In the realm of digital hospitality, a significant deadline approaches, hanging like a sword of Damocles over the heads of prominent players like Airbnb, Agoda, and Booking. The Indonesian Ministry of Communication and Informatics (Kominfo) has issued a stern ultimatum: register as a Private Electronic System (PSE) provider or face the consequences of being blocked from operating within the country. But will these industry giants comply before the clock runs out?
Kominfo's directive, issued on Tuesday, March 5, 2024, gave six foreign Online Travel Agents (OTAs) operating in Indonesia a tight five-day window to register. The clock ticks ominously towards the culmination of this ultimatum on Thursday, March 14, 2024, marking the deadline.
The six OTAs in question – Booking, Agoda, Airbnb, Klook, Trivago, and Expedia – find themselves on the wrong side of compliance, having failed to register as Private Electronic System (PSE) providers as mandated by Kominfo since 2020.
Semuel Abrijani Pangerapan, Director-General of Applications and Informatics at the Indonesian Ministry of Communication and Informatics, revealed that Airbnb and its counterparts have responded to Kominfo's warning regarding the need to register as a Private Electronic System (PSE) provider.
"They have responded and are preparing to comply; however, they require some time. Integrating into our system takes time," Semuel remarked during an interaction with the media at the Ministry of Communication and Informatics office in Jakarta on Thursday, March 14, 2024.
Acknowledging this response, Kominfo has extended a grace period of ten additional working days, effective immediately, for the six foreign OTAs to complete their registration as Private Electronic System (PSE) providers.
"I've granted them an additional 10 working days to register as Private Electronic System (PSE) providers. They responded within the initial five-day window, asking for a month, but I did not grant that, only 10 working days. Failure to register with BKPM will result in blocking," Semuel emphasized.
It's imperative to note that every digital service provider must register with Kominfo, as per Ministerial Regulation No. 5 of 2020, subsequently amended by Ministerial Regulation No. 10 of 2021, regarding Amendments to Ministerial Regulation No. 5 of 2020 concerning Private Electronic System Providers (PM Kominfo 5/2020).
Kominfo clarifies that the obligation to register extends not only to Domestic Private Electronic Systems (PSEs) but also to Foreign Private Electronic Systems (PSEs) as stipulated in Article 4 of PM Kominfo 5/2020.
The registration policy serves as a mechanism for data collection concerning PSEs operating in Indonesia, aiming to foster a safe and trustworthy digital ecosystem within the nation.
Private Electronic Systems (PSEs) mandated to register must provide information including the provider's identity, system name, official website URL, types of personal data processed, and data management or processing location. Through registration, the public gains visibility into PSEs offering services to them, enhancing transparency and accountability within the digital realm. setup your winningpc
As the deadline looms, the eyes of the digital world are fixed upon these industry titans, awaiting their next move amidst regulatory scrutiny. Will compliance prevail, or will the specter of blocking cast a shadow over their operations in Indonesia? Only time will tell as the countdown to compliance continues.
