MEMR issues new regulation on power service providers

The Ministry of Energy and Mineral Resources (MEMR) has issued a new regulation on requirements to be a power service provider.

The MEMR Regulation No. 28/2014 on Qualifications of Power Support Service Providers supplements MEMR Regulation No. 35/2013 on Power Industry Licensing and MEMR Regulation No. 5/2014 on Procedures for Accreditation and Certification of Power Industry, the ministry said in a statement on Thursday.

The new regulation outlines the capacity of power support business providers based on their net asset, limits of the value of the project that they can undertake, skills and the number of the technical employees.

The new regulation requires all power support service providers to have a license called Business Entity Certificate (Sertifikat Badan Usaha or SBU), while their technicians must have a license called Technician Competence Certificate (Sertifikat Kompetensi Tenaga Teknik or SKTT).

The SBU and SKTT may be acknowledged in ASEAN countries through Mutual Recognition Agreement (MRA) such that Indonesian power businesses will be able compete after the ASEAN Economic Community comes in effect on Jan. 1, 2015.

The MEMR?s Directorate General of Oil and Gas will encourage the government-owned training and education institutions, including universities and labor training centers, to provide necessary trainings and education that their students will also be qualified to receive SKTT upon graduation.

While unveiling the new regulation on Thursday, the MEMR?s Directorate General of Oil and Gas also softly launched an online database system for the registration of the Certification of Operational Feasibility (Sertifikat Layak Operasi or LSO). The database aims to assure power support business providers work in line with their SBU and SKTT.

Editing by Johannes Simbolon