DECREE OF THE MINISTER OF COMMUNICATION AND INFORMATION TECHNOLOGY NUMBER: 19/PER/M.KOMINFO/12/2010

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DECREE OF THE MINISTER OF COMMUNICATION AND INFORMATION TECHNOLOGY NUMBER: 19/PER/M.KOMINFO/12/2010 ON AMENDMENT TO THE DECREE OF THE MINISTER OF COMMUNICATION AND INFORMATION TECHNOLOGY NUMBER: 48/PER/M.KOMINFO/11/2009 ON PROVISION OF INTERNET ACCESS SERVICE IN THE SUBDISTRICT INTERNET AREA OF UNIVERSAL TELECOMMUNICATION SERVICE BY THE GRACE OF GOD THE AMLIGHTY MINISTER OF COMMUNICATION AND INFORMATION TECHNOLOGY, Considering : a. that in order to support the expansion of internet access service for as wide community as possible and for the acceleration of enhancement of even reach of service while at the same time stimulate the making use of information and communication technology with the objective of enhancing people s intelligence and welfare, it is necessary to provide service facilities of mobile Subdistrict Internet Service Centre; b. that the provision of the Decree of the Minister of Communication and Information Technology Number: 48/PER/M.KOMINFO/11/2009 on Provision of Internet Access Service in the Subdistrict Internet Area of Universal Telecommunication Service has not covered yet the availability of service facilities of mobile Subdistrict Internet Service Centre; c. that a number of provisions of the Decree of the Minister of Communication and Information Technology Number: 48/PER/M.KOMINFO/11/2009 on Provision of Internet Access Service in the Subdistrict Internet Area of Universal Telecommunication Service need to be improved in order to optimize the function of the Subdistrict Internet Service Centre; d. that based on considerations mentioned in points a, b and c above, it is deemed necessary to make amendment to the Decree of the Minister of Communication and Information

2 Technology Number 48/PER/M.KOMINFO/11/2009 on Provision of Internet Access Service in the Subdistrict Internet Area of Universal Telecommunication Service. Bearing in mind:1. Law of the Republic of Indonesia Number 20 Year 1997 on Non-Tax State Income (State Gazette of the Republic of Indonesia Number 43 Year 1997, Additional State Gazette of the Republic of Indonesia Number 3687); 2. Law of the Republic of Indonesia Number 36 Year 1999 on Telecommunication (State Gazette of the Republic of Indonesia Number 154 Year 1999, Additional State Gazette of the Republic of Indonesia Number 3881); 3. Law of the Republic of Indonesia Number 17 Year 2003 on State Finance (State Gazette of the Republic of Indonesia Number 47 Year 2003, Additional State Gazette of the Republic of Indonesia Number 4286); 4. Law of the Republic of Indonesia Number 1 Year 2004 on State Treasury (State Gazette of the Republic of Indonesia Number 5 Year 2004, Additional State Gazette of the Republic of Indonesia Number 4355); 5. Law of the Republic of Indonesia Number 32 Year 2004 on Regional Governments (State Gazette of the Republic of Indonesia Number 38 Year 2004, Additional State Gazette of the Republic of Indonesia Number 4493); 6. Government Regulation of the Republic of Indonesia Number 73 Year 1999 on Procedure of Using Non-Tax State Income Emanating from Certain Activities (State Gazette of the Republic of Indonesia Number 136 Year 1999, Additional State Gazette of the Republic of Indonesia Number 3871); 7. Government Regulation of the Republic of Indonesia Number 52 Year 2000 on Telecommunication Provision (State Gazette of the Republic of Indonesia Number 107 Year 2000, Additional State Gazette of the Republic of Indonesia Number 3980); 8. Government Regulation of the Republic of Indonesia Number 23 Year 2005 on Financial Management of Public Service Body (State Gazette of the Republic of Indonesia Number 48 Year 2005, Additional State Gazette of the Republic of Indonesia Number 4502);

