Proposal for a Single SNI and ISPO Certification Scheme under the Standardization and Conformity Assessment Draft Bill

Professor of Economic Law at the University of Jember, Prof. Ermanto Fahamsyah, has proposed incorporating a single certification scheme for the Indonesian National Standard (Standar Nasional Indonesia – “SNI”) and Indonesian Sustainable Palm Oil (“ISPO”) into the proposed revision of Law No. 20 of 2014 on Standardization and Conformity Assessment (“Draft  Bill”).

Ermanto explained that the proposed single scheme is intended to establish one standard, one scheme, and one certification process in order to avoid regulatory overlap and reduce administrative burdens on businesses. “ISPO and SNI are two different but interconnected frameworks. SNI serves as the overarching framework, while ISPO certification operates as a specific certification scheme within it,” he stated.

According to Ermanto, under the proposed single scheme, SNI would align ISPO indicators with global market requirements, ranging from deforestation-free requirements to traceability, so that the resulting certification could gain international recognition. This approach is expected to address concerns in international markets regarding the sustainability of Indonesia’s palm oil sector. 

Furthermore, Ermanto stated that an efficient single certification scheme would require a centralized national authority. He therefore proposed that standardization authority be centralized under the National Standardization Agency. “This centralization is intended to avoid sectoral fragmentation. Similar schemes have also been implemented in other countries, such as Malaysia,” he concluded.