Telecommunications Law AR TELKOM 2014 ENG

equal access to telecommunications throughout all regions in Indonesia, which is generally done by way of financial contribution. MoCI Regulation No.32PERM. KOMINFO102008 dated October 1, 2008 regarding the USO as amended by MoCI Regulation No.03PERM. KOMINFO022010 dated February 1, 2010 “MoCI Regulation No.322008” provides that USO funds received will be used to fund telephone, SMS and internet access in remote and other areas of Indonesia that have been classified as USO regions where it is not economical to provide these services. USO payment requirements are calculated as a percentage of our unconsolidated gross revenues less uncollectable receivables from the telecommunication operation e.g., bad debt expense and payments received for interconnection expense which belong to other parties. Pursuant to Government Regulation No.72009 dated January 16, 2009 regarding Tariffs for Non-Tax State Revenue that apply to the Ministry of Communication and Information “GR No.72009”, the current USO tariff rate is 1.25 of gross revenue.

15. Telecommunication Regulatory Charges

On January 16, 2009, the Government issued Government Regulation No.72009, which sets the types of non-tax state revenues that apply to the MoCI derived from various services, including telecommunications. On December 13, 2010, the Government issued Government Regulation No.762010 amending Government Regulation No.72009. Pursuant to Government Regulation No.762010, we are no longer required to pay right-of- use fees calculated with reference to the BTSs that we deploy in our network, except for BTSs deployed in our backbone, with effect from December 15, 2010. As a result, our right-of-use fees are now calculated based on the bandwidth of the radio frequency spectrum that we use. In addition to radio frequency spectrum right-of-use fees, Government Regulation No.72009 requires all telecommunications operators to pay an annual license fee for telecommunication operation, which is equal to 0.5 of unconsolidated gross revenues, from which 148 2014 Annual Report PT Telkom Indonesia Tbk Persero FINANCIAL AND PERF ORMANCE HIGHLIGHT MANA GEMENT REPOR T PREF A GENERAL INF ORMA TION OF TELK OM INDONE SIA MANA GEMENT’S DISCUSSION AND ANAL Y SIS CORPORA TE GO VERNANCE SOCIAL AND ENVIRONMENT AL RE SPONSIBILITY APPENDICE S