3 9. Government Regulation of the Republic of Indonesia Number 6 Year 2006 on Management of State/Regional Government Properties (State Gazette of the Republic of Indonesia Number 20 Year 2006, Additional State Gazette of the Republic of Indonesia Number 4609); 10. Decree of the President of the Republic of Indonesia Number 67 Year 2005 on Cooperation between the Government and Business Entities in Providing Infrastructure; 11. Decree of the President of the Republic of Indonesia Number 47 Year 2009 on Formation and Organization of State Ministries of the Republic of Indonesia; 12. Decree of the President of the Republic of Indonesia Number 24 Year 2010 on Positions, Tasks, and Functions of State Ministries of the Republic of Indonesia and Organizational Structures, Tasks and Functions of Echelon I of State Ministries of the Republic of Indonesia; 13. Decree of the President of the Republic of Indonesia Number 54 Year 2010 on Guidelines for the Implementation of Procurement of Goods/Services of the Government; 14. Decision of the Minister of Communication Number KM. 21 Year 2001 on Provision of Telecommunication Service as amended latest by the Decree of the Minister of Communication and Information Technology Number 31/PER/M.KOMINFO/09/2008; 15. Decision of the Minister of Communication Number KM. 4 Year 2001 on Defining the National Fundamental Technical Plan 2000 of National Telecommunication Development as amended latest by the Decree of the Minister of Communication and Information Technology Number 09/PER/M.KOMINFO/06/2010; 16. Decree of the Minister of Communication and Information Technology Number 26/PER/M.KOMINFO/5/2007 on Securing the Making Use of Internet Protocol Based Telecommunication Network as amended by the Decree of the Minister of Communication and Information Technology Number 16/PER/M.KOMINFO/10/2010;

4 17. Decision of the Minister of Finance Number 350/KMK.05/2009 on Designation of the House of Rural Telecommunication and Information Technology at the Department of Communication and Information Technology as Government Agency Applying Financial Management Pattern of Public Service Body; 18. Decree of the Minister of Communication and Information Technology Number 17/PER/M.KOMINFO/10/2010 on Organization and Working of the Ministry of Communication and Information Technology; 19. Decree of the Minister of Communication and Information Technology Number 18/PER/M.KOMINFO/11/2010 on Organization and Work Method of the House of Provision and Management of Financing Telecommunication and Information Technology. DECIDES To ratify : DECREE OF THE MINISTER OF COMMUNICATION AND INFORMATION TECHNOLOGY ON AMENDMENT TO THE DECREE OF THE MINISTER OF COMMUNICATION AND INFORMATION TECHNOLOGY NUMBER 48/PER/M.KOMINFO/11/2009 ON PROVISION OF INTERNET ACCESS SERVICE IN THE SUBDISTRICT INTERNET AREA OF UNIVERSAL TELECOMMUNICATION SERVICE Article I A number of provisions of the Decree of the Minister of Communication and Information Technology Number 48/PER/M.KOMINFO/11/2009 on Provision of Internet Access Service in the Subdistrict Internet Area of Universal Telecommunication Service are amended as under: 1. Between number 10 and 11 of Article 1, insert two (2) new provisions, i.e. number 10a and number 10b, provisions of number 11, number 13 and number 14 are amended, and add a new provision, i.e. number 15 so that Article 1 would read as follows: Article 1 In this Ministerial Decree, what is meant by :

5 1. Telecommunication is any transmission. emission and/or reception of any information in the form of signs, signals, writing, images, voices and sounds by wire, optical, radio, or other electromagnetic systems; 2. Telecommunication network is a series of telecommunication equipment and their supplements used in telecommunication; 3. Telecommunication service is a service destined for fulfilling telecommunication needs using telecommunication network; 4. Telecommunication provision is an activity of supplying telecommunication service enabling the provision of telecommunication; 5. Telecommunication network provision is an activity of supplying and/or servicing telecommunication network enabling the provision of telecommunication; 6. Telecommunication service provision is an activity of supplying and/or providing telecommunication service enabling the provision of telecommunication; 7. Interconnection is a linkage between telecommunication networks of different providers of telecommunication; 8. Internet Protocol/IP is a unique identification number (in the whole world) found in a device connected to Internet network; 9. Subdistrict Internet Area of Universal Telecommunication Service is a location of providing Internet access service at the subdistrict of underdeveloped area, remote area, pioneering area, border area, uneconomically suitable area, and the area inaccessible by telecommunication service; 10. Subdistrict Internet Service Centre, hereinafter called PLIK, is a centre of means and infrastructure for providing Internet access service in the capital of subdistrict financed through the Contribution of Universal Telecommunication Service Obligation

