In brief

The new year began with the inauguration of the nine elected commissioners of the Indonesian Competition Commission (Komisi Pengawas Persaingan Usaha, KPPU). The newly inaugurated KPPU leadership hit the ground running with various engagements and announced a refined industry focus in their 100 day action plan.

KPPU new leadership’s 100 day action plan

In a press release, KPPU announced its commitment to focus on three main industries, namely energy (i.e., downstream oil and gas), digital markets and food security:

• In relation to the downstream oil and gas industry, the KPPU actively engaged with the Coordinating Ministry of Maritime and Investments of the Republic of Indonesia and provided a set of recommendations to improve the procurement and distribution of aviation fuel, after research findings by the KPPU suggested that the aviation fuel supply industry in Indonesia was overly concentrated. The aim of the recommendations is to open up the market to a greater number of players. The KPPU also expressed its intention to carry out further research on the retail LPG market.
• For the digital industry, the KPPU aims to review enforcement actions carried out by other competition authorities globally and assess whether similar offence(s) might be taking place in Indonesia and, if so, whether they are worthy of further investigation.
• For the food security industry, KPPU expressed its intention to continuously monitor price fluctuations, especially for important staples. KPPU will also keep an eye on partnerships between large and medium corporations and small and micro enterprises in the agriculture sector to ensure a level playing field in their cooperation.

Active engagements with other governmental authorities

Within a few weeks after their inauguration, KPPU’s new leadership has already engaged with various government authorities, including:

• The Supreme Auditor Body (Badan Pemeriksa Keuangan, BPK) to review their financial reports
• The Attorney General’s Office for assistance in enforcing KPPU decisions and collecting fines that had been imposed but had not been paid by the offenders
• The National Consumer Protection Agency (Badan Perlindungan Konsumen Nasional, BPKN) to carry out unannounced visits to a traditional market and a grocery shop in Bandung, West Java, to monitor the price inflation of important staples

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