Volume 12 Nomor 3 Mei 2025 Free Shipping: When E-Commerce Regulations Exceed the Limits of Authority Muh Akbar Fhad Syahril Faculty of Law. Andi Sapada Institute of Social Sciences and Business Email: akbar9. a9@gmail. Abstract This study analyzes the implications of the overlapping authority between the Ministry of Communication and Digital (Komdig. and the Ministry of Trade (Kemenda. in regulating free shipping programs in the e-commerce sector in Indonesia. Through a normative juridical approach and an analysis of legal theories of attribution, delegation, and ultra vires, this study finds that regulatory dualism between the two ministries has created legal uncertainty, market distortions, and obstacles to the growth of the digital economy. Empirical data shows increased complaints from business actors and consumers due to uncoordinated policies. This study recommends regulatory harmonization and the establishment of a transparent and integrated national digital legal framework to support legal certainty and consumer protection in the digital economy era. Keywords : E-Commerce. Free Shipping. Authority. Legal Certainty. Digital Regulation. Publish Date: 17 Mei 2025 The free shipping program is one of Introduction the most popular marketing strategies in the The rapid growth of the global digital Indonesian e-commerce ecosystem. The program not only increases consumer transformation in various sectors, including appeal but has also been shown to drive in Indonesia. 1 With a compound annual transaction growth significantly. Data from growth rate (CAGR) of 15. 6% from 2020 to SellersCommerce . shows that 37% of 2025. Indonesia's digital economy is now business actors have experienced an one of the largest in Southeast Asia. The eincrease in the average order value of 7 US commerce sector's contribution to the dollars after implementing a free shipping national digital Gross Domestic Product However, the popularity of this (GDP) reached 70% by 2024, marking a program also poses regulatory challenges, major shift in the Indonesian people's especially related to consumer protection and healthy business competition. The value of e-commerce Through Ministry transactions in Indonesia was recorded at Communication and Digital (Komdig. , the IDR 526 trillion in 2024 and is projected to Government of Indonesia responded to exceed 46 billion US dollars by 2025, this phenomenon by issuing Komdigi supported by internet penetration of 79. Ministerial Regulation No. 8 of 2025, which and the dominance of the young generation, limits free shipping promotions to a which is adaptive to technology. maximum of three days a month. This 1 Karim. Herman. , & Syahril. September . Indonesia Digital Economy. https://w. gov/country-commercialguides/indonesia-digital-economy diakses 16 Mei 4 SellersCommerce. May . 15 Important Free Shipping Statistics In E-Commerce . https://w. com/blog/freeshipping-statistics/. Criminological Analysis of Online Buying Fraud. DME Journal of Law, 2. , 10-16. 2 CELIOS. Digital Economy Outlook 2025. https://celios. id/wpcontent/uploads/2024/12/Digital-EconomyOutlook-2025. International Trade Administration. ISSN: 2963-9360 policy has attracted controversy because it is considered to exceed the authority of the Komdigi and contradicts the position of the Ministry of Trade (Kemenda. as the leading authority in regulating electronic commerce, as mandated in Government Regulation No. 80 of 2019. 5 Ambiguity in interpreting Article 5 of the Job Creation Law further escalates tensions between government agencies regarding the division of authority in digital economy governance. This regulatory conflict has a direct impact on business actors and consumers. Throughout the beginning of 2025, the Business Competition Supervisory Commission (ICC) received 154 complaints from business actors about inconsistencies in policy implementation between Komdigi and Ministry Trade. The SellersCommerce . survey also shows that 72% of B2B businesses consider free shipping a critical factor in their business strategy, while 41% of consumers report confusion regarding legal protection for such 7 This condition confirms the need for policy harmonization so as not to cause market distortions and legal Similar challenges also occur at the regional level. The fragmentation of digital regulations in the ASEAN region has the competitiveness by 12Ae15%. 