DPA Data Protection Agreement Template for Indonesia
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What is a DPA Data Protection Agreement?
The DPA Data Protection Agreement is essential for organizations engaging in personal data processing activities in Indonesia or handling Indonesian citizens' data. This document becomes necessary when one organization (the controller) engages another organization (the processor) to process personal data on its behalf. The agreement ensures compliance with Indonesia's Personal Data Protection Law (PDP Law) 2022, Government Regulation No. 71 of 2019, and related regulations. It covers crucial aspects such as data security measures, breach notification procedures, cross-border transfer requirements, and data subject rights. The DPA is particularly important given Indonesia's strict data localization requirements and the significant penalties for non-compliance introduced by the PDP Law.
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About the DPA Data Protection Agreement
A DPA Data Protection Agreement is a legally binding contract that governs the relationship between a data controller and data processor when personal data is being processed in Indonesia. Under Indonesia's Personal Data Protection Law 2022, any organization that engages a third party to process personal data must establish clear contractual obligations through a comprehensive data processing agreement.
When do you need this document?
You need a DPA when your company engages external service providers to handle personal data on your behalf, such as cloud storage providers, payroll companies, or marketing agencies. The agreement is mandatory when processing Indonesian citizens' data, regardless of where your company is located. You'll also need this document when establishing data processing relationships between parent companies and subsidiaries, or when authorizing subprocessors to handle personal data. Foreign companies operating in Indonesia must designate local representatives and establish clear data processing frameworks through DPAs.
Key legal considerations
Your DPA must clearly define the scope and purpose of data processing activities, ensuring they align with the original consent obtained from data subjects. The agreement should specify robust security measures, including encryption, access controls, and regular security audits to protect personal data. Breach notification procedures must be established, requiring processors to notify controllers within 72 hours of discovering any data breach. The contract should address data subject rights, including access, rectification, erasure, and portability rights under the PDP Law. Cross-border data transfer provisions are critical, as Indonesia requires adequate protection levels and specific safeguards for international transfers.
Legal requirements in Indonesia
Under Indonesia's PDP Law 2022, processors must implement technical and organizational measures to ensure data security appropriate to the risk level. The agreement must comply with data localization requirements, particularly for critical infrastructure and public service providers who must store data within Indonesian territory. Government Regulation No. 71 of 2019 mandates specific requirements for electronic system operators, including data center registration and security standards. Your DPA should address the appointment of Data Protection Officers where required, establish clear procedures for government audit compliance, and include provisions for substantial penalties that can reach up to 6% of annual revenue for serious violations. The agreement must also ensure processors only act on documented instructions from controllers and maintain detailed processing records as required by Indonesian regulations.
GOVERNING LAW
Applicable law
This DPA Data Protection Agreement is drafted to comply with Indonesia law. Key legislation includes:
Government Regulation No. 71 of 2019 on Electronic Systems and Transactions: Regulates the implementation of electronic systems and transactions, including requirements for data center location, registration of electronic system operators, and data security measures.
Ministry of Communication and Informatics Regulation No. 20 of 2016: Specific regulation on personal data protection in electronic systems, detailing requirements for data collection, processing, storage, and deletion.
Law No. 11 of 2008 on Electronic Information and Transactions (ITE Law): Framework law governing electronic transactions and information, including provisions related to data protection and cybersecurity.
Ministry of Communication and Informatics Regulation No. 4 of 2016: Regulation concerning information security management systems, providing guidelines for data security measures and risk management.
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