Recent research conducted by Cik Basir from Universitas Sriwijaya Palembang sheds light on the complexities of Sharia economic procedural law in Indonesia and its implications for the commercial landscape, particularly in the energy sector. As the Sharia economy forms a vital part of Indonesia’s national economic framework, the study emphasizes the need for robust regulatory structures that ensure legal certainty for businesses and individuals engaged in Sharia-compliant economic activities.
The research identifies significant weaknesses in the current regulations, particularly pointing out the limitations of the Supreme Court Regulation (Perma) Number 14 of 2016, which governs the resolution of Sharia economic cases. Cik Basir highlights that these inadequacies can lead to disparities in justice, especially in Religious Courts, which can directly affect the operational environment for businesses operating under Sharia principles. “This normative problem demands a reconstruction of Sharia economic procedural law to align it with Sharia principles and the values embodied in Pancasila,” he notes, underscoring the urgency for reform.
The implications of this research extend to the energy sector, where companies looking to operate within a Sharia-compliant framework may face challenges if the procedural laws are not adequately reformed. A clearer and more comprehensive legal structure could enhance investor confidence, streamline dispute resolution, and create a more favorable business environment for energy projects that seek to adhere to Islamic finance principles.
Furthermore, the study compares Indonesia’s Sharia economic procedural law with that of Malaysia, which has developed a more cohesive approach to resolving Sharia economic cases. This comparison could provide valuable insights for Indonesian policymakers in crafting regulations that not only meet legal and religious requirements but also support the growth of sectors like renewable energy, where Sharia-compliant financing is increasingly sought after.
Cik Basir’s research, published in ‘Nurani’ (translated as ‘Conscience’), advocates for a judicial review of Perma Number 14 of 2016, suggesting that a reformed legal framework could significantly enhance the clarity and reliability of Sharia economic procedural law. By aligning these laws with Islamic principles, businesses in the energy sector may find new opportunities for growth and investment, ultimately contributing to a more dynamic and inclusive economic landscape in Indonesia.
