Presidential Instruction (Inpres) No. 5 of 2019 — Suspension of New Permits and Improved Governance of Primary Natural Forests and Peatland

Presidential Instruction (Instruksi Presiden, Inpres) No. 5 of 2019, issued by the President of Indonesia, extends the suspension of new permits for the use of primary natural forests and peatland — in conservation forests, protection forests, production forests and other-use areas — as shown on the Indicative Map for the Suspension of New Permits (PIPPIB). It is addressed to a number of ministers, the Cabinet Secretary, the Head of the Geospatial Information Agency, governors and regents/mayors, and directly affects oil palm and vegetable oil businesses planning to open new land in forest or peat areas.

Key points

• The Minister of Agriculture is instructed to stop issuing agricultural permits and new plantation business permits in forest areas, peatland and other-use areas covered by the PIPPIB.
• The Minister of Agrarian Affairs and Spatial Planning/Head of the National Land Agency (ATR/BPN) is to stop issuing new land rights, including right-to-cultivate titles (Hak Guna Usaha, HGU) and rights of use, in other-use areas included in the PIPPIB.
• Governors and regents/mayors may not issue new recommendations or location permits in forest areas, peatland and other-use areas covered by the indicative map.
• The only exemptions are national vital projects (geothermal, oil and gas, electricity) and food sovereignty programmes for rice, sugarcane, maize, sago, soybeans and cassava; oil palm is not on this list of exemptions.
• Existing forest utilisation or forest area use permits may still be extended as long as they remain valid and meet sustainability requirements.
• The Ministry of Environment and Forestry (KLHK) must revise the PIPPIB every 6 months, so the area covered by the moratorium may change periodically.

Who it affects

Oil palm and vegetable oil businesses planning to open new land in forest or peat areas, and the ministries and regional governments that issue permits and land rights.