KPPU Regulates Procedures for Commission Hearings on the Business Competition Compliance Program

On 16 September 2026, the Chairperson of the Business Competition Supervisory Commission (Komisi Pengawas Persaingan Usaha or KPPU) issued KPPU Chairperson Regulation No. 1 of 2026 on the Procedures for Commission Hearings on the Business Competition Compliance Program. This Regulation governs the evaluation process for business competition compliance programs, from the submission of reports by business actors and their examination by the KPPU to the pronouncement of the determination.

This Regulation was established to provide guidance on the procedures for Commission hearings and the preparation of determinations concerning business competition compliance programs (Program Kepatuhan Persaingan Usaha or Prokpu). Its provisions supplement KPPU Regulation No. 1 of 2022 on the Business Competition Compliance Program.

What Is the Business Competition Compliance Program?

Article 1 defines Prokpu as a series of activities demonstrating a business actor's efforts to comply with the principles of fair business competition. The program is implemented and developed by the business actor registering for the program and must be prepared in a written document in the Indonesian language.

As part of the evaluation process, a business actor registering for the program must submit a Report on the Implementation of Prokpu Preparation (Laporan Pelaksanaan Penyusunan Prokpu or Lapsun Prokpu). Pursuant to Article 5, the report must be accompanied by a list of supporting documents that includes, at a minimum:

1. a code of ethics;

2. business competition compliance guidelines; and

3. a report on the implementation of outreach, awareness-raising, and training activities.

Supporting documents may be submitted in printed and/or electronic form.

How Does the Evaluation Process Work?

Article 4 stipulates that the work unit responsible for Prokpu shall propose that the report be evaluated at a Commission Meeting. If the proposal is not approved, the work unit must revise the report in accordance with the outcome of the meeting. If the proposal is approved, the Commission Meeting shall establish a Commission Hearing by means of a Commission decision. The relevant work unit shall then appoint a verifier and a hearing clerk.

The Commission Hearing shall be held within 15 working days of the business actor's submission of the Lapsun Prokpu. This period may be extended by a maximum of 15 additional working days.

Pursuant to Article 6, the hearing process consists of three stages, namely:

1. the hearing for submission of the report and presentation of the verification and validation report;

2. the Commission Hearing deliberation; and

3. the hearing for pronouncement of the Prokpu determination.

The first two stages shall be conducted in closed session, whereas the hearing for pronouncement of the determination shall be open to the public. Hearings may also be conducted by electronic means, and the business actor registering for the program may be accompanied by a consultant.

What Happens at Each Stage of the Hearing?

At the first stage, the management of the business actor registering for the program shall submit the Lapsun Prokpu and provide a brief presentation of its contents. The management may be accompanied by the company's employees. The verifier shall then submit and present the report on the results of the verification and validation. This stage shall conclude with a summary of the hearing, which shall serve as the basis for the deliberation.

Furthermore, Article 12 stipulates that the Commission Hearing deliberation shall be conducted to evaluate the business actor's report and the verification report, provide instructions for revisions where necessary, discontinue the hearing, or approve the report for formal determination.

If the report requires revision, Article 13 provides that it shall be returned to the business actor through the verifier, together with instructions and a deadline for making the revisions. The hearing period shall be suspended while the report is undergoing revision. If the business actor fails to meet the prescribed deadline, the Commission Hearing shall be discontinued.

Conversely, if the report has been approved, the deliberation shall prepare the Prokpu determination and schedule the hearing for its pronouncement. At this final stage, the management of the business actor registering for the program shall attend to hear the determination pronounced. A copy of the determination shall be provided to the business actor immediately after the pronouncement has been completed.

What Must Be Fulfilled Following the Determination?

Article 16 stipulates the minimum contents of a Prokpu determination, including the identity of the business actor, the considerations underlying the evaluation results, the Commission's approval, the period of validity of the determination, and the signatures of the Chairperson and members of the Commission Hearing.

The determination shall also contain the business actor's commitments to implement Prokpu on an ongoing basis, identify and mitigate business competition risks at least once a year, and conduct outreach, awareness-raising, training, and/or other activities related to Prokpu at least once a year.

In addition, the business actor must report to the Commission if there are changes to policies or regulations, changes in internal or external conditions affecting its business activities, and/or requests from the Commission that affect the compliance program.

Closing

KPPU Chairperson Regulation No. 1 of 2026 governs the stages of Prokpu evaluation, from the examination of reports to the issuance of a determination by the Commission. Under this mechanism, business actors participating in the compliance program must satisfy the documentary requirements, undergo the evaluation process, and incorporate commitments to implement Prokpu on an ongoing basis into the Commission's determination.