Law No. 32/2009 on Environmental Protection and Management

llA ENVIROMENTAL PROTECTION AND MANAGEMENT (Law No. 32/ 2009, dated October 3, 2009) BYGRACEOFGODTHEAlMIGKTY THEPRESIDENTOFTHE REPUBlICOFINDONESIA, Considering: a. that a proper and healthy environment consti tutes a human right ofevery Indonesian citizen as mandated in Article 28 of the Constitution of 1945; b. that national economic development as man dated by the Constitution of 1945 is executed on the basisof sustainable and environmentally sound developmentprinciples; c. that the regional economic spirit in the execu tion ofpUblic administration of the UnitaryState of the Republic of Indonesia has brought about change!: in relations and authority between the BusinessNews 7933-7934/3-24-2010 governmentand regional government, induding in the field ofenvironmental protection and man agement; d. that the decreasing environmental quality has threatened the continuation of lifeofhuman and other creatures so that all stakeholders need to protect and manage the environment seriously and consistentlYi e. that since the rising global warming has caused climate change thus worsening the environmen tal quality, environmental protection and man agement are needed; f. that in order to better guarantee legal certainty and protect right ofeverybody to obtain aproper and healthy environment as part of the exten sive environmental protection, it's necessary to renew........ 12A renew Law No. 23/1997 on Environmental Man agement; g. that based on the considerations as referred to letters a, b, c, d, e and f, it's necessary to enact a lawon environmental protection and manage ment; In view of: Artide 20, Article 21, Article 28H paragraph (1), as well as Article 33 paragraph (3) and para graph (4) of the Constitution of 1945; By Joint Approval of THE HOUSEOFREPRESENTATIVESOF nfEREPUBUCOFINDONESIA And ll£PRESlDENTOFTHEREPUBUCOFINDONESIA DECIDES: To stipulate : THElAWON ENVIRONMENTAl.PROTECTIONAHDMAN AGEMENT. CHAPTERI GENERALPROVIS1ON Article 1 Referred to in this law as: 1. Environment shall be a totality of space with all materials, resources, situations and creatures, induding human and theirs behavior that influ encethe nature, continuation of livelihood and human welfare as well as other creatures. 2. Environmental Protection and Managementshall be systematic and integrated efforts to pre serve the functions of the environment and pre ventenvironmental pollution and/ordestruction, which cover planning, utilization, control, perservation, supervision and lawenforcement. BusinessNews 7933-7934/3-24-2010 3. Sustainable Developmet shall be conscious and integrated efforts integrating environmental, social and economic aspects into a development strategy to assure the totality of environment as well as safety, capabiUty, welfare and living standards of the present and futu,l1lgenera tions. 4. Environmental PrOtectionand Management Plan hereinafterabbreviated to RPPLH shall be writ ten planning containing environmental poten tials, issues as well as protection and manage ment in a specified period. 5. Ecosytem shall be an orderofenvironment com ponents constituting a comprehensive and mu tually influencing totality in forming environmen tal equilibrium, stability and productivity. 6. Conservation ofEnvironmental Fundionsshall· be a series ofefforts to preserve the continua tion of the support and carrying capabiUties of the environment. 7. Support capacity ofthe Environment shall be the capabiUty of the environment to support liveli hood ofhuman, othercreatures and equiUbrium between the both. 8. carrying CapabiUty of the Environment shall be the capability ofthe environment to absorb sub stances, energies and/or other components coming or inserted therein. 9. Natural Resources shall be environmental ele ments consisting ofbiological and non-biologi cal resources Wholly forming a totality of eco system. 10. strategic Environmental Assessment hereinaf ter abbreviated to KLHSshall be a series of sys tematic, comprehensive and participatory analy ses to ascertan that the principles of sustain able development have become a basis and been integrated into the developmentofa region and/ or policy, plan and/or program. 11. Environmental......... 13A 11. Environmental Impact Analysis hereinafter . called Amdal shall be a study on substantial im pacts of a planned business and/or activity in the enVironment, which is needed for making decision on the operation of business and/or activity. 12. Environmental Managementand Monitoring Pro grams hereinafter called UKL-UPL shall be the managementand monitoring ofbusinesses and! or actiVities not having sUbstantial impacts on the enVironment, which are needed for making decision on the operation of businesses and/or activities. 13. Quality Standard of the Environment shall be indicator of limit or content of creature, sub stances, energies orcomponents whidTexist or must exist and/or pollutants having existence thereof tolerable in a specified resourceas en vironmental substance. 14. Environmental Pollution sha.betlleincomingor inclusion ofcreature, substances..energiesand/ or other components into tile eIJ!IIironment by human activities so as to I!)j(ceed the stipulamJ environmental qualitystandard. 15. Standard Criteria for Emlironmental Destruction shall be Iimitsofd.....l.n physical, d1emicalatrd/ or biologicaldlilledEi I isticsof the environment with are toIarabIe ....t ,he environment so as to be able to pr es!lwe. 5 functions. 16. Environmental DeslJ uction shall be human ac tions changing dIre ctIy or indirectly physical, chemical and/or biD .Iogicalcharacteristics ofthe environment so as to exceed the standard erieria for environm'ental destruction. 17. Environmental Damage shall be a direct and/or indirectchange in physical, chemical and/QI' blo logical characteristics ofthe environment.which exceeds the standard aleria forenvironmental damage. BusinessNews 7933-7934/3-24-2010 18. Natural ResourceConservationshall be the man agement of natural resources to assure wise utilization and the continuation of their avail ability by preserving and enhancing the quality ofvaue as well as biodiversity thereof. 19. Climate Change shall be climate change attrib uted directly or indirectly by human activities thus changing composition 01atmapshere gIG bally,lJesides change in variabilityofnaturah:li mate oIaserved in a comparablepel'iod. 20. Waste"be remainders ofa b:' and/. activity. 21. Hazarduo arlllToxic Materials herein.....alt lJreviated 10 83 shall be substances, rgiies ",/or other mmponents which lIlay pollute "'/or destrlill/ dired:Iy or indrectly the envl ranment arwl/or endanger the environment. health as weD as continuation of life ofhuman and other aeatures because of their charac teristics, concentration and/or quantity. 22. Waste of Hazarduous and Toxic Materials here inafter called Waste of 83 shall be remainders ofa business and/or activity containing 83. 23. 83 Waste Management shall be an activity covering the reduction, storage, collection, transportation, utilization, treatment and/or filling. 24. Dumping shall be an activity to dump, placeandl or insert Waste and/or materials ill a !opedfied quantity, CIIIlCeI.tration, time and location by certain requirements into a sl,1l!dfied emrinIn mental media. 25. Environmental Dispute shall be a dispute be tween two parties, Which arises from an activ ity potential to affect and/or already affecting the environment. 26. Environmental Impactshan be influence on the environment, which is attributable to a business and/or activity. 27. Environmental••••• 14A 27. Environmental Organization shall be a group of organized people and established on the basis of their own will, having goal and activity re lated to the environment. 28. EnvironmentalAudit shall beevaluation exeaJted to judge the compliance of personnel in charge of a business and/or activity to the legal re quirements and policies stipulated by the gov ernment. 29. Ecoregion shall be geographic areas sharing the same characteristics of climate, land, water, original flora and fauna as well as pattern of buman interraction with the nil.l¥re, whichde scribes Integrity of natural and.,vironme,ntal systems. 30. Local Wisdom shall be noble value effective in human life, which are intended to protect and manage the environmental eternally. 31. Tracfltional Community shall be a group ofcom munities living traditionally in a specific geo graphic area because ofbinding in origin ofan cestor, strong relations with the environment as weli as system of values determining eco lIomic, political, social and legal structures. 