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Preventive and Evaluative Mechanism Analysis on Regulatory and Legislation Reform in

Indonesia
ABSTRACT
The quality of regulatory and legislative measures, both within and outside the hierarchy in Indonesia,
can be assessed using certain indicators. These indicators demonstrate a stagnation and a slight shift
towards other legal issues. To improve the quality of regulatory and legislative measures, it is
necessary to amend preventive and evaluative mechanisms. This condition provides a foundation for
further analysis of all problems, with a focus on creating a positive system that prioritizes urgency and
required improvements. This paper aims to analyze the preventive and evaluative mechanisms of
legislation in Indonesia objectively. This article uses the doctrinal legal method, utilizing legal concepts,
statutory laws, legal facts, and legal case approaches. It suggests amending the current mechanism
and recommends reforms towards both preventive and evaluative mechanisms to improve regulatory
and legislative quality in Indonesia. This study was concerned with formulating grounded principles and
concepts, and providing proof of concept for preventive and evaluative mechanisms towards statutory
laws, which would ensure the sustainability of Indonesia's legislative and regulatory reform.
Keywords: Preventive; Evaluative; Indonesia; Regulatory and Legislation Reform

A. INTRODUCTION obstacles to public services, particularly those


The number and quality of regulations in related to business operations (Hermanto, 2019).
Indonesia have come under scrutiny (Diprose, The facilitation of business procedures is crucial
McRae, & Hadiz, 2019). The data published by for national development. It includes reducing
Kemenkum HAM (the Ministry of Law and Human regulatory burdens and improving regulatory
Rights) in peraturan.go.id on November 14, 2023 quality (Mochtar & Rishan, 2022) to address
reveals a staggering number of regulations, legislative issues and to foster ease of doing
totaling 57,735, while 55,374 of them is still in business both on a policy and a pro-business
force. This figure is further broken down into regulatory level (Mariyam, Satria, & Suryoutomo,
1,749 laws, 217 perppu (emergency laws), 18,253 2020). Such efforts will support economic
permen (ministerial regulations), 5,845 agency advancement, align with national interests
regulations, 4,870 PP (government regulations), (Widayati, Herawati, & Winanto, 2023), and
2,356 perpres (presidential regulations), 18,814 ultimately enhance social welfare. In addition, the
regional regulations, and 58,148 other government requires further action to align and
regulations. PSHK – Pusat Studi Hukum dan synchronize existing regulatory products (Arsil,
Kebijakan (Study Centre of Law and Policy of Ayuni, & Ariesy, 2022).
Indonesia) argues that the primary obstacle The 4th National Conference on
hindering the effectiveness of government Constitutional Law (KNHTN) highlighted that
projects is the chaotic and overlapping nature of unregulated regulations have caused disharmony
regulations (PSHK, 2019). It results in multiple and conflicts within regulations and also led to

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overlapping regulations (MPR RI, 2020a). Then, mayoral/regent ones (Alamsyah, Suwitri, &
the state of this rule has the potential to obstruct Yuwanto, 2019). This overlapping regulation is
the programs aiming to accelerate development thought to hinder foreign investment in Indonesia
and to improve the well-being of the public (MPR (Armiwulan, 2019). The Ministry of National
RI, 2020b). The KNHTN held a meeting in Development Planning/ the National Development
Jember, East Java, from 10-13 November 2017, Planning Agency (Bappenas) report identifies
where they published the Jember overlapping rules and institutional sectoral egos
Recommendation on Regulatory Arrangements in as the primary obstacles to delayed economic
Indonesia (Fitryantica, 2019). The purpose of progress. Furthermore, as stated by Bappenas,
KNHTN was to enhance legal certainty and these issues must be addressed promptly to
regulatory efficiency (Iswantoro, 2018). One of facilitate the economic development agenda
their key recommendations is the alignment and without any regulatory hindrances (Monoarfa,
harmonization of national and local regulations 2020).
between the Central and Regional governments Similarly, further data suggests that there
(Noviati, 2019). has been a rise in the scrutiny of legal
Indonesia's position on the World Bank's enactments by the Supreme Court and the
Regulatory Quality Index fluctuated between Constitutional Court, resulting in several instances
negative and positive scores with mixed of laws and regulations being deemed
conditions from 2017 to 2022. As per the index unconstitutional or contradictory (Butt, 2019b).
scale, with a score of 2.5 points representing This has been observed both in their entirety or
good regulatory quality, Indonesia's score partially in conjunction with other legislations
remained below zero. According to Hermanto (Yusa, & Hermanto, 2022).