8Indonesia, the largest digital market in Southeast Asia, with a projected digital economy value of 130 billion US dollars by 2025, must overcome the problem of regulatory overlap so as not to lose momentum in growth and 9 Without a comprehensive solution, authority conflicts between ministries can hinder the investment and development of this strategic sector. The urgency of this research is even contribution of the digital economy to national GDP, and the growth potential is still huge. Reorganizing Indonesia's digital regulatory architecture is urgently needed to ensure legal certainty, consumer protection, and a healthy business climate. This research is expected to make a theoretical contribution through the integration of the OECD's Regulatory Impact Assessment model with the ultra vires principle in state administrative law and offer evidence-based policy recommendations to address conflicts of authority in the digital economy Thus, this research is academically relevant and has practical significance for policymakers, business actors, and the Regulatory harmonization and rearrangement of authority in the digital economy will be key for Indonesia to maintain competitiveness and realize an inclusive, fair, and sustainable digital ecosystem. Research Methods This research uses normative legal research methods, analyzing laws and regulations, legal principles, and doctrines relevant to the issues raised. 10 Normative legal research is carried out through library research using secondary data consisting of primary legal materials such as laws, government regulations, and ministerial regulations, as well as secondary legal materials in the form Syailendra. , & Putri. Tinjauan Hukum Mengenai Perlindungan UMKM serta Efektivitas Permendag No. 31 Tahun 2023 terhadap Social Commerce Tiktok Shop. INNOVATIVE: Journal of social science research, 3. , 5087-5100. 6 Syailendra. , & Putri. Tinjauan Hukum Mengenai Perlindungan UMKM serta Efektivitas Permendag No. 31 Tahun 2023 terhadap Social Commerce Tiktok Shop. INNOVATIVE: Journal of social science research, 3. , 5087-5100. 7 SellersCommerce. May . 15 Important Free Shipping Statistics In E-Commerce . https://w. com/blog/freeshipping-statistics/. 8 Tech for Good Institute. January . Digital Competition Regulation in ASEAN: Navigating the Global Regulatory Trend. https://techforgoodinstitute. org/blog/expertopinion/digital-competition-regulation-inaseannavigating-the-global-regulatory-trend/ International Trade Administration. September . Indonesia Digital Economy. https://w. gov/country-commercialguides/indonesia-digital-economy. 10 Juliardi. Runtunuwu. Musthofa. TL. Asriyani. Hazmi. , . & Samara, . Metode penelitian hukum. CV. Gita Lentera. ISSN: 2963-9360 of literature, journals, and opinions of relevant legal experts. This research does not use data collection techniques such as observations, interviews, or questionnaires but focuses entirely on reviewing existing legal documents and sources. This study's analysis was carried out qualitatively with a normative juridical approach, which aims to identify, review, and interpret the applicable legal norms and assess the consistency and synchronization between laws and regulations related to the regulation of free shipping by the Komdigi and the authority of the Ministry of Home Affairs. This research also uses deductive reasoning methods and legal interpretation to construct systematic legal arguments and provide recommendations on the problem of overlapping authority in digital economy regulations in Indonesia. doctrine of ultra vires, which prohibits governmental bodies from acting beyond their statutorily defined authority, is central KomdigiAos primary mandate under Law No. 11/2020 