Regulation of the Minister of Trade No. 04/M-DAG/PER/2/2006 on Distribution and Monitoring of Hazardous Materials

2A DISTRIBUTION AND MONITORING OF HAZARDOUS .MATERIALS (Regulation of the Minister of Trade No. 04/M-DAG/PER/2/2006 dated February 16, 2006) WITH THE GRACE OF THE ALMIGHlY GOD THE MINISTER OF TRADE OF THE REPUBLIC OF INDONESIA, Considering: a. that, hazardous materials have a very significant ben efit if used according to their intended uses; b. that, distribution and use of hazardous materials are increasing, either in terms of types or quantity and they are obtainable in the market so there might be misuses of these materials; c. that, as an effort to prevent misuses, regulations on distribution and monitoring of hazardous materials are necessary; d. that, based on the considerations as meant in para graphs a, b, and c, it is necessary to stipulate Regu lation of the Minister of Trade; In view of: 1. Bedrijfsreglementerings Ordonantie of 1934 (Stat ute Book of 1938 No. 86); 2. Hazardous Chemical Material Ordinance (Statute Book of 1949 No. 377); 3. Emergency Law No. 7 /1995 on Investigation, Action Taking, and Court Process of Criminal Acts in Eco nomic Affairs (Statute Book of 1955 No. 27, Supple ment to Statute Book No. 801) as already amended several times and latest by Law No. 17/1964; 4. Law No. 21/1992 (BN No. 5317 p. 13A-16A and so on) on Shipping (Statute Book of 1992 No. 98, Supple ment to Statute Book No. 3493); 5. Law No. 23/1992 (BN No. 5320 p. 16A and so on) on Health (Statute Book of 1992 No. 100, Supplement to Statute Book No. 3495); Business News 7348/12-4-2006 6. Law No. 7/1996 on Food (Statute Book of 1996 No. 99, Supplement to Statute Book No. 3656); 7. Law No. 23/1997 (BN No. 6092 p. 19A-21A and so on) on Environmental Treatment (Statute Book of 1997 No. 68, Supplement to Statute Book No. 3699); 8, Law No. 8/1999 (BN No. 6321 p. 1A-7A and so on) on Consumer Protection (Statute Book of 1999 No. 42, Supplement to Statute Book No. 3821); 9. Law No. 34/1999 on Administration of Province of Capital and Special Region of Jakarta (Statute Book of 1999 No. 146, Supplement to Statute Book No. 3878); 10.Law No. 32/2004 (BN No. 7183 p. 1A-11A and so on) on Regional Administration (Statute Book of 2004 No. 125, Supplement to Statute Book No. 4437); 11.Government Regulation No. 69/1999 (BN No. 6370 p. 14A-15A and so on) on Food Labeling and Adver tisement (Statute Book of 1999 No. 131, Supplement to Statute Book No. 3867); 12.Government Regulation No. 58/2001 (BN No. 6683 p. 6A-9A) on Development and Monitoring of Imple mentation of Consumer Protection (Statute Book of 2001 No. 103, Supplement to Statute Book No. 4126); 13.Government Regulation No. 74/2001 on Management of Hazardous and Toxic Materials (Statute Book of 2001 No. 138, Supplement to Statute Book No. 4153); 14.Government Regulation No. 28/2004 (BN No. 7206 p. 17A-29A and so on) on Safety, Quality, and Nutri tions of Food (Statute Book of 2004 No. 107, Supple ment to Statute Book No. 4424); 15.Presidential Decree No. 65/1988 on Ratification of International Convention on the Safety of Life at Sea of 1974; 16. Regulation ..... 16.Regulation of the Minister of Health No. 239/Menkes/ Per/V/1985 on Certain Kinds of Dyes Declared as Haz ardous Materials; 17. Decree of the Minister of Industry No. 148/M/SK/4/ 1985 (BN No., 4251 p. 1A-4A) on Protection of Toxic and Hazardous Materials in Industrial Companies; 18.Regulation of the Minister of Health No. 722/MENKES/ PER/IX/1998 juncto No. 1168/MENKES/PER/X/1999 on Food Additives; 19.Regulation of the Minister of Health No. 472/Menkes/ Per.V/1996 on Protection of Hazardous Materials for Health; 20.Decree of the Minister of Industry and Trade No. 254/ MPP/Kep/7/2000 (BN No. 6539 p. 14A-17A and so on) on Procedure of Import and Circulation of Cer tain Hazardous Materials; 21.Decree of the Minister of Industry and Trade No. 634/ MPP/Kep/9/2002 (BN No. 6846 p. 1A-9A) on Proce dure of Monitoring of Goods and/or Services Circu lating in the Market; 22.Regulation of the Minister of Health No. 1184/Menkes/ Per/X/2004 on Pro~ection of Health Equipment and Home Health Equipment; 23.Regulation of the Minister of Trade No. 01/M-DAG/ PER/3/2005 on Organization and Operational Proce dure of the Ministry of Trade as already amended