KBLI 2020 · 5-digit class

42203Construction of Civil Infrastructure and Facilities for Solid, Liquid, and Gas Waste Treatment Systems

Civil Construction of Infrastructure and Facilities for Solid, Liquid, and Gas Waste Treatment Systems.

Last updated · Sourced from OSS Indonesia

This group includes activities related to the construction, maintenance, and/or reconstruction of facilities for the processing of solid, liquid, and gas waste, waste reservoirs, waste piping networks, urban wastewater infrastructure (domestic/human and industrial wastewater collection networks), waste disposal and incineration facilities, and complementary facilities for solid, liquid, and gas waste, final waste disposal sites along with their complementary structures, and services for the installation of septic system construction, as well as the construction of waste treatment units generated from thermal, hydro, geothermal, and other new and renewable energy (EBT) sources.

For foreign investors · KBLI 42203
Open · carve-outs

Open to PMA, with sub-activity carve-outs.

Operating license routes through Ministry of Public Works (PUPR) / Sector ministries, not OSS — Emerhub handles the application end-to-end.

Foreign ownership
100% PMA
Sector regulator
Ministry of Public Works (PUPR) / Sector ministries
Min. paid-up capital
IDR 2.5B paid-up · BKPM Reg. 5/2025
Issuing authority for PMA
Minister/Head of Agency
Ministry-issued
Risk + license type
Medium-High·NIB + Verified Standard Cert.
Setup timeline
PT PMA 4–8 weeks; Emerhub files the verified Standard Certificate (1–2 months ministry review).

What's specific to this sector

  • 01

    SBU classification specific to civil works (jalan/jembatan, pengairan, etc.).

  • 02

    Specialised infrastructure (military, defence, airport) typically restricted to highest SBU grades and may require additional sector-ministry approvals.

  • 03

    PBG required project-by-project; environmental clearance (UKL-UPL or AMDAL) for large works.

PMA-specific filings · handled by Emerhub

OSS source text below — Emerhub takes care of each step on your behalf.

  • 01For PMA Construction Companies: a. Foreign investors/shareholders must be a legal entity in the construction services sector in their home country, evidenced by: 1) A legalized deed of establishment 2) A licensed construction services business certificate of large qualification in the home country or a similar document that is legalized b. Domestic investors/domestic shareholders must be a national construction services entity of large qualification, evidenced by: 1) Business license for the construction services sub-sector 2) Business entity certificate for the construction services sub-sector
Get a verified setup plan for KBLI 42203Read the full regulatory profile

KBLI 42203 at a glance

KBLI code
42203
Taxonomy version
KBLI 2020
Activity (English)
Construction of Civil Infrastructure and Facilities for Solid, Liquid, and Gas Waste Treatment Systems
Activity (Indonesian)
Civil Construction of Infrastructure and Facilities for Solid, Liquid, and Gas Waste Treatment Systems.
Category
Construction
Risk level (Large scale, PMA)
Medium-High
Foreign ownership status
Open with sub-activity carve-outs
Minimum capital (PT PMA)
IDR 2.5 billion paid-up + IDR 10 billion+ commitment per KBLI (BKPM Reg. 5/2025)
Primary licensing instrument
NIB
Issuing authority (PMA)
Minister/Head of Agency
Tax incentive eligibility
None recorded
Last verified
April 24, 2026
Source: OSS Indonesia + BPS Peraturan 7/2025 + BKPM
§ 01

Foreign investment rules

Indonesia's BUPM (Investment Business Fields) regulation places this code into one of five tracks. The track determines whether a foreign investor (PMA) can operate in this activity at all, and under what conditions.

Status · Open with carve-outs

Open to foreign investment, with carve-outs

KBLI 42203 is open as a class — a 100% foreign-owned PT PMA can be incorporated under this code — but Pres. Reg. 10/2021 carves out 1 specific sub-activity that are off-limits or restricted for foreign capital. The rest of the activity remains open to PMA. The carved-out items are listed below; any of them needs to be either avoided, served via an Indonesian operator, or structured around case-by-case.

Listed restrictions

Reserved for SMEs / cooperatives

1
  • Construction of wastewater treatment, distribution, and storage facilities and/or low and medium risk.
    Allocated for Cooperatives and UMKM.
    Sector: Public Works and Housing
KBLI 42203 is open to 100% foreign ownership as a class — a PT PMA can be incorporated under this code. However, Pres. Reg. 10/2021 carves out the specific sub-activities listed above, which are either reserved for Indonesian capital, capped, or restricted to cooperatives/UMKM. A foreign investor may operate every other slice of this KBLI but must avoid (or partner around) those particular sub-activities. Talk to us about scoping your business plan to the open portion before incorporation.
§ 02

How we handle your KBLI 42203 setup

Emerhub is a corporate-services provider in Indonesia. We do the legal and regulatory legwork for foreign investors so you can focus on the business itself. Here's what the engagement looks like.