32.. Everybody shall be individual or business entity whether in the form of legal entity or not. 33. Environmental economic instrumentshall be a set of economic policies to motivate the gov ernment, regional governmentor everybody to conserve the functions of the environment. 34.~ Threat shall be a threat having exten .slve Impact on the environment and causing public unrest. 35. Environmental Permit shall be a license granted to everybody undertaking businesses and/or activities obliged to undergo Amdal or UKL-UPL in the framework of environmental protection Business News 7933-7934/3-24-2010 and management as pre-requsite for securing business and/or activity permit. 36. Businessand/orActivity Permitshall bea license issued by a technical institution to undertake a business and/or actiVity. 37. Central Government hereinafter called the gov ernment shall be the President of the Republic ofIndonesia holding the executive power ofthe Republic oflndonesla as referred to in the COn stitution of 1945. 38. Regional Governments shall be governors, re gents or mayors and regional apparatuses as regionaladministrators. ·39. "inister shali be the "inister in charge ofenvi ronmental protection and management affairs. atAPT£Rn PRINaPI..E.GOALANDSCOPE Part One Principle Article 2 Environmen~lprotection and management shall be executed on the basis of principles: a. state responsibility; b. conservation and sustainability; c. harmony and equilibrilll11; d. integration; e. benefit; f. prudence; g. justice; h. ecoregion; L biological diversity; j. polluter pays; k. participation; L local wisdom; m good governance; and n. regional autonomy. PartTwo . PlIrtTwo Gall Artlde3 Environmental Protection and Management shall aim: a. protecting the territory of the Unitary State of the Republic of Indonesia from environmental pollution and/or damage; b. assuring human safety, health and life; c. assuring thecontinuation of life ofaeatures and ecosystem conservation; d. preserving the conservation of environmental functions; e. achieving environmental harmony, synchroniza tion and balance; f. assuring the fulfillmentofjustice forthe present and future generations; g. assuring the fulfillment and protection of right to the environment as part of human rights; h. controlling the utilization of natural resources wIIeIy; L realizing sustainable development; and j. antldpatlng global environmental issues. Part1'hfee SCope ArtIcle 4 Environmental Protection and Management IhaHcolftlr: •• planning; II. utilization; Co control; d. preservation; e. IUf*'Vlslon; and ,. 'IW Inforalment. BlIII News7933-7934/3-24-2010 OfAPJERm Pl.NNNG Artlde 5 Environmental PI otectIon and management shall be planned through phases: a. environmental Inventorying; b. stipulating ecoregion; and Co formulating RPPLH. Part One Environmental Inventorying Article 6 (1) The environmental inventorying as referred to in Artide 5 letter a shall consist ofenvironmen tal inventorying: a. In national level; bo.la Island/archipelago level; and c. in ecoreglon level. (2) The environmental inventorying shall be done to obtain data and Information abouur natural resources, which cover: a. potential and availability; b. utilized kinds; c. model ofcontrol; d.flnowledgeofmanagement; e. kind ofdamage; and f. conflict and cause of confict arising from the management. PartTwo StIpulation ofEcoreglon Article 7 (1) The environmental inventorying as I eferred to In Article 6 paragraph (1) letter a and letter b shall become a basis In the stipulation of ecoregion and be done by the Minister after coordinating with related institutions. (2}The........ 16A (2) The ecoregion as retened to in paragraph (1) shall be stipulated by taking into account simi Iarityof: a. chactareristic of landscape; b. river basin area; c.dimate; d. flora and fauna; e. socio culture; f.economy; g. community institution; and h. result ofenvironmental inventorying. ArticleS The environmenfinventorying in the emregion level as retened to in Artide 6 paragraph (1) lettercshall aimatdetermining thesuppo':tand carrying capabilities as well as reserve50f natwal resources. PartThree Formulation ofEnvironmental Protection and Management Article 9 (1) RPPllt as retened to in ArtIcle 5 letter c shall consist of: a. National RPPI.Jf; b. Provincial RPPLH; and c. Regental/Municipal RPPllt. (2) The National RPPUi as referred to in paragraph (1) letter a shall be formulated on the basis of national inventorying. (3) The provincial RPPLH as referred to in paragraph (1) letter b shall be formulated on the basis of: a. National RPPUi; . b. inventorying at the island/archipelago level; and c. inventorying at the ecoregion level. BusinessNews 7933-7934/3-24-2010 (4) The regental/munldpal RPPLH as referred to In paragraph (1) letter c shall be formulated on the basis of: a. Provincial RPPI.Jf; b. inventorying at the Island/archipelago level; and c. inventorying at the emreglon level. Artldel0 (1) RPPLH as refened to in ArtIcle 9 shall be formu lated by the Minister, governors or regents/ mayors by virtue of their authority. (2) The formulation ofRPPLH as referred to In para graph (1) shall take into account: a. diversity of ecological characteristics and functions; b. distribution ofpopulation; c. distribution ofnatural resource potentials; d. locaIwlsdom; e. aspitionsofcommunities; and f. dimate change. (3) RPPllt shall be governed by: a. a government regulation In the case of na tional RPPIJt; b. a provincial regulation In the case ofprovin cial RPPIJt; and c. a regental/municipal regulaton In the case of regental/municipal RPPLH. (4) RPPLH shall contain infonnation about: a. utilization and/or reservation of natural re sources; b. preservation and protection of the environ mental qualityand/or function; c. control, monitoring as well asexploitation and preservation of natural resources; and d. adaptation and mitigation ofclimate change. (5) RPPLH shall become a basis for the formulation and be written down In a long-term develop ment plan and medium-term developmentp1ln, Article 11"""" 17A Article 11 Further provision on the environmental in ventorying as referred to in Article 6, stipulation of ecoregion as referred to in Article 7 and Article 8, as well as RPPLHas referred to in Article 9 and Ar ticle 10 shall be governed in a government regula tion. CHAPRRIV umJZA1ION Article 12 (1) Natural resources shall be utilized on the basis ofRPPLH. (2) If RPPLH as referred to in paragraph (1) has not been formulated, natural resources shall be utilized on the basis of the support and carry ing capabilities of the environment by regard ing: a. the continuation of environmental process and function; b. the continuation ofenvironmental productiv ity; and c. safety, living standard and welfare of com munities. (3) The support and carrying capabilities of the en vironment as referred to in paragraph (2) shall be stipulated by: a. the Minister, in the case of the support and carrying capabilities ofnational and insular1 archipelagic environment; b. governors in the caseof the support and car rying capabilities of provincial environment and inter-regency/clty ecoregion; or c. regents/mayors in the case of the support and carrying capabilities of regental/municl pal environmentand ecoregion in a regency1 city. (4) Further provision on procedures for stipulat ing the support and carrying capabilities of the BusinessNews 7933-7934/3-24-2010 environment as referred to in paragraph (3) shall be governed by a government regulation. CHAPTERV alNTROl Part One General Article 13 (1) Environmental pollution and/ordamage shall be controlled in the framework of preserving the environmental functions. (2) The control over the environmental pollution and/ordamage as referred to in paragraph (1) shall cover: a. prevention; b. mitigation; and c. restoration. (3) The control over enVironmental pollution andl or damage as referred to in paragraph (1) shall be done by the government, regional govern ments and personnel in charge of businesses and lor activities on the basis of theirrespec tive scopes of authority, role, and responsibil ity. Part Two Prevention Article 14 Preventing instruments of environmental pollution and/or damage shall consist of: a. KLHS; b. layout; c. quality standard of the environment; d. standard criteria for environmental damage; e. Amdal; f. UKL-lJPL; g. licensing; h. economic instrumentof the environment; l, environment-based legislation; j. environment......... 