NON-TAX STATE REVENUE (PNBP) AND REGIONAL ORIGINAL REVENUE (PAD) FISCAL DUALISM IN BATAM CITY: A COMPARATIVE DESCRIPTION OF THE REVENUE AND BUDGET UTILIZATION OF THE BATAM-INDONESIA FREE ZONE AUTHORITY AND THE BATAM MUNICIPAL GOVERNMENT
Keywords:
Regional Autonomy, Free Trade Zone, Local Tax, Non-Tax State Revenue, Dual Track Fiscal RegimeAbstract
The existence of dual managing entities in Batam Island, namely the Batam Municipal Government and the Batam Indonesia Free Zone Authority (BP Batam), creates a unique dynamic of revenue governance within a single jurisdiction. This study aims to analyze and compare the revenue objects of both institutions based on the prevailing legal framework. Employing a normative-juridical approach and a descriptive comparative method, this study dissects the regulations underlying the fiscal authority of each entity. The results reveal the implementation of a dual-track fiscal regime in Batam City. The Municipal Government exercises its fiscal function based on the lex generalis principle (Law No. 1 of 2022) through sovereign rights to collect territorially and consumptively oriented Local Taxes and Retributions. Conversely, BP Batam operates under the lex specialis regime of the free trade zone (Law No. 44 of 2007) with managerial and proprietary authorities to collect Non-Tax State Revenue (PNBP) through a Public Service Agency (BLU) management pattern based on cost recovery. In conclusion, the harmonization of fiscal authority between regional autonomy and special zone management can be implemented in parallel without negating each other's legal instruments. This condition requires transparency and strengthened institutional coordination to prevent overlapping administrative fees for the public and investors.
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