Presidential Regulation No. 12 of 2021 concerning Amendments to Presidential Regulation No. 16 of 2018 concerning Government Procurement of Goods/Services is officially valid in Indonesia.
This implementing regulation of the Job Creation Law adds to the list of benefits that can be obtained by Micro and Small Enterprises (MSEs) in Indonesia.
Under the new regulation, MSEs can now participate in tenders for goods and services procurement projects held by the government with a transaction value of up to IDR 15 billion from the previous value of only IDR 2.5 billion.
In addition to aiming to provide ease and expansion of
However, to participate in government project tenders, MSEs must go through various processes and fulfill a number of requirements.
What are the requirements and how?
Let’s look at the following explanation.
Procurement of goods and services through providers is a way of obtaining goods/services provided by business actors (providers) based on contracts between government agencies and business actors which are usually preceded by elections.
One method of selecting providers of goods/construction work/other services is a tender.
The implementation of goods/services procurement by the Government is carried out electronically using an information system also known as the Electronic Procurement System (SPSE).
SPSE was developed by the Government Procurement Policy Agency (LKPP).
According to Article 65 of PP No. 12 of 2021, small business actors who can participate in the procurement of goods/services from the government consist of micro businesses and small businesses.
For the procurement of goods/construction works/other services that can be held by small businesses, the budget ceiling value reaches IDR 15 billion.
The implementation of the selection through tender/selection must go through several processes, including:
a. Qualification Implementation.
Before conducting a tender, the government will make an announcement that a tender will be held or provide invitations through the SPSE application for business actors who are considered capable.
To be able to participate in e-Tendering/e-Selection, business actors must first register on the SPSE/SIKaP application.
After registering and fulfilling the completeness of the documents, the Selection Working Group (Pokja Pemilihan) will evaluate the qualifications.
Furthermore, business actors will take part in the qualification proof process.
One of the proofs carried out is to show the original business license and/or a photocopy legalized by the competent authority.
If the results of the qualification proof contain doubtful data or documents, the Selection Working Group can clarify to the document issuer, for example to the One Stop Integrated Service (PTSP) or the local Integrated Licensing Service Agency (BP2T).
If the results of the clarification of the documents are false, the provider can be aborted and included in the blacklist.
b. Announcement and/or invitation.
Invitations will be issued to prospective tenderers/shortlisted candidates who have passed the pre-qualification and are shortlisted.
The announcement of the post-qualification tender/selection is the start of the selection process.
c. Registration and collection of election documents.
Participants register and download Tender/Selection Documents through the SPSE application.
d. Providing explanations
The explanation of the tender is conducted online by the Selection Working Group.
e. Submission of bid documents
Bidders may submit bid documents to the Selection Working Group.
f. Evaluation of bidding documents.
Furthermore, the Selection Working Group will conduct administrative evaluation, technical evaluation, and price evaluation.
g.
Determination and announcement of winners.
After conducting the evaluation, the Selection Working Group will announce the winner of the tender through the SPSE application.
h.
Disclaimer.
Participants who submit bids may submit electronic objections to the determination of the winner to the Selection Working Group after the announcement of the winner along with evidence of irregularities, with copies to the PPK, PA/KPA and APIP of the relevant Ministry/Institution/Regional Government.
Registration at LPSE
As mentioned above, to become a prospective tender participant, business actors must first go through the qualification implementation process where one of the stages is to register at LPSE.
To register as a goods/services provider, business actors can access the nearest city LPSE website, for example at DKI Jakarta LPSE through the
So that business actors can still participate in tenders that are different from the location where the provider registration is carried out.
To register as a prospective goods / services provider, business actors must fulfill several requirements, namely:
- Have an email from your business.
This email is used to register on the website. - Download and complete the online registration form (company identity, business license, owner, management, etc.).
- Prepare complementary files/documents, such as :
- ID card of the authorized business actor/director/company official.
- Trading Business License (SIUP)/Construction Services License (IUJK), Micro and Small Business License (IUMK), other business licenses according to their respective fields.
- Company Registration Certificate (TDP).
- Business Domicile Certificate (SITU).
- Deed of Company Establishment and Deed of Final Amendment.
- Ratification of deed issued by the Ministry of Law and Human Rights (PT only).
- Participation form that has been filled in and signed on stamp duty.
The complete file can be brought to the LPSE unit office where the business actor registers to verify the company.
Once verified and accepted, the user id and password will be activated so that the business actor can become a goods / services provider and participate in the electronic auction process in LPSE.
KH Contact
Well, KH Friend, that’s an explanation of the requirements and how to participate in government project tenders.
Simply by having IUMK, it turns out that MSEs can already participate in tenders with a budget ceiling value of up to Rp 15 billion.
The size of the budget certainly makes the Selection Working Group will carefully examine the prospective goods / services providers.
One of them is the business license owned.
It is important for business actors to provide legal legality to their businesses so that they are not blacklisted because if they are blacklisted, MSEs cannot participate in tenders.
Kontrak Hukum can help KH friends who currently do not have an IUMK through business license making services. Contract Law guarantees that KH Buddy will get business legality without obstacles. Take care of your IUMK immediately so that KH Pals can enjoy the benefits provided by the government for MSEs, one of which is participating in tenders with a value of billions.
If you have any questions regarding the legality of MSMEs in Indonesia or other legal issues, don’t hesitate to contact Kontrak Hukum at the





