18A j. environment-based budget; k. environmental risk analysis; L environmental audit; and m. other instruments in accordance with the need and/or developments ofscience. Paragraph 1 Strategic Environmental Assessment Artide15 (1) Thegovemment and regional governments shall be obliged to make KLHS to ascertain that the principles ofsustainable development have be come a basis of and been integrated into the development ofa region and/orpolicy, plan and/ orprogram. (2) The government and regional government shall be obliged to implement KLHS as referred to in paragraph (1) in the formulation or evaluation of: a. spatial plan (RTRW) along with detailed plan thereof, national, provincial and regental/mu nicipallong-term developmentplan (RPJP), and medium term development plan; and b. policies, plans and/or programs potential to cause environmenta impacts and/or risks. (3) KLHS shall be executed by mechanism of: a. assessment of influence of policies, plans and/or programs against the environmental condition in a region; b. formulation ofalternatives for the improve mentofpolicies, plans and/orprograms; and Co recommendation about improvement for making decision on policies, plans and/or pr0 grams integrating the principles of sustain able development. Article 16 KlHS shall contain assessment of, among others: BusinessNews 7933- 7934/3-24-2010 a. the capability ofthe environment to support and carry development; b. estimated environmental impacts and risks; c. performance of service/ecosystem service; d. efficiency in the utilization ofnatural resources; e. vulnerability and capacity of adaptation to cli mate change; and f. security and potential ofbiological diversity. Article 17 (1) Results of KLHS as referred to in Article 15 paragraph (3) shall become a basis for devel opment policies, plans and/or programs in a region. (2) In the case of the results ofKLHS as referred to in paragraph (1) certifying that the supportand carrying capabilities have been excessive, a. the development policies, plans, and/or pro grams shall be improVed in accordance with recommendation ofKLHS;and b. all businesses and/or activities already sur passing the supportand carrying capabilities of the environment shall not be permitted anymore. Article 18 (1) KLHS as referred to in Article 15 paragraph (1) shall be executed by involving communities and stakeholders. (2) Further provision on procedures for the imple mentation of KLHS shall be governed in a gov ernment regulation. Paragraph 2 Layout Article 19 (1) In order to preserve the conservation of envi ronmental functions and public safety, every spatial plan shall be based on KLHS. (21 The......... 19A (2)The spatial planning as refeJTed to in paragraph (1) shall be stipulated by observing the support and carrying capabilities of the environment. Paragraph 3 Quality Standard ofEnvironment Artide20 (1) Environmental pollution shall be measured through the quality standard ofthe environment. (2) The quality standard of the environment shall Include: a. quality standard of water; b. quality standard of waste water; Co quality standard of sea water; d. quality standard ofambient air; e. quality standard ofemission; f. quality standard of nuisance; and g. other quality standards in accordance with developments of science and technology. (3) Everybody shall be permitted to dispose waste into environmental media with the requirements: a. complying with the quality standard of the environment; and b. securing license from the Minister, governors or regents/mayors by virtueoftheirauthority. (4) Further provision on the quality standard of the environment as referred to in paragraph (2) let ter a, letter c, letter d, and letterg shall be regu lated in a government regUlation. (5) Further provision on the quality standard of the environmentas referred to in paragraph (2) let ter b, letter e, and letter f shall be govemed in a regulation of the Minister. Paragraph 4 standard Criteria for Environmental Damage Artlde21 (1) Criteria for environmental damageshall bestipu lated to determine the occurrence of environ mental damage. Business News7933-7934/3-24-2010 (2) Standard criteria for environment damage shall include standard criteria for ecosystem damage and standard criteria for damage attributed to dimatedtange. (3) Kriteria baku kerusakan ekosistem meliputi: a. standard criteria for soil damage for biom ass production; b. standard criteria for damage of coral reef; c. standard criteria for environmental damage related to forest and/or land fire; d. standard criteria for manggrove damage; e. standard criteria for lawn; f. standard criteria for peat damage; g. standard criteria for karst area; and/or h. standard criteria for other ecosystem dam age in accordance with developments of sci ence and technology. (4)Standard criteria for damamage attributed to climate change shall be based on parameters, among others: a. increase in temperature; b. increase in sea water sUrface; c. typhoon; and/or d.drought. (5) Further provision on the standard criteria for the environmental damage as referred to in paragraph (3) and paragraph (4) shall be regu lated by on the basis of a government regula tion. Paragraph 5 Amdal Artlde22 (1) Every business and/or activity having substan tial impacton the environment shall be obliged to have Amdal. (2) The substantial impact shall be stipulated on the basis of criteria: a. the quantity ofpopulation to be affected by the business and/or activity plan; b. the size ofdiSbibutfon area of impact; Co intensity and duration of Impact; d. environmental components to be affected; e. cumulative characteristic of impact; f. whether Impacts reverts or not; and/or g. other criteria In accordance with develop ments of science and technology. Article 23 (I) Criteria for businessand/or activity having sub stantial impact shall be furnished with amdal consisting of: a. change in formation of land and landscape; b. exploitation of natural resources, either re newable or non-renewable; Co process and activity potential to cause envi ronmental pllution and/ordamage as well as squandering and degradation of natural re sources in the utilization; d. process and activity having results potential to Influence the natural environment, artifician environment as well as socio and cultural environment; e. process and activity having result influenc ing the conservation ofconservation area of natural resOurces and/or protection of cul tural reserves; f. introduction ofplants, animalsand micro-or ganism; g. production and utilization of biological and non-biological substances; h. activity which Is highly risky and/or Influence state defense; and/or L application of technology predicted to have great potential to influence the environment. (Z)further proVision on businesses and/or activi ties obliged to have amdal as referred to in Business News 7933-7934/3-24-2010 20A paragraph (1) shall be governed by a regula tion of the Minister. Artide24 The documentofas referred to In Article 22 shall constitute a basis for stipulating decision on environmental feasibUIty. Article 25 Amdal documentshall contain: a. study on impactofbusinessand/or activityplan; b. evaluation of activities around the location of business and/or activity plan; c. public recommendation, Input as well as re sponse to business and/or activity plan; d. estimate of the.coverage and important char acteristicofthe occuring impact ifthe business and/or activity plan is/are executed; e. holistic evaluation of the occurring impact to determine environmental feasibility or unfeasibility; and f. environmenta management and monitoring plan. Article 26 (1) The amdal documentas referred to in Article 22 shall be formulated by initiators by involving Q)IIlmunities. (2) The involvementofcommunities shall be based on principle of provision of information trans parently and completely as well as shall be noti fied prior to the execution of the activity. (3) The communities as referred to in paragraph (1) shall include: a. the affected communities; b. environmental activists; and/or Co parties affected by all kinds of decision in amdal process. (4) Thecommunities as referred to in paragraph (I) may raise objection to the amdal document. Article 27........ Artide27 In formulating amdal document, the initia tors as referred to in Artide 26 paragraph (ll may seek assistance from other parties. Artide28 (1) Formulators of amdal as referred to in Article 26 paragraph (ll and Article 27 shall have eer tiftcateofcompetenc:eofamdal formulator. (2) Criteria for securing the certificate of compe tenceofamdal formulator as I eferred to in para graph (1) shall indude: a. mastery of amdal formulation methodology; b. capability of scoping, predicting and evalu ating impact as well as making decision; and Co capabilityoffonnulatingenvironmental man agement and monitoring plan. (3) The certificate of competence of Amdal formu lator as referred to in paragraph (1) shall be issued by amdal fonnuIator certification insti tute stipulated by the Minister in accordance withthe provision ofleglslation. (4)·Furtherprovision on certificationandaiteria for competence of amdal formulators shall be regu lated by a regulation of the Minister. Artide29 (1) Amdal document shall be judged by amdal ap praisal commission estabflshed bythe Minister, governorsor regents/mayors by virtue of their authOrity. (2)11leamdal appraisal commiSSIonshall secure li cense from the Minister, governors or regents/ mayors by Virtue of their authority. (3) Requirements and procedures for the licensing as referred to in paragraph (2) shall be regu lated by a regulation of the Minister. Business News 7933-7934/3-24-2010 21A Article 30 (1) MembersoftheAmdalapparaisal commiSSion as referred to in Article 29 shall consist of repre sentatives of: a. environmental institution; b. related technical institutions; Co experts in the field of knowledge related to kinds of the assessed business and/or ac tivity; d. experts in the field of knowledge related to impacts, which arise from the assesses busi ness and/or activity; e. communities potential to affect; and f. environmental organization. (2) In executing the task, the Amdal appraisal com mission shall be assisted by a technical team consisting of independent experts undertaking technical assessment and secretariat estab lished for the purpose. (3) The independentexperts and secretariat as re ferred to in paragraph (3) shall bestipulated by the Minister, governors or regents/mayors by virtue of their authority. Article 31 Based on result of judgment by the amdal apparaisal commission, the Minister, governors or regents/mayors shall stipulate decision on environ mental feaisbility or unfeasibility by virtue oftheir authority. Artide32 (1) 11legovernment and regional governments shall help the formulation ofamdalforbusinessesand/ or activities of economically weak groups hav ing substantial impact on the environment. (2) The assistance provided for the formulation of amdal as referred to In paragraph (1) shall be in the form offadlitatlon, costs and/or formula tionofamdal. C31Crfteria...... 22A (3) Criteria for businesses and/or activities ofeco nomically weak groups shall be regulated by leg islation. Artide33 Further provision on amdal as referred to in Artide 22 up to Artide 32 shall be regulated in a government regulation. Paragraph 6 UIQ.-uPL Article 34 (1) Every business and/or activity exduding from theaiteria for undertaking amdal compulsorily as referred to in Article 23 paragraph (1) shall beobllged to have UKL-UPL. (2) Governors or regents/mayors shall stipulate kinds ofbusinesses and/or activities obliged to haveUICL-lJPL Artide35 (1) Businessesand/or activities notobliped to have UKL-UPL as referred to in Article 34 paragraph (2) shall be obliged to prepare statement of readiness to manage and monitor the environ ment. (2) The kinds ofbusinesses and/or activities as re ferred to in paragraph (1) shall be stipulated on the basis ofaiteria: a. exduding from the category having substan tiallmpact as referred to in Article 23 para graph (1); and b. miao- and small-scale business activities. (3) Further provision on UKL-UPL and statementof readiness to manage and monitorenvironment shall be regulated by a regulation ofthe Minis ter. Busb as. News 7933-7934/3-24-2010 Paragraph 7 Uoensing Artide36 (1) Every business and/or activity obliged to have amdal or UKL-UPL shall be obliged to have envi ronmental permit. (2)The environmental permit as referred to in paragraph (1) shall be issued on the basis of decision on environmental feasibility as re ferred to in Article 3j.or recommendation of UKL-UPL (3) The environmental permitas I eferred to In para graph (1) shall be obliged to mention require ments contained in decision on environmental feasibility or recommendation ofUKL-UPL (4) The environmental permit shall be issued by the Minister, governors or regents/mayors by vir tue oftheir authority. Artide37 (1) The Minister, governors or regents/mayors by virtue of their authority shall be obliged to re jectapplication for environmental permit in the case of the application being not accompanied by amdal orUKL-UPL (2) The environmental permit as referred to in Ar tide 36 paragraph (4) may be nullified in the event that: a. the requirements submitted in the app~­ tion for environmental permit contain legal invalidity, mistake, misuse, as well as untruth and/or falsified data, documentsand/or in formation; b. the issuance thereoffails to abide by the re quirements mentioned in the decision of the commision on environmental feasibility or rec ommendation ofUKL-UPL; or c. the "",... 23A c. the obligations stipulated on document of amdal or UKL-UPL are not executed by the personnel In charge .of. businesses and/or activities. Article 38 Besides the provision as referred to in Ar ticle 37 paragraph (2), the environmental permit may be nulli1ied through a decision ofthe state ad ministration court. Article 39 (1) The Hillister, governors or regents/mayors by virtue of their authority shall be obliged to an nounce every application and decision on envi ronmental permit. (2) The announcement as referred to in paragraph (1) shall be done by a method that the public could understand easily. Article 40 (1) The environmental permit shall constitute a re quirement for securing business and/or activ Itypermit. (2) In the case of environmental permit being re voked, the business and/or activity permit shall be nUllified. (3) In the case of any change In business and/or activity, personnel in charge of the business and/or activity shall be obliged to renew envi ronmental permit. Article 41 FurtIIerprovision on thepermit as referred to In ArtIde 36 up to Article 40 shall be regulated in agClVemment regulation. Business News 7933-7934/3-24-2010 Paragraph 8 Economic InstrumentofEnvironment Article 42 (1) Intheframeworkofpreservingtheenvironmen tal function, the government and reginal gov ernments shall be obliged to develop economic instruments of the environment. (2) The economic instruments of the environment as referred to in paragraph (1) shall include: a. planning ofeconomic development and activi ties; b. environmental funding; and c. incentives and/or disincentives. Article 43 (1) The instrumentofplanning ofeconomic devel opment and activities as referred to in Article 42 paragraph (2) lettera shall include: a. balance of natural resources and environ ment; b. formulation of gross domestic product and regional gross domestic productcovering the depreciation of natural resources and envi ronmental damage; c. mechanism ofenvironmental compensation/ exchange between regions; and d. internalization ofenvironmental costs. (2) The instrumentofthe environmental funding as referred to in Article 42 paragraph (2) letter b shallindude: a. guarantee funds of environmental restora tion; b. funds ofpollution and/or damage mitigation and environmental restoration; and c. conselVation trust funds/aids. (3) The Incentives and/or disincentives as referred to in Artlde 42 paragraph (2) letter c shall be among otherapplied In the form of! a. Procurement...... 