by Regulation of the Minister of Trade No. 30/M-DAG/ PER/12/2005; DECIDES: To stipulate: REGUlJI..TION OF THE MINISTER OF TRADE ON DIS TRIBUTION AND MONITORING OF HAZARDOUS MATE RIALS. CHAPTER I GENERAL PROVISIONS Business News 7348/12-~-2006 3A Article 1 Hereinalter referred to as: 1. Hazardous Materials are substances, chemical and biological materials, either in singular or mixed form, which are hazardous to health and environment, di rectly or indirectly, having toxicity, carcinogenicity, teratogenicity, mutagenicity, corrosivity, and irritabil ity. 2. Business Operator is a person or corporation, either in the form of corporate body or non-corporate body, established and having domicile or operating activF· ties in the Indonesian territory, either individually or jointly, by agreement for operation of business ac tivities in various economic fields. 3. Producer of Hazardous Materials (P-B2) is a com pany producing hazardous materials domestically and having industrial business license issued by compe tent institution. 4. Registered Importer of Hazardous Materials (IT-B2) is importer and non-producer, holder of General Importer's Identification Number (API-U), having a special duty to import hazardous materials and act ing as distributor of the imported hazardous materi als to a company, in this case1 the end user. 5. Importer and Producer of Hazardous Materials (IP B2) is importer and producer recognized by the Di rector General of Foreign Trade and is approved to self import hazardous materials intended only for its own production needs. 6. Registered Distributor of Hazardous Materials (DT B2) is a company licensed by the Director General of Domestic Trade of the Ministry of Trade after being appointed by Producer of Hazardous Materials to dis tribute hazardous materials to end user directly or through Registered Retailer. 7. Registered Retailer of Hazardous Materials (PT-B2) is a company licensed by the Governor, the Gover nor of DKI Jakarta, or the Regent/Mayor after being appointed ..... . appointed by DT-B2 to trade hazardous materials to PA-B2. 8. End User of Hazardous Materials (PA-82) is an in dustrial company using hazardous materials as raw/ auxiliary materials processed chemically and physi cally that it results in changes of their physical and chemical characteristics and having added value, and company or institution using hazardous materials ac cording to their intended uses and having a license issued by competent institution. 9. Distribution is circufation of hazardous materials from PB-2 to PA-B2 or to DT-B2 or from IT-B2 to PA-82, or from DT-B2 to PA-82, and PT-B2, or from PT-B2 to PA-B2. 10.Monitoring is activities of examination to monitor dis tribution of hazardous materials. 11.Examination Team is a team performing examina tion into the verity and existence of places for stor ing of repacking facilities and means of transporta tion used by Registered Distributor to operate distri bution of hazardous materials. 12.CAS (Chemical Abstract Service) Number is a system of indexing or registration of chemical compounds adopted internationally that it enables identification of every chemical compound specifically. 13.Safety Data Sheet (SDS/LDK) is a sheet containing information on hazardous materials concerning physi cal, chemical characteristics, potential hazards, meth ods of handling, and special actions in emergency cases. 14.Label is information on hazardous materials in the form of pictures, writings, or both, or other forms containing information on hazardous materials and business operator and other information pursuant to the applicable laws attached to the product, put in side, placed on or is part of package. 