processed through OSS cover 20 sectors ranging from electricity, agriculture, environment and forestry, public works and public housing, health, transportation to nuclear.


Processed permits are basically business operations in each sector, including the need for related licenses attached to business, such as Building Construction Permits (IMB).


Expert Staff of the Coordinating Minister for the Economy in the field of Economic and Political, Legal and Security Relations Elen Setiadi said that he could not comment on the planned lawsuit. Only, he acknowledged the government was evaluating the implementation of the policy.


“We have not received any information about the lawsuit, so we have not been able to provide a response. But we and related ministries and agencies are evaluating OSS implementation,” he said.