Media

MEDAN – The Indonesian Employers’ Association (APINDO) Medan has urged the city’s legislative council (DPRD) to ensure that the drafting of the Regional Regulation on Smoke-Free Areas (Raperda KTR) does not place an excessive burden on businesses.

This call comes in response to strict implementations of similar regulations in other regions, which have adversely affected the tobacco industry (IHT).

A representative from APINDO Medan and the tobacco sector, PT Sumatra Tobacco Trading Company (STTC) Siantar, stated that they were not against regulation but hoped that the Medan Raperda KTR would be fair, balanced, and implementable.

“Whatever regulations the government has issued so far, we have always complied with them. However, the problem is that illegal cigarette distribution remains rampant and is not effectively addressed by authorities. The legal tobacco industry is heavily regulated, we follow the rules, but our market is being undermined by illegal products. We have reported this many times with no result,” said Pin Pin, Public Relations Officer of PT STTC, during a Public Hearing (RDPU) with the DPRD Medan Special Committee on Raperda KTR on Monday, September 22, 2025.

Pin Pin also highlighted that the industry is under pressure not only from KTR regulations but also from increasing excise taxes over the past few years, despite the fact that both central and regional governments benefit from revenue-sharing of tobacco excise (DBHCHT).

APINDO Medan stressed that the Raperda KTR must remain consistent with higher-level regulations, namely Government Regulation (PP) No. 28/2024, and avoid being excessively restrictive.

“We also hope the regulation considers the survival of small traders and retailers in Medan. The rules should not be overly harsh. Please think about small vendors, MSMEs, and retailers – avoid restrictions that would burden them,” Pin Pin urged.

The association also questioned the clause requiring cigarette advertisements to be at least 500 meters away from schools, arguing that this would negatively impact the creative media industry.

“The city also needs to maximize its regional revenue from billboards. It must be acknowledged that tobacco companies are among the biggest advertisers. Therefore, we ask the council to reconsider this clause,” he added.

Finally, Pin Pin reminded lawmakers that the tobacco industry is labor-intensive and a major source of employment.

“We understand that the KTR regulation is a mandate of the law, and we are ready to comply. But please do not tighten the existing rules further,” he stressed.

Separately, Dr. Mirza Nasution, a constitutional law expert from the University of North Sumatra (USU), emphasized the importance of public participation in drafting the regulation.

“Policy-making often feels elitist, without involving the public. Even public hearings are frequently questioned for whether they are truly representative. RDPU must be conducted properly and include all stakeholders,” said Mirza, who also chairs the Indonesian Association of Constitutional and Administrative Law Lecturers (APTHN-HAN) for 2021–2025.

He added that the Raperda KTR should be seen not only as a health issue but as a matter affecting multiple ecosystems.

“The more stakeholders involved, the better, because in the end, this regulation is for the common good. Unfortunately, many governments skip this step, resulting in public shock when the regulation is eventually passed,” Mirza concluded.

Source: sumutpos.jawapos.com