  1. 1

    Confirm the optimal structure for your business

    2–3 business days

    We confirm KBLI 42203 is the right primary code for your business, advise on secondary codes you may also need, and finalize the holding structure with you before any filing.

    What we need from you
    • Founders' passport copies and proof of residence
    • Intended share split and board composition
  2. 2

    Incorporate your PT PMA

    7–10 business days

    We draft the Articles of Association before a notary, register the entity with the Ministry of Law & Human Rights (Kemenkumham), and obtain the company's tax ID (NPWP). Under BKPM Reg. 5/2025, paid-up capital is IDR 2.5 billion (~USD 160K) — the cash actually deposited at incorporation. The IDR 10 billion+ figure many sources still cite is the total investment commitment per KBLI, realised over time via your LKPM reports.

    What we need from you
    • Powers of attorney (we prepare; you sign and notarize)
    • Director / commissioner appointment letters
    • Initial capital deposit confirmation
  3. 3

    We obtain your NIB

    1–2 business days

    We file the OSS application with KBLI 42203 as your primary business activity, complete the risk-based assessment, and collect the NIB (Business Identification Number) for you — typically within hours of submission. You don't need to touch the OSS portal.

    What we need from you
    • Office address (virtual office acceptable for many KBLIs; we can arrange one)
  4. 4

    Secure your Standard Certificate (Verified)

    15+ business days

    NIB is issued for the preparation stage. To begin commercial operations, the operator must obtain a Sertifikat Standar that has been verified by the competent ministry. The verification step typically requires a site or document inspection. Operating with NIB alone is not legally compliant. We prepare the application bundle, liaise with the competent ministry, and chase issuance through to the certificate. Statutory turnaround: 15 business days — real-world timing typically runs longer when site inspections or additional clarifications are requested.

    What we need from you
    • Technical documentation specific to your operation
    • Appointment of a Penanggung Jawab Teknis (PJT — technical responsible person)
    • LPJK SBU certification — separate from OSS Standard Certificate
  5. 5

    Hand-off to ongoing compliance

    Ongoing

    Post-launch we run your monthly tax filings, quarterly LKPM (Investment Activity Reports), annual general meeting (RUPS), and any sector-specific reporting. You get a single point of contact and a monthly compliance digest — no Indonesian-language paperwork on your desk.

Get an exact quote and timeline for KBLI 42203, scoped to your specific business plan.
Request a quote
§ 03

What is KBLI 42203?

A plain-English explanation of this classification and the businesses it covers.

KBLI 42203 (Civil Construction of Infrastructure and Facilities for Solid, Liquid, and Gas Waste Treatment Systems.) is the 5-digit Indonesian Standard Industrial Classification code for construction of civil infrastructure and facilities for solid, liquid, and gas waste treatment systems. It sits within Construction under the subgroup Construction of Irrigation, Communication, and Waste Networks (major group 42) in the official KBLI 2020 taxonomy maintained by Statistics Indonesia (BPS).

This group includes activities related to the construction, maintenance, and/or reconstruction of facilities for the processing of solid, liquid, and gas waste, waste reservoirs, waste piping networks, urban wastewater infrastructure (domestic/human and industrial wastewater collection networks), waste disposal and incineration facilities, and complementary facilities for solid, liquid, and gas waste, final waste disposal sites along with their complementary structures, and services for the installation of septic system construction, as well as the construction of waste treatment units generated from thermal, hydro, geothermal, and other new and renewable energy (EBT) sources.

Who needs KBLI 42203?

Any Indonesian or foreign-owned entity that intends to operate in construction of civil infrastructure and facilities for solid, liquid, and gas waste treatment systems as a primary or secondary business activity must select this code on its NIB (Business Identification Number). The selected code determines the licensing instruments required, the issuing authority, and the ongoing compliance obligations.

Why does the code matter?

Indonesia's OSS Risk-Based Approach uses the KBLI code to determine three things: (1) whether foreign investment is permitted and at what cap, (2) the risk-based licensing instruments required, and (3) the authority that issues each instrument. Choosing the wrong code can delay or invalidate your license.