on Job Creation focuses on digital infrastructure and connectivity, not trade practices. By unilaterally regulating free shipping, a core aspect of ecommerce pricing. Komdigi arguably encroaches on KemendagAos domain, violating the lex specialis derogat legi generali principle that grants specialized agencies precedence in their areas of 14 This jurisdictional overreach mirrors historical conflicts in IndonesiaAos bureaucratic ecosystem, where fragmented authority often leads to regulatory The attribution-delegation theory further undermines KomdigiAos legal standing. According to Indonesia's Administrative Law (Law No. 30/2. , the regulatory authority must derive from explicit legislative delegation. While Komdigi cites Law No. 11/2020 as its basis, the law lacks specific provisions empowering the In contrast. KemendagAos authority over trade practices is enshrined in Law No. 7/2014 and reinforced by PP No. 80/2019, which explicitly covers ecommerce activities. This misalignment suggests KomdigiAos policy constitutes an unauthorized delegation of power, a violation of administrative law principles. Comparative international frameworks reveal similar For instance, the European Union's Digital Single Market strategy centralizes e-commerce regulation under trade authorities to prevent jurisdictional Indonesia's approach, however, fragments authority between ministries, creating regulatory gaps. For example. KomdigiAos focus on logistics fairness neglects consumer protection, a Kemendag prioritizing industry stability over market Analysis and Discussion Jurisdictional Conflict in IndonesiaAos ECommerce Regulation: A Legal Analysis of KomdigiAos Free Shipping Policy The Indonesian Ministry of Communication and DigitalAos (Komdig. Regulation No. 8/2025, which limits free shipping promotions to three days per month, has ignited a legal debate over institutional authority in digital governance. This policy, aimed at ensuring fair competition among logistics providers, directly intersects with the Ministry of TradeAos (Kemenda. mandate under Government Regulation No. 80/2019 to oversee e-commerce practices. The ambiguity in jurisdictional boundaries highlights a systemic issue in IndonesiaAos regulatory framework, where overlapping mandates between ministries create legal uncertainty for businesses and consumers From a legal ultra vires perspective. KomdigiAos regulation faces scrutiny. The Syarif. Ramadhani. Graha. Yanuaria. Muhtar. Asmah. , . & Jannah, . METODE PENELITIAN HUKUM. 12 Katadata. May . Komdigi Atur Gratis Ongkir di E-commerce Hanya 3 Hari dalam Sebulan. 13 Tribunnews. May . Masyarakat Bakal Dirugikan Akibat Ulah Pemerintah Batasi Layanan Gratis Ongkos Kirim di E-Commerce. 14 Neliti. Doktrin Ultra Vires dalam Perseroan Terbatas. ISSN: 2963-9360 This fragmentation risks stifling innovation, as 2025 data shows a 12Ae 15% projected decline in e-commerce growth due to regulatory uncertainty. The proportionality of KomdigiAos three-day Under the proportionality principle, regulations must balance public interest with economic freedom. While Komdigi argues the policy protects logistics firms from predatory pricing, critics note that 72% of SMEs rely on free shipping to compete, and abrupt limitations could disproportionately affect smaller vendors. 17 18 This tension reflects a broader issue in digital regulation: balancing sector-specific interests with holistic economic growth. Without robust impact assessments, which are absent in KomdigiAos policymaking process, such measures risk harming the ecosystems they aim to protect. Stakeholder exclusion further weakens the regulationAos legitimacy. Despite claims of industry consultations, major e-commerce platforms and consumer advocacy groups report limited involvement in drafting the This contrasts with OECD guidelines emphasizing participatory governance in digital regulation. The lack of multistakeholder dialogue has led to unintended consequences, including a 154% surge in IndonesiaAos Business Competition Commission (KPPU) in early 2025, citing