Indonesia's forestry moratorium extended for 2 years

The moratorium period under Presidential Instruction No. 6 of 2013, which prohibits the issuance of new area use licenses (including pinjam pakai or "borrow to use" permits) over any areas which were designated as "primary forest" or peatland area, has been extended. Through Presidential Instruction No. 8 of 2015, the President has extended the moratorium period for another two years (i.e., until 13 May 2017).

Our previous client alerts can be seen below:
- Indonesia's Forestry Moratorium extended for 2 Years (through Presidential Instruction No. 6 of 2013);
- Indonesia?s Forestry Moratorium ? a moving target! (Presidential Instruction No 10/2011 on the Moratorium of Granting of New Licenses and Perfection of Primary Natural Forest and Peatland Management

Save for the extension of the moratorium period, the new Presidential Instruction does not contain any significant amendment or addition to the moratorium provisions.

Exemptions still exist for geothermal, oil and gas, and electricity projects, or where a pinjam pakai or in-principle approval had already been granted.

In addition, the Ministry of Environmental and Forestry will continue to have the task of stipulating updates to the indicative map (being the basis of determining "primary forest" or peatland areas where the moratorium applies) every six month. The current map can be found at the Ministry of Environmental and Forestry's website: http://webgis.dephut.go.id:8080/kemenhut/index.php/id/peta/pippib/61-pippib/298-peta-indikatif-penundaan-pemberian-izin-baru-revisi-viii

Please feel free to contact any one of our Finance & Projects team members should you require further details.

For further information please contact

Luke Devine
Foreign Legal Consultant
+62 21 2960 8600
luke.devine@bakernet.com

Norman Bissett
Foreign Legal Consultant
+62 21 2960 8678
norman.bissett@bakernet.com

Andika S. Mendrofa
Senior Associate
+62 21 2960 8508
andikasefatia.mendrofa@bakernet.com

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