24A a. procurementofenvironmentally sound goods and services; b. application of environmental tax, levy and subsidy; Co developmentofenvironmentally sound tlnan dal institution and capital market; d. development of trading system of waste and/or emission disposal permit; e. development ofenvironmental service pay ment system; f. developmentofenvironmental insurance; g. developmentofenvionmentally sound label ing system; and h. system of performance appreciation in the field of environmental protection and man agement. (4) Further provision on the economic instruments of the environment as referred to in Article 42 and Article 43 paragraph (1) up to paragraph (3) shall be regulated in a govemment regula-" l:Ion. Paragraph 9 Environment-based Legislation Article 44 The formulation of every regulation in the national and regjonallevels shall be obliged to 0b serve the protection ofenvironmental functiOl\S and prindples of environmental protection and manage ment in accordance with the provisions govemed in this law. Paragraph 10 Environment-based Budget Article 45 (1) The govemment and the House of Represen tatives of the Republicof Indonesia aswell as Business News 7933-7934/3-24-2010 regional govemmentsand Regional legislative Councils shall be obliged to allocate adequate budget to finance: a. activities of environmental protection and management; and b. environmentally-sound development pro grams. (2)The government shall be obliged to allocate a budget of special environment allocation ad equately to regions showing good environ mental-protection and management perfor mance. Article 46 Besides the provision as referred to in Ar ticle 45, in the framework of restoring the quality of environment already polluted and/or damaging when this law is stipUlated, the govemment and regional govemment shall be obliged to allocate a budget to environmental restoration. Paragraph 11 Environmental Risk Analysis Article 47 (1) Everybusiness and/oractivity potential to bring about substantial impact Into the enVironment, threat against ecosystem and life and/or hu man health and safety shall be obliged to un dergo environmental risk analysis. (2) The environmental risk analysis as referred to in paragraph (1) shall inclUde: a. risk assessment; b. risk management; and/or c. riskcommunications. (3) Further provision on the environmental risk analysis shall be regulated in a government regulation. paragraph 12""", Paragraph 12 Environmental Audit Artlde48 11Iegovernment shall encourage personnel In charge of busineses arid/or activities to under take environmental audit in the frameowork ofen hancing environmental perfonnance. Article 49 (1) 11IeMinister shall require environmental audit for: a. certain businesses and/or activities highly risky to the environment; and/or b. personnel in charge ofbusinesses and/or ac tivities showing disobedience to legislation. (2) Personnel in charge of businesses and/or ac tivities shall be obliged to implement environ mental audit. (3) The.environmental audit of the certain highly rl8ky activities shall be executed periodically. Artide50 (1) In the caseofpersonnel in charge ofbusinesses and/oractivities notexecuting the obligations as referred to in Artide 49 paragraph (1), the Minister may implementor assign the indepen dent third party to undertake environmental auditat expenseofthe said personnel in charge ofbusinesses and/or activities. (2) The Minister shall announce result ofenviron mental audit. Artide51 (1) The environmental audit as referred to in AI' tide48 and Artide 49 shall be executed byen vironmental auditor. (2) Theenvironmental auditoras referred to in para graph (1) shall be obliged to have certificate of environmental auditorcompetence. BusInessNews 7933-7934/3-24-2010 (3) Criteria for securing the environmental auditor competence certificate as referred to in para graph (2) shallindude capability of: a. understanding prindples, methodology and mechanism ofenvironmental audit; b. executing environmental audit, which awers planning, implementation, concluding and re porting; and c. formulating recommendation about improve ment measures as follow to the environmen talaudit. (4) The environmental auditorcompetence certifi cate as referred to in paragraph (2) shall be issued bythe environmentauditor certification institute in accordance with the provisions of legislation. Artide52 Furtherprovision on the environmental au ditas I ererred to in Artlde 48 up to Article 51 shall be governed by a regulation of the Minister. PartThree Mitigation Artlde53 (1) Everybody polluting and/ordamaging the envi ronment shall be.obliged to mitigate the envi ronmental pollution and/ordamage. (2)11Ieenvironmental pollution and/or damage as referred to In paragraph (1) shall be mitigated by: a. providing information about the warning of environmental pollution and/or damage for communities; b. isolatingenvironmental pollution and/ordam age; Co discontinUing source ofenvironmental poilu- . tionand/ordiJmagej and/or d. other..""". d. other methods in accordance with develop mentsof science and technology. (3) Further provision on procedures for mitigating the environmental pollution and/or damageas referred to in paragraph (1) shall be regulated in a government regulation. Part Four Restoration Artide54 (1) Everybody polluting and/or damaging the envi ronment shall be obliged to restore the envi ronmental function. (2) The environmental function as referred to In paragraph (1) shall be restored by phases: a. discontinuation of source of pollution and deaning ofpollutant; b. remedy; Co rehabilitation; d. restoration; and/or e. other methods in accordance with develop ments of science and technologi. (3) Further provision on procedures for the resto ration ofthe environmental function as referred to in paragraph (2) shall be regulated In a gov ernment regulation. Article 55 (1) Holders ofthe environmental permit as referred to In Artide 36 paragraph (1) shall be obliged to provide gaurantee funds for the restoration of the environmental function. (2) The guarantee funds shall be saved at state banks appointed by the Minister, governors or .regents/mayors by virtue of their authority. (3) The Minister, governors or regents/mayors by virtue of their authority may stipulate the third party to restore the environmental function by using guarantee funds. BusinessNews 7933-7934/3-24-2010 (4) Further provision on the guarantee funds as referred to in paragraph (1) up to paragraph (3) shall be regulated in a government regula tion. ArtIde56 Further provision on control over the envl· ronmental pollution and/or damage as referred to in Article 13 up to Article 55 shall be regulated in a government regulation. CHAPTERVI PRESERVAlION Artlde57 (1) Environmental preservation shall be done through efforts: a. conservation of natural resources; b. reservation of natural resources; and/or c. conservation ofatmosphere function. (2) The conservation of natural resources as. re ferred to in paragraph (1) letter a shall include activities: a. protection of natural resources; b. preservation of natural resources; and c. eternal utilization of natural resources. (3) The reserved natural resources as referred to In paragraph (1) letter b shall constitute natural resources not manageable in a specified period. (4) The conservation of atmosphere function as referred to in paragraph (1) letter c shall In dude: a. mitigation and adaptation to climate change; b. protection of ozone layer; and c. protection against acid rain. (5) Further provision on conservation and reserva tion of natural resources as well as conserva tion of the atmosphere as referred to in para graph (1) shall be regulated by a government regulation. QtAPIERVII......... 2711 CHAPTERYn MANAGEMENTOFHAZARDUOUSAND TOXICMATERIALSASWElLASWASTEOF HAZARDUOUSANDTOXICMATERlALS PartOne Managementof Hazarduous and Toxic Materials Artide58 (1) Everybody importing Into the tenitory of the Unitary state ofthe Republic ofIndonesia, pro dudng, canying, disbibuting, storing, utilizing, disposing, processing and/or piling 83 shall be obliged to manage the said 83. (2) Further provision on the management of 83 as referred to in paragraph (1) shall be regulated in a government regulation. Part Two Management ofWaste ofHazarduous and Toxic Materials Artlde59 (1) Everybodyprodudng waste of83shall beobliged to manage the produced waste of 83. (2) In the case of 83 as referred to in Artide 58 paragraph (1) already expiring, the management thereof shall bide by the provision on the man agementof waste of 83. (3) In the case of the party being unable to man age direcfly waste of 83, the management thereof may be entrusted to the other party. (4) Management of 83 waste shall be obliged to secure license from the Minister, governors or regents/mayors by virtue of their authority. (5) The Minister, governors or regents/mayors by virtue of their authority shall mention environ mental requirements that shall be fulfilled and obligations that shall be obeyed by managers of B3 waste in their license. (6) T1lelicensing dedsion shall be announced. (7) Further provision on the management of 83 waste shall be regulated in a government regu lation. BusinessNewS7933-7934/3-24-2010 PartThree Dumpk1g ArtIde60 Everybodyshall beprohibited from dumping waste and/or materials into environmental media without permit. ArtIcle 61 (1) The dumping as referred to in Article 60 may only be executed by license from the Minister, governorsor regents/mayors by virtue of their authority. (2) Thedumping as referred to in paragraph(1) may only be done in the stipulated locations. (3) Further provision on procedures and require ments for the dumping of waste or materialsshall be regulated in a government regulation. CHAPTl:RVUI INFORMATIONSYSTEM Artlde62 (1) T1legovernmentand regional governments shall develop environmental information system to suport the implementation and developmentof environmental pI:'Otection and managementpoli des. (2) The environmental information system shall be prepared in an integrated andcoordinative man ner and shall be published to communities. (3) Theenvironmental information systemshalcon tain information about the environmental sta tus, map ofenvironmental wlnerabl1ity andother environmental Information. (4) Furtherprovision on the environmentallnforma tion system shall be regulated by a regulation of the Minister. CHAfJIERIX.""