market distortions from inconsistent enforcement. Legal certainty, a cornerstone of Indonesia's legal system under Law No. 12/2011, is compromised by this regulatory Dual oversight creates conflicting compliance requirements: e-commerce platforms must now simultaneously navigate KomdigiAos shipping rules and KemendagAos trade guidelines. This duality increases operational costs and exposes businesses to arbitrary enforcement, as seen in recent penalties imposed on platforms The policyAos economic implications extend beyond logistics. By restricting free shipping. Komdigi inadvertently affects consumer behavior, with 41% of shoppers reporting reduced purchase frequency due to higher perceived costs. This contradicts IndonesiaAos digital economy goals, which aim to boost online transaction volumes to $130 billion by 2025. The regulationAos narrow focus on logistics fairness overlooks its macroeconomic impact, highlighting the need for integrated policymaking that aligns sectoral regulations with national economic Judicial review mechanisms offer a potential resolution. Under IndonesiaAos Constitutional Court jurisprudence, policies exceeding statutory authority can be Legal Kemendag or affected businesses could challenge Regulation No. 8/2025 via judicial review, citing ultra vires violations. 15 CNBC Indonesia. May . Gratis Ongkir di Batasi Gratis Ongkir Hanya 3 Hari dalam Sebulan? 22 Tribunnews. May . Masyarakat Bakal Dirugikan Akibat Ulah Pemerintah Batasi Layanan Gratis Ongkos Kirim di E-Commerce. 23 Katadata. May . Komdigi Atur Gratis Ongkir di E-commerce Hanya 3 Hari dalam Sebulan. 24 Tribunnews. May . Masyarakat Bakal Dirugikan Akibat Ulah Pemerintah Batasi Layanan Gratis Ongkos Kirim di E-Commerce. 25 CNBC Indonesia. May . Gratis Ongkir di Ecommerce Dibatasi. Ini Aturan Baru Komdigi. 26 Sembiring. Yolanda. Sitepu. Siregar. , & Putra. Kerangka Hukum Tantangan Regulasi Pengembangan E-Commerce Indonesia. Shautuna: Jurnal Ilmiah Mahasiswa Perbandingan Mazhab. Ecommerce Dibatasi. Ini Aturan Baru Komdigi. 16 Tribunnews. May . Masyarakat Bakal Dirugikan Akibat Ulah Pemerintah Batasi Layanan Gratis Ongkos Kirim di E-Commerce. 17 CNBC Indonesia. May . Gratis Ongkir di Ecommerce Dibatasi. Ini Aturan Baru Komdigi. 18 Tribunnews. May . Masyarakat Bakal Dirugikan Akibat Ulah Pemerintah Batasi Layanan Gratis Ongkos Kirim di E-Commerce. 19 Katadata. May . Komdigi Atur Gratis Ongkir di E-commerce Hanya 3 Hari dalam Sebulan. 20 Sembiring. Yolanda. Sitepu. Siregar, , & Putra. Kerangka Hukum dan Tantangan Regulasi dalam Pengembangan ECommerce di Indonesia. Shautuna: Jurnal Ilmiah Mahasiswa Perbandingan Mazhab. 21 Kompas. May . Kenapa Kemenkomdigi ISSN: 2963-9360 Precedents like the 2023 annulment of a Ministry of Health regulation overstepping its mandate demonstrate the judiciaryAos role in resolving inter-ministerial conflicts. Indonesia requires structural reforms to prevent future conflicts. A proposed Digital Economy Law could delineate clear Komdigi infrastructure, while Kemendag regulates trade practices. This model aligns with SingaporeAos Digital Economy Framework Agreement, which reduced regulatory overlaps 28 Additionally, adopting OECD-style regulatory impact assessments would ensure policies balance stakeholder interests, fostering a competitive yet equitable digital Such conflicts generate legal ambiguity, where businesses face contradictory obligations, as evidenced by 154 complaints to IndonesiaAos Business Competition Commission (KPPU) in early 2025. From perspective. KomdigiAos regulation breaches the ultra governmental bodies to actions explicitly authorized by law. KomdigiAos enabling legislation. Law No. 11/2020 on Job Creation, focuses on digital infrastructure, not trade practices. By regulating free shipping, a pricing strategy under KemendagAos purview. Komdigi exceeds its the attribution-delegation theory that mandates clear statutory foundations for regulatory 31 This misalignment mirrors institutional conflicts observed in EU digital policy before the Digital Services Act Indonesia's