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12. Import prohibitions, restrictions and licensing remain in place, inter alia, to protect national interests relating to public morals, human life or health, natural resources, environment, use of locally produced goods, protection and development of domestic industries, and to enforce obligations under international agreements. (...)

14. Export taxes remain a policy tool for, inter alia, tax revenue collection (albeit significantly declining, 0.4% of total tax revenue in 2018), fostering the development of downstream processing facilities, ensuring domestic supply of intermediate inputs at below world market prices, raising domestic value-added, and reducing the rate of depletion of non renewable mining resources. (...)

22. Government procurement in Indonesia remains centralized in terms of regulations and systems but decentralized for procurement execution. (...) The regulatory framework for government procurement was revised in 2018, with the stated objective of achieving value for money, contributing to the increased use of domestic products, increasing MSMEs' participation, and sustainable development. (...)

23. During the review period, there were several changes to intellectual property (IP) laws and regulations. (...) and the Nagoya Protocol on Access to Genetic Resources. The new 2016 Patent Act introduced various new provisions, including: online filing; stronger protection of genetic resources and traditional knowledge; (...)

25. (...) An ecosystem approach to fisheries management was followed. Regulatory developments included areas such as the management of coastal area and islands, large fishing vessel licences, and the ban of fishing trawl and seine nets. (...) Considerable action was taken to address illegal, unreported and unregulated (IUU) fishing activities.

26. Regarding forestry, action was taken to, inter alia, address deforestation driven by expanding plantations for palm oil, through a moratorium prohibiting the conversion of primary natural forests and peatlands to palm oil, pulpwood and logging concessions; in addition, a social forestry programme is underway. The exploitation of timber forest products of natural forests is entirely reserved for domestic capital. Export of roundwood and rough sawn timber for all species remains banned, to protect domestic wood-processing industries. Procedures for smallholders and small-and-medium enterprises (SMEs) to obtain timber legality verification certification were eased; since 2016, Forest Law Enforcement, Governance and Trade (FLEGT) timber export licences have been issued. Forest law enforcement was strengthened, and Indonesia committed to reducing its emissions from deforestation and forest degradation through the REDD+ mechanism.

28. Indonesia remains dependent on imports of hydrocarbons and electricity to cover its energy consumption needs. Policy objectives include achieving security in the domestic energy supply by reducing gasoline dependency and increasing the use of renewable energy sources. (...) The state-owned limited liability oil and gas company expanded its scope to include gas, renewables and upstream operations, both within Indonesia and abroad. FDI participation in oil and gas upstream activities is subject to limitations. (...) Significant changes to the fuel subsidy policy, allowing for considerable reduction in the entire energy subsidy bill, were made; at present, subsidies keep retail prices for three fuels below world market level: gasoline (distribution costs compensation); diesel (fixed subsidy); and kerosene (fixed price).

29. (...) Domestic support to new and renewable energy sources was prioritized, to achieve the targeted energy mix. Action was taken to address issues relating to the regulatory framework on electricity tariffs and pricing from renewable energy sources. The 2008 mandatory policy of a biodiesel mixture of fatty acid methyl ester (FAME) from palm oil into fuel oil intensified, to, inter alia, meet renewable energy targets and reduce diesel consumption.

35. Tourism is a key generator of employment and one of Indonesia's main sources of foreign currency earnings. (...) New developments over the review period include: (...) measures to increase the sustainability and quality of tourism businesses. (...)

1.10. (...) The Government steadily refocused public expenditures from inefficient energy subsidies toward productive investments in infrastructure (Sections 4.2.2.1.2 and 4.2.2.2); however, in 2018, as electricity and some fuel prices were frozen, energy subsidies seemingly increased (50% on a year on-year basis), although they were partially offset by restraints of other expenditures (capital expenditure in particular). (...)