DistantNews
Support us
๐Ÿ‡ฎ๐Ÿ‡ฉ Indonesia /Elections & Politics

Indonesian Lawmakers Push for Chamber of Commerce Revision to Clarify Authority

From Republika · () Indonesian

Translated from Indonesian and summarized by DistantNews. Read the original for the full story.

At a glance

News From a news agency New plan
  • Indonesian lawmakers are pushing to revise the Law on Chambers of Commerce and Industry (Kadin) to clarify the organization's authority.
  • The revision aims to ensure Kadin acts as a strategic partner to the government, providing input rather than taking over state functions.
  • Concerns exist that granting Kadin state-like powers could compromise its independence and turn it into an extension of political power.

Asep Wahyuwijaya, a member of Commission VI of the Indonesian House of Representatives, is urging a revision of the Law on Chambers of Commerce and Industry (Kadin). He emphasizes that while Kadin needs strengthening, its true power lies in its independence and the quality of its input, not in borrowed state authority.

Wahyuwijaya stated that the national business world requires a more robust and representative platform. However, he believes strengthening Kadin through legislative revision should position it as a strategic partner to the government. Kadin's role should be to offer strategic input and consultation, not to assume powers that are traditionally the domain of the state.

He warned that if Kadin were granted powers to adjudicate, compel, regulate, or issue permits, its position could shift from an independent business representative to an extension of political power. Such a shift, he argued, could threaten Kadin's independence, as state powers often come with state control.

During the discussion of the Academic Paper and draft Law on Kadin, Wahyuwijaya noted that Kadin's policy function should be strictly limited to providing strategic input and consultation to the government, not participating in policy determination. He also called for Kadin's independence to be guaranteed, including the selection of its leadership by members without political interference.

Furthermore, Wahyuwijaya suggested that dispute resolution functions should rely on voluntary agreements through mediation and arbitration, avoiding compulsory powers that belong to the state and judiciary. He also urged against transferring state licensing and accreditation powers to Kadin, while maintaining oversight mechanisms. "Let's strengthen Kadin, but by carefully safeguarding its independence. By focusing its role on strategic input for the nation's progress, Kadin will be truly strong: strong because it is independent, strong because it is strategic, and strong because it is trusted," he concluded.

About this summary

Originally published by Republika in Indonesian. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.