need for a coherent regulatory 32 (Tech for Good Institute. The inter-ministerial For example. KomdigiAos threeday restriction disregards OECD guidelines recommending stakeholder consultations and impact assessments before policy Without such measures, the regulation risks reducing e-commerce growth by 12Ae15%, as the World Bank . projected, while disadvantaging SMEs reliant on free shipping for Implications of Jurisdictional Overlap Between Komdigi and Kemendag on Legal Certainty in IndonesiaAos ECommerce Sector The IndonesiaAos Ministry of Communication and Digital (Komdig. and the Ministry of Trade (Kemenda. over free shipping regulations fragmentation in digital governance. Legal certainty, a cornerstone of IndonesiaAos legal system under Law No. 12/2011, is undermined when overlapping mandates create dual compliance requirements. For instance. KomdigiAos Regulation No. 8/2025 restricts free shipping promotions to three days monthly, while KemendagAos authority over e-commerce pricing and promotions under Government Regulation No. 80/2019 remains unchallenged. This duality violates Gustav RadbruchAos legal certainty principle, emphasizing clarity and predictability as prerequisites for a functional legal system. Sengketa Pilkada Dan Implikasinya Terhadap Hukum. Jurnal Multidisiplin Dehasen (MUDE), 4. , 325-332. 30 Syailendra. , & Putri. Tinjauan Hukum Mengenai Perlindungan UMKM serta Efektivitas Permendag No. 31 Tahun 2023 terhadap Social Commerce Tiktok Shop. INNOVATIVE: Journal of social science research, 3. , 5087-5100. 31 BPK Kalteng. Pelimpahan Kewenangan Atribusi. Delegasi. Mandat. https://kalteng. id/ujdih/asset/materi/tahuk ahanda/Perbedaan Delegasi Mandat. 32 Tech for Good Institute. Digital Competition Regulation ASEAN. https://techforgoodinstitute. org/blog/expertopinion/digital-competition-regulation-inaseannavigating-the-global-regulatory-trend/ . 27 Neliti. Doktrin Ultra Vires dalam Perseroan Terbatas. 28 Sembiring. Yolanda. Sitepu. Siregar, , & Putra. Kerangka Hukum dan Tantangan Regulasi dalam Pengembangan ECommerce di Indonesia. Shautuna: Jurnal Ilmiah Mahasiswa Perbandingan Mazhab. 29 Suciara. Idias. Siregar. Siregar. & Prabowo. Tumpang Tindih Kewenangan Bawaslu. DKPP Dan PTUN Dalam ISSN: 2963-9360 competitiveness (SellersCommerce, 2. This policy misstep reflects a broader failure to integrate the proportionality principle, which requires regulations to balance public interest with economic freedom. Legal uncertainty also manifests in KemendagAos authority to penalize unfair trade practices under Law No. 7/2014 clashes with KomdigiAos unilateral penalties for violating shipping rules. This creates a dual enforcement regime, where businesses face arbitrary sanctions depending on which ministry interprets compliance. Such inconsistency violates the principle of equality before the law, as enshrined in Indonesia's Constitution, and deters foreign investment, a critical issue given the sector's projected $130 billion valuation by 2025. Comparative analysis with SingaporeAos Digital Economy Framework Agreement reveals the benefits of centralized oversight. By consolidating digital trade authority under a single ministry. Singapore reduced regulatory overlaps by 34% (Tech for Good Institute, 2. IndonesiaAos fragmented approach, conversely, mirrors pre-reform EU struggles, where conflicting national regulations hampered cross-border ecommerce until the Digital Single Market harmonized standards. These examples underscore the urgency of adopting a unified regulatory model. The absence of a dispute resolution mechanism worsens the crisis. Unlike GermanyAos Federal Cartel Office, which mediates inter-agency conflicts. Indonesia lacks institutional frameworks to resolve ministerial jurisdictional disputes. This gap perpetuates regulatory stagnation, as seen in the unresolved conflict over digital tax authority between Komdigi and the Finance Ministry. 