DECREE OF THE MINISTER OF INDUSTRY AND TRADE
No. 231/MPP/Kep/7/97

CONCERNING
PROCEDURE FOR IMPORT OF THE WASTE PRODUCTS

THE MINISTER OF INDUSTRY AND TRADE,

Considering:

• a. that in an effort to utilize waste to meet demand from the domestic industry for waste as the addition of basic materials and auxiliary materials, as well as to prevent environmental damage and/or pollution detremintal to human health, it is deemed necessary to regulate the procedure for the import of waste;
• b. that to give effect to the above matter, it is deemed necessary to issue a decree of the Minister of Industry and Trade;

In view of:

• 1. Trade Ordinance of 1934 (Statute Book of 1938 No. 86) as already amended and supplemented;
• 2. Law No. 4/1982 on the principles of the environment (Statute Book of 1982 No. 12, Supplement to Statute Book No. 3215);
• 3. Law No. 10/1995 on customs affairs (Statute Book of 1995 No. 75, Supplement to Statute Book No. 3612);
• 4. Government Regulation No. 1/1982 on the realization of exports and imports and the flow of foreign exchange (Statute Book of 1982 No. 1, Supplement to Statute Book No. 3210) as already amended by Government Regulation No. 24/1985 (Statute Book of 1985 No. 33, Supplement to Statute Book No. 3291);
• 5. Government Regulation No. 19/1994 on the management of hazardous and toxic waste (Statute Book of 1994 No. 26, Supplement to Statute Book No. 3551) as already amended by Government Regulation No. 12/1995 (Statute Book of 1995 No. 29);
• 6. Presidential Decree No. 260/1967 on the definition of task and responsibility of the Minister of Trade in the field of foreign trade;
• 7. Presidential Decree No. 61/1993 on the Ratification of the Basel Convention on the Control of Transboundary Movements of Hazardous Waste and Their Disposal;
• 8. Presidential Decree No. 98/M/1993 as already amended by Presidential Decree No. 388/M/1995;
• 9. Presidential Decree No. 77/1994 on the Agency for the Control of Impacts on the Environment;
• 10. Presidential Decree No. 2/1996 on the amendment to Presidential Decree No. 15/1984 on the organizational structure of ministries as already twenty five times amended the latest by Presidential Decree No. 61/1995;
• 11. Decree of the Minister of Trade No. 1460/Kp/XII/84 on the importer's identification number (API);
• 12. Decree of the Minister of Industry and Trade No. 29/MPP/SK/2/1996 and No. 92/MPP/Kep/4/1996 on the organizational structure and working system of the Ministry of Industry and Trade;
• 13. Decree of the Minister of Industry and Trade No. 1640/Kp/XII/84 on general provisions in the import sector;
• 14. Decree of the Minister of Industry and Trade No. 133/MPP/Kep/6/1996 on goods subject to import regulations.

DECIDES:

To stipulate:

THE DECREE OF THE MINISTER OF INDUSTRY AND TRADE ON THE PROCEDURE FOR THE IMPORT OF WASTE.

CHAPTER I
GENERAL PROVISIONS

Article 1

Referred to in this decree as:

• a. Waste shall be remaining or used materials/goods which originate in a production activity and/or process, and which have changed from their original function, except those which fit for eating or drinking by human beings and/or animals;
• b. Hazardous and toxic waste, hereinafter referred to as B3 waste, shall be waste which contain hazardous and/or toxic substances, and which, because of their characteristics and/or concentration and/or their quantity, can directly or indirectly destroy and/or pollute the environment and/or endanger human health.
• c. Non B3 waste shall be waste which is excluded from the definition as meant in letter b of this decree;
• d. Waste treatment shall be a series of activities which cover the storing, collection, transport and processing of waste and the stockpiling of processed waste;
• e. Waste users shall be statutory bodies which carry out activities of re-cycling and/or re-collecting and/or reusing waste to change it into a product with economic value;
• f. General importers of waste shall be general importers who are recognized and approved by the Director General of International Trade to import waste;
• g. Producer Importers of 133 waste shall be producers who are recognized and approved by the Minister of Industry and Trade to import themselves B3 waste solely for their own production process;
• h. Producer Importers of non B3 waste shall be producers who are recognized and approved by the Minister of Industry and Trade to import themselves non 133 waste solely for their own production process;
• i. Overseas exporters shall be companies which export waste and which are domiciled in the countries of the origin of waste;
• j. Surveyors shall be surveyors approved by the concerned governments to run their business in the countries of exporters or transit countries.

CHAPTER II
THE IMPORT OF WASTE

Article 2

Waste that may be imported shall cover 59 (fifty-nine) tariff headings as meant in Attachments 1, lI, and III to this decree as long as it is to be used as basic material and/or auxiliary material or to be re-cycled.