6 10a A permanent PLIK is a Subdistrict Internet Service Centre located permanently in the Subdistrict Internet Area of Universal Telecommunication Service; 10b A mobile PLIK is a Subdistrict Internet Service Centre that has the capability to change location (mobile) to reach the inaccessible community by a permanent PLIK Service in the Subdistrict Internet Area of Universal Telecommunication Service 11. The Management Information System and Monitoring of Subdistrict Internet Service, hereinafter called SIMMLIK, is a management system and monitoring of PLIK operated by BPPPTI; 12. Minister is the Minister whose scope of tasks and responsibilities is in the field of telecommunication; 13. Director General is the Director General whose scope of tasks and responsibilities is in the field of postal and information technology provision; 14. Balai Penyedia dan Pengelola Pembiayaan Telekomunikasi dan Informatika (House of Providing and Managing Financing of Telecommunication and Information Technology), hereinafter called BPPPTI, is a Technical Implementation Unit within the Directorate General of Postal and Information Technology Provision that applies Financial Management Pattern of Public Service Body (PPK-BLU) under and responsible directly to the Director General of Postal and Information Technology Provision; 15. Regional Government is the Regional Government of District/Municipality. 2. The provisions of Article 2 paragraphs (1), (3) and (4) are amended and between paragraph (3) and paragraph (4) insert one (1) new paragraph, i.e. paragraph (3a), so that Article 2 would read as follows: Article 2 (1) Provision of Internet access service in the Subdistrict Internet Area of Universal Telecommunication Service

7 (AUTS = WPUT = Wilayah Pelayanan Universal Telekomunikasi) is implemented through the provision of Subdistrict Internet Service Centre (Pusat Pelayanan Internet Kecamatan = PLIK) in the capital of Subdistrict, comprising: a. a permanent PLIK; and b. a mobile PLIK. (2) PLIK referred to in paragraph (1) provides Internet access service that has : a. data transfer speed (throughput) at least 256 Kbps (downlink) and 128 Kbps (uplink), where the measurement reference is done from PLIK Server to SIMMLIK; b. maximum latency 750 ms, where the measurement reference is done from PLIK Server to SIMMLIK; c. maximum packet loss 2%, where the measurement reference is done from PLIK Server to SIMMLIK. (3) A permanent PLIK provides : a. five (5) multimedia personal computers including Operating System (OS); b. one (1) server containing application of push and store content, billing system and registration of user s identity; c. modem; d. multifunction printer; e. network peripheral; f. network security; g. computer furniture; h. power supply; i. power supply back up; j. list of tariffs; and k. sign of location direction and sign of name board. (3a) A mobile PLIK provides : a. five (5) multimedia personal computers including Operating System (OS);

8 b. one (1) server containing application of push and store content, billing system and registration of user s identity; c. modem; d. multifunction printer; e. network peripheral; f. network security; g. computer furniture; h. power supply; i. power supply back up; j. list of tariffs; k. four wheeled vehicle; and l. sign of PLIK recognition installed in the vehicle. (4) Further provision regarding PLIK is stipulated in the tender document determined by BPPPTI. 3. The provisions of Article 3 are amended to read as follows : Article 3 (1) Every PLIK shall be connected to SIMMLIK managed and operated by BPPPTI. (2) Every PLIK shall use internet access of SIMMLIK. (3) SIMMLIK functions as : a. a system of providing internet access; b. a system of monitoring and management of equipment and network; c. content distribution management centre. (4) The function of SIMMLIK referred to in paragraph (3) is executed by BPPPTI in accordance with the prevailing regulations. (5) Content referred to in paragraph (3) point c is a secure and healthy content and supports the activities of economy and education including the support for creative industry; (6) SIMMLIK must be able to have connection with Internet Exchange managed and operated by BPPPTI;

9 (7) PLIK SIMMLIK shall undergo a function test by BPPPTI before being operated. (8) The function test referred to in paragraph (7) is conducted by random sampling; (9) Further provision regarding SIMMLIK and Internet Exchange is stipulated in a separate Ministerial Decree. 4. The provision of Article 5 paragraph (1) is amended to read as follows : Article 5 (1) The provider of PLIK is designated by an authorized official in accordance with the prevailing regulations based on tender process executed by BPPPTI. (2) The tender procedure referred to in paragraph (1) is determined by BPPPTI in the tender document in accordance with the prevailing regulations. 5. The provision of Article 6 paragraph (6) is amended to read as follows : Article 6 (1) The tendering of a PLIK provider is divided into eleven (11) packets of work. (2) The candidate PLIK provider entitled to participate in the tender of PLIK provider is an Internet access service provider. (3) The Internet access service provider referred to in paragraph (2) may form partnership with other party, on condition that such partnership is led by Internet access service provider. (4) The candidate PLIK provider may participate in the tender of more than one (1) packet of work. (5) The candidate PLIK provider may become winner in the tender of more than one (1) packet of work.