15.Package is a material used to contain and/or wrap Business News 7348/1242006 4A hazardous materials, either it is directly in touch with the hazardous materials, or not. 16.Minister is the minister whose responsibility is in trade affairs. CHAPTER II TYPES OF HAZARDOUS MATERIALS Article 2 (!)Types of hazardous materials, which distribution and monitoring are stipulated in this regulation, are, amongst others, Fonnaldehyde, Borax, Methynil Yel low, Rodamin-B, and other hazardous materials with CAS Numbers as specified in Attachment I to this regulation. (2)Regulations on distribution and monitoring of haz ardous materials other than as specified in Attach ment I, but having similar CAS numbers, must com ply with the provisions of this regulation. (3)The hazardous materials as meant in paragraphs (1) and (2) are produced domestically and/or imported. CHAPTER III DISTRIBUTION OF HAZARDOUS MATERIALS Article 3 (l)The hazardous materials as meant in Article 2 shall be distributed by P-B2, IT-B2, IP-B2, DT-B2, and PT B2. (2)To distribute hazardous materials, the business op erators as meant in paragraph (1) must fulfill the following conditions for distribution: a. P-B2 distributes hazardous materials directly only to PA-B2 or through DT-B2; b. IT-B2 as distributor is only entitled to distribute hazardous materials directly to PA-82; · c. IP-B2 distributes hazardous materials only for its own process of production; d. DT-82 distributes hazardous materials only to PA B2 or through PT-82; and e. PT-B2 may only distribute hazardous materials di rectly to PA-B2. Artide ..... . Article 4 (l)Distribution of hazardous materials by IT-B2 or by DT-B2 must be completed with LDK/SDS as speci fied in Attachment II to this regulation. (2)The hazardous materials as meant in paragraph (1) must be packaged by packages specified in the ap plicable regulations and in accordance with Interna tional Maritime Dangerous Goods Code (IMDG Code/ United Nation Standards). (3)The packages as meant in paragraph (2) must con tain label containing names/types of hazardous ma terials, name and address of P-B2 or DT-B2 who do packaging, net weight/volume, intended uses, pic tograms/hazard symbols, hints, and hazard state ments referring to the manual as specified in Attach ment III to this regulation. Article 5 (l)The hazardous materials distributed as meant in Ar ticle 3 paragraphs (1) and (2) shall use packages with sizes at least as specified in Attachment I to this regulation. (2)The repacking as meant in paragraph (1) must meet the applicable standards as meant in Article 4 para graph (2) and shall only be performed by DT-B2. CHAPTER IV LICENSES Article 6 (!)Distributor and Retailer of Hazardous Materials must have License To Trade Hazardous Materials (SIUP-82). (2)The Minister is authorized to issue SIUP-82. (3)The Minister shall delegate the authority to issue SIUP-B2 as meant in paragraph (2) to: a. The Director General of Domestic Trade, the Min istry of Trade, for DT-B2; b. The Governor, for PT-B2 after receiving recom mendation from the Regent/Mayor; and c. The Governor of DK! Jakarta, for PT-B2 after re ceiving recommendation from the Mayor. Business News 7348/12-'l-2006 SA (4)The Governor of DK! Jakarta as meant in paragraph (3) clauses b and c shall delegate the authority to lssue licenses to Head of Work Unit whose duties and responsibilities are in trade affairs. (S)The SIUP-B2 shall be issued within not later than five (5) working days after fulfillment of the condi tions required. (6)SIUP-B2 is valid for five (5) years and can be ex tended at least one (1) month prior to expiration. Article 7 (!)Requirements for obtaining license of DT-B2 are as follows: a. Limited liability company; b. Having experience as distributor of hazardous ma terials at least three (3) years and having shown good distribution performances based on Producer's evaluation; c. Having or mastering methods for accelerating of distribution of hazardous materials in the form of storage places, repacking facilities, and means of transportation according to standards of security, health safety, and environment as evidenced by Certificate of Examination by the Examination Team; d. Having Emergency Response System and Profes sionals in management of hazardous materials; e. Meeting general requirements for operating trad ing businesses, such as SIUP, TOP, SITU/License pursuant to Nuisance Act (HO), and Taxpayer's Identification Number (NPWP); f. Recommendation from the Governor/the Gover nor of DKI Jakarta; and g. Appointment from P-B2. (2)Requirements for obtaining license of PT-B2 are as follows: a. Corporation; b. Having experience as retailer of hazardous mate rials of at least two (2) years; c. Having storing places meeting standards of secu rity, safety, health, and environment as evidenced by Certificate of Examination by the Examination Team; d. Meeting .... , d. Meeting general