Jokowi Warns SOEs: Don't Let Investment Permits Be Complicated Like Bureaucracy

President Jokowi (Photo: BPMI Setpres/Laily)

JAKARTA - President Joko Widodo has warned the president directors of state-owned enterprises (BUMN) not to complicate the investment licensing mechanism.

Jokowi asked the president directors of SOEs to build a simpler work culture. He wants complex government workflows not to be implemented in SOEs.

"Don't let SOEs become like a complicated bureaucracy, try it," said President Jokowi when giving directions to the president directors of SOEs at the Meruorah Komodo Hotel Ballroom, West Manggarai Regency, East Nusa Tenggara, broadcast on the Presidential Secretariat Youtube, Saturday, October 16.

Jokowi gave an example of one of the complexities of licensing for power plants. He said, there were 259 licensing documents with different names but the intent in the letter was the same.

“The time required to seek a permit can be 3 years, 4 years, 5 years, 6 years, 7 years. There is a 7 year old complain to me. Well, this is something that has to be cut down, it's not allowed, for example, at PLN to be long-winded. I can't anymore," he continued.

Jokowi doesn't want that to happen again. Because, according to him, the complexity of the bureaucracy will affect investment in Indonesia.

“Who wants to invest if it's complicated like that? It's already complicated at the ministry, in the area it's complicated, getting into BUMN is even more complicated. Run everyone," he added.

Furthermore, Jokowi said that SOEs in Indonesia had begun to merge, consolidate and reorganize. Currently, the number of state-owned companies in Indonesia is 41 from the previous 108 companies.

According to him, the main directors of BUMN are selected people who are expected to be confident in facing competition both nationally and globally.

"This is a very good foundation, then clustered, that's also good," said the President.