Nuclear Energy Regulatory Agency Regulation Number 5 of 2025 Reforms Risk-Based Business Licensing in the Nuclear Energy Sector

Introduction

On 30 December 2025, the Nuclear Energy Regulatory Agency [Badan Pengawas Tenaga Nuklir (“BAPETEN”)] issued Regulation of the Nuclear Energy Regulatory Agency Number 5 of 2025 on Standards for Business Activities and/or Product/Service Standards in the Implementation of Risk-Based Business Licensing in the Nuclear Energy Sector (“BAPETEN Regulation 5/2025”). BAPETEN Regulation 5/2025 governs business establishment requirements, manpower qualifications, operational activities, licensing exemptions, and business closure, and mandates that all such processes be conducted through the national electronic system.

BAPETEN Regulation 5/2025 governs data integration between the national business licensing system (Online Single Submission / ”OSS”) and the Licensing Information System of the Nuclear Energy Regulatory Agency (“Balis System”), as stipulated in Government Regulation Number 28 of 2025 on the Implementation of Risk-Based Business Licensing. BAPETEN Regulation 5/2025 establishes safety standards, manpower qualification requirements, and administrative sanction mechanisms in nuclear activities to protect workers, the public, and the environment from radiation exposure risks.

Comparison

BAPETEN Regulation 5/2025 revokes and replaces the following regulations:

1. Regulation of the Nuclear Energy Regulatory Agency Number 3 of 2021 on Standards for Business Activities and Product Standards in the Implementation of Risk-Based Business Licensing in the Nuclear Energy Sector (“BAPETEN Regulation 3/2021”); and

2. Regulation of the Nuclear Energy Regulatory Agency Number 1 of 2022 on the Management of Risk-Based Business Licensing in the Nuclear Sector (“BAPETEN Regulation 1/2022”).

The following is a comparison between BAPETEN Regulation 5/2025, BAPETEN Regulation 3/2021, and BAPETEN Regulation 1/2022:

Key Provisions

Legality and Form of Business Entity

Provisions regarding the legal subjects of Businesses and business entity form requirements in the implementation of nuclear activities are stipulated in Article 2, Article 6, Article 7, and Article 13 of BAPETEN Regulation 5/2025. Businesses may be individuals, business entities (whether legal entities or non-legal entities), or representative offices. For high-risk activities, namely Nuclear Installations, Nuclear Materials, and Mining of Nuclear Minerals, this regulation requires Businesses to be in the form of an Indonesian Legal Entity, such as a limited liability company, foundation, or cooperative. Under these provisions, activities in this sector cannot be carried out by individuals. Furthermore, every business must possess a Business Identification Number (NIB) and an access account on the OSS system.

Licensing Structure: Main License (PB) and Supporting License (PB UMKU)

As stipulated in Article 1 item 2, Article 1 item 3, Article 3, Article 4, and Article 5, companies need to note the difference between these two types of licensing in carrying out business activities:

1. Business License (PB): The PB is the main operational license covering the Utilization of Ionizing Radiation Sources (Industrial/Medical), Nuclear Installations (Reactor/Non-Reactor), Mining, and Supporting Services (Testing/Training Institutions).

2. Business License to Support Business Activities [Perizinan Berusaha Untuk Menunjang Kegiatan Usaha (PB UMKU)]: The PB UMKU constitutes a supporting business license granted to businesses to enable and support the implementation of licensed business activities. Supporting licenses cover activities involving the movement of goods, including export and import licensing for radioactive substances, ionizing radiation generators, and nuclear materials. These licenses also apply to technical stages of facilities, such as the construction, operation, and decommissioning of irradiator facilities, radioisotope production facilities, and radioactive waste management facilities. In addition, certain service activities, including Non-Destructive Testing, well logging, and diagnostic and interventional radiology services, are required to obtain such supporting licenses.

Manpower and Occupational Health Aspects

BAPETEN Regulation 5/2025 regulates human resource requirements in the implementation of nuclear activities. Companies must comply with manpower provisions according to their type of business activity.

1. Mandatory Personnel: License holders must place personnel according to the type and risk level of the activity, including Radiation Protection Officers (PPR), Radiation Workers, Radioactive Substance Security Officers, and Maintenance Officers.

2. Work License (Personal License): Radiation Protection Officers (PPR) must possess a Work License issued by the Head of BAPETEN that remains valid. Companies may only appoint a PPR with an active work license.

3. Health and Dose Monitoring: Companies shall organize radiation dose monitoring for radiation workers using dosimeters and conduct periodic medical examinations. Results of dose monitoring and medical examinations are used as part of the administrative requirements in personnel data amendments and license renewals.

4. Training: Companies shall ensure personnel participate in training organized by training institutions accredited or appointed by BAPETEN.

Provisions regarding the obligation for personnel placement, possession of a Work License, radiation dose monitoring, periodic medical examinations, and personnel training are stipulated in Article 155, Article 171, as well as the technical standards in the Annexes to BAPETEN Regulation 5/2025.

Staged Licensing Lifecycle (Lifecycle Approach)

Regulations regarding the granting of licenses in stages for high-risk facilities, such as irradiators, reactors, and radioisotope production facilities, are stipulated in Article 15, Article 30, and Article 1 item 38 of BAPETEN Regulation 5/2025. Companies shall follow licensing stages according to the facility activity cycle.