§ 04

Under the upcoming KBLI 2025

Indonesia's BPS published the new KBLI 2025 taxonomy in early 2025. OSS, BKPM and the operating ministries have not yet adopted it — KBLI 2020 remains the active standard for business registration. This is what's coming for this specific code.

Carried forward into KBLI 2025

KBLI 42203 retains the same code number and scope in the new taxonomy. The activity description, hierarchy, and intended use of the code are preserved.

  • ·Continue using 42203 for current registrations under KBLI 2020.
  • ·When OSS adopts KBLI 2025 (timing not yet announced), no migration is required for this code.
  • ·Risk level, permits, and authority routing shown above remain in effect under both taxonomies.

When OSS adopts KBLI 2025, we'll migrate your existing entity to the appropriate successor code as part of ongoing compliance — no action needed on your end now.

Talk to a specialist
§ 02

Risk level by business scale

Indonesia's OSS Risk-Based Approach assigns a separate risk level for each of the four business scales. The licensing instruments required (NIB, Standard Certificate, Operating License) are determined by the risk level. Foreign-owned entities (PT PMA) must register at the Large scale, so the rightmost column applies to most foreign investors.

01

Micro

Usaha Mikro
≤ IDR 2 B turnover
Medium-High risk
NIB + ministry-verified Standard Certificate before invoicing.
02

Small

Usaha Kecil
IDR 2 – 15 B
Medium-High risk
NIB + ministry-verified Standard Certificate before invoicing.
03

Medium

Usaha Menengah
IDR 15 – 50 B
Medium-High risk
NIB + ministry-verified Standard Certificate before invoicing.
04

Large

PMA scale
Usaha Besar
IDR > 50 B
Medium-High risk
NIB + ministry-verified Standard Certificate before invoicing.
What does each risk level require to operate? ›
Low. NIB alone is sufficient for both preparation and commercial operation. Issued instantly via OSS.
Medium-Low. NIB enables preparation only. Commercial operation requires a self-declared Sertifikat Standar (Standard Certificate). Operating with NIB alone is not legally compliant.
Medium-High. NIB enables preparation only. Commercial operation requires a Sertifikat Standar verified by the competent ministry — typically with a site or document inspection.
High. NIB enables preparation only. Commercial operation requires a full Operating License (Izin) issued by the competent ministry after substantive review.
Beyond OSS, sector-specific permits commonly apply on top — e.g. SBU for construction, BPOM for food/cosmetics/medicines, OJK for financial services, IUP for mining, PSE for digital services. See the industry-specific guidance below for what applies to this KBLI.
§ 05

Licensing requirements in detail

Specific permits, application requirements and ongoing obligations vary by business scale and the sub-activity within this KBLI. We file these on your behalf — this section is for transparency on what we'll be handling. Switch between scales below; by default we show Large (the PMA scale).

Sub-activity scope

Subclassification Code for Civil Infrastructure Construction and Facilities for Solid, Liquid, and Gas Waste Treatment Systems: BS006

What's required to operate
NIB
Preparation only — additional permit needed below
Standard Certificate (Verified)
Important: NIB is issued for the preparation stage. To begin commercial operations, the operator must obtain a Sertifikat Standar that has been verified by the competent ministry. The verification step typically requires a site or document inspection. Operating with NIB alone is not legally compliant.
Processing time
15Days
Statutory turnaround

Application requirements

3

Documents and capabilities you must demonstrate at registration

  • 01Standard Number for Determining the Competence of Construction Service Business Entities (SBU PB-UMKU Number)
  • 02For the Representative Office of a Foreign Construction Company: a. It must be a legal entity engaged in construction services in the country of origin. b. Pay the administrative licensing fees per type of business in accordance with applicable regulations.
  • 03For PMA Construction Companies: a. Foreign investors/shareholders must be a legal entity in the construction services sector in their home country, evidenced by: 1) A legalized deed of establishment 2) A licensed construction services business certificate of large qualification in the home country or a similar document that is legalized b. Domestic investors/domestic shareholders must be a national construction services entity of large qualification, evidenced by: 1) Business license for the construction services sub-sector 2) Business entity certificate for the construction services sub-sector

Ongoing obligations

4

Compliance and reporting duties throughout operation

  • 01Submit the Annual Business Activity Report.
  • 02The SBU is still valid.
  • 03Implement the provisions of the legislation in the field of construction services.
  • 04For the Representative Office of BUJKA: a. Extend the Standard Certificate according to the sub-classification every 3 years. b. Establish a Joint Operation (KSO) with a large qualified BUJKN that has a similar classification/sub-classification registered with the construction service development agency before participating in the selection process. c. KSO for the implementation of Construction Work or Integrated Construction Work shall be carried out under the following technical criteria: 1) At least 50% (fifty percent) of the construction work cost must be executed domestically. 2) At least 30% (thirty percent) of the construction implementation cost must be executed by the KSO partner BUJKN.

