Indonesia Prepares Global Proposal for Digital Royalty Reform
The Indonesian government has begun preparing an international proposal to overhaul the global governance of digital copyright royalties. This step addresses concerns over transparency and cross-border royalty distribution, which have long been deemed unfair to creators.
The Directorate General of Intellectual Property (DJKI) of the Ministry of Law held a discussion in Denpasar, Bali, to draft an Element Paper, in collaboration with the Ministry of Foreign Affairs and experts from the South Centre. This serves as the foundation for Indonesia’s proposal in international forums.
The discussion targets the formulation of substantive elements for a legally binding international instrument on digital royalty governance. The government views that digital technology developments have transformed how works are accessed, distributed, and monetised, necessitating a global update to the copyright protection system.
Deputy Minister of Foreign Affairs Arif Havas Oegroseno is optimistic that the discussion will be highly beneficial. “We know there are many unfavourable geopolitical conditions, but there are still common problems faced by both developing and advanced countries,” he stated in a written remark received on Friday (27/3/2026).
He explained that the document preparation not only focuses on legal aspects but also on building understanding among countries. The proposal is not a new idea but has never been realised in a truly binding international agreement.
“We are not only looking at the draft of a legally binding document, but also how most countries will agree with this draft. I want us to see this as a continuation of GRULAC, not just our initiative. I am 100 percent sure that not all countries will agree, but that is normal,” he said.
Director General of Intellectual Property Hermansyah Siregar stated that the development of digital platforms and algorithm-based systems has fundamentally changed the creative industry ecosystem. According to him, an international instrument is needed to bridge the gap between legal norms and actual royalty distribution practices.
“Therefore, an international instrument is required to bridge the gap between existing legal norms and practices in the field,” he said.
Hermansyah added that intellectual property protection must ensure creators receive fair and transparent remuneration through work registration, complete metadata, and the use of royalty management systems.
Head of Policy Strategy Agency of the Ministry of Law Andry Indrady said that Indonesia’s proposal does not aim to create new rights but to strengthen existing global governance. The main focus is directed towards data transparency, system interoperability, and accountable cross-border royalty distribution.
“The main problem is not the lack of legal norms, but how cross-border royalty management systems can operate effectively. Therefore, we are pushing for global standards that ensure consistent data flows, metadata accuracy, and coordination among institutions,” he explained.
Through the preparation of this Element Paper, Indonesia is affirming efforts to strengthen intellectual property protection as the foundation of the global creative economy. The document is targeted to become the basis for submitting Indonesia’s proposal in upcoming international forums to create a more transparent digital royalty system that favours creators.