..... (To be continued) ===( R)=== 15A ENVIROMENTAL PROTECTION AND MANAGEMENT (law No. 32/ 2009, dated October 3,2009) [Continued from Business News No. 7933-7934 pages l1A-27A] CHAPTERIX TASKANDAUTIiORITYOFTHEGOVERNMENTAND REGIONALGOVERNMENTS Article 63 (1) In protecting and managing the environment, the government shall be assigned and autho rized to: a. stipulate national policies; b. stipUlate norms, standards, procedures and criteria; c. mpulateandimplementnationalRPPLH polices; Business News7936/3-29-2010 d. stipUlate and implement KlHS policies; e. stipulate and implement amdal and UKl-UPL policies; f. inventory national natural resources and green house gas; g. develop cooperation standards; h. coordinate and implement control over envi ronmental pollution and/or damage; i. stipulate and implement policies on biological and non-biological natural resources, biologi cal diversity, genetic resources and biologi tal5ilfety ofgenetically engineered products; i. stipulate....... 16A j. stipulate and implement policies on control over impacts ofdimate change and protec tion ofozone layer; k. stipulate and implementpolicies on B3, waste as well as B3 waste; L stipulate and implementpolicies on maritime environment protection policies; m. stipulate and implement policies protection and/or damage of inter-state border envi ronment; n. foster and supervise the implementation of national policies, regional regulations and regulations of headsof regions; 0. foster and supervise compliance of person nel in charge ofbusinesses and/or activities to the provisions ofenvironmental licensing and legislation; p. develop and stipulate environmental instru ments; q, COOrdinate and facilitate cooperation and settlement of inter-regional disputes as well as settlement of disputes; r, develop and implement policies on the man agement ofpublic complaints; s, stipulate minimum service standards; t, stipulate policies on procedures for remg nizing the existence of traditional communi ties, local wisdom, and rights of traditional communities with respects to enVironmental protection and management; Business News 7936/3-29-2010 u. manage national environmental information; v, coordinate, develop and socialize the utiliza tion ofenvironmentally sound technology; . w. provide education, training, fostering and apperdation; x. develop facilities and standards of environ mental laboratory; y. issue environmental license; z. stipulae emregion area; and aa. enforce environmental law. (2) In protecting and managing the environment, provincial governments shall be assigned and authorized to: a. stipulate provincial policies; b. stipulate and implement provincial KLHS; c. stipulateand implementprovincial RPPLH poIi des; d. stipulate and implement amdal and UKL-UPL policies; e. inventory natural resources and green house gas emission in the provincial level; f. develop and implement cooperation and part nership; g. coordinate and implement control over inter regency/city environmental pollution and/or damage; h. foster and supervise the implementation of regional policies, regulations and regula tions of heads of regency/municipal gov ernmenm; i.foster...... 17A L foster and supervise compliance of person nel in charge of businesses and/or activities to the provisionsofenvironmental licensing and legislation; j. develop and stipulate environmental instru ments; k. coordinate and facilitate cooperation and settlementof inter-regency/City disputes as well as settlementofdisputes; L foster, provide technical assistance and su penrise regencies/cities in the field of pro grams and activities; m. implementminimum service standards; n. stipulate policies on procedures for recog nizing the existence of traditional communi ties, local wisdom, and rights of traditional communities with respects to environmental protection and management in the provln dallevelj o, manageenvironmental information in the pro vinciallevel; p. develop and socialize the utilization ofenvi ronmentally sound technology; q. provide education, training, fostering and ap preciation; r, issue environmental license In the provincial Ieveljand s, enforce environmental law in the provincial level. Business News 7936/3~29-2010 (3) In protecting and managing the environment, regency/municipal governments shall be as signed and authorized to: a. stipulate regency/municipal policies; b. stipUlate and implement regency/municipal IO.HS; c. stipulate and Implement regency/municipal RPPlH policies; d. stipUlate and implement amdal and UKL-UPL policies; e. inventory natural resources and green house gas emission in the regency/municipal level; f. develop and implement cooperation and part nership; g. develop and apply environmental. instru mentsj h. facilitate the settlementofdisputes; L foster and supervise compliance of person nelln charge ofbusinesses and/or activities to the proVisions ofenvironmental licensing and legislation; j. implementminimum service standards; k. implement policies on procedures for recog nizing the existence of traditional communi ties, local wisdom, and rights of traditional communities with respects to environmental protection and management In the regency/ munidpallevel; L manage environmental Information in there gerlCfImunidpallevel; m.deve!op...... 18A m develop and socialize the utilization ofenvi ronmentally sound technology; n, provide education,trai~~n9and ap preciation; o, issue environmental license in the regency1 munidpallevel; and p. enforce environmental law in the regency1 munidpallevel. Artide64 The Minister shall implementand/orcoordi nate the tasks and authority of the government as referred to in Article 63 paragraph (1). CHAPTERX RIGHT,OBUGAlIONANDPROHIBIlION Part One Right Artide65 (1) Everybody shall be entitled to proper and healthy environment as partofhuman rights. (2) Everybody shall be entitled to environmental education, information access,participation ac cess and justice access in fulfilling the right to proper and healthy environment. (3)Everybody shall reserve a right to submit rec ommendation and/or objection against busi nessesand/or activitiespredicted to affect the environment. BusinessNews 7936/3-29-2010 (4) Everybody shall reserve a right to participate in the environmental protection and manage ment in accordance with legislation. (5) Everybody shall reserve a right to report the alleged consequencesofenvironmental polution and/ordamage. (6) Further provision on procedures for the report ing as referred to in paragraph (5) shall be gov erned bya regulation of the Minister. Article 66 Everybody struggling for a right to proper and healthy environment may not be charged with criminal or dvll offense. Part Two Obligation Artide67 Everybody shall be obliged to preserve the environmental functions as well as control environ mental pollution and/or damage. Article 68 Everybody undertaking business and/or ac tivity shall be obliged to: a. provide information related to environmental protection and management truthfully, trans parentlyand punctually; b. preserve the sustainability of environmental funwonsi and c. abide...... 