34 Establishing an independent digital governance council, as proposed by Puspitasari . , could mitigate such conflicts through binding arbitration. Consumer disproportionately under this regime. While Kemendag oversees consumer rights under Law No. 8/1999. KomdigiAos shipping rules inadvertently raise consumer costs, contradicting the consumer welfare standard. Surveys indicate 41% of shoppers reduced online purchases post-regulation due to perceived price hikes. Illustrating how fragmented policies undermine statutory Theoretical emphasize institutional redesign. Integrating OECD's Regulatory Impact Assessment (RIA) framework into Indonesia's legislative process would mandate inter-ministerial consultations, ensuring policies align with broader economic goals. For instance. RIAs could have preempted KomdigiAos regulation by quantifying its impact on SMEs and logistics providers, fostering evidence-based Judicial review offers a remedial Under Constitutional Court precedents, policies exceeding statutory mandates can be invalidated. Kemendag or affected businesses could challenge Regulation No. 8/2025 via judicial review, citing ultra vires violations, as seen in the 2023 annulment of a Health Ministry regulation overstepping its authority. 36 Such litigation would clarify jurisdictional boundaries and reinforce legal certainty. Ultimately. Indonesia requires a Digital Economy Law to delineate ministerial mandates, drawing inspiration from VietnamAos 2024 Digital Governance Act. By codifying KomdigiAos role in infrastructure and KemendagAos in trade practices, such legislation would prevent International Trade Administration. Indonesia Digital Economy. https://w. gov/country-commercialguides/indonesia-digital-economy. 34 ETD UGM. Asas Kepastian Hukum dalam Kebijakan Pajak Pertambahan Nilai di Sektor ECommerce. https://etd. id/penelitian/detail/13 OECD. Regulatory Impact Assessment Guidelines. OECD Publishing. 36 Suciara. Idias. Siregar. Siregar. , & Prabowo. Tumpang Tindih Kewenangan Bawaslu. DKPP Dan PTUN Dalam Sengketa Pilkada Dan Implikasinya Terhadap Hukum. Jurnal Multidisiplin Dehasen (MUDE), 4. , 325-332. ISSN: 2963-9360 future overlaps. Pairing this with a coregulation model involving industry stakeholders would align Indonesia with global best practices, ensuring its digital economy thrives amid regulatory coherence. Karim. Herman. , & Syahril. Criminological Analysis of Online Buying Fraud. DME Journal of Law, 2. , 10-16. Katadata. May . Komdigi Atur Gratis Ongkir di E-commerce Hanya 3 Hari dalam Sebulan. Kompas. May . Kenapa Kemenkomdigi Batasi Gratis Ongkir Hanya 3 Hari dalam Sebulan? Neliti. Doktrin Ultra Vires dalam Perseroan Terbatas. OECD. Regulatory Impact Assessment Guidelines. OECD Publishing. SellersCommerce. May . Important Free Shipping Statistics In E-Commerce . https://w. blog/free-shipping-statistics/. Sembiring. Yolanda. Sitepu. Siregar. , & Putra. Kerangka Hukum dan Tantangan Regulasi dalam Pengembangan ECommerce di Indonesia. Shautuna: Jurnal Ilmiah Mahasiswa Perbandingan Mazhab. Sembiring. Yolanda. Sitepu. Siregar. , & Putra. Kerangka Hukum dan Tantangan Regulasi dalam Pengembangan ECommerce di Indonesia. Shautuna: Jurnal Ilmiah Mahasiswa Perbandingan Mazhab. Suciara. Idias. Siregar. Siregar, , & Prabowo. Tumpang Tindih Kewenangan Bawaslu. DKPP Dan PTUN Dalam Sengketa Pilkada Dan Implikasinya Terhadap Hukum. Jurnal Multidisiplin Dehasen (MUDE), 4. Syailendra. , & Putri. Tinjauan Hukum Mengenai Perlindungan UMKM Efektivitas Permendag No. 31 Tahun 2023 terhadap Social Commerce Tiktok Shop. INNOVATIVE: Journal of social science research, 3. , 5087-5100. Conclusion The overlap of authority between Komdigi and the Ministry of Trade in regulating free shipping in the e-commerce sector has caused legal uncertainty, regulatory dualism, and potential market distortions that are detrimental to business actors and This unclear boundary of authority requires the harmonization of regulations and the affirmation of establishment of a comprehensive digital legal framework, in order to create legal certainty, consumer protection, and a healthy and competitive business climate in the era of Indonesia's digital economy. Referensi