Lokataru: Cyber Security Bill Risks State Capture

9 hours ago 4

February 18, 2026 | 07:46 pm

TEMPO.CO, Jakarta - Human rights organization Lokataru Foundation warns of potential conflicts of interest and the practice of state capture within the Academic Script and the draft of the Cyber Security and Resilience Bill (RUU KKS) currently under government discussion. Lokataru noted a pattern that strengthens the dominance of certain state actors or corporations in influencing public policy and securing economic benefits from the regulation.

The organization's research shows that state spending on technology and cyber systems increased significantly from 2021 to 2024. Lokataru traced this increase through the state budget allocation (APBN).

Lokataru noted at least 43 packages of AI surveillance and security worth Rp1.317 billion, 48 packages of AI software and platform licensing worth Rp459 million, 59 packages of big data and predictive analytics worth Rp433 billion, and 44 supporting AI infrastructure packages, including data centers, cloud, and servers. The value of the procurement contracts reached Rp1,247 trillion.

"Almost all ministries and state institutions have carried out these procurements in the past four years," said Lokataru's Research and Knowledge Manager, Hasnu, in a written statement on Tuesday, February 17, 2026.

Lokataru also noted the procurement of 6 AI packages worth Rp124.440 billion, 48 big data packages worth Rp237.761 billion, 6 chatbot packages worth Rp10.992 billion, 4 cloud computing packages worth Rp810.451 million, 3 electronic traffic packages worth Rp7.740 billion, 27 cloud computing packages worth Rp837.268 billion, and 34 National Data Center packages worth Rp322.901 billion.

Overall, the government's budget allocation for technology and cyber procurement from 2021 to 2024 is estimated to reach around Rp3.460 trillion. National and multinational private companies dominate the winning tenders. Lokataru found indications that some of these companies have direct or indirect ties to public officials.

"This situation creates a space for conflict of interest and the potential for structural corruption that is difficult to avoid," said Hasnu. He also noted that the large budget allocation is not commensurate with improvements in digital public services, protection of internet rights, infrastructure distribution, or the handling of recurring data breaches.

Read: Why Lokataru Finds Indonesia's Cybersecurity Bill Concerning

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