Article 3

(1) Waste as meant in Attachment I to this decree may be imported by the general importer of waste.

(2) Waste as meant in Attachment II to this decree may only be imported by the producer importer of non B3 waste.

(3) Waste as meant in Attachment III to this decree may only be (4) waste excluded from Attachments I, II and III to this decree may only be imported by the producer importer of B3 waste or producer importer of non B3 waste.

(4) Waste excluded from Attachments I, II and III to this decree may only be imported by the producer importer of B3 waste or producer importer of non B3 waste.

(5) The producer importer of B3 waste and the producer importer of non B3 waste may import the waste as meant in Attachment I to be solely used for its production process.

(6) The import of waste as meant in paragraph (4) shall meet all the provisions in this decree.

(7) The type and quantity of waste imported by the producer importer of B3 waste and the producer importer of non B3 waste as meant in paragraphs (2), (3), (4) and (5) may only be used for its own production process instead of being sold or transferred to other parties.

CHAPTER III
THE PROCEDURE FOR THE IMPORT OF WASTE

Article 5

(1) The producer importer of B3 waste who is to import waste as meant in Attachment III to this decree shall make a contract with an overseas exporter.

(2) The contract as meant in paragraph (1) shall at least contain:

• a. Complete identities of the concerned party;
• b. Type and quantity, for which the contract is made;
• c. Information that any contract may be used for several shipments of waste within a maximum period of 12 (twelve) months;
• d. The obligation of the overseas exporter to receive back imported waste if it turns out to be against the contract;
• e. The obligation of the overseas exporter to report a plan for the shipment of waste to the authorized official in the country of the overseas exporter before the waste is shipped.

(3) The producer importer of B3 waste as meant in paragraph (1) shall submit copies of the contract to the Director General of International Trade, the Director General of Metal, Machinery and Chemical Industry and the Head of the Environmental Impact Management Board (BAPEDAL).

(4) If the content of the contract contradicts the existing regulation and law, the Director General of International Trade shall be authorized to have the contract improved or cancelled no later than 3 (three) working days after the copy of the contract is received.

Article 6

(1) The importer through the overseas exporter shall take care of a written notification on the shipment of B3 waste to Indonesia, from the authorized official in the country of the overseas exporter to the Indonesian Government in this case the Environmental Impact Management Board (BAPEDAL) with copies addressed to the Director General of International Trade and the Director General of Metal, Machinery and Chemical Industry.

(2) No later than 7 (seven) working days after the written notification as meant in paragraph (1) is received in a complete manner, the Head of the Environmental Impact Management Board (BAPEDAL) shall give a written response to the authorized official in the country of the overseas exporter with copies addressed to the overseas exporter, the Director General of International Trade and the Director General of Metal, Machinery and Chemical Industry.

(3) The Head of the Environmental Impact Management Board (BAPEDAL) in his response as meant in paragraph (2) may only refuse the shipment of B3 waste if it contradicts the existing regulation and law.

(4) If the Environmental Impact Management Board (BAPEDAL) is to refuse the shipment of B3 waste, the Head of the Environmental Impact Management Board (BAPEDAL) shall first consult the Director General of International Trade and the Director General of Metal, Machinery, and Chemical Industry.

(5) The obligation to submit a written notification as meant in paragraph (1) shall begin to take effect on January 1, 1998.

CHAPTER IV
THE SHIPMENT OF WASTE

Article 7

(1) The general importer of waste, the producer importer of non B3 waste, or the producer importer of B3 waste may conduct the shipment of waste as meant in Attachments I, II, and III to this decree by attaching the following documents:

• a. Full name and address of the overseas exporter;
• b. Descriptions on the type of waste, post headings and names commonly used in trade;
• c. Weight/volume;
• d. Name and address of the recipient/importer;
• e. The method of managing waste regarding re-cycling;
• f. The plan for the shipment of waste;
• g. Approval from the Environmental Impact Management Board (BAPEDAL) for the written notification as meant in Article 6 paragraph (1) of this decree, especially for B3 waste.

(2) The documents as meant in paragraph (1) shall be attached together with other import documents.

CHAPTER V
INSPECTION AND CHARGES

Article 8

(1) The surveyor in the port of loading shall first inspect the type and quantity of each waste as meant in Attachments I, II and III to this decree before it is shipped in order to get a certificate.

(2) The certificate as meant in paragraph (1) shall carry a statement that the said waste does not violate provisions on environmental conservation efforts in Indonesia.

(3) The type and quantity of waste as meant in paragraph (1) shall conform to the agreement as meant in Article 6 paragraph (1) and/or the information as meant in Article 7 paragraph (1).

