Government of Indonesia has made a commitment in Anti Corruption Summit last May, to implement transparency on beneficial ownership in order to prevent corruption, tax avoidance, terrorism funding, and money laundering. Also, G-20 already put beneficial ownership as high priority issue and committed to combat the abuse of companies and trusts as medium in corruption.
As a follow up of the commitment, Ministry of National Development Planning held national workshop on national roadmap on beneficial ownership along with DG Tax, PPATK, KPK, OJK, EITI secretariat, civil society, and other institutions last (9-10/11).
In her opening speech, Director for Law and Human Rights, Diani Sadia Wati said that currently beneficial ownership still seen from a sector based perspective. Thus, the perception needs to be harmonized.
Also attended, Max George-Wagner, Governance Associate NRGI. Max shared about the roadmap in beneficial ownership data disclosure. Max divided the roadmap in several stages. First, link beneficial ownership with national priority reform; second, establish beneficial ownership definition; third, reporting obligation for Politically Exposed Persons (PEPs).
The following stages are ensuring the institutional framework for BO disclosure; level of data disclosure; methodology of data collection; assuring data accuracy; data timelines; data accessibility; capacity building; technical and financial assistance; deadlines and responsibilities for roadmap activities.
EITI Indonesia and Beneficial Ownership
EITI Indonesia already discussed the implementation of beneficial ownership in the extractive industry. Considering the big amount of state losses in this sector, due to lack of beneficial ownership data. Around IDR 1.378 trillion that circulated in oil and gas sector and mineral and coal and were enjoyed by businessman who extracted the natural resources (BPS, 2014). However, only IDR 96.9 trillion which can be drawn for tax (DG Tax, 2014).
Currently, EITI Indonesia also drafting the beneficial ownership roadmap for this sector. January 2017 has been marked as the deadline. It is part of the fulfillment of the EITI standard number 3.11 in publishing the assets ownership in extractive industry, and as preparation of the beneficial ownership disclosure in 2020.