19A Co abide by the provision on the quality standard of environment and/or standard criteria for environmental damage. Part Three Prohibition Artide69 {1} Everybody shall be prohibited from: a. committing action causingenvironmental poI lutionand/ordamage; b. importing 83 which is forbidden according to legislation into the territory of the Unitary State of the RepUblic of Indonesia; c. importing waste from outside the territory of the Unitary State of the Republic of In donesia into environmental media of the Unitary State of the Republic of Indone sia; d. importing 83 waste into the territory of the Unitary State of the Republic of Indonesia; e. dumping wate into environmental media; f. dumping 83 and 83 waste into environmen tal media; g. releasing genetically engineered products Into environmental media that contravene environmental legislation or license; h. opening land by meansofburning; L formulateamdal without having competence certificate ofamdal fonnulatori andlor Business News 7936/3-29-2010 j. provide fake, misleading inforniation, disap pear Information, destroy Information or pr0 vide untrue information. {2} The provision as referred to In paragraph {1} letter h shall take Into account seriously local wisdom In the respective countries. OfAPTERXI PU8l.ICPARJICIPAlION Article 70 {1} Communities shall have the equal and broad right and opportunity to participate actively in environmental protection and management. (2) Public participation may be in the form of: a. social control; b. suggestion, opinion, recommendation, objec tion, complaint; and/or Co information and/or report. (3) Public participation shall aim at: a. generating awareness in environmental pro tection and management b. enhancing independene, capability ofcommu nities and partnership; Co developcapabilityand pioneerofmmmunlties; d. develop emergency response ofcommunitles to social control; and e. develop and preserve local CUlture and wis dom in the conservation of environmental functions. CHAPJ);Rj([J....... OtAPTERXD SUPERVISroNANDADMINISTRAllVESANC1ION Part One SU~ Artlcl,71 (1) The Minister, ~vel11C!rsor nlGents/mllYors by virtue of their authority shall supervise the com pliance ofpersonnel in chargl! ofbusinesses and/ or activities to the provisions stipulated in en vironmental protection and manllgement legis lation. (2) The Minister, governors or regents/mayors may delegate the authority to conduct the supervi sion to technical functionaries/institutions in charge of environmental protection and man agement affairs. (3) In executing the supervision, the Minister, gov ernors or regents/mayors shall stipulate envi ronmental supervisors constituting functional offidals. Artide72 The Minister, goYel11C!l"S or regents/mayors by virtue oftheirauthorityshall be ob/fged to supe.... vise the compliance of personnel In charge of busi nesses and/or activities to environmental pennit. Artide73 The Minister may supervisetheClllI1 nceof personnel in chirgeof bu5inesses and/orilCtiVities Business News 7936/3-29-2010 20A having environmental permit issued by regional gov ernments ifthe governmentcfeems a serious viola tion In the field of environmental protection and I11l1IIlIgeII1e Artide74 (1) The environmental supervisors as referred to in Article 71 paragraph (3) shall be authorized to: a. Clllnduct monitoring; b. ask information; c. make copies ofdocumentsand/ornecessary notes; d. enter certain places; e. take photograph; f. make audio-visual remrdsi g. take samplesi h. check equipment; L inspect installationsand/or transporation fa dlities; and/or j. discontinue certain violations. (2) In executing their tasks, the environmental su pervisors may coordinate with civil servant in vestigators. (3) Personnel in charge of businesses and/or ac tivities shall be prohibited from preventing the execution of tasks of the environmental supe.... visors. Artide75 Furt:herpovisiononproceduresforappointinS t:IJe......h. 21A the environmental supervisors as well as technical directives for the supervision as referred to in Ar ticle 71 paragraph (3), Article 73, and Article 74 shall be governed in a government regulation. Part Two Administrative sanction Article 76 (1) The Minister, governors or regents/mayor shall impose administrative sanctions on personnel in charge of businesses and/or activities in the case ofenvironmental permit being violated. (2) The administrative sanctions shall consist of: a. written warning; b. governmentcoerciveness; c. freezing ofenvironmental permit; or d. revocation of environmental permit. Article 77 The Ministermay apply administrative sanc tions on personnel in charge of businesses and/or activities if the government deems that regional governments does not apply intentionally adminis trative sanctions on serious violation in the field of environmental protection and management. Article 78 The administrative sanctions as referred to in Article 76 shall notdischarge personnel in charge ofbusinesses and/or activities from restoration and p@nal responsibility. Business News 7936/3-29-2010 Article 79 The administrative sanction in the form of the freezing or revocation of environmental permit as referred to in Article 76 paragraph (2) letter c and letter d shall be imposed unless personnel in charge of businesses and/or activities implement the government's coerciveness. Article 80 (1) The government's coerciveness as referred to in Article 76 paragraph (2) letter b shall be in the form of: a. suspension of production actiVities; b. removal ofproduction facilities; c. closure ofwaste-water or emission disposal tunnel; d. breaking off; e. confiscatiOn of goods or equipment potential to cause violation; f. suspension of the whole activities; or g. other actions intended to discontinue viola tions and restoration ofenvironmental func tions. (2) The governmenfs coerciveness maybe imposed without prior warning in the case of the com mitted violation causing: a. extremely serious threat to humans and the environment; b. greater and broader impact unless the pollu tion and/or destruction is terminated; and/or c. greater..... c. greater loss on the environment unless the pollution and/or destruction is terminated promptly. Article 81 Every personnel in charge of businesses and/or activities not implementing the government's coerciveness shall be liable to fine against the lateness in implementing coercive sanc tion imposed by the government. Article 82 (1) The Minister, governors or regents/mayors shall be authorized to force personnel in charge of businesses and/or activities to restore the environment attributed to environmental pol lution and/or destruction committed by the relevant. (2) The Minister, governorsor regents/mayors shall be authorized to appoint or may appoint the third party to restore the environment attrib uted to environmental pollution and/or destruc tion committed by personnel in charge of busi nesses and/or activities at the expense of the said personnel in charge of businesses and/or activities. Article 83 Further provision on administrative sanc tions shall beregulated ina government regulation. Business News 7936/3-29-2010 22A CHAPTERXIII SET11..EMENTOFENVIRONMENTALDlSPUTE Part One General Article 84 (1) Every environmental dispute may be settled through the court or outside the court. (2) The mechanism of settlement of evironmental dispute shall be chosen voluntarily by the par ties in dispute. (3) Lawsuit through the court may only be done if the out-of-court settlement of dispute is de clared unsuccessful by any of or the parties in dispute. Part Two Out-of-Court settlement of Environmental Dispute Article 85 (1) Out-of-court settlement of environmental dis pute shall be executed to achieve an agreement on: a. model and amount of compensation; b. restoration of consequences of pollution and/or destruction; c. certain measures to assure that the pollu tion and/or destruction won't repeat; and/ or d. preventive measures of negative impact on the environment. (2) Out-of-court..... 