To further facilitates the provisions of Articles 32, 33(1) and (8), and 55(3) of Law No. 32 of 2002 on Broadcasting (the “Broadcasting Law”), a draft on Community-Based Broadcasting Institution (the “Regulation”) has been submitted to the State Secretariat. The Regulation consists of 9 chapters and 50 articles.

Prior to conducting its broadcasting activities, Community-Based Broadcasting Institutions (“CBBI”) must obtain licenses. CBBI may not operate in flight safety zones. The regulation stipulates that CBI shall be established by a community within a particular region, independent in character, founded for non-commercial purpose and only to serve the interest of the community within its sphere of broadcast. CBBI must be in the form of either Cooperatives or Collective Entities. Collective Entities would mean that CBBI can be established through Foundation. The regulation obliges its personnel to be of Indonesian citizen and that all of its capital derived solely from the members of its community.

CBBI can only be established after obtaining written approval from at least 51% of adult citizen or at least 250 adult citizen accompanied by a written condonation from local district official. Its broadcasting radius is limited to only 2,5 kilometres from its transmitter with effective radiated power 50 watt for radio and 10 watt for television. Within the 2,5 km radius, only a single community broadcasting institution may be established.  

The government define minimal threshold for CBBI’s broadcasting time. Radio must be on air for at least 5 (five) hours a day and television 2 (two) hours a day. CBBI may not function as relay station from other broadcasting institution. It must also actively involve its community in broadcasting.

A request to establish CBBI must be submitted to the Minister through KPI, Such request must be copied in two and accompanied by a statement of purpose from its founders, vision, mission statement, method and format of broadcasting, deed of establishment and its amendments, list names of the management, feasibility studies and work plan and capital structure, organizational structure, equipment inventory list, studio map, programs to be aired and frequency to be used.

The government will impose probation period for CBBI. For radio broadcast, the term would be 6 months and for television, the term is 1 year. If the probation period passed, the government will grant a permanent license. For radio, the license will be granted for 5 years and for television, 10 years. Such licenses can be extended. The minister may revoke the license should the CBBI is deemed to have (a) violated the frequency spectrum or its area of broadcasts, (b) absent from broadcasting for at least 3 consecutive months without giving prior notice to KPI (c) transfer the license to other party, (d) violates the designated broadcasting technical standard terms, (e) violates KPI’s terms of standard broadcasting guidelines.

Change of name, domicile, management, articles of association and transmitter location must be obtain prior approval from the Minister.

80% of broadcasted programs must contain local content. All broadcasted content must be neutral. Content with foreign elements can be aired so far as it is not in conflict with national interest’s and community values. Dubbing for foreign programs are allowed only to 30% of foreign programs aired. Program relays are only permitted for state events, science and technology for the benefit of its community.

Initial capital in establishing CBBI must be obtained from the community’s contribution, derived from at least 3 persons. Foreign financial participation in CBBI’s initial capital is prohibited.