(2022), the lowest score on the scale is -2.5 Based on these facts, Indonesia’s national
points, indicating weak regulation quality. In laws and regulations have been facing a complex
2017, Indonesia was ranked 92nd out of 193 predicament of stagnant quality (Yusa, 2021),
countries, receiving a score of -0.11 (Butt, 2019a). despite the reform agenda that has been pursued
Among ASEAN countries, Indonesia was ranked to include national law reform (Lindsey, 2002).
fifth, following Singapore, Malaysia, Thailand, and This issue has hindered the national development
the Philippines (Astomo, 2018). process in all fields, particularly the recent
Since October 2017, President Joko development of the national legal system, which
Widodo has expressed concerns over the has become increasingly prominent (Althabhawi,
excessive number of laws in Indonesia. The Zainol, & Bagherib, 2022).
country currently has approximately 42,000 Several practical measures are being
regulations, ranging from statutory to taken to enhance the quality of legislation in
Indonesia. These include seeking to revitalize the is maintaining good regulatory quality and a
national legislation program by the amendments proportional number of regulations (Xanthaki,
to the 1945 Constitution (Butt, & Murharjanti, 2011). Achieving such a regulatory structure
2022), planning for the formulation and requires implementing a process called
development of national laws in the medium and "Regulatory Reform." Regulatory reforms are a
long-term national development plans of the set of measures designed to enhance the quality
government, and making numerous of regulations, both independently and
improvements to ensure that the laws and collectively, integrated into a comprehensive and
regulations produced align with national complete regulatory system (Bielen, Marneffe &
development objectives (Mokhtar, Satriawan & Popelier, 2015). Regulatory Reform is a wide-
Nur Islami, 2017). ranging term that is applied in many countries to
Indonesia's legislative reform focus should achieve the short-term aims of improving
be on enhancing and accelerating the quality of regulation quality (Xanthaki, 2010). However, the
laws and regulations. It includes improving the content of regulatory reforms may vary across
preventive and evaluative mechanisms of the different nations, depending on the intricacy of
laws and regulations. The theoretical framework challenges encountered in maintaining quality,
used in this article pertains to legislation and simplicity, and well-organized legislation and
regulation reform, which both serve three main regulations that are capable of facilitating efforts
functions. As the guidelines for implementing to realize the state objectives (Xanthaki, 2018).
social dynamics, regulations serve as a means of This paper discusses the problem of
order and behavioral guidance, in both formal enforcing laws and regulations in Indonesia, with
and informal activities. Besides, regulations act a focus on preventive and evaluative measures. It
as a development instrument, mobilizing also considers ways to enhance the quality and
resources to attain predetermined goals. pace of implementation (Mietzner, 2010),
Furthermore, regulations function as an including the use of preventive and evaluative
integration factor, consolidating areas and mechanisms (Mietzner, 2010; Yusa, 2016).
policies within the context of state administration Nonetheless, previous studies had
and development, encompassing all existing conducted in-depth observations regarding
regulations (Sadiawati et al., 2015). preventive and evaluative mechanisms. Firstly,
Efficiency problems should no longer be Hermanto (2023) studied the presence of such
addressed through deregulation or reregulation, mechanisms within the scope of specific country
as both responses may lead to inefficiency studies. The writing maintains an objective and
(Astariyani, Setyari & Hermanto, 2020). From a formal register, using clear and value-neutral
regulatory perspective, the solution to inefficiency language. Overall, a logical flow of information is

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employed, with causal connections between and visionary framework while executing
statements. Second, Mastenbroek, van Voorst, preventative and evaluative mechanisms.