23A (2) Out-of-court settlement shall not apply to the environmental crime as governed in this law. (3) Mediators and/or arbitrators may be hired to settle environmental dispute in out-of-court settelement of environmental dispute. Artide86 (1) Commmunities may establish independent and impartial institutes providing service for the setlement of environmental dispute. (2) The government and regional governments may facilitate the establishment of the independent and impartial institutes providng service for the settlement of environment dispute. (3) Further provision the institute providing service for the settlement of environmental dispute shall be governed by a government regulation. PartThree settlement of Environmental Dispute through Court Paragraph 1 Compensation for Loss and Environmental Restoration Article 87 (1) Every personnel in charge of businesses and/ oractivities committing legal violation in the form of environmental pollution and/or destruction incurring losses on other people or the environ ment shall be obliged to pay compensation for the losses and/or take certain measures. Business News 7936/3-29-2010 (2) Everybody transferring, changing the nature and model of business, and/or activity of a busi ness entity violating the law shall not discharge legal responsibility and/or obligation of the busines entity. (3) The court may stipulate the payment of coer cive money for every day of lateness in the ex ecution of the court decision. (4) The amount of coercive money shal be decided on the basis of legisation. Paragraph 2 Strict Uability Article 88 Everybody having action, business and/or activiy using B3, producing and/or managing B3 waste and/or causing serious threat to the envi ronment shall be responsible absolutely for the in curred losses without necessary to prove substance ofmistake. Paragraph 3 Expiration ofLawsuit SUbmission Article 89 (1) The expiration of lawsuit submission to the court shall follow the deadline as governed in the pro visions of Civil Code and be counted as from the moment when the environmental pollution and/ or damage is/are ascertained. (2lThe..... (2) The provision on the expiration shall not apply to environmental pollution and/or damage at tributed to businesses and/or activities using and/or managing B3 as well as producing B3 waste. Paragraph 4 Litigating Right Government and Regional Government Article 90 (1) Institutions of the government and regional governments in charge ofenvironmental affairs shall be authorized to file litigation for compenstaion and certain measures against businesses and/or activities causing environ mental pollution and/or damage inflicting envi ronmentalloss. (2) Further provision on the environmental loss as referred to in paragraph (1) shall be regulated by a regulation of the Minister. ParagraphS Litigating Right ofCommunities Article 91 (1) Communities shall reserve a right to file class action for their own interest and/or public in terest in the event that they suffer from losses attributable to environmental pollution and/or damage. Business News 7936/3-29-2010 24A (2) Class action may be submitted in the case of representatives ofgroups and members oftheir groups sharing the same fact or incident, legal basis as well as kind ofdemand. (3) Further provision on class action shall be imple mented in accordance with legislation. Paragraph 6 Litigating Right ofEnvironmental Organization Article 92 (1) In the framework ofexecuting responsibility for environmental protection and management, environmental organizationsshall reserve a right to file lawsuit in the interest of environmental function conservation. (2) The right to file lawsuit shall be limited to the implementation of certain measures without demand for compensation, except the real cost or expenditure. (3) Environmental organizations may file lawsuit if the following requirements are fulfilled: a. in the form of legal entity; b. affirming in their memorandum ofassociation that the organizations are established in the interest ofenvironmental function conserva tion;and c. already executing concrete activities in ac cordance with their memorandum ofassocia tion for 2 (two) years at the minimum. Paragraph 7...... Paragraph 7 Administrative Lawsuit AJtide93 (1) Everybody may file lawsuitagainst state-admin istration decision in the event that: a. state administration agencies or officials is sue environmental permit to businessesand/ oractivities obliged to undergo amdal butnot acx:ompaniedby amdal documents; b. state administration agencies or officials Is sueenvironmental permit to activities obliged to undergo UKL-UPL butnotaccompanied by UKL-UPL documents; and/or c. state administration agencies orofficiaJs is sue business and/or activity permit not ac ClOmpanied by environmental permit. (2) Procedures for flUng lawsuit against the state administration decision shall refer to the state Administration COde. CHAPTERXIV INVESTIGAllONANDVERIFlCAllON Part One Investigation Article 94 (1) Besides investigators of the Police of the Re public of Indonesia, certain civil servant in vestigators within the government institution in charge of environmental protection and managementaffairs shall beauthorized toact BusinessNews 7936/3-29-2010 25A as the Investigators as referred to in the Criminal Code to investigative environmental aime. (2) Civil servant inve~gatorsshall be authorized to: a. examine the truth of reports or information related tocrime in the field ofenvironmental protection and management; b. interroragate everybody allegedly commit ting crime in the field of environmental pr0 tection and management; c. ask information and evidencefrom eveI"fbody with respects to incidentofcrime in the f"leld of environmental protection and manage ment; d. audit bookkeeping, records and otherdocu ments related to crime in the field of envi ronmental protection and management; e. ClOnduct inspection in certain places allegedly ClOntaining evidences, bookkeeping, records and other documents; f. seize materials and goods resulting from the violation, which may be used as evidence in criminal case in the field of environmental protection and management; g. seek assistance from specialists in the frame work ofexecuting task of investigation into crime in the field of environmental protec tion and management; h. discontinue investigation; i.enter ........ 26A L enter certain places, take photograph and/ or make audio visual remrds; j. raidbody,dothing, room and/or other places where crime is allegedlymmmitted; and/or k. catch and detain criminals. (3) In executing the catching and detention as re ferred to in paragraph (2) letter k, civil ser vant investigators shall moperate with inves tigators of the Police of the Republic of Indo nesia. (4) In the case of civil servant investigators inves tigating, the civil servant investigators shall in fonn investigators of the Police of the Republic of iNdonesia and the investigatorsof the Police of the Republic ofIndonesia shall provide assis tance for facilitating the investigation. (5) Civil servant investigators shall notify the com mencementof investigation to public prosecu tors with a copy made available to investiga tors Of the Police of the Republic ofIndonesia. (6) Results of investigation already mmpleted by civil servant investigators shall be submitted to public prosecutors. Article 95 (1) In the framework of law enforcement against environmental aiminals, integrated law enforce ment may be executed by civil servant irwesti gators, police and prosecutors undermordina tion ofthe Minia:er. Business News 7936/3-29-2010 (2) Further provision on the integrated lawenforce ment shall be regulated by legislation. Part Two Verification Artide96 legitimate evidences in lawsuit against en vironmental crime shall consist of: a. testimonies from witnesses; b. testimonies from specialists; c. letters; d. directives; .e. information from defendant; and/or f. other evidences, including evidences regulated in legislation. CHAPTERXV PENALPROVIS[ON Article 97 Criminal act in this law shall constitute crime. Article 98 (1) Anybody intentionally committing action caus ing standard quality of ambient air, water, sea water or standard criteria for environmental damage to be surpassed shall be subject to lm prisonmentfor 3 (three) years the minumum and 10 (ten) years at the maximum and a fine amounting to Rp 3,000,000,000 (three billion rupiah) at the minimum and Rpl0,000,000,OOO (ten billion rupiah) atthe maximum. (21 In....... 27A (2) In the case of the action as referred to In para graph (1) wounding people and/or endanger Ing human health, the said person shall be sub ject to Imprisonment for 4 (four) years at the minimum and 12 (twelve) years at the maximum and a fine amounting to Rp4,000,000,000 (four billion rupiah) at the minimum and Rp12,OOO,000,000 (twelve billion rupiah) at the maximum. (3) In the case ofthe action as referred to in para graph (1) causing serious injury or death to people, the said person shall be subject to im prisonment for 5 (five) years at the minimum and 15 (fifteen) years at the maximum and a fine amounting to Rp5,OOO,000,OOO (five billion rupiah) at the minimum and Rp15,000,000,