(4) All expenses arising from the inspection of waste by the surveyor shall be borne by the importer and/or exporter according to the agreement between the two parties.

(5) The imported waste that is transshipped shall be subject to a repeat inspection by the surveyor at the transit point at the time the waste is to be transshipped.

(6) If the type of imported waste does not conform to and/or the quantity of imported waste exceeds that stipulated in the agreement as meant in Article 6 paragraph (1) and/or information as meant in Article 7 paragraph (1), the waste shall be sent back to the country of origin of the exporter.

(7) The general importer of waste, producer importer of non B3 waste and producer importer of B3 waste shall be responsible for sending back the waste as meant in paragraph (3).

(8) All expenses required for sending back the waste as meant in paragraph (3) shall be borne by the general importer of waste, producer importer of non B waste or producer importer of B3 waste concerned.

(9) The inspection by the surveyor as meant in paragraph (1) shall not reduce the authority of the Directorate General of Customs and Excise to conduct a customs inspection.

Article 9

The general importer of waste, producer importer of non B waste and producer importer of B3 waste shall submit a written report on activities ranging from the import of waste to the storing waste at its warehouses to the Director General of International Trade with copies addressed to the Head of the Environmental Impact Management Board (BAPEDAL) and the Director General of Metal, Machinery and Chemical Industry.

CHAPTER VI
SANCTIONS

Article 10

(1) The Minister of Industry and Trade or the authorized official may issue a warning, if the general importer of waste, producer importer of non B waste or producer importer of B3 waste fails to submit a written report as meant in Article 9 within 14 (fourteen) days after the hangar official of the Directorate General of Customs and Excise validates the import notification document (PIB).

(2) Despite three successive warnings as meant in paragraph (1) with an interval of 10 (ten) days, the general importer of waste, producer importer of non B waste or producer importer of B3 waste does not submit a report, the Minister of Industry and Trade or the authorized official shall freeze the acknowledgement of the importer as a general importer of waste, producer importer of non B3 waste or producer importer of B3 waste.

(3) The freezing of the acknowledgement of the importer as a general importer of waste, producer importer of non B3 waste or producer importer of B3 waste shall be valid for 2 (two) months, and if during the period of time the relevant importer does not submit a report and/or does not take any action according to the existing provision, the Minister of Industry and Trade shall revoke the acknowledgment of the relevant importer as a general importer of waste, producer importer of non B3 waste or producer importer of B3 waste.

Article 11

The Minister of Industry and Trade may directly revoke the acknowledgement of the importer as waste importer without having to issue the warning as meant in Article 10 of this decree, if:

• a. the general importer of waste:
• 1. imports waste whose type does not conform to and/or whose quantity exceeds that approved by the Director General of International Trade;
• 2. sends back waste to the third country instead the country of origin of the overseas exporter.
• b. the producer importer of non B3 waste:
• 1. sells the waste it has imported or buys imported waste from another producer importer of non B3 waste;
• 2. imports waste whose type does not conform to and/or whose quantity exceeds that approved by the Director General of International Trade;
• 3. sends back imported waste to a third country instead of the country of origin of the overseas exporter.
• c. the producer importer of B3 waste:
• 1. sells waste it has imported or buys imported waste from another producer importer of B3 waste;
• 2. imports waste whose type does not conform to and/or whose quantity exceeds that approved by the Director General of International Trade;
• 3. sends back imported waste to a third country instead of the country of origin of the overseas exporter.

Article 12

(1) If the general importer of waste, producer importer of non B3 waste or producer importer of B3 waste does not send back importer waste to the country of origin of the overseas exporter as meant in Article 8 paragraph (7) of this decree within a period of time according to the customs provision, the Minister of Industry and Trade or the authorized official may freeze or revoke the acknowledgement of the relevant importer as a general importer of waste, producer importer of non B3 waste or producer importer of B3 waste or its business permit pup).

(2) If the waste as meant in paragraph (1) causes environmental damage or pollution, the relevant importer shall pay compensations or pay waste treatment cost or environmental restoration cost to the state, and/or faces a criminal sanction
according to Law No. 4/1982.

Article 13

Matters which are not yet provided for in this decree shall be further stipulated by the Director General of International Trade.

Article 14

With this decree coming into force, Decree of the Minister of Industry and Trade No. 137/MPP/ Kep/6/1996 on the procedure for the import of waste shall be declared null and void.

Article 15

This decree shall take effect as from the date of stipulation.

For public cognizance, this decree shall be announced by placing it in the State Gazette of the Republic of Indonesia.

Stipulated in Jakarta
On July 4, 1997
THE MINISTER OF INDUSTRY AND TRADE,
sgd.
T. ARIWIBOWO

Attachment