KH friends, especially those who work as business people or are just starting a business, must be familiar with the word OSS? Online Single Submission or often called OSS is an electronically integrated business licensing system. Because it is integrated, business actors can take care of all the licenses needed from various levels and sectors through OSS. Last year, as an implementation of the Job Creation Law and improvement of the business licensing system in Indonesia, the government through the Investment Coordinating Board (BKPM) finally officially implemented the Risk Based Approach (RBA) Online Single Submission (OSS). OSS RBA is certainly different from the previous OSS Version 1.1 system. Now to find out more about what OSS RBA is, what business sectors can be processed through OSS RBA, and how to access OSS RBA, Contract Law will provide an explanation in the following article. Check out the discussion until the end!
Definition of OSS RBA
OSS RBA is a business licensing system managed and organized by the OSS Institution for the implementation of risk-based business licensing (business licenses granted based on the level of risk/potential for injury or loss from a hazard or a combination of the possibility and consequences of hazards from business activities). Furthermore, business licenses will be issued by the OSS Institution for and on behalf of ministers, heads of institutions, governors, regents/mayors, special economic zone administrators, and heads of KPBPB business entities to business actors through an electronic system.
Business Licensing in OSS RBA
After the implementation of the OSS RBA, business actors who will start and carry out business activities are now required to fulfill:
- Basic requirements for business licensing (including suitability of space utilization activities, environmental approval, building approval, and certificate of function).
- Risk-based business licensing is conducted based on the determination of the level of risk and the scale rating of business activities (consisting of MSMEs or large businesses).
The implementation of the determination of the intended risk level is carried out through :
- Identification of business activities.
- Hazard level assessment (health, safety, environment, and/or resource utilization and management aspects).
- Assessment of the potential occurrence of hazards (conducted by taking into account the type of business activity, business activity criteria, location of business activities, limited resources, and/or volatility risk).
- Determination of the risk level and business scale rating (obtained based on an assessment of the level of hazard and the potential for hazard occurrence).
- Determination of types of business licenses.
Risk Level in RBA OSS
Based on the above assessment, business activities will then be classified into:
- Business activities with a low level of risk.
- Business activities with a medium to low risk level.
- Business activities with medium-high risk levels.
- Business activities with a high level of risk.
For information, this risk level will determine the type of business license required by business actors. Business licensing for business activities with a low risk level is in the form of NIB which can be used as the identity of business actors as well as legality to carry out business activities. Quoted from the BKPM website, NIB also applies as :
- Import identification number.
- Customs access rights.
- Registration of business participation for health social security and labor social security.
- Mandatory labor reporting for the first period of business actors.
For business activities with a medium risk level, licenses are in the form of NIB and standard certificates, while for high risk levels, business licenses are in the form of NIB and permits. The license in question is an approval from the government / local government for the implementation of business activities that must be fulfilled by business actors before carrying out their business activities.
Business Sector
Article 6 of PP No.5 of 2021 states that the OSS RBA can be used to administer business licenses covering the sector:
- Marine and fisheries.
- Agriculture.
- Environment and forestry.
- Energy and mineral resources.
- Nuclear.
- Industry.
- Trade.
- Public works and public housing.
- Transportation.
- Health, medicine and food.
- Education and culture.
- Tourism.
- Religion.
- Post, telecommunications, broadcasting, and electronic systems and transactions.
- Defense and security.
- Employment.
How to Access the RBA OSS
To access OSS RBA, business actors must first register and create an account. Next, business actors must fill in the registration form and complete the required data. The OSS system will then send an email to request verification of the OSS account. For the record, the verification email also contains a temporary user-ID and password that can be used by businesses to log into the OSS system. After successfully logging in, business actors can start accessing OSS and filling in data to obtain a Business Identification Number (NIB). Business actors can also continue the next process, namely submitting applications to obtain the required licenses along with their commitments. In addition to submitting new applications, OSS can also be used by business actors to extend existing business licenses, develop businesses, change or update company data.
KH Contact
Well, that’s the explanation of what OSS RBA is, what business sectors can be taken care of through OSS RBA, and how to access OSS RBA. For KH Pals who still have questions about OSS, need help to take care of business licensing, or want to consult about the legality of KH Pals’ business, do not hesitate to contact Kontrak Hukum at the following link Tanya KH or through our social media instagram @kontrakhukum, Kontrak Hukum is ready to help and provide the best solution.
