Government Finalizes the RPerpres on General Investment Plan

The Ministry of Investment and Downstream Industry/Investment Coordinating Board (“BKPM”) is in the final stages of preparing the Draft Regulation of the President (“RPerpres”) amending Regulation of the President No. 16 of 2012 (“Perpres 16/2012”) (“Perpres 16/2012”) on General Investment Plan (Rencana Umum Penanaman Modal - “RUPM”). According to Ichsan Zulkarnaen, Deputy for Investment Planning at BKPM, the draft regulation is nearly complete and is currently undergoing the harmonization process.

“Indeed, the Perpres is nearly finalized and is currently undergoing the harmonization process,” Ichsan told Hukumonline.

He explained that RPerpres RUPM for the 2025–2045 period has been formulated in alignment with the stages of the National Long-Term Development Plan (Rencana Pembangunan Jangka Panjang Nasional/RPJPN) to establish a comprehensive and integrated investment ecosystem. The updated RUPM will focus on promoting inclusiveness and value-added investment through downstream industrialization programs. In addition, under the updated RUPM, the Government will prioritize investment in high-technology sectors, including artificial intelligence, semiconductors, and the comprehensive development of the electric vehicle ecosystem.

“From 2025 through 2045, we will follow the implementation stages set out in the RPJPN. Each stage will have its own targets, and through those stages we will progressively develop a comprehensive investment ecosystem,” he explained.

Renewable energy sectors, including hydropower, will also be among the Government's top investment priorities to support the transition to a low-carbon economy, with development focused on the regions of Sumatra, Kalimantan, Maluku, and Papua. In addition, other renewable energy sectors, such as solar, wind, geothermal, and bioenergy, will also be prioritized for investment to support the energy transition, sustainable development, and the transition to a low-carbon economy.