Indonesian Political, Business & Finance News

Sutiyoso sets deadline for unlicensed billboards

| Source: JP

Sutiyoso sets deadline for unlicensed billboards

Damar Harsanto, Jakarta

Governor Sutiyoso has set a deadline three-weeks from now for
advertisement agencies to arrange permits for their unlicensed
billboards.

"If (the agencies) fail to arrange the permits within three
weeks, we will remove the billboards," Sutiyoso announced on
Wednesday following a hearing with the City Council on the bylaw
draft on advertisements.

Sutiyoso mentioned as examples cigarette billboards across the
city.

"Many of them have been erected without permits," he stated.

Jakarta Revenue Agency head Deden Supriadi, whose office will
decide which billboards are to be removed, shifted the blame of
ubiquitous unlicensed billboards in the city to poor coordination
among city agencies.

At least three agencies are involved in issuing permits: the
Construction Supervision and Regulation Agency for the issuance
of building permits (IMBs) for billboards; the Jakarta Planning
Agency for the location permit; and the Jakarta Revenue Agency
for advertisement tax.

"Officially, there are only 163 locations for billboards that
are regulated in a gubernatorial decree, which involves two-year
permits," Deden told The Jakarta Post and Indopos daily on
Wednesday.

"Don't ask me why there are billboards at other locations (not
designated for billboards). Please, ask the Jakarta Planning
Agency why they issue permits," he added.

Many blank billboards can be found in the city, such as along
Jl. Gatot Subroto, where there are three in front of Crowne Plaza
Hotel, one near the Kuningan I tollgate and two near the Senayan
tollgate.

There are also three blank billboards on Jl. Perintis
Kemerdekaan and Boulevard Kelapa Gading, North Jakarta.

Deden denied that his office did nothing to regulate
unlicensed billboards or blank billboards, claiming that last
year, the agency removed 500 billboards in the city, mostly due
to expired permits.

"The problem is that we don't have enough money to dissemble
blank billboards, which could cost us up to Rp 30 million
(US$3,333)," he argued.

In addition to advertisement tax, the revenue agency receives
a meager amount from ad agencies as a tax payment guarantee. The
agency has proposed that the guarantee be increased to 10 percent
of the advertising tax.

The city administration also plans to introduce sterner
regulations on advertising as part of efforts to increase city
revenue.

This year, the administration aims to secure Rp 110 billion in
revenue from advertising, a 10 percent increase from last year's
Rp 100 billion.

Revenue from advertising has significantly increased over the
past three years from Rp 60 billion in 2001 and Rp 90 billion in
2002.

View JSON | Print