Opinion: Indonesia's Forestry Moratorium Extended for 2Years

By: Hadiputranto, Hadinoto & Partners (www.hhp.co.id)

Friday, May 17 2013 - 03:10 PM WIB

The moratorium period under Presidential Instruction No. 10 of 2011, 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. 6 of 2013, the President has extended the moratorium period for another two years (i.e., until 13 May 2015).

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, electricity, and restoration ecosystem projects, or where a pinjam pakai or In-principle Approval had (as of 13 May 2013) already been granted.

In addition, the Ministry of 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). The current map can be found at the Ministry of Forestry's website: http://appgis.dephut.go.id/appgis/petamoratorium_rev3.html

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

Luke Devine
Foreign Legal Consultant
+62 21 515 4909
luke.devine@bakernet.com

Norman Bissett
Foreign Legal Consultant
+62 21 515 5350
norman.bissett@bakernet.com

Muhammad Karnova
Partner
+62 21 515 4869
muhammad.karnova@bakernet.com

Nindya Novianty
Associate
+62 21 515 4901
nindya.novianty@bakernet.com

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