10 (6) The provision regarding the composition of the packets of work is further stipulated in the tender document determined by BPPPTI. 6. The provision of Article 7 paragraph (2) is amended to read as follows : Article 7 (1) The parameter of evaluation in the implementation of the tender for PLIK provider must at least cover the following aspects: a. the amount of the cost for providing PLIK; b. the least cost routing; and c. the quality of operation and maintenance of PLIK. (2) Further provision regarding the parameter of evaluation referred to in paragraph (1) is stipulated in the tender document determined by BPPPTI. 7. The provisions of Article 9 points c to f, point h, and point i are amended to read as follows : PLIK provider shall: Article 9 a. use telecommunication tools and/or equipment that have obtained certificates from the Directorate General of Post and Telecommunication; b. use capital expenditure/capex of at least thirty-five percent (35%) for domestic product expenditure; c. prioritize the use of open source based software, where further provision will be incorporated in the tender document determined by BPPPTI; d. use Public Internet Protocol in every PLIK server and submit the identities of Public Internet Protocol users periodically to BPPPTI;

11 e. undertake financial bookkeeping of PLIK and report thereof periodically to BPPPTI; f. build, operate, and maintain means and infrastructure and PLIK service based on the number and the level of service quality as stipulated in the contract between PLIK provider and BPPPTI; g. ensure interoperability of Internet access service system built with the system owned by other Internet access service providers; h. operate services of at least eight (8) hours a day, both for permanent PLIK and for mobile PLIK in line with the characteristics of the area of the packet won; i. apply affordable and competitive tariffs of Internet access service in line with the Government subsidy provided to the community, the amount of which is stipulated further in the tender document determined by BPPPTI; j. provide a telephone number for complaint of users, at least at the district level; k. undertake Internet network security in accordance with the Decree of the Minster of Communication and Information Technology Number 26/M.KOMINFO/5/2007 on Securing the Making Use of Internet Protocol Based Telecommunication Network. 8. The provision of Article 10 paragraph (2) is amended and one (1) paragraph is added, i.e. paragraph (3), so that Article 10 would read as follows: Article 10 (1) The contract for the provision of PLIK is multi years in nature for the period of forty-eight (48) months of service. (2) The contract for the provision of a permanent PLIK may be extended based on evaluation result so long as the budget is available and in accordance with the prevailing regulations.

12 (3) The contract for the provision of a mobile PLIK after the period of forty-eight (48) months may not be extended except if stipulated otherwise in this Ministerial Decree 9. Between Article 10 and Article 11, insert one (1) article, i.e. Article 10A which reads as follows: Article 10 A (1) The party provider shall transfer all the assets of mobile PLIK provision to the Regional Government after the cessation of the contract period by ensuring the continuation of the service and the soundness of the business. (2) In the event that the Regional Government refuses the assets of the PLIK transferred to it as referred to in paragraph (1), the party provider may propose the extension of the contract to BPPPTI. (3) BPPPTI will follow up the proposal of contract extension referred to in paragraph (2) based on evaluation result and in accordance with the provision of prevailing regulations. 10. The provision of Article 12 is wholly amended so that the Article would read as follows: Article 12 (1) For the operation and maintenance of facilities of a permanent PLIK, PLIK provider shall cooperate with the community and/or Small and Medium Enterprises (SME = UKM). (2) For the operation and maintenance of facilities of a mobile PLIK, PLIK provider shall cooperate with the local Regional Government by involving the community and/or Small and Medium Enterprises (SME = UKM). (3) The involvement of the community and/or UKM referred to in paragraph (1) is carried out based on written cooperation agreement.

13 (4) The involvement of the Regional Government and the community and/or UKM referred to in paragraph (2) is carried out based on written cooperation agreement. Article II This Ministerial Decree shall come into force on the date of its ratification. In order to make known to every body, instruct the promulgation of this Ministerial Decree in the State Announcement of the Republic of Indonesia. Done at: JAKARTA On : December 13, 2010 MINISTER OF COMMUNICATION AND INFORMATION TECHNOLOGY, Signed TIFATUL SEMBIRING