1. Construction Stage: The relevant license must be obtained prior to the commencement of physical construction or installation of equipment.

2. Operation Stage: Applied for after construction is completed and commissioning results are declared safe.

3. Decommissioning Stage: Must be applied for when the company intends to close the facility or permanently cease operations.

4. Clearance Statement (Klierens): Determination of exemption from BAPETEN supervision for unsealed radioactive substances, radioactive waste, or contaminated and/or activated materials and equipment that have met radiation safety criteria.

Corporate Action Dynamics: Data Amendments and Business Expansion

Article 77 through Article 98 of BAPETEN Regulation 5/2025 govern the procedures for business changes:

1. Business Expansion (Mandatory New License): Specifically for the Nuclear Installation, Nuclear Material, and Mining sectors, any increase in production capacity, expansion of business location, or addition of business activities requires the application for a new PB.

2. Data Amendment: For the Utilization of Ionizing Radiation Sources sector, changes that are administrative in nature or technical changes that do not alter the activity risk level are processed through the license data amendment mechanism, subject to assessment by the Nuclear Energy Regulatory Agency.

3. Personnel Change: Replacement of the Radiation Protection Officer (PPR) or other required personnel shall be reported through a data amendment by attaching a valid Work License.

Approval Obligations for Specific Activities

In the implementation of business activities, Article 42 through Article 76 stipulate that companies require approval from the Head of BAPETEN for specific activities outside the business license:

1. Facility Modification: Changes to equipment design or building structures that impact safety are prohibited from being executed before a Modification Approval is issued.

2. Export and Import: Every cross-border shipment of radioactive substances requires specific approval per shipment and requires notification (consent) between countries.

3. Transport: The transport of radioactive substances is conducted pursuant to the relevant PB or PB UMKU and must comply with applicable radiation safety technical requirements, including packaging and transport standards.

License Exemptions

Articles 99 through 102 stipulate categories of radiated goods that are exempt from licensing requirements. License exemptions apply to:

1. Radioactive substances with activity below the exemption limit value.

2. Low-energy radiation generators (maximum 5 keV) which, under normal operating conditions, do not cause an equivalent dose rate exceeding 1 µSv/hour at a distance of 10 cm from the equipment surface.

3. Consumer goods that have been approved or determined by the Head of the Agency and meet radiation safety provisions pursuant to BAPETEN Regulation 5/2025.

For export or import activities of goods included in the license exemption, Businesses must obtain a statement letter from the Head of the Agency by submitting an application to the Head of the Agency.

Corporate Liability upon Dissolution/Bankruptcy

Article 105, Article 108, Article 112, Article 116, and Article 119 of BAPETEN Regulation 5/2025 govern the continuity of radiation safety liability in the event a company is dissolved or declared bankrupt. If a license terminates due to the dissolution of the business entity or a bankruptcy decision, the party assigned responsibility or authorized for and on behalf of the License Holder shall continue to carry out the security of radiation sources and radioactive waste management. In such conditions, the responsible party must conduct facility decommissioning, perform radioactive waste management, and carry out the handover of Nuclear Materials to the implementing agency or return them to the country of origin in accordance with provisions.

Tiered Administrative Sanctions

Article 175 through Article 180 of BAPETEN Regulation 5/2025 regulate the implementation of administrative sanctions in stages, covering:

1. Written Warning: Issued three times (Warning 1, 2, 3) with a follow-up interval of 10 (ten) working days each.

2. License Suspension: Imposed if the third warning is ignored. During suspension, business activities must cease.

3. License Revocation: Carried out if the suspension period ends without rectification, or the Head of BAPETEN immediately revokes the PB and/or PB UMKU if the License Holder is proven to have falsified documents during the application process.

Transitional Provisions

Article 181 of BAPETEN Regulation 5/2025 governs transitional provisions in the implementation of licensing:

1. Issued Licenses: All licenses issued before this regulation comes into force are declared to remain valid and in effect until their validity period expires.

2. Applications in Process (WIP): Applications for PB and/or PB UMKU that have been submitted and are still in the assessment, document revision, re-assessment, or payment stage at the time BAPETEN Regulation 5/2025 takes effect, shall continue to be processed based on BAPETEN Regulation 3/2021 and BAPETEN Regulation 1/2022.

3. Obligations After Expiry: After the license validity period expires, renewal applications shall follow the provisions of BAPETEN Regulation 5/2025, including personnel Work License requirements and the use of the Balis system.
   

Closing

BAPETEN Regulation 5/2025 regulates the integrated business licensing process through the OSS system, with compliance with technical standards carried out through the Balis System, including licensing procedures for the expansion of business activities processed as business development. The regulation also provides for administrative sanctions, requires separate approvals for certain technical activities such as facility modifications as well as export and import activities, and affirms that responsibility for radioactive waste management and the security of radiation sources remains with the company’s management even if the business entity is dissolved or declared bankrupt. In line with these provisions, companies should conduct internal reviews of the validity periods of personnel Work Permits and the accuracy of technical data in their licenses to support the continuity of business operations.