Issuing authority

The authority that issues the license depends on your situation.

AuthorityApplies when
Minister/Head of AgencyConstruction Services Business Entities (BUJK) and Representative Offices of Construction Services Business Entities (BUJKA)
Minister/Head of AgencyForeign Investment
§ 04

Basic requirements (KKPR)

Class-level prerequisites that apply to every operator under this KBLI, independent of business scale. These commonly include minimum capital rules for PMA entities and spatial-planning (KKPR) conformance.

Mandatory before any license can be issued
  1. 01Business Sector Construction of Building Treatment, Distribution and Storage of Wastewater and/or Small and Medium Risk, allocated to Cooperatives and Micro, Small, and Medium Enterprises (MSMEs), as regulated in Presidential Regulation no. 49 of 2021 concerning Amendments to Presidential Regulation No. 10 of 2021 concerning the Investment Business Sector.
§ 08

Common questions about KBLI 42203

What is KBLI 42203?

KBLI 42203 (Civil Construction of Infrastructure and Facilities for Solid, Liquid, and Gas Waste Treatment Systems.) is the 5-digit Indonesian Standard Industrial Classification code for construction of civil infrastructure and facilities for solid, liquid, and gas waste treatment systems. It sits within the Construction category in the official KBLI 2020 taxonomy maintained by Badan Pusat Statistik (BPS).

Can foreign investors operate under KBLI 42203?

Yes, KBLI 42203 is open to PMA at the class level, but Pres. Reg. 10/2021 carves out specific sub-activities that are restricted. A foreign investor can operate the unrestricted slices subject to the same BKPM Reg. 5/2025 capital rules.

What is the risk level of KBLI 42203?

KBLI 42203's risk levels per business scale: Mikro Medium-High, Kecil Medium-High, Menengah Medium-High, Besar Medium-High. Foreign-owned entities (PT PMA) must register at the Large scale.

What licenses does KBLI 42203 require?

NIB only — KBLI 42203 is a low-risk activity in OSS RBA, so the Business Identification Number alone suffices for operational licensing.

What is the minimum capital for a PT PMA under KBLI 42203?

BKPM Reg. 5/2025 default applies: IDR 2.5 billion paid-up capital at incorporation + IDR 10 billion+ total investment commitment per KBLI registered, realized over time and reported quarterly via LKPM.

How long does it take to register a business under KBLI 42203?

PT PMA setup typically takes 4-8 weeks: AHU registration (1-2 weeks), NIB issuance via OSS (immediate to 1 week), bank account opening (2-4 weeks). The licensing cycle for KBLI 42203 specifically takes 15 days at the Large business scale.

Is KBLI 42203 eligible for Indonesian tax incentives?

Not on the Tax Holiday or Tax Allowance priority lists. KBLI 42203 businesses pay the standard 22% PPh Badan; Super Tax Deduction (300% R&D / 200% vocational training) may still apply for qualifying expenses.

Which authority issues the KBLI 42203 license?

Authority depends on the investor profile. For PMA: Minister/Head of Agency. For domestic SME scale: typically Governor (for Provincial scope) or Regent/Mayor (Regency/City scope). Specific mapping is in §1 of this page.

What other permits beyond the NIB does KBLI 42203 need?

Beyond the NIB, no specific auxiliary permits (PB UMKU) are recorded for KBLI 42203. Sector-specific obligations may still apply — verify with the relevant ministry.

What KBLI codes are similar to 42203?

KBLIs in the same subgroup 4220: 42201 (Construction of Irrigation and Drainage Networks.); 42202 (Civil Building Construction for Clean Water Treatment); 42204 (Civil Construction of Electrical Buildings.); 42205 (Civil Construction of Telecommunication Buildings for Transportation Infrastructure.); 42206 (Construction of Telecommunication Central Offices.). These are closely related activities — see the related-codes section below for full list.

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Speak to Emerhub

Get your KBLI 42203 setup handled end-to-end.

Emerhub is a corporate-services provider in Indonesia. We handle PT PMA incorporation, licensing, tax registration and monthly compliance — so you focus on operating the business.
Get a quote for KBLI 42203