PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the three month periods Ended March 31, 2017 and 2016 unaudited
Figures in tables are expressed in billions of Rupiah, unless otherwise stated
97
32. OPERATING SEGMENT continued March 31, 2017
December 31, 2016
Non-current operating assets Indonesia
116,315 115,216
Foreign countries 2,344
2,371
Total 118,659
117,587
Non-current operating assets for this purpose consist of property and equipment and intangible assets.
33. TELECOMMUNICATIONS SERVICE TARIFFS Under Law No. 36 Year 1999 and Government Regulation No. 52 Year 2000, tariffs for operating
telecommunications network andor services are determined by providers based on the tariff type, structure and with respect to the price cap formula set by the Government.
a. Fixed line telephone tariffs
The Government has issued a new adjustment tariff formula which is stipulated in the Decree No. 15PERM.KOMINFO42008 dated April 30, 2008 of the MoCI concerning “Mechanism to
Determine Tariff of Basic Telephony Services Connected through Fixed Line Network”. This Decree replaced the previous Decree No. 09PERM.KOMINFO022006.
Under the Decree, tariff structure for basic telephony services connected through fixed line network consists of the following:
• Activation fee • Monthly subscription charges
• Usage charges • Additional facilities fee.
b. Mobile cellular telephone tariffs
On April 7, 2008, the MoCI issued Decree No. 09PERM.KOMINFO042008 regarding “Mechanism to Determine Tariff of Telecommunication Services Connected through Mobile
Cellular Network” which provides guidelines to determine cellular tariffs with a formula consisting of network element cost and retail services activity cost. This Decree replaced the previous
Decree No. 12PERM.KOMINFO022006.
Under MoCI Decree No. 09PERM.KOMINFO042008 dated April 7, 2008, the cellular tariffs of operating telecommunication services connected through mobile cellular network consist of the
following: • Basic telephony services tariff
• Roaming tariff, andor • Multimedia services tariff
with the following traffic structure: • Activation fee
• Monthly subscription charges • Usage charges
• Additional facilities fee.
PERUSAHAAN PERSEROAN PERSERO PT TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the three month periods Ended March 31, 2017 and 2016 unaudited
Figures in tables are expressed in billions of Rupiah, unless otherwise stated
98
33. TELECOMMUNICATIONS SERVICE TARIFFS continued
c. Interconnection tariffs The Indonesian Telecommunication Regulatory Body “ITRB”, in its letter No. 262BRTIXII2011
dated December 12, 2011, decided to change the basis for SMS interconnection tariff to cost basis with a maximum tariff of Rp23 per SMS effective from June 1, 2012, for all
telecommunication provider operators.
Based on letter No.118KOMINFODJPPIPI.02.04012014 dated January 30, 2014 of the Director General of Post and Informatics, the Director General of Post and Informatics decided to
implement new interconnection tariff effective from February 1, 2014 until December 31, 2016, subject to evaluation on an annual basis. Pursuant to the Director General of Post and Informatics
letter, the Company and Telkomsel are required to submit the Reference Interconnection Offer “RIO” proposal to ITRB to be evaluated.
Subsequently, ITRB in its letters No. 60BRTIIII2014 dated March 10, 2014 and No. 125BRTIIV2014 dated April 24, 2014 approved Telkomsel and the Company’s revision of
RIO regarding the interconnection tariff. Based on the letter, ITRB also approved the changes to the SMS interconnection tariff to Rp24 per SMS.
d. Network lease tariffs
Through MoCI Decree No. 03PERM.KOMINFO12007 dated January 26, 2007 concerning “Network Lease”, the Government regulated the form, type, tariff structure, and tariff formula for
services of network lease. Pursuant to the MoCI Decree, the Director General of Post and Telecommunication issued its Letter No. 115 Year 2008 dated March 24, 2008 which stated “The
Agreement on Network Lease Service Type Document, Network Lease Service Tariff, Available Capacity of Network Lease Service, Quality of Network Lease Service, and Provision Procedure of
Network Lease Service in 2008 Owned by Dominant Network Lease Service Provider”, in conformity with the Company’s proposal.
e. Tariff for other services
The tariffs for satellite lease, telephony services, and other multimedia are determined by the service provider by taking into account the expenditures and market price. The Government only
determines the tariff formula for basic telephony services. There is no stipulation for the tariff of other services.
34. SIGNIFICANT COMMITMENTS AND AGREEMENTS
a. Capital expenditures
As of March 31, 2017, capital expenditures committed under the contractual arrangements, principally relating to procurement and installation of data, internet and information technology,
cellular, transmission equipment and cable network are as follows:
Currencies Amounts in foreign
currencies in millions Equivalent in Rupiah
Rupiah -
7,035 U.S. dollar
296 3,944
Euro 0.16
2
Total 10,981
