FAQ

A. Who can submit/propose a zone to become a Special Economic Zone?

The proposal of SEZ Indonesia can be proposed through the National Council by:

  1. Busniness entities;
  2. District / city goverments;
  3. Provincial government; or
  4. Ministries / Non-Governmental Institutions
  • Proposal submitted my business entities can only be submitted by the provincial government after obtaining the approval of the district / city government.
  • Proposal submitted by the district/city government requires approval from the provincial government.
  • Proposal submitted by the Provincial Government can be submitted only after obtaining approval from district / city government

B. What are the criterias for a location to be proposed as a Special Economic Zone?

Proposed SEZ location must meet the following criterias:

  1. Adhere to the Regional Spatial Plan and will not interfere with protected areas;
  2. Obtain support from the provincial government and / or the district / city governments concerned;
  3. Located in a geostrategic position ( e.g. close to international shipping lanes or has great potential of resources) ; and
  4. Have clear boundaries.

C. How can I submit a Special Economic Zone proposal?

Depending on what institution you represent, there are different documents that needs to be attached to the proposal. Here are the list of the document:

Documents that must be met by Business Entities:

  1. Proposal Form
  2. Power of Attorney Authority (If the proposer is a Consortium)
  3. Deed of Establishment of Enterprises
  4. Financial Profile 3 (three) years audited.
  5. Approval of the district / city to the location of the proposed SEZ
  6. A statement on the equity value of at least 30% of the investment value of the proposed SEZ
  7. Description of the development plan and the proposed SEZ area
  8. Map Details locations and extensive development of the proposed SEZ area
  9. Plan for allotment of space in the SEZ location equipped with zoning regulations
  10. Feasibility Study economic and financial
  11. Analysis of environmental impact in accordance with the provisions of the legislation
  12. The proposed period of operation of SEZ and SEZ development strategic plan
  13. Permit Location
  14. Recommendations of the authority managing the support infrastructure
  15. Commitment to carry out the construction and management of KEK

Documents that must be met by Regency /City:

  1. Proposed Form
  2. Description of the development plan and the proposed SEZ area
  3. Map Details locations and extensive development of the proposed SEZ area
  4. Plan for allotment of space in the SEZ location equipped with zoning regulations
  5. The economic and financial Feasibility Study
  6. Analysis of environmental impact in accordance with the provisions of the legislation
  7. The proposed period of operation of SEZ and SEZ development strategic plan
  8. Determination of the location or proof of land rights
  9. Recommendations of the authority managing the support infrastructure
  10. Commitment to carry out the construction and management of KEK
  11. Commitments regency / city plan related to the provision of incentives and facilities

Documents that must be met Provincial Government:

  1. Proposed Form
  2. Approval of the district / city to the location of the proposed SEZ
  3. Description of the development plan and the proposed SEZ area
  4. Map Details locations and extensive development of the proposed SEZ area
  5. Plan for allotment of space in the SEZ location equipped with zoning regulations
  6. The economic and financial Feasibility Study
  7. Analysis of environmental impact in accordance with the provisions of the legislation
  8. Proposed period of operation of SEZ and SEZ development strategic plan
  9. Determination of the location or proof of land rights
  10. Recommendations of the authority managing the support infrastructure
  11. Commitment to carry out the construction and management of KEK

Documents that must be met by the Ministry / LPNK:

  1. Proposed Form
  2. Description of the development plan and the proposed SEZ area
  3. Map Details locations and extensive development of the proposed SEZ area
  4. Plan for allotment of space in the SEZ location equipped with zoning regulations
  5. The economic and financial Feasibility Study
  6. Plan and sources of financing
  7. Analysis of environmental impact in accordance with the provisions of the legislation
  8. Proposed period of operation of SEZ and SEZ development strategic plan
  9. Determination of the location or proof of land rights
  10. How do I get information about the requirements that must be met for approval kek?

D. Where/how can I reach the Secretariat of the National Council for Special Economic Zones?

Graha MR21 Building, 6th floor

Jl. Menteng Raya No. 21, Jakarta Pusat, Indonesia
Phone : (021) 3924540 / (021) 3924816
Fax : (021) 3905062
Email : info@kek.ekon.go.id

E. How long does it take to complete the approval of the SEZ?

  1. The district / city government will verify and evaluate all necessary documents for the proposal of SEZ in a maximum period of 20 (twenty) working days starting from the date all documents are completed and received. The government then decide whether to approve or reject the proposal. If approved, the proposal is then forwarded to the National Council
  2. The National Council verify and evaluate all documents  in a maximum period of 45 (forty five) working days working days starting from the date all documents are completed and received. The Council then decide whether to approve or reject the proposal. If approved, the proposal of establishing the SEZ is then recommended to  the President.

F. How does the National Council determine wether to approve or reject a proposal?

  1. The National Council verifies the validity and fulfillment of all submitted documents.
  2. In the event that the documents submitted complies with the procedures and the list are considered complete, the National Council will conduct a study to make a decision.
  3. Based on the results of the study, the National Council determines whether to approve or reject the proposal thorugh the National Council Assembly.
  4. In the case of the National Council approves the establishment of the new SEZ, the Council submits a recommendation to the President accompanied by a draft of Regulation on the establishment of a location as SEZ. SEZ that are finally established by the President will have to be ready for operation no later than three (3) years from the date of enactment.
  5. In the case of the National Council rejects the proposal of the establishment of the SEZ, the rejection is officialy sent to the proposer accompanied with reasons of rejection.