requirements for operating trad ing businesses, such as SIUP, TOP, SITU/license pursuant to Nuisance Act (HO), and NPWP; e. Appointment from one (1) DT-B2 only; and f. Recommendation from the Regent/Mayor. (3)The Examination Team as meant in paragraphs (1) and (2) consists of: a. At central government level, officers of the Minis try of Finance, Drug and Food Supervisory Board, the Ministry of Trade, the Ministry of Labor, the State Ministry for Environment, the Ministry of Industry, the Ministry of Agriculture, and other Technical Institutions established by the Director General of Domestic Trade, the Ministry of Trade; b. At provincial government level, officers of Health Agency, Drug and Food Supervisory Agency, In dustry and Trade Agency, Labor Agency, Regional Environmental Impact Control Agency, Agriculture Agency, and other Technical Agencies established by the Governor/the Governor of DKI Jakarta. ( 4)The Examination Team as meant in paragraph (3) clause a shall be coordinated by the Directorate Gen eral of Domestic Trade c.q. the Directorate of Con sumer Protection, the Ministry of Trade, and the Ex amination Team as meant in paragraph (3) clause b shall be coordinated by the Governor/the Governor of DKI Jakarta c.q. the Trade Agency. (5) Form of Application of License to Trade Hazardous Materials (SIUP-B2) is as specified in Attachment IV. (6)SIUP-B2 for DT-B2 and PT-B2 is as specified in At tachment V. CHAPTER V REPORTING Article 8 (1)DT-B2 must submit report on the acquisition of haz ardous materials from P-82 and distribution of the materials to the Director General of Domestic Trade c.q. the Director of Market Development and Distri bution, the Ministry of Trade with carbon copy deliv ered to the Governor of DKI Jakarta/Governor of the Business News 7348/12-+2006 6A province once in every three (3) months in the first weeks of April, July, October, and January, in the form as specified in Attachment VI. (2)PT-B2 must submit report regarding information on distribul:ed raw materials to the Governor of DKI Jakarta/the Governor of the province with carbon copy of the report delivered to the Regent/Mayor once in every three (3) months in the first weeks of April, July, Octobeii and January, and the format of the report is as specified in Attachment VII. (3) PA-B2 must submit report regarding acquisition of hazardous materials to the Regent/Mayor with car bon copy of the report delivered to the Governor of DKI Jakarta/the Governor of the province, and the format of the report is as specified in Attachment VIII. (4)The obligation of PA-B2 to submit the report as meant in paragraph (3) is not applicable to industrial com panies using hazardous materials as raw/auxiliary materials for their industrial activities. Article 9 The Report on Distribution of Hazardous Mate rials as meant in Article 8, for: a. DT-B2 shall at least contain: 1) Name and address of PT-B2 and/or PA-B2; 2) Types and CAS Numbers of hazardous materials; 3) Net weight or volume of hazardous materials; 4) Early and final stock balances; 5) lime of sale of hazardous materials ( date, month, year); and 6) Name and address of P-B2 distributing hazard ous materials. b. PT-B2 shall at least contain: 1) Name and address of PA-B2; 2) Types and CAS Numbers of hazardous materials; 3) Net weight or volume of hazardous materials; 4) Time of sale of hazardous materials (date, month, year); and 5) Name and address of DT-B2 distributing hazard ous materials. c. PA-B2 ..... c. PA-B2 shall at least contain: 1) Types and net weight or volume of hazardous ma terials purchased and their intended usesi 2) Early and final stock balances; 3) Time of purchase of hazardous materials ( date, month, year); and 4) Name and address of P-82/DT-82/PT-B2 distrib uting hazardous materials. Article 10 (l)In case DT-B2, PT-B2, and PA-B2 stops their busi . ness activities, they must report their stocks of haz ardous materials to: a. The Director General of Domestic Tr ade, the Min istry of Trade, for DT-B2; b. The Governor, for PT-82 and PA-B2 domiciled out side OKI Jakarta; and c. The Governor of DKI Jakarta, for PT-B2 and PA B2 domiciled in DKI Jakarta. (2)The report as meant in paragraph (1) shall be sub mitted within not later than five (5) working days since closing down of their business activities, as