Administrative Law Aspects in
Agrarian Affairs
Legal Basis
National agrarian/ natural resources management
policy is set out in the 1945 Constitution Art. 33.3 as follows. “Land, water and all natural resources
contained therein shall be controlled by the State and used for the greatest prosperity of the People.”
The policy is based on the belief that all land and
water belong to the Indonesian Nation as a Blessing from Almighty God, whose management is tasked to the State to be used for the greatest prosperity of the People.
As an implementation of this constitutional imperative,
Law No. 5/1960 on Basic Rules of the Essentials of
Authority
State's Right to Control
(BAL Art. 2.2) gives the
authority to the State to (i) arrange and conduct
designation, use, supply and maintenance of land,
water and space; (ii) determine and regulate legal
relations between people and land, water and space;
and, (iii) determine and regulate legal relations
between persons and legal deeds pertaining land,
water and space.
The Article is an authentic interpretation of the word
Institutions
Agrarian affair is essentially the authority of
(central) Government, in order to ensure that
the integrity of State's territory and land's
function as the source of prosperity for the
People as well be properly managed. (1945
Const. 33.3
jo
. BAL 2.2)
However, its implementation may be
authorized to autonomous regions and jural
communities, where necessary and not
Joint-administration (
medebewind
)
Authorization of agrarian affairs to autonomous
regions shall be in the form of
medebewind
.
(joint administration)
Agrarian affairs, in nature and principle, is the
authority of Central Government. In order to
implement the State's Right to Control over land,
authorization to autonomous regions, therefore,
shall constitute
medebewind
. Everything shall be
implemented according to necessities and must
never contradict National Interest.
This authorization of agrarian affairs can be a
Principles in Regional Gov’ce
With regard to regional governance, there are 3 (three)
principles that govern agrarian affairs i.e.
Deconcentration, if agrarian affairs are administered by
central gov't apparatus in regions. by Ministry of
Agrarian Affairs/National Agrarian Agency (Kementerian Agraria/Badan Pertanahan Nasional; BPN)
Decentralization/devolution, if agrarian affairs are
delegated to regional gov'ts. issue a general plan on reservation, allocation and use of land, water, air space and natural resources i.e. spatial planning, vide BAL Art. 14. Spatial planning inst. are Central BKTRN, Prov.
BKTRP, Reg./Mun. BKTRKab/Kota.
Joint-administration, if agrarian affairs are
National Agrarian Agency
Name Working Area Chairperson
Badan Pertanahan Nasional (BPN)
Indonesia Head of BPN
Badan Pertanahan
Nasional
Regional Office
Province Head of
Regional Office Kantor Pertanahan/ Bureau of Agrarian Affairs Regency/
Administrative Acts — Regulation
(property) rights to land and apartment unit i.e. Law 5/60 BAL, 41/04 Wakaf, 1/11 Housing and Residential Areas, 20/11 Tenements/ Apartments, GR 40/96 Cultivation Right, Building Right, Use Right, Min.Agra.Reg 5/99 Guidelines to Settle Ulayat Land;
land acquisition for development purposes i.e. Law 20/61 Revoc. of Rights to Land and attached Properties, 2/12 Land Acquisition for Dev’t and Public Purposes, GR 24/97 Land Registration, PR 71/12 Impl. of Land Acquisition for Dev't Purposes, Min.Agra.Reg 3/97 Impl. of GR 24/97, 2/99 Location Permit, 9/99 Proc. on Granting and Cancellation of Rights to Land, HeadBPN.Reg 5/12 Tech. GL Land Acquisition for Public Purposes, 2/13 Delegation of Granting of Right to Land and Impl. of Land Registration;
land as collateral i.e. Law 4/96 Land as Collateral, Min.Agra.Reg 3/96 SKMHT, APHT, BTHT, SHT, 4/96 SKMHT deadline to guarantee the
repayment of certain credits;
landreform i.e. Law 56/60 Determination of Agricultural Land, 2/60 jo. Pres.Instr. 13/80 Sharecropping Agree. GR 224/61 jo. 41/64 Impl. of Land Division with Compensation, 4/77 Absentee Ownership by Retired Public Servants. Law 1/58 jo. 18/58 Abolition of Private Lands and
Administrative Acts — Decision
Permit
. Location Permit, Building Permit,
Cert. of Habitability.
Decision
. Pres. Decree of Right Cancellation,
Decree on Land Granting (SKPH), Decree on
Land Redistribution.
Certificate
. Rights to Land, Mortgage,
Apparatus
Agrarian Adm.
Head of BPN, Head of BPN
Prov. Regional Office, Head of Reg./Mun.
Bureau of Agrarian Affairs.
Spatial Planning.
President, Governor,
Regent/ Mayor.
Assets
Cent. and Loc. Gov'ts may possess lands as holders of
Use Right (HP) and/or Management Right (HPL),
based on Gov't Decree through Right Application.
Use Right (BAL 41-43, GR 40/96 39-58) is for special
purposes. cannot be transfered/alienated, used as
collateral, burden of mortgage.
Holder of HPL is authorized to (i) plan the alloc. and
use of specified land; (ii) use the land as appropriate
to business impl.; (iii) transfer parts of the land to
third parties with requirements as set out by the
holder, that include alloc. use, terms and finances
where the granting is done by authorized officials. (i)
and (iii) is public authority, (ii) is private competence,
as long as relevant to the purposes of the public
Parts of Land Transfered to Third
Parties
Vide PMDN 1/77 Proc. to Apply and Complete Granting of Right to Parts of HPL Land and its Regist.
jo
. PMNA/ KaBPN 9/99 Proc. of Granting/Cancel. of Right to HPL Land. Parts of HPL Land may be granted to third parties with
the status of Use Right, Building Right and Use Right.
Granting of right is done by authorized BPN official
based on a recomm. from HPL holder, to be stipulated in Agreement on Transfer of Use and Management of Right to Land.
After the term of right to land is expired, possession of
History of HP and HPL
Originally was beheersrecht i.e. State's Management
Right, which was regulated in GR 8/53 Control over
State Land pertaining to lands used by departments and autonomous regions.
After BAL, vide PMA 9/65 Conversion of Right to Lands
under State Control and Subsequent Policies,
Beheersrechts was converted into (i) HP, if used for gov't instances own needs as long as used; and, (ii) HPL, if
there are parts of the land used by third parties as long as used. (implicitly in BAL 2.4 jo. Gen. Eluc. II.2.
HPL is not Right to Land, but State's Right to Control