Indonesia Real Estate Law – Electrical Power Supply for Building in the Limited Area

Electrical Power Supply for BuildingBackground

On 29 September 2015, Minister of Energy and Mineral Resources Republic of Indonesia has issued the Minister of Energy and Mineral Resources Regulation Number 31 of 2015 on the Electrical Power Supply for Building in the Limited Area (“Permen ESDM 31/2015”). Permen ESDM 31/2015 which became effective on 29 December 2015.

 

Electrical Power

The form of secondary energy which is generated, transmitted, and distributed to all types of purposes, but does not include the electrical which consumed for communication, electronic, or signal.

 

Electrical Power Supply Business

Procurement of electrical power includes power plant, transmission, distribution, and electrical power sales to consumers.

 

Electrical Power Supply Business Permit

Permit for doing electrical power supply business for public interest (“IUPTL”).

 

Business Area

Area which determined by the Minister as a place of business entity distribution and/or electrical power sales of doing electrical power supply business.

 

Building in the Limited Area

Flats, apartment, condominium, market, shopping center, office, warehouse, or building under the individual ownership and common ownership (strata title) for the other activity.

 

Owner Association and Building Occupant in Limited Area

Owner Association and Building Occupant in Limited Area is a legal entity whose consists of owner or Building Occupant in Limited Area.

 

Administrator

Legal entity which charged to manage the Building in Limited Area.

 

Building Unit

Flats unit, apartment unit, condominium unit, market stall, store, office unit, warehouse, or building unit under the individual ownership and another common ownership (strata title) which owned by individual or legal entity.

 

Electrical Power Supply Business for Limited Area

IUPTL holder which has business area obliged to supply the electrical power in their business area. IUPTL holder can be cooperate with Owner Association and Occupant or Administrator appointed by Owner Association and Occupant to supply the electrical power for Building in the Limited Area. If the Owner Association and Occupant has not been formed, Administrator can be formed by the developer. Electrical power splicing to the Owner Association and Occupant or Administrator distributed to the Building Unit, Common Parts, Common Objects or Goods.

 

Conditions of Electrical Power Splicing

  1. Owner Association and Occupant or Administrator are not gain any profit over the distribution of electrical power to the Building Unit, Common Parts, Common Objects or Goods with the conditions of electrical power utilization charge which paid by the owner or occupant of Building Unit to the Owner Association and Occupant or Administrator no more than electrical power utilization charge which paid by the Owner Association and Occupant or Administrator to the IUPTL holder;
  2. Electrical Power Splicing on the Building Unit equipped with gauges and electric barrier (APP) in accordance with the prevailing regulations in the field of legal metrology;
  3. Electrical Power Tariff on the Building Unit refers to the Electrical Power Tariff which valid for IUPTL holder according to the designation;
  4. IUPTL holder conducts the supervision against the distribution of Electrical Power for Building in the Limited Area, Building Unit, Common Parts, Common Objects or Goods.

 

Utilization Charge of Electrical Power

  1. assessment charge and usage tariff of Electrical Power for Building Unit
  2. additional charge which become collective responsibility of the Building Unit owner or occupant in accordance with the agreement, consist of:
  3. reactive power consumption cost (Rp/kVArh);
  4. assessment charge and tariff of Electrical Power usage for Common Parts, Common Objects or Goods;
  5. the difference in charge calculations over the Electrical Power usage, if any, because of implementation of double tariff on the gauges and electric barrier (APP) of Owner Association and Occupant or Administrator and implementation of single tariff on the gauges and electric barrier (APP);
  6. the difference in charge calculation over the Electrical Power usage, if any, because of differentiation on the measurement result of gauges and electric barrier (APP) of Owner Association and Occupant or Administrator with the measurement result of gauges and electric barrier (APP) Building Unit which caused by the technical shrinkage;
  7. street lighting tax.

 

Rights of Owner or Building Unit Occupant

Owner or Building Unit Occupant entitled to obtain information from the Owner Association and Occupant or Administrator on the:

  1. utilization charge of Electrical Power which paid by the Owner Association and Occupant or Administrator to the IUPTL holder;
  2. total data of Electrical Power usage for Building in the Limited Area and Electrical Power usage on the Common Objects or Goods, and Common Parts.

 

Obligation of Owner Association and Occupant or Administrator

Delivering information of the Electrical Power utilization charge and total data of Electrical Power usage to the Building Unit owner or occupant every month based on demand.

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Indonesia Real Estate Law – Electrical Power Supply for Building in the Limited Area
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