and Meuwese (2016) analyzed the Based on this background, conducting this
implementation of preventive and evaluative research was deemed significant. The research
contexts within regional communities. The aimed to analyze and examine the preventive and
technical terms such as 'preventive' and evaluative mechanisms of Indonesian legislation
'evaluative' are explained when first used. objectively. Firstly, various countries' practices
Consistent citation, footnote style, and formatting that have established preventive and evaluative
features are also adhered to. Third, previous mechanisms in legislative and regulatory reforms
studies had emphasized the workings of were described, analyzed, and evaluated. Their
mechanisms through legislative methods, as relevance in the Indonesian context was also
noted by Izzati (2022). explored. This study placed preventive and
Fourth, Marwiyah observed that the evaluative mechanisms as effective instruments
judiciary's role and effectiveness in the legislative to accelerate the legislative reform agenda in
process provide a foundation for further Indonesia. Secondly, this study aimed to
legislative and regulatory reforms in Indonesia, describe, examine, and analyze the factors that
despite any necessary confines placed on hindered the implementation of effective
legislative institutions (Marwiyah et.al, 2023). preventive and evaluative mechanisms to
Fifth, Wijaya and Ali (2021) concentrated accelerate the legislative reform agenda in
on legislative and regulatory reform in the Indonesia. Thirdly, it aimed to investigate, review,
institutional context, which is a fundamental and analyze the appropriateness of these
concern for improving the system of regulations mechanisms in improving the quality of national
and legislation. Sixth, Van Voorst and Zwaan laws and regulations and their potential impact on
(2019) contextualized legislative reform within concrete results of the legislative reform agenda.
criticisms of the existing framework of law B. ANALYSIS AND DISCUSSION
formation and its correlation with the current state 1. Structuring Preventive and Evaluative
of law formation. Mechanisms in Regulatory and Legislation
However, none of the prior studies Reform in Indonesia: Flashback and Future
comprehensively investigated the essential Recommendation
problems that necessitate the establishment of Legislative reform has become a significant
preventative and evaluative systems. In addition, priority to be pursued by various nations globally,
previous studies had failed to address the especially in developing countries (Hermanto,
element of enhancing the quality of regulations 2021). Amartya Sen considers these diverse
and legislation, founded on an all-encompassing interests as development objectives rooted in
liberty and economic growth for every nation overlapping of laws (Abdurahman, &
(Sen, 1988). The worldwide community faces Prasetianingsih, 2018). Consequently, there are
swift advances in numerous domains (Efendi, numerous obstacles to accessing public services,
2018), spurring unfettered rivalry between nations particularly those related to facilitating business
concerning economic prowess, amenable operations (Kuswanto, 2018). Furthermore, there
conditions for both direct and indirect investment, is an increasing governmental effort to
and motivating national interests to attain a standardize and coordinate existing regulatory
prosperous society. However, none of the products (Mahy, 2022). Setiadi (2021) contends
countries have achieved these ambitious goals that Indonesia is actively pursuing a legislative
(Suartha, Puspitosari, & Hermanto, 2020), reform agenda through an ambitious
particularly for developing countries grappling with development program to overcome regulatory
persistent challenges, such as poverty, income obstacles, to simplify taxation, to reduce trade
and wealth disparity (Nurcholis, & Kridasakti, restrictions, to intensify local competition, to
2018), internal political instability, corruption, and enhance national ease of doing business, to
insufficient good governance (Atmaja, et.al., ensure anti-trust policies, and to establish
2022). Yong Shik-Lee (2017) asserts that legal regulations regarding sustainability and
instruments are employed in development to environmental stability. In this context, the
facilitate economic improvement (Sarjana, 2023) implementation of regulatory and legislative
and are closely linked to economic and social reforms must be considered; such reforms should
progress, living standards, and numerous aspects be objectively evaluated and follow conventional
of life (Rumiartha, Astariyani, & Indradewi, 2022). academic structures whilst adhering to a precise
The term "legal instruments" refers to legislation, and formal register (Suyatna, 2022). The
policies, and regulations that govern economic problems concerning the quality and quantity of
practices (Purwadi, Sulistiyono, & Firdausy, laws in Indonesia include: 1. The burden of
2015). It is argued that legal instruments supply a government regulations, 2. The extent and impact
framework for economic development by guiding of taxation, 3. The prevalence of trade barriers, 4.
business behavior and facilitating investment. The intensity of local competition, 5. The ease of
Moreover, the primary concern that poses starting a new business, 6. The effectiveness of
difficulties for national progress is the anti-trust policies, and 7. The burden of
substandard quality of legislation government regulations. Furthermore, they
The quantity and quality of laws in should utilize clear and objective language and
Indonesia have become problematic in and of the ensure grammatical correctness at all times. It is
country. The essential issue impeding progress the stringency of environmental regulations
on government projects is the disorder and (Xanthaki, 2014). In this instance, the aim is to

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achieve a rule of law that is not merely procedural these facts, Indonesia faces a multifaceted
but rather encompasses the superior caliber of problem of stagnant quality in its national laws
legislation and regulations encompassed in the and regulations, despite ongoing reform efforts.