evidenced by Statement of Closing Down of Busi ness issued by the concerned party. CHAPTER VI RESTRICITONS Article 11 (!)Business operators or persons not having licenses or not entitled to trade hazardous materials, may not: a. distribute or trade hazardous materials; and/or b. repack hazardous materials and their basic pack ages. (2)Business operators shall not trade hazardous mate rials other than for their intended uses, including food and cosmetics. Article 12 (1)IP-B2 as meant in Article 3 paragraph (2) clause c shall not distribute hazardous materials to any party, (2)PT-B2 as meant in Article 3 paragraph (2) clause e shall not receive supply of raw materials from more than one (1) DT-B2. Business News 7348/12-4-2006 7/1. (3)PA-B2 shall not distribute or transfer hazardous ma terials to any party. CHAPTER VII DEVELOPMENT AND MONITORING Article 13 (!)Development of IP-B2, IT-B2, DT-B2, PT-82 on dis tribution of hazardous materials shall be conducted by the Ministry of Trade in coordination with the re lated technical department/institution. {2)The development as meant in paragraph (1), includes, amongst others: a. Proper distribution of hazardous materials pursu ant to the applicable regulations; b. Storage, packing, and labeling of hazardous ma terials distributed to all lines to meet safety, se curity, health, and environmental standards. Article 14 (!)Monitoring over distribution, packing, and labeling of hazardous materials is performed on IP-B2, IT B2, DT-B2, PT-B2, and PA-B2. (2)Monitoring over distribution of hazardous materials as meant in paragraph (1) consists of types, distrib uted amount, and balance of stock of hazardous materials of: a. IT-B2 as DT-B2 until delivery to PA-B2 shall be performed from the storing place of IT-62 until hazardous materials are delivered to at PA-B2; b. DT-B2 until delivery to PA-B2 and PT-B2 shall be performed from the storing place of DT-62 until hazardous materials are delivered to PA-B2 and PT-B2; c. PT-B2 until hazardous materials are delivered to PA-B2, Article 15 (l)Monitoring as meant in Article 14, at central govern ment level, shall be performed by officer of the Di- • rectorate General of Domestic Trade c.q. the Direc torate for Monitoring of Circulating Goods and Ser vices, the Ministry of Trade, and at regional govern ment level, shall be performed by employee/officer of ..•.. of the Provincial Agency, the Regental/Municipal Agency, and/or jointly with other institutions. (2) Monitoring performed by the employees/officers as meant in paragraph {1) must be completed with Jet ter of assignment issued by competent officers within a certain period of time. (3)The competent officers as meant in paragraph (2) are: a. The Director General of Domestic Trade, the Min istry of Trade, for employees/officers of the Di rectorate General of Domestic Trade; b. The Governor/the Governor of DKI Jakarta for em ployees/officers of the Provincial Agency; c. The Regent/Mayor for employees/officers of the Regency/Municipality; and d. Heads of related institutions supervising the em ployees/officers who performs monitoring over hazardous materials. (4)IP-B2, IT-B2, DT-B2, PT-B2, and PA-B2 must give largest access to the verity in distribution of hazard ous materials to the employees/officers performing monitoring as meant in paragraph (1). Article 16 (l)The employees/officers as meant in Article 15 para graph (1) shall submit result of monitoring to the competent officer who assigns them to do monitor ing. (2)If, in the monitoring, a preliminary evidence of crimi nal act is found, the employees/officers as meant in paragraph (1) shall immediately convey the finding to Indonesian police investigator along with letter of introduction from the competent officer. CHAPTER VIII SANCTIONS 8A (2) clause c and Article 12 paragraph (1) will be im µosed with penalty pursuant to the applicable laws. (3)DT-B2 violating the provisions of Article 3 paragraph (2) clause d; Article 4 paragraphs (1), (2) and (3); Article 5 paragraph (2); and Article 6 paragraph (n will be imposed with penalty pursuant to the appli cable laws. ( 4)PT-B2 violating the provisions of Article 3 paragraph (2) clause e; Article 6 paragraph (1); and Article 12 paragraph (2) will be imposed with penalty pursuant to the applicable laws. (5)PA-B2 