Indonesia

In Indonesia, the regulatory framework can be found in various presidential decrees based on laws 5 and 18/2000. These different decrees have contradictory as well as flawed provisions that could be manipulated for corruption. They cover all state levels—national, provincial, local—and state-owned companies, but do not apply to those related to security and emergency. Open tendering is the standard method and requires at least three bidders; limited tendering is used for complex items while direct contracting is applied in security and emergency cases. Call for tenders requires publicity through mass media; the use of e-procurement has also started. Some preventive mechanisms that Indonesia has installed in its procurement system include the mandatory use of integrity pacts, regulation of conflict of interest and handling of gifts, sanctions for erring personnel and suppliers, open access to procurement information for any citizen.

ANSA-EAP is currently formalizing a procurement sub-network in Indonesia through the coordination of Transparency International-Indonesia and Indonesia Corruption Watch. Closely involved in the preparations are PATTIRO, Indonesia Procurement Watch, Bandung Institute for Governance Studies, and B-Trust.

The Indonesian sub-network on procurement needs to provide a fresh platform for CSOs to push for a procurement law and for more procurement monitoring efforts. It should also build on current local networks and practices that pursue greater transparency and accountability in government procurement transactions.

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