Bali Official Highlights Issues with Online Single Submission System, Pledges Support for Regulatory Reform
Denpasar — The Online Single Submission (OSS) system has been widely discussed since the issuance of Presidential Regulation Number 91 of 2017 on the Acceleration of Business Implementation. OSS is an electronically integrated business licensing system connecting all ministries, state institutions and regional governments.
The web-based OSS application facilitates the submission of complaints and licensing applications for subsequent decision-making. It provides information including business application data, existing licensing data, regional agency data and regional licensing data. OSS is used for all business registration and licensing processes as stipulated under Government Regulation Number 24 of 2018 on Electronically Integrated Business Licensing Services.
In Bali Province, according to recorded data, an average of 45 people per month visited for consultations related to OSS matters — including Business Identification Numbers (NIB) and Indonesian Standard Industrial Classification (KBLI) development — during 2024, according to I Putu Kasturi Delyana SH MH, a junior official at the Bali One-Stop Integrated Service (PTSP). This amounts to just 540 people per year, indicating that many people still do not understand the OSS system.
Responding to the Bali Governor's statement on optimising OSS system regulations, Putu Kasturi expressed his readiness to provide support, noting numerous problems currently occurring in the field, particularly concerning Foreign Direct Investment (PMA), including:
1. Inaccurate risk level classification within KBLI codes, enabling high-risk activities to be registered as low-risk.
2. The potential for foreign investors to encroach upon MSME-scale business sectors, such as motorbike rental operations.
3. The potential misuse of standard licensing capacity granted to foreign investors, such as restaurants operating with fewer than 100 seats when they should exceed that threshold.
4. KBLI code violations by foreign investors whose actual business operations differ from their registered activities, such as registering as real estate whilst actually operating villa accommodation.
Putu Kasturi stated that he is technically and professionally prepared to contribute to the optimisation of OSS-related regulations to support Bali, particularly in the MSME sector.
The web-based OSS application facilitates the submission of complaints and licensing applications for subsequent decision-making. It provides information including business application data, existing licensing data, regional agency data and regional licensing data. OSS is used for all business registration and licensing processes as stipulated under Government Regulation Number 24 of 2018 on Electronically Integrated Business Licensing Services.
In Bali Province, according to recorded data, an average of 45 people per month visited for consultations related to OSS matters — including Business Identification Numbers (NIB) and Indonesian Standard Industrial Classification (KBLI) development — during 2024, according to I Putu Kasturi Delyana SH MH, a junior official at the Bali One-Stop Integrated Service (PTSP). This amounts to just 540 people per year, indicating that many people still do not understand the OSS system.
Responding to the Bali Governor's statement on optimising OSS system regulations, Putu Kasturi expressed his readiness to provide support, noting numerous problems currently occurring in the field, particularly concerning Foreign Direct Investment (PMA), including:
1. Inaccurate risk level classification within KBLI codes, enabling high-risk activities to be registered as low-risk.
2. The potential for foreign investors to encroach upon MSME-scale business sectors, such as motorbike rental operations.
3. The potential misuse of standard licensing capacity granted to foreign investors, such as restaurants operating with fewer than 100 seats when they should exceed that threshold.
4. KBLI code violations by foreign investors whose actual business operations differ from their registered activities, such as registering as real estate whilst actually operating villa accommodation.
Putu Kasturi stated that he is technically and professionally prepared to contribute to the optimisation of OSS-related regulations to support Bali, particularly in the MSME sector.