Forest Area Utilization Regulation

AuthorWilliam A. Sullivan/Christian Teo Purwono & Partners
ProfessionLicensed Foreign Advocate in Indonesia as well as a Solicitor of the Supreme Court of New South Wales
Forest Area Utilization Regulation
I. Executive Summary
1. Overview
The Forest Area Utilization Regulation (hereinafter referred to as GR 24/
2010) was issued with legal effect from February 1, 2010, and by way of the
implementation of Article 38 of the 1999 Forestry Law.
2. Approach
2.1 Rent Use Permit: Utilization of Forest Areas for nonforestry activ-
ities, including general mining activities, is allowed in (i) Production
Forests and (ii) Protected Forest Areas with a Rent Use Permit from
2.2 Application: In order to obtain a Rent Use Permit, a party must, rst,
submit an application to MoFOR and fulll a number of adminis-
trative and technical requirements, which will be further detailed in a
subsequent MoFOR Regulation.
2.3 If the Rent Use Permit applicant fullls the subject administrative and
technical requirements, MoFOR will grant to the Rent Use Permit
applicant, in the rst instance, an Approval-in-Principle License with
a maximum validity period of two years, which is extendable subject
to evaluation.
2.4 The Approval-in-Principle License will specify a number of obliga-
tions that need to be fullled by the Rent Use Permit applicant for the
purpose of obtaining the Rent Use Permit. Once the Approval-in-
Principle License holder fullls the Approval-in-Principle License
obligations, MoFOR will grant a Rent Use Permit to the Approval-in-
Principle License holder.
2.5 Notwithstanding 2.3 and 2.4 above, it may be possible to obtain a
Rent Use Permit without, rst, obtaining an Approval-in-Principle

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