Data Access Restrictions in Draft Bill on Anti-Monopoly

The Business Competition Supervisory Commission (Komisi Pengawas Persaingan Usaha- “ KPPU ”) is encouraging regulations addressing data dominance, platform neutrality, and algorithmic collusion in the Draft Bill on amendment to Law No. 5 of 1999 on Prohibition of Monopolistic Practices and Unfair Business Competition, as amended by Regulation of the Government in Lieu of Law No. 2 of 2022 on Job Creation (collectively referred to as “ Law 5/1999 ”).

“That is why the KPPU is requesting that the revision of this law address algorithm-related issues, for example, in cases of algorithmic collusion,” said KPPU Chairman M. Fanshurullah Asa, also known as Ifan, to Hukumonline.

Ifan explained that the revision is aimed at strengthening oversight of potential anti-competitive practices arising from the use of algorithms and large-scale data control, such as abuse of dominant positions, AI-based price discrimination, and market imbalances due to unequal data access. In addition, the KPPU emphasized that the Draft Bill is designed to enable supervision over payment access practices that could lead to competitive imbalances among business actors.

Regarding the need for data in handling matters in the digital realm, Ifan emphasized that the expansion of data access authority under this revision must continue to ensure information security and not violate corporate confidentiality. The KPPU requires regulatory support so that investigators can obtain relevant data to substantiate allegations of monopolistic practices or unfair competition. However, such access must still be limited to exclude private business data.

“We have always been open with the data we receive, except for confidential corporate information,” he emphasized.