"Legal experts say that an article in the code on customary law...

"Legal experts say that an article in the code on customary law could reinforce discriminatory and sharia-inspired bylaws at a local level, and pose a particular threat to LGBT people."

Are these experts talking about the same law being discussed here?

"an article in the code on customary law"? What is it?

Bylaws in Indonesia cannot contradict that law (or any law) which is part of the Indonesian's penal code, which is in the highest hierarchy of Indonesian laws. And as there is no gay marriage, there will be no gay man or woman to be able to report his or her partner of extramarital sex to the police lawfully.

Indonesians are generally very tolerant to LGBQT. Of course, like in Australia and everywhere else, there is a minority who wants to get rid of LGBQT if they can.