INTERNATIONAL JOURNAL OF RESEARCH AND INNOVATION IN SOCIAL SCIENCE (IJRISS)
ISSN No. 2454-6186 | DOI: 10.47772/IJRISS | Volume IX Issue XI November2025
data, starting from the collection, storage, processing, and deletion of personal data. Also, this law is the first to
explain and define the concepts of data controllers, data processors, and data subjects, which consist of various
rights, such as the right to access, right to be forgotten, and right to withdraw consent. This regulation affirms
the legal relationship of consumers as data owners and strengthens the legal position of consumers and drives
businesses to implement the principle of precaution in the digital economic sector. These Electronic system
operators must certify the electronic systems they manage, which they have to maintain the truth, validity,
confidentiality, accuracy, and relevance, as well as the suitability for the purposes of obtaining, collecting,
processing, analyzing, storing, displaying, announcing, sending, disseminating, and destroying personal data,
and must notify the personal data owners in writing of any breaches of the confidentiality of the personal data
concerning the electronic systems they manage (Benuf et al. 2019)
Considering e-commerce activities, the influence of law number 27 of 2022 regarding personal data protection
can be perceived by the fact that it specifies some duties that digital services providers are to perform regarding
the protection of personal information. Every controller of personal data must adopt a reasonable security
measure, perform data audits at regular intervals, and inform the supervisory authority and the affected data
subjects of any breaches. This reflects the increasing number of breaches of privacy, such as Tokopedia
breaches 2020, which saw millions of users data posted on illegal trading sites with no accountability on the
company’s part. Apparently Tokopedia had a major cyber attack wherein it was stated that there was a
compromise of approximately 91 million users and 7 million merchant accounts as hacked, which was far
greater than the 15 million that had been the subject of previous reports. Tokopedia was reported to have 91
million accounts as far back as 2019, with a later report by Suyanto (2013) saying that Tokopedia had 91
million accounts. This means that almost all of Tokopedia’s accounts were part of the hacked accounts. The
data that had been stolen, user ids, email addresses, full names, birth dates, gender, cell phone number, and
unencrypted passwords and were sold on the dark web (Komalawati et al 2021).
Nevertheless, there are some institutional and technical challenges to fully implementing Law Number 27 of
2022 concerning Personal Data Protection. There is a lack of independent supervision as the Personal Data
Protection Authority is still under construction and the supervisory functions still reside with the Ministry of
Communication and Information Technology. This condition has caused overlapping of jurisdictions among
institutions as well as the sluggish enforcement of the law on Personal Data Protection in the field of e-
commerce. Moreover, there is a lack of comprehension among business practitioners about the provisions of
Law Number 27 of 2022 concerning Personal Data Protection. Most e-commerce businesses do not have the
adequate level of information security according to standards, and they consider privacy policies to be a mere
bureaucratic legal document without even the means of authentication. This situation indicates that the
provisions in Law Number 27 of 2022 concerning Personal Data Protection will not be fully effective because
of the lack of functional digital infrastructure, effective manpower, and legal consciousness of the business
community (Aulia, 2024).
To some extent, due to Law No 27 of 2022 about Personal Data Protection, consumers, in theory, have a
stronger legal standing as entities that have control over their data. Nevertheless, consumers protection data
still have issues with enforcement, administrative penalties, compliance of digital companies, and with Law No
27 of 2022 on Personal Data Protection Strength. L. E. Putri argues that there should be collaboration between
responsible state authorities, tailored enforcement legislation, and an overall improvement in digital literacy of
the citizens using e-commerce.
Legal Implications of Cross-Border Data Transfers on Indonesia's Digital Data Sovereignty
Due to advancements in digital technologies and the integration of global trading systems, the volume of cross-
border data transfer has grown exponentially. As a result of the Personal Data Protection Act, Number 27 of
2022, the data transfer into and out of the country has grown. Most of the country’s digital and e-commerce
services run on data stored on the foreign-based cloud services. This situation creates challenges related to data
and legal consumer protection, national security, and the protection of data and legal consumer protection. E-
commerce has permeated all aspects of domestic and cross-border trade. Such realities underscore the rapid
development of the convergence of IT, Telematics, and the emerging advancements of IT (Media and