violating the provisions of Article 12 paragraph (3) will be imposed with penalty pursuant to the ap plicable laws. (6)Business operators or persons violating the provi sions of Article 11 paragraph (1) will be imposed with penalty pursuant to the applicable laws. (7)Business operators violating the provisions of Article 11 paragraph (2) will be imposed with penalty pur suant to the applicable laws. Article 18 (1)Hazardous materials not meeting the conditions as meant in Article 3 paragraph (2) or Article 11 must be withdrawn from circulation. (2)The withdrawal of hazardous materials from circula tion as meant in paragraph (1) is at the order of the competent officer and shall be implemented by the concerned business operator. (3)Cost for withdrawal of hazardous materials as meant in paragraph (2) shall be paid by the concerned busi ness operator. Article 17 Article 19 (l)IT-B2 violating the provisions of Article 3 paragraph (l)IP-B2 violating the provisions of Article 15 paragraph (2) clause b will be imposed with penalty pursuant ( 4) will be imposed with administrative sanctions. to the applicable laws. {2)IP-B2 violating the provisions of Article 3 paragraph Business News 7348/12-4-2006 {2)IT-B2 violating the provisions of Article 15 paragraph (4) will be imposed with administrative sanctions. (3)DT-B2 violating the provisions of Article 8 paragraph (1); Article 10 paragraph (1); and Article 15 para graph ( 4) will be imposed with administrative sanc tions. (4)PT-B2 violating the provisions of Article 8 paragraph (2); Article 10 paragraph (1); and Article 15 para graph (4) will be imposed with administrative sanc tions. (S)PA-B2 violating the provisions of Article 8 paragraph (3); Article 10 paragraph (1); and Article 15 para graph ( 4) will be imposed with administrative sanc tions. Article 20 The administrative sanctions as meant in Ar ticle 19 include: a. Written reminder of up to three (3) times within one (1) month as specified in Attachment IX; b. If the reminder as meant in paragraph a is ignored, SIUP-82 will be frozen for up to three {3) months; and c. If, the three (3)-month period as meant in paragraph b is ignored, SIUP-B2 will be revoked by the issuing officer, as specified in Attachment X. CHAPTER IX TRANSITORY PROVISIONS Article 21 All regulations concerning Hazardous Materials remain valid as long as they are not in contradictory to this regulation. Article 22 (1)Distributors and Retailers who do not possess SIUP B2 as meant in Article 6 and still have hazardous materials, will be given time of not later than one (1) month since val idity of this regulation1 to distribute the materials to the end users according to their in tended uses and to report to the competent officer as meant in Article 15 paragraph (3). (2)If, after the one (1)-month period as meant in para graph (1) has been passed1 distributors and retailers still having hazardous materials, may not distribute Pni;;il"'<"S<; NPw<; 7348/1.2-4-2006 9A or transfer the materials to other parties and must report stock of hazardous materials to the Governor/ the Governor of DKI Jakarta or the Regent/Mayor to be recorded. (3)The Governor/the Governor of DKI Jakarta and the Regent/Mayor shall coordinate distribution of haz ardous materials under control of the distributors and retailers to PA-B21 DT-B21 or PT-B2. Article 23 The Governor/the Governor of DKI Jakarta and/ or the Regent/Mayor shall coordinate the distribution of hazardous materials that are still under control of: a. Distributors or retailers as meant in Article 22 para graph (2) to DT-B2, PT-B2, or PA-82; or b. DT-B21 PT-B2, and PA-B2 as meant in Article 10 para graph (1) to DT~B2, PT-B21 or PA-B2. Article 24 DT-B2 shall be given time of not later than one (1) year since validity of this regulation to adjust the packages1 labels, and Safety Data Sheet according to the conditions as meant in Article 4 of this regulation. lated. CHAPTER X CLOSING PROVISIONS Article 25 This regulation is valid from the date it is stipu For public cognizance1 this regulation shall be published by placing it in the State Gazette of the Re public of Indonesia. Stipulated in Jakarta On February 161 2006 THE MINISTER OF TRADE OF THE REPUBLIC OF INDONESIA Sgd MARI ELKA PANGESTU Editor's Note : Attachments are not available.