Electronic vs Digital Signatures in Indonesia, and When to Use a Certified TTE

People search for "tanda tangan digital" when they mean an electronic signature, and the other way round. One of the two terms is the legal one and the other is a technical description. This guide explains the difference, the conditions for an electronic signature to be valid, what changes when you use a certified TTE, and what to put in an electronic contract.

Note: This guide is general information and not legal advice. For high-value contracts, documents likely to be disputed, or questions about a specific sector, talk to your legal counsel.

The terms: electronic or digital?

Indonesian law uses the term tanda tangan elektronik (TTE, electronic signature). "Tanda tangan digital" is how people usually refer to an electronic signature made with cryptography. The ITE Law defines an electronic signature as electronic information attached to or associated with other electronic information, used for verification and authentication (Article 1 point 12 of Law 11/2008; Article 1 point 22 of GR 71/2019).

So "digital signature" has no definition of its own in the statute, and the label does not make your signature more valid than an ordinary electronic signature. In contracts and when reading regulations, use "electronic signature".

When is an electronic signature valid?

The ITE Law says an electronic signature has valid legal force and legal effect as long as it meets the requirements in Article 11(1). In plain language, the six conditions are these.

1. The signing data is linked only to the signer.
2. The signing data is under the signer's control at the time of signing.
3. Any change to the signature after signing can be detected.
4. Any change to the signed information after signing can be detected.
5. There is a method to identify who the signer is.
6. There is a method to show that the signer agreed to the electronic information.

The Elucidation of Article 11 says an electronic signature has the same standing as a wet signature and treats these conditions as a minimum. GR 71/2019 repeats them in Article 59(3).

Separately, the ITE Law recognises electronic information, electronic documents and their printouts as valid evidence (Article 5). Where a law requires a document to be written or original, electronic information still counts if it can be accessed, displayed, is intact and can be accounted for (Article 6).

Certified and uncertified TTE

GR 71/2019 distinguishes certified and uncertified electronic signatures (Article 60), and the difference lies in whether an electronic certificate from an Indonesian electronic certification provider (PSrE) is used.

What changes is evidentiary weight, not validity. The Elucidation of GR 71/2019 says the type of signature affects the strength of its evidentiary value, and does not automatically decide whether a document is valid. The regulation gives no ranking formula. In practice, a certified TTE is generally easier to prove in court because a certificate issuer can explain its validity, while an uncertified TTE is typically proven through forensic examination and is seen as weaker. Those last two points are practitioners' views and not the text of an article.

What is a PSrE, and how do you check that one is recognised?

A PSrE is a legal entity that issues and audits electronic certificates (Article 1 point 21 of GR 71/2019). An Indonesian PSrE must obtain recognition from the Minister, which means Komdigi (formerly Kominfo), and must be "berinduk" to the Minister's root (Article 53(3) of GR 71/2019; Article 3(4) of Permenkominfo 11/2022). The list of recognised PSrE is published on the ministry's website (Article 54(2) of GR 71/2019; Article 17 of Permenkominfo 11/2022).

Before you rely on a service for certified TTE, look up the provider on the official list. Do not rely only on the claim on the provider's own site. The list can change, so this guide deliberately names no PSrE and gives no count.

A signature image in a PDF is not a TTE

A signature image pasted into a PDF, whether a scan or a drawing on a screen, is only a picture. On its own it generally has trouble meeting the conditions above, because nothing links the signing data only to the signer and a change to the document after signing cannot be detected. This is the six conditions applied to a picture, and not a rule written in the regulation.

A real TTE is created by a system that binds the signer's identity to the document, and it can usually be verified again: if the content changes after signing, verification shows it. A signature image can still appear as a visual mark on top of a TTE, but it should not be the only basis for validity.

When to choose a certified TTE

No general rule requires a certified TTE for every contract between private parties. GR 71/2019 only says that a ministry or institution may require an electronic certificate for its users (Article 51(4)). For most companies the choice is yours, and the situations below are where a certified TTE is usually worth considering.

• High-value contracts. When the contract value is large, an easier proof of the signature is worth the cost of the service.
• Documents likely to be disputed. Long-term agreements, powers of attorney and documents with large rights and obligations are safer when the signature is easy to prove.
• Counterparties that require it. Banks, agencies or large partners sometimes write a certified TTE into their procedures.
• Sector rules. Before you decide, check whether your sector or document has specific rules on document form or signature type.

For an internal memo or an approval that your own policy already accepts, an uncertified TTE can be enough, provided the six conditions are met.

Contract practice

An electronic contract is still subject to the conditions for a valid agreement. Article 1320 of the Civil Code is generally read as four conditions: agreement, capacity, a certain subject and a lawful cause. GR 71/2019 Article 46(2) says something similar for electronic contracts: agreement between the parties, parties who are capable or authorised, a certain subject and a lawful object.

One formal requirement is often missed. An electronic contract addressed to Indonesian residents must be made in Bahasa Indonesia (Article 47(1) of GR 71/2019). If your side uses an English version, prepare an Indonesian version as well.

As a suggested practice, add a clause in which the parties agree to sign electronically and treat electronic signatures as equal to wet signatures. The regulations do not require this clause, and it helps close the argument if the validity of a signature is ever questioned.

Short checklist

• Use the term "tanda tangan elektronik" in contracts and official documents.
• Make sure the signing method meets all six conditions in Article 11(1).
• Decide per document type whether to use a certified or uncertified TTE.
• For a certified TTE, check the PSrE on the list published by Komdigi.
• Do not rely on a signature image pasted into a PDF.
• For contracts with Indonesian residents, provide a Bahasa Indonesia version.
• Add an e-signing consent clause to the contract.
• Check whether your sector or document has specific rules on document form or signature type.

e-Meterai is a separate tax matter

Bea meterai is a tax on documents and is regulated separately from the validity of a signature. Choosing a certified signature does not settle the e-Meterai duty, and the reverse is also true. The details are in the guide to e-Meterai for company documents.

How Obscura helps

In Obscura, approval and signing run in one route that you set up once, covering review order, signing, e-Meterai and numbering. For certified signing, a configured PSrE provider applies the signature through the e-sign module, and e-Meterai is applied in the same route. External parties can sign as a step in the route without an Obscura account. Afterwards the document carries an audit trail of who decided, who signed and when. The details are on the approvals and e-signatures page, and the comparison with a signing app on its own is on the DMS vs e-signature apps page.