← Back to Insights

Regulation Watch · Business Licensing · Indonesia, including Bali

Inclusive Companies Can Qualify for Licensing and Workplace Incentives

PP 31/2026 creates an incentive route for private companies that employ persons with disabilities, provide qualifying concessions, or operate accessible tourism services.

Published
Promulgated 2 July 2026 after issuance on 2 July 2026
Effective
2 July 2026
Updated
11 September 2026

Who is affected

PT PMA companies and other private employers, tourism businesses, transport and service operators, companies offering concessions to persons with disabilities, business associations, and organisations supporting persons with disabilities.

Practical impact

A private company may be selected for government or regional-government incentives if it gives concessions to persons with disabilities, employs persons with disabilities, or is a tourism company providing accessible travel services. Available incentive forms include recognition, business promotion and publicity, licensing or certification facilitation, support for accessible workplace facilities, and other forms allowed by law. The benefit is not automatic: an eligible proposer must nominate the company, the competent authority selects recipients after review and verification, and detailed implementation depends on ministerial, agency, or regional rules.

Late discovery: PP 31/2026 was issued, promulgated, and made effective on 2 July 2026. It remains actionable because it creates a current incentive pathway for inclusive employers and tourism businesses, while the Government's 1 September implementation coordination confirmed that sector rules, funding, and delivery mechanisms are now being prepared.

Three private-company routes are covered. Incentives may be given to a company that provides concessions to persons with disabilities, employs persons with disabilities, or, in the tourism sector, provides accessible travel services. Incentive forms can include recognition, promotion and publicity, licensing or certification facilitation, accessible workplace facilities, and other forms permitted by law.

Eligibility does not create an automatic entitlement. Individuals, legal entities, disability organisations, community organisations, business associations, or community groups may nominate a candidate to the competent minister, agency head, or regional head. The authority then reviews, verifies, validates, and selects the recipient under the detailed rules within its jurisdiction.

The practical step now is evidence preparation. A company should be able to demonstrate the actual inclusive employment, accommodation, accessible-tourism service, or concession programme it relies on. It should then monitor the implementing rule and nomination channel for the relevant sector and location. PP 31/2026 gives the authorities until 2 July 2028 to establish the required implementing regulations, so any expected licensing acceleration or facility support should be treated as unconfirmed until the competent authority publishes and applies its process.

Required action

  • Identify whether the company has a credible eligibility route through disability employment, a qualifying concession programme, or accessible tourism services, then document the underlying practice before seeking recognition.
  • Keep evidence suitable for government verification, including employment and payroll records, reasonable-accommodation and accessibility measures, accessible-tourism service details, or the written concession policy and process for recognising eligible KPD holders.
  • Before offering a concession, confirm the covered service, minimum discount, KPD or accepted transitional evidence, and any sector-specific rule; do not advertise an official programme that the company cannot consistently deliver.
  • Monitor the relevant ministry and Bali provincial or regency rules that will define the detailed incentive form and process, particularly for tourism, employment, licensing, certification, and workplace-facility support.
  • If seeking an incentive, confirm the nomination route with the competent ministry, agency, or local government and retain the submission, verification, and selection record; do not budget a licensing fast track or financial benefit until formally approved.

Start the Conversation

Need help applying this change?

Discuss how the regulation affects your company, investment, property, or compliance position.

Discuss Your Business