legislative and regulatory reform framework (Van This obstacle hinders the country's development
Lochem, 2017). across all fields, including the reformation of the
Indonesia has implemented measures to national legal system, which has gained
accelerate development (Sulaiman, 2017), increasing prominence in recent years. Specific
including enhancing the effectiveness of measures are being pursued to enhance the
legislative and regulatory instruments for quality of legislation in Indonesia (Astariyani,
development (Yusa, Hermanto, & Ardani, 2021), 2017). In this case, the government plans to
as well as reforming the national legal system rejuvenate the national legislation program based
(Suartha, Martha, & Hermanto, 2021). Legislation on the amendments made to the 1945
revisions have gained momentum in recent years Constitution (Subawa, Giri, & Hermanto, 2023). It
(Cormacain, 2017), particularly by promoting the includes developing plans for the production of
use of planning instruments in the Legislation national law in the medium and long term while
Program. The national legislation proposed by ensuring that it aligns with the national
the DPR (The People’s Representative Council), development goals. In addition, several
the Government, and the DPD (the Regional amendments have been made to improve the
Representative Council), as well as the number and quality of laws and regulations made
Regulation Drafting Plan, is conducted within the (Popelier, 2015). The main challenge lies in
Government's scope and follows the national law instituting preventive and evaluative mechanisms
development plan in the Government's long-term for laws and regulations, which are crucial in the
and short-term national plans. A variety of context of implementing legislative reform in
preventive and evaluative mechanisms aimed at Indonesia. It includes enhancing and expediting
enhancing public participation in the process of the quality of legislation as a required step that
establishing legislation/ regulation have been must be taken in the future.
implemented (Perwira, Susanto, & Yazar, 2018). 2. Accelerating Preventive and Evaluative
Various ex ante and ex post facto strategies have Mechanisms in Legislation and Regulatory
been attempted by the government, without Quality: Comparative Perspectives from South
achieving adequate progress in enhancing the Korea and Indonesia
standard of the country's legislation or generating In recent years, South Korea has become
national laws/regulations that adhere to the one of the foremost nations in seeking preventive
values, superior laws and regulations, and public and evaluative measures to enhance the quality
welfare (Chen, 2010; Hermanto, 2023). Based on of legislation and regulations. South Korea and
Indonesia display similar patterns in their Economic Deregulation Committee whilst creating
legislative processes. In this case, the role of the Presidential Committee on Administrative
executive and government policies or institutions Reform through Presidential Decree. Between
is of great significance (Subawa, Giri, & February 1993 and February 1998, this
Hermanto, 2023). In this context, both countries committee initiated the Regulatory Reform. The
have been undergoing reforms to their legislative Basic Act on Administrative Regulation (BAAR),
and regulatory systems at different times which South Korea adopted in 1997 to implement
(Miladmahesi et.al, 2023), to improve regulatory reform in an integrated manner, aimed
effectiveness and efficiency for the betterment of to enhance national competitiveness and quality
the economy. This argument serves as a stimulus of life by eliminating inefficacious laws and
for comparative studies regarding the application averting the formation of new ones. Law No.
of preventive and evaluative mechanisms in the 13329 governs the definitions, objectives, leading
context of regulatory and legislative reform. tenets, and methodologies for developing,
In response to the changing economic revising (refining, relaxing), and abolishing
conditions of the country, effective and efficient regulations, as stipulated in the BAAR (the Basic
development measures, including intervention Act on Administrative Rules). Through the Basic
policies for budget allocation and the Act of Administrative Regulation, the government
establishment of regulation on a large scale, have aimed to consolidate the most effective
been implemented. However, due to persistent measures, tools, and Regulatory Reform
inefficiencies and transparency issues in multiple initiatives under a single central authority with
sectors, the government's ability to direct sufficient jurisdiction (World Bank, 2008).
