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Support the Omnibus Law Program

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By: Alfisyah Kumalasari) *
 

The government continues to improve regulations overlapping through the Omnibus Law simplification regulation program. The concept is expected to harmonize existing regulations so that all permits can be easily obtained. Support from various parties is very much hoped for the realization of a more advanced Indonesia.

The Discourse on the Application of the Omnibus Law is considered as a preventive measure to overcome the current and complicated regulatory constraints. So that the support of various parties is highly expected for the realization of development priorities for the advancement of Indonesia.

Now the government is seriously working on the Omnibus Law bill. In accordance with President Joko Widodo’s direction, along with Minister of Finance Sri Mulyani revealed that Jokowi will ask his cabinet to make laws and regulations to create new jobs, increase the role of Micro and Small and Medium Enterprises (MSMEs), including improving the investment climate in the archipelago.

This bill is claimed to be able to collect all tax facilities in one section, including reduction and tax exemptions which include; Income tax [income], super deduction for vocational and research and development, tax holidays and also for companies investing in labor-intensive activities.

Previously Jokowi asked the House of Representatives of the Republic of Indonesia to support the revision of 74 laws through the omnibus law program. He requested that members of the DPR support the omnibus law to be published immediately.

Jokowi stated that the improvement in the investment climate is needed to attract foreign investment. By carrying out a number of revisions to the Law which would hinder investment and extend the bureaucracy. Therefore the 74 Laws to be reformed will be incorporated into the omnibus law scheme.

Meanwhile, Chairperson of the DPR RI Legislative Body Supratman Andi Agtas revealed factions in the DPR were ready to discuss the omnibus law submission. Next, what is awaited is the substance of the omnibus law from the executive, namely the government.

He said the government must have a list of bills in the omnibus law in order to be decided to enter the National Legislation Program. According to Supratman, Ratification of the National Legislation Program will be carried out before the end of the trial period or before the recess in mid-December. He detailed that one requirement for admission to the National Legislation Program must have a draft bill, so this was a very urgent work that had to be done by the government.

According to Constitutional Law Expert Bivitri Savitri explained, Omnibus Law is a law created to target the major issues that exist in a country. This Omnibus Law is in the form of a Law created to target major issues and may revoke or amend a number of laws. This law is predicted to streamline regulations and simplify government regulations so that they are right on target.

Simplification can include terms of quantity, consistency and neat organization. So that the enforcement procedure can also be simpler and specifically targeted. He considered if this breakthrough was a challenge for Indonesia for the first time applying this pattern of regulation.

If seen, the application of the concept of the omnibus law seems to be able to answer the problem of overlapping laws and regulations in Indonesia.

Constitutional Law Expert, Jimmy Z Usfunan also argues that basically there are conflicting issues between government administrators when they want to implement innovations or policies which then clash with laws and regulations. So the concept of the omnibus law is one way out that might be taken by the government. However, omnibus law must be done at the level of the Act.

As is known, one of the goals of the omnibus law concept proposed by Sofyan Djalil is to facilitate investors when investing in Indonesia. In this regard, Coordinating and Economic Minister Darmin Nasution reminded that the ease of doing business in Indonesia or Ease of Doing Business (EODB) has gradually presented improvements to rank 91 which was previously ranked 106 in 2016.

To achieve this better target, the government must make a breakthrough or innovation. He added that if the repairs made were only a little or the same as last year, it could be that the ranking would actually go down. Because other countries go faster.

The concept of the Omnibus Law is not only predicted to be a new breakthrough for increased development. But it can also overcome a variety of regulatory and bureaucratic problems in the country. It is not impossible if the implementation of this innovation is immediately carried out, then economic development will accelerate faster and make the Indonesian economy even better.

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