Indonesian Political, Business & Finance News

At MK Hearing, Operator: Internet Service Uniformity Risks Harming Customers and Triggering Tariff Increases

| | Source: KOMPAS Translated from Indonesian | Regulation
At MK Hearing, Operator: Internet Service Uniformity Risks Harming Customers and Triggering Tariff Increases
Image: KOMPAS

JAKARTA - Uniformisation of internet service models is considered potentially harmful to customers and likely to drive up tariffs, particularly for users of affordable time-limited packages.

This was stated by Indosat’s VP Head of Prepaid Product and Pricing Strategy, Nicholas Yulius Munandar, during proceedings at the Constitutional Court (MK) regarding the judicial review of Law No. 6 of 2023 on Job Creation, on Monday (4/5/2026).

“The most significant losses, if this petition is granted, will be felt by the customers themselves, especially those who have relied on services with certain time limits that are more affordable,” Nicholas said.

“This is a reality that shows internet data services cannot be designed with just one uniform approach,” he added.

From the customer preference perspective, Indosat revealed that the majority of users still opt for internet packages with specific validity periods.

“Based on data as of 31 March 2026, as attached in the data document, it shows that 95% of Indosat’s internet package customers still choose non-rollover packages, while only 5% choose rollover model packages,” he disclosed.

“The aspiration to uniformise a volume-based service model without time parameters to meet the needs of only one customer segment is feared to cause adverse impacts to various other customer segments,” he explained.

Regarding the concept of volume-based services without time limits, Indosat assessed that this model poses risks to network management and could lead to tariff increases.

“Fundamentally, operators must provide capacity for unpredictable periods, which will ultimately affect capacity planning and overall network management, potentially driving changes or increases in the general tariff structure,” he elaborated.

“Unused quota remnants do not transfer anywhere, neither to Indosat nor to other customers,” he stated.

According to Indosat, what expires is actually the customer’s right of access to the network capacity for the agreed period, not a loss of ownership rights.

“Therefore, what expires is the customer’s right of access to that capacity according to the agreed time period, not a loss of ownership rights that can be maintained under property law frameworks,” he continued.

Indosat also affirmed that the time limit in internet packages is not a hidden provision.

Such information has been openly communicated to customers from the outset before subscribing.

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