development began to decline in the 1980s (Kim, South Korea was impacted by the financial
2000). Between 1981 and the mid-1990s, the crisis in the mid-1990s and initiated Regulatory
government initiated administrative and Reform to cut around 50% of regulations on
deregulatory reforms. The administrative reform, public services, particularly those related to
including policy, regulatory, and legislative, investment. This simplification was executed
became part of the reform program after 1993 rapidly and massively, commonly known as the
when the private sector joined the policy 'Guillotine Approach'. One of the factors
formulation process. contributing to the successful implementation of
The administration created two Regulatory Reform in South Korea was the
organizations for the reform: the Presidential unwavering support of the President, who had
Committee on Administrative Reform and the instructed all of his subordinate institutions to
Economic Deregulation Committee. The reduce regulations within their control by up to
President oversaw the establishment of the 50%. This presidential directive had led to several

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noteworthy accomplishments. The President of investments. The Act relaxed regulations related
South Korea, who directed all his institutions to to foreign investment in 29 industrial sectors.
cut approximately half of the rules under his During this period, the Act on Promotion of
purview, lent significant political support to the Digitalisation of Administrative Affairs was passed
initiative for regulatory reform (Jacobs, 2008). in 2001 to enhance the efficiency and
Until recently, South Korea has undergone transparency of the public administration. The E-
two stages, consisting of Phase I of Massive Government System was launched in 2003,
Deregulation from 1998 – 2002, which was enabling the entire administrative process to be
initiated by Kim Dae-Jung in 1998 to overcome accessible online (RRC, 2003).
the global economic crisis, by following up on the Kim Dae-Jung's administration halved the
Basic Act on Administrative Regulations, Act number of regulations by using the regulatory
5368, dated August 22, 1997, as well as registration system and the Guillotine Regulatory.
implementing reforms. Regulations must be The new system proposed a central
executed immediately. During the Kim Dae-jung administrative body with the power to repeal
era (1998-2003), the Kim Dae-Jung government, existing regulations (Lee, & Han, 1999).
in collaboration with the Regulatory Reform Regulations by Results of Examination
Asso- Regu- Revisio With- Passed
Committee (PRC), aimed to improve the quality of ciate lation n drawal
current and upcoming regulations by exercising d s Recom- Recom-
Laws Exa- mended mende
the authority to review them, as per the Basic Act mined d
on Administrative Regulations (RRC, 1999). It Eco- 581 1724 512 122 1090
nomic
was executed by implementing the Business Sub-
Activity Approval and Reporting (BAAR) system, com-
mitte
effective from March 1998. According to the eI
Admi- 379 1347 300 200 847
OECD (2000), the focus was on regulating the
nistra
regulatory registration system. -tive
and
. In the present era, all central Socia
administrative bodies must examine the l Sub-
com-
legitimacy, necessity, and effectiveness of each mitte
regulation planned and implemented via the RIA e
Eco- 379 1447 345 65 1037
method, along with conducting an internal review nomic
Sub-
before the PRC's final assessment.
com-
In 1998, the Foreign Investment Promotion mitte
e II
Act was enacted to create a favorable investment
Total 1.339 4.518 1.157 387 2.973
climate for foreign investors and to boost foreign (25.6%) (8.6%) (65.8%
) Committee acts as a central institution, operating
Table 1. South Korea's Performance in the 1998-
various regulatory reform instruments, such as
2002 period on the New Draft or Strengthening of
regulatory evaluation and procedures for
the Regulations being tested
regulating assessments. Fourthly, the recent
The Quality of Regulations phase, which
government administration displayed a great
was launched in 2003 under Roh Moo-Hyun's
focus on cultural reform. In this context, cultural
regulations, focused on enhancing regulatory
changes encompassed the managerial
standards. To improve the quality of regulations
procedures implemented to ensure that the
while avoiding institutional changes, the new
reforms adhere to the schedule. The success of
cabinet amended the regulatory reform agenda
regulatory reform was reliant on management
and utilized all possible resources. The objective
culture.
of South Korea's Phase II Regulatory Reform,
Following regulatory and legislative
which commenced in 2003, was to elevate
reforms, the Lee Myung-Bak administration
regulatory standards (Kim, 2003). Firstly, the
established the Presidential Council on National
focus of regulatory reform remained on
Competitiveness (PCNC) in 2008. It is believed
deregulation and improving the quality of
that the PCNC can effectively improve the
regulations (Arie, 2016). South Korea has
domestic investment environment and the
identified 10 strategic areas to prioritize, including
economy by implementing regulatory reform. The
Foreign Direct Investment, Financial Services,
Lee Myung-Bak government restructured the
Industrial Sites, Logistics and Distribution, Quasi-
administration by redesigning the PRC website
Tax, Customs Formalities, Land Use, House
and launching the Regulatory Information System
Construction, Tourism and Sports Industries, and
(RIS) to offer information on regulations and the
Food Safety. Secondly, the review of current
reform process to the public. Moreover, in 2009,
regulations persevered. Unlike in the previous
the Lee Myung-Bak government broadened the
stage in which the target was set to reduce 50
scope of the sunset clause by introducing a
percent of the existing regulations, the ministry
"review and sunset provision" alongside the
determined the target for the second stage. Third,
present "outright sunset clause" that had been in
the new government had begun implementing the
place since 1998 (Baum, & Bawn, 2011). The
Regulatory Impact Assessment (RIA) by setting
government required regular testing and
up research institutes with trained professionals
verification under this sunset clause regulation.
