PERUSAHAAN PERSEROAN PERSERO P.T. TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued JUNE 30, 2005 AND 2006, AND FOR THE SIX MONTHS PERIOD ENDED
JUNE 30, 2005 AND 2006 Figures in tables are presented in millions of Rupiah, unless otherwise stated
- 9
1. GENERAL continued a. Establishment and General Information continued
The Companys head office is located at Jalan Japati No. 1, Bandung, West Java. Pursuant to Law No. 31989 on Telecommunications which took effect on April 1, 1989,
Indonesian legal entities are allowed to provide basic telecommunications services in cooperation with the Company as the domestic telecommunications organizing body or “badan
penyelenggara”. Government Regulation No. 81993, concerning the provision of telecommunications services, further regulates that cooperation to provide basic
telecommunications services can be in the form of joint venture, joint operation or contract management and that the entities cooperating with the domestic telecommunications organizing
body must use the organizing body’s telecommunications networks. If the telecommunications networks are not available, the Government Regulation requires that the cooperation be in the form
of a joint venture that is capable of constructing the necessary networks. The Minister of Tourism, Post and Telecommunications of the Republic of Indonesia “MTPT”,
through two decision letters both dated August 14, 1995, reaffirmed the status of the Company as the organizing body for the provision of domestic telecommunications services.
Further, effective from January 1, 1996, the Company was granted the exclusive right to provide local wireline and fixed wireless services for a minimum period of 15 years and the exclusive right
to provide domestic long-distance telecommunications services for a minimum period of 10 years. The exclusive rights also apply to telecommunications services provided for and on behalf of the
Company through a KSO. This grant of rights does not affect the Company’s right to provide other domestic telecommunications services.
Under Law No. 361999 on Telecommunications, which took effect from September 2000, telecommunications activities cover:
i. Telecommunications networks ii. Telecommunications services
iii. Special telecommunications National state-owned companies, regional state-owned companies, privately-owned companies and
cooperatives are allowed to provide telecommunications networks and services. Special telecommunications can be provided by individuals, government agencies and legal entities other
than telecommunications networks and service providers.
PERUSAHAAN PERSEROAN PERSERO P.T. TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued JUNE 30, 2005 AND 2006, AND FOR THE SIX MONTHS PERIOD ENDED
JUNE 30, 2005 AND 2006 Figures in tables are presented in millions of Rupiah, unless otherwise stated
- 10
1. GENERAL continued a. Establishment and General Information continued