E-Commerce Fee Increases Must Now Be Announced 90 Days in Advance

The Ministry of Micro, Small, and Medium Enterprises (UMKM) now requires e-commerce platforms to announce any increase in service fees or commissions to business operators at least 90 days before the new charges take effect. The provision is stipulated in Ministerial Regulation (Permen) UMKM No. 3 of 2026 concerning the Protection and Enhancement of Competitiveness of Micro and Small Enterprises in Electronic Commerce (PMSE).

Deputy for Small Enterprises Temmy Satya Permana explained that this certainty is embedded in a partnership agreement known as a Digital-Based Partnership (KBD). Under this agreement, all fee deductions are clearly stated. “It is bound in the agreement for a specific period. So, platforms cannot arbitrarily raise commissions in the middle of the contract period without prior notice of at least 90 days,” Temmy said during a meeting at the Smesco Building in South Jakarta on Wednesday (24/6/2026).

Temmy noted that the KBD framework is designed to protect sellers. Platforms are prohibited from increasing any fees outside the agreed terms. “Currently, with standard terms and conditions, platforms can simply raise commissions and sellers have no choice but to comply. With the KBD, we are protecting the sellers. Platforms are no longer allowed to increase commissions or service fees beyond what has been agreed in the KBD,” he clarified.

He also criticised the habit of sellers who neglect to read lengthy platform contracts and blindly accept new rules without understanding the potential negative consequences. Should an e-commerce platform abruptly raise administrative fees without the mandatory three-month notice, the Ministry has prepared a series of escalating sanctions. “The sanctions include a written warning, public notification in the media, and ultimately a recommendation for licence revocation,” he added.

The partnership agreement in the form of a KBD is enshrined in Ministerial Regulation No. 3 of 2026, which came into effect on 17 June 2026. Under this regulation, micro and small enterprises (UMK) are entitled to several protections, including a Digital-Based Partnership that is fair, transparent, and not detrimental. UMK must also receive clear information before entering into a KBD with an e-commerce platform, including the fee structure, deductions, and operational mechanisms. The partnership between UMK and e-commerce providers in the form of a KBD must be formalised in a written agreement in the Indonesian language, which can be executed as a physical or electronic document, including through displayed terms and conditions. The agreement must minimally contain standard clauses covering the identities of the parties, scope of partnership, rights and obligations, duration, types and amounts of fees, payment mechanisms and timelines, termination procedures, dispute resolution mechanisms, and procedures for handling force majeure events. If the e-commerce provider intends to change the type or amount of KBD fees, it must inform the UMK no later than 90 calendar days before the changes take effect.