and customized training programs, including
The need for all current legislation to uphold
theoretical learning and case studies, as well as
higher regulatory quality was a common theme. In
organizing training in other countries or
2009, a distinctive approach, known as the
international institutions. The Regulatory Reform
Temporary Regulatory Relief (TRR), was

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implemented to address the economic impact of proportionality and establishing a framework for
the 2008 financial crisis. It aimed to temporarily the introduction of more flexible regulations that
suspend existing regulations in the private sector respond to market dynamics. A goal-directed and
(Schou-Zibell, & Madhur, 2010). top-down strategy, bolstered by resolute political
During his presidency from 2013 to 2017, will, has yielded favorable outcomes. This
Park Geun-hye's administration emphasized the outcome confirms that South Korea's regulatory
importance of regulatory reform as a prominent overhaul is heading in the right direction. Despite
policy instrument to revitalize the economy and to this progress, regulatory reform remains an
bolster employment. Despite the expected ongoing process, with South Korea aiming to
continuation of stagnancy in the domestic market, scrutinize and repeal 2,200 economic regulations
economic revitalization and job creation have in 2016. By regulating the economy, South Korea
remained the primary objectives of significant has effectively mitigated numerous financial
endeavors during his tenure. During the tenure of obstacles and disparities (Kim, 2016). Examining
Park Geun-hye, his administration adopted a South Korea's experience, the political,
"two-track" approach to regulatory reform. This administrative, and cultural spheres of each
involved promoting regulations that were relevant country are interpreted (OECD, 2017). The author
to public safety and health, whilst simultaneously learns the lessons from countries facing similar
eliminating regulatory barriers that impeded challenges, as outlined below.
economic resilience. To achieve this goal, a new Creating a global civic coalition for
regulatory framework, known as the Cost-in, regulatory reform that avoids subjective
Cost-out (CICO) system, was introduced. The evaluations should overcome the political
CICO system replaced the previous Regulatory divisions that cause the unsustainable nature of
Stock Management System. In addition, in the reform agenda. Furthermore, it also maintains
September 2013, this administration established reform momentum through constant education of
the Public-Private Joint Regulation Advancement the public on the need for reform.
Initiative to proactively become a forum for the Then, establishing a permanent mechanism
private sector in the framework of regulatory for regulatory reform that takes into account
reform. interest group opposition is based on the creation
In the short term, South Korea's extensive of a bureaucracy with a related organization in the
regulatory simplification has proved highly realm of regulatory reform. An autonomous
effective, especially in response to the ongoing government agency is established to oversee the
economic crisis. The minimal simplification quality of regulations.
prioritizes two key objectives: reducing the Aligning regulatory reform with the
volume of regulations to create greater government's reform objective and budgetary
reform may aid in encouraging changes in South Korea has successfully removed several
government agency operations, as well as regulatory burdens, resulting in impressive
facilitating natural adjustments to staffing and outcomes when compared to past achievements.
budgets thereby supporting more permanent and However, the reformers did not give sufficient
effective regulatory reform. consideration to the impact on businesses and
Comparing the Indonesian context with citizens, and they went further in reducing the
South Korean practice, it is evident that the regulatory burden than what was expected.
absence of a central institution responsible for the Consequently, the regulatory reform, which
formation of legislation, management, evaluative involved enhancing quality regulations, failed to
and preventive evaluation patterns, and acting as sustain public support.
a one-stop place at the central level, is a To address this issue, it is recommended to
significant issue in Indonesia. Moreover, an enhance the transparency and predictability of
additional matter pertains to the non-utilization of procedures and regulations. By using regulatory
a radical approach in Indonesia (Rogler, 2005), registries and effect analysis techniques, it is
instead preferring modifications to the legislative possible to reduce both regulatory and business
method, similar to the developed omnibus costs.
legislation approach from earlier. A more intricate This requires the development of concepts
matter involves the lack of a specific master law and practical applications for alternative
serving as the foundation for legislative reform, regulatory methods, as well as training civil
particularly for the application of evaluative and servants in this area. Evaluation of these
preventive assessments in a single law. Indonesia alternatives involves assessing the contradiction
utilizes the Law on the Formation of Laws and between regulatory changes and national policy
Regulations, which, in its recent amendments, objectives and promoting the genuine benefits of
only offers a summary arrangement. This differs these reforms.
from South Korea's approach with its BAAR, Effective management of regulatory reforms
which is explicit and comprehensive. As a result, should focus on developing market capacity for
there are three significant criticisms regarding the self-regulation, rather than relying on bureaucratic
differences that are not being addressed in methods.
Indonesia's context of practice. 3. Problem Factors/Constraints as the Basis for
Given that the primary objective of Patterns and Proposed Alternatives for Preventive
regulatory reform is to reduce the burden of and Evaluative Mechanisms in Indonesia
regulation, it is imperative to prioritize the revision Numerous studies have identified various
of regulations with high costs; this approach does factors and obstacles confirming that national
not necessarily reduce the number of regulations. legislation and regulations face significant issues

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in adhering to the established order and principles issue requires attention not only through
(Hakim, 2018). Furthermore, they are ineffective deregulation or reregulation but also via a
in facilitating development and integrating comprehensive framework to ensure adequate
responsive policies within the framework of control and high standards of quantity and quality
national legislation and regulations (Gaus, Sultan (Setiadi, 2018).
& Basri, 2017). The National Development Indonesia has encountered challenges in
Planning Agency (Bappenas) (2011) has elevating the standard of its legislation and
identified five primary problems. The first problem regulations in the 20 years following the 1998
is multiple or overlapping powers in planning reform. One of the foremost struggles has been
legislation, which results in incompatible national implementing effective preventive and evaluative
and regional development plans, legislation measures to directly aid regulatory efforts. To
programs, and national/regional regulations enhance the quality of existing and new legal
(Subawa, Giri, & Hermanto, 2023). The second products, it is crucial to streamline the rules and
problem is the reluctance of legislators and legislation (Subawa & Hermanto, 2023). In this
lawmakers to adhere to legal substance and context, certain ministries and local governments
particular principles, including the incompatibility with the backing of NGOs and donors
of legal substance with pertinent laws and incorporated issues of effectiveness,
regulations. Third, the lack of objectivity in development, efficiency, and public participation.
observation and evaluation within the However, this method was never formally
legislative/regulatory framework leads directly to implemented comprehensively, only partially in
the ineffectiveness of regulations/legislation in the legislation/regulation process. The Law for the
reality (Suartha et.al, 2023). Fourth, ineffective Establishment of Legislation regulates the
implementation of regulations/legislation implementation of Academic Papers and covers a
exacerbates the problem. Fifth, there is a sunset clause as well as several fundamental
necessity to instrumentally and institutionally aspects. Furthermore, Susi Dwi Harijanti and Tim
implement regulatory simplification within the Lindsey AO state the objective of achieving
context of legislative/regulatory reform. legislative and regulatory reforms in Indonesia
The National Development Planning through the establishment of a stable framework
Agency has argued that the poor quality and for ex-ante and ex-post reviews, enforcing legal
excessive quantity of unchecked regulations compliance, enhancing access to laws and
hinder their ability to effectively address social, regulations, and improving the quality of national
economic, and cultural challenges in Indonesia, and regional legislation. On the contrary, a
directly contradicting the country's goals outlined paradigm shift occurred in the 1945 Constitution
in the Preamble of the 1945 Constitution. This (Rahmania, 2018), which moved away from an
executive-heavy system (Fathurrohman, 2012) dominant role of the DPD, despite a Constitutional
where the DPR was merely a rubber stamp, Court decision in favor of symmetry with the DPR.
towards a more legislative-heavy system Thirdly, the Ministry of Home Affairs,
(Harijanti, & Lindsey, 2006), despite the Ministry of Finance, Ministry of Law and Human
increasing harmonization and review of laws and Rights, and other institutions suffer from a weak
regulations along with their implementation. and uncoordinated role in evaluating regulations.
However, this is a common occurrence in other They are overlapping/conflicting and not effective
countries, where bills and regulations often do not in making the required regulations effective.
effectively address the larger social problem (Bisariyadi, 2016).
(Setiadi, 2019): the challenge of reducing poverty Furthermore, despite the existence of
and empowering the majority of people (Yusa, legislation mandating the establishment of a
Hermanto, & Ardani, 2021b). Post-colonial and single national regulatory institution/agency, there
post-socialist regimes globally announced is no such institution with sole jurisdiction to
populist strategies during the late twentieth organize and manage national rules within the
century (Hermanto, 2018). These programs aim realm of local government.
to enhance the living standards of their citizens, Fifth, the use of legal transplanting to
referred to as "development" in the third world instigate new regulatory/legislative processes
and as market-oriented "transition" in former resolves one issue but creates another: the
communist states. Nonetheless, few of these potential disorganization of national regulatory
initiatives fulfill their intended goals (Seidman, bodies.
Seidman & Abeyeskere, 2002). In conclusion, this Sixth, planning policy instruments that lack
article identifies eleven obstacles to implementing cohesion and alignment have the potential to
preventative and evaluative protocols in the disrupt the effectiveness of regulatory
development of legislation and regulations. evaluations.
Firstly, starting from the Constitution and Seventhly, due to deviations from the
the Constitutional Court's ruling, which reinstates principles of rule-making, the numerous
the Supreme Court's authority regarding Regional regulations that are produced/enacted often prove
Local Regulations and Regional Head of Local problematic, failing to serve as effective problem-
Government Regulations, is only nullifiable with a solving tools. Eighth, a lack of public participation
Supreme Court decision. is evident, with a general lack of understanding
Secondly, the Constitution and laws suffer regarding the available performance frameworks
from design errors, such as placing the parliament from the government and/or government
in the heavily legislative part and establishing an institutions. Additionally, there is an unwillingness
asymmetric bicameral system with the non-

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to form legislation/regulations to encourage broad structuring institutions, methods, systems, and
public participation. various ambitious agendas. In addition, the mass
Ninth, disharmony, and overlap occur due to simplification of regulations in South Korea is
the various mechanisms available, which are extremely effective, particularly in responding to
ineffective in simplifying legislation and creating the present economic crisis The minimum
effective laws and regulations. simplification emphasizes two crucial points:
Tenth, disparities in government programs reducing the quantity of regulation so that it is
are evident in the varying approaches, actions, more proportional, and setting the framework for
and objectives of Central National, and Regional the appearance of more accommodating rules to
Local programs. This results in numerous market dynamics. A goal-oriented approach
'problematic regulations', particularly concerning combined with a top-down approach supported by
Regional Local Regulations and Regional Local strong political has proven beneficial in attaining
Government Head Regulations. results. This success shows that Regulatory
Eleventh, despite the existence of multiple Reform in Korea is on the right track.
comprehensive strategies for the development of Several earlier studies indicates that
national legislation and regulations, coupled with national legislation and regulations faced several
the Government's and affiliated organizations' major issues, which were then designated as
efforts, it fails to depict sufficient actions towards eleven problem factors or impediments. Then,
expediting the enhancement of the legislation and these eleven factors are the basis for alternative
regulation standards in Indonesia. The absence of considerations for structuring preventive and
implementing regulations is worsened by several evaluative mechanisms to improve the quality of
pivotal laws, including the amendments made to legislation and regulations in Indonesia, related to
the P3 Law under Law Number 15 of 2019 and compliance with the highest law and court
the Job Creation Law under Law Number 11 of decisions, amendments, redesign of legislation
2020. Both legislations focus on preventive and and regulatory institutions, comprehensive
evaluative mechanisms in the legislative domain coordination between institutions and single
(Wasti, Sati & Fatmawati, 2022). independent institutions in terms of regulatory and
D. CONCLUSION legislative arrangements, application of
Improving the quality of regulations and regulatory/legislation method transplantation,
legislation in South Korea has been reflected in arrangement of planning policy instruments,
various reform agendas and has shown adherence to principles, improvement of
significant results in the last two decades, in substantive public participation, comprehensive
which the arrangement of preventive and and holistic mechanisms, alignment of various
evaluative mechanisms is accompanied by programs in accelerating the quality of
regulations/ legislation, and the importance of a
grand design that is consistent with the
arrangement of national legislation and
regulations.

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