Commission VI Of The House Of Representatives Holds A Meeting To Discuss The Bill On The Third Amendment To The BUMN Law

JAKARTA - Commission VI of the Indonesian House of Representatives held a working meeting with the Minister of State-Owned Enterprises (BUMN) Erick Thohir to again discuss the preparation of the Draft Law (RUU) on the Third Amendment to Law Number 19 of 2003 concerning SOEs.

From 2020 to 2024, the BUMN Bill is included in the annual national legislation program (prolegnas). Now, the BUMN Bill is again included in the 2025 prolegnas because it is considered to have a fundamental role in the national economy.

Chairman of Commission VI of the House of Representatives, Anggia Ermarini, explained that the urgency of this change was based on the strategic role of SOEs in managing national resources in accordance with Article 33 of the 1945 Constitution.

"Production branches that are important for the country and the natural wealth contained in them must be managed as much as possible for the prosperity of the people. BUMN is an extension of the state's hand to carry out this vital function," said Anggia in a working meeting with SOE Minister Erick Thohir at the DPR Building, Jakarta, Thursday, January 23.

Having an important role, Anggia said that the current performance of SOEs is not optimal and faces various challenges.

He also highlighted Law Number 19 of 2003 which regulates that SOEs are more than 22 years old.

"This regulation needs to be adjusted to answer the challenges of the times and increase the contribution of SOEs to the national economy," he said.

Furthermore, Anggia said, a number of points of change in the BUMN Bill which includes adjustments to the definition of SOEs to optimally accommodate BUMN tasks according to regulatory developments.

Then, arrangements for SOE subsidiaries such as adding definitions and mechanisms for the formation of subsidiaries.

Then, corporate management includes affirming regulations related to restructuring, privatization, and corporate actions to create more competitive SOEs.

Then, the Human Resources policy by providing opportunities for people with disabilities, empowering the local community, and representing women in the board of directors and commissioners.

Furthermore, privatization includes determining the criteria and mechanisms for privatization so that the benefits can be felt by the community and the state; and social responsibility includes the obligation of SOEs to foster micro, small and medium enterprises (MSMEs) and the surrounding community.

"In addition, this bill also emphasizes the importance of good transparency and governance, including external supervision by public accountants as well as the establishment of an internal audit and supervision committee," he said.

Anggia also said that this bill had previously gone through the harmonization and improvement of the concept by the DPR Legislation Body, the results of which were submitted to Commission VI.

At the plenary meeting on January 23, 2025, Commission VI was officially mandated to discuss this bill further.

"We will soon form a working committee (Panja) to accelerate the discussion of this bill. Commission VI and BUMN are also committed to opening the widest possible space for community participation in this legislative process," he said.