Government Regulation Number 31 of 2026: Disability Concession Rights and Strategic Incentives for Companies

Great news for the climate of inclusivity in Indonesia! The government has officially issued Government Regulation (PP) Number 31 of 2026. This regulation serves as the direct implementing rule mandated by Law Number 8 of 2016 concerning Persons with Disabilities.

If we dissect its essence, this latest regulation carries two highly crucial missions. First, guaranteeing the provision of cost deductions (concessions) across various public service sectors so that persons with disabilities can participate more freely within society. Second, this regulation embraces the private sector by offering a series of attractive incentives for corporate entities willing to collaborate in facilitating and employing workers with disabilities.

For regional government officials, village administration apparatus, and HR practitioners in the private corporate sector, understanding and implementing this legal umbrella is both an administrative and moral necessity. Let us comprehensively dissect the fundamental points of PP Number 31 of 2026.

I. Mandatory Requirements and Concession Rates for Persons with Disabilities

In legal terms, a concession is any form of cost deduction granted by the Government, Regional Governments, and/or any person to Persons with Disabilities based on state regulatory policies. The entities legally “obligated” to provide these concessions are Government and Regional Government institutions, including State-Owned (BUMN) and Regionally-Owned Enterprises (BUMD). Nevertheless, the government also aggressively encourages the private sector to participate in organizing these tariff reliefs.

This concession right is absolutely granted to every person with a disability who possesses a Disability Card (KPD – Kartu Penyandang Disabilitas). Regarding the financial protection amount, this PP establishes a very strict minimum standard:

• Minimum 20% Deduction: The concession tariff rate is set at a minimum of 20% (twenty percent) of the normal applicable price or tariff.
• Larger Deductions for Assistants: This discount percentage can be provided in a larger amount if the person with a disability medically or physically requires the presence of an assistant for their activities. This affirmative provision is highly emphasized in the transportation, culture and tourism, and sports facility sectors.

II. The 9 Priority Sectors for Disability Concessions

To ensure this affirmative right truly touches basic needs and alleviates the burden of daily activities, the government mandates the implementation of concessions across 9 (nine) main sectors, which include:

• Education: Cost deductions for education ranging from Early Childhood Education (PAUD), primary and secondary education, higher education, to non-formal course and training institutions in the community.
• Transportation: Covering tariff reliefs for land transportation trips (including parking, toll fees, non-subsidized fuel, and driver’s license administration fees), sea (travel tariffs and vehicle passes), air (flight tickets and airport parking), to urban, intercity, and airport railway travel.
• Health: Tariff reliefs for medical services that fall outside the coverage of the National Health Insurance (JKN) or other government programs, as well as premium deductions for private health insurance.
• Assistive Health Devices: Cost reliefs for the procurement of both physical and software devices, such as mobility aids (wheelchairs/crutches), hearing aids, visual aids, as well as communication and mental assistive devices.
• Housing and Public Utilities: Relief for communal drinking water/sanitation tariffs, electricity bills, internet, home telephones, gas, home ownership costs (KPR), and housing rental subsidies.
• Employment: Subsidized deductions for operational job training costs and professional competency certification processes.
• Entrepreneurship: Easy access and single licensing cost deductions for low-risk Micro and Small Enterprises (MSEs), including rental cost reliefs for stalls or business premises.
• Culture and Tourism: Discounted entrance tickets to various regional tourism destinations, art galleries, historical museums, and national cultural heritage sites.
• Sports: Tariff reliefs for the use of public sports facilities and discounted entrance tickets for sporting events and championships.

Implementation Note: Given the broad scope of these service sectors, the provision of concessions in the regions can be executed gradually, adjusting to the capacity of the state’s fiscal space or the financial strength of each region’s APBD.

III. Strategic Incentives for Corporations and Private Companies

This regulation marks a joyous historic milestone for the corporate sector. Accommodating the needs of persons with disabilities is no longer limited to fulfilling moral obligations or merely executing Corporate Social Responsibility (CSR) programs. The state promises real benefits in the form of incentives for private entities that actively participate.

The criteria for companies eligible to be proposed for these incentives include: private companies that voluntarily provide tariff concessions, companies that actively employ persons with disabilities, and tourism corporations that design disability-friendly (accessible) travel services. The forms of compensation and incentives disbursed by the government include:

• Official State Appreciation: The awarding of prestigious honors in the form of honorary badges, trophies, or certificates directly from government agencies.
• Free Promotion and Publication: Full support from ministries in the form of facilitating exhibition spaces to funding assistance for the creation and public dissemination of the company’s marketing advertisements.
• Fast-Track Licensing: The provision of priority lanes or bureaucratic ease in processing permits at the One-Stop Integrated Service (PTSP) and business certification processes.
• Work Facility Subsidy Assistance: Assistance for the procurement of physical infrastructure, such as building ramps, installing elevators, modifying accessible toilets, providing honorariums for sign language interpreters, and procuring computer equipment equipped with specialized software for workers with disabilities.

IV. Governance, Evaluation, and Transition Period Policies

In terms of governance architecture, the funding for this disability convergence program is sourced purely from the State Budget (APBN), Regional Budgets (APBD), and other legally valid revenue sources. The Minister of Social Affairs is appointed as the central coordinator to strictly monitor and evaluate its implementation in the field, with the obligation to submit an audit report to the President at least once per fiscal year.

So, what happens to persons with disabilities who currently do not possess or have not yet printed their Disability Card (KPD)?

PP Number 31 of 2026 has regulated a very safe and flexible transition period mechanism. As long as the physical KPD has not been officially issued, concession rights across various service sectors remain legally valid to claim simply by using a Certificate of Disability (Surat Keterangan Disabilitas) from health service facilities (Puskesmas/Regional Hospitals), or by using old identity documents previously utilized. These alternative documents hold legal status and are temporarily valid until the definitive KPD is distributed.

V. Conclusion

The issuance of PP Number 31 of 2026 is a civilizational leap in dismantling the walls of discrimination and building a truly inclusive state ecosystem in Indonesia. Through the mandatory provision of a minimum 20% tariff concession across nine vital sectors, the state is concretely present to alleviate the economic burden on vulnerable groups.

At the same time, the provision of various incentives, ranging from state appreciation to licensing fast-tracks, serves as a highly logical economic attraction for the private sector to immediately open recruitment doors wide for workers with disabilities. Let us safeguard the implementation of this regulation, ensure the data collection process at the village and regional levels runs swiftly, and realize social justice for all Indonesian people without exception.

Executive Summary of PP Number 31 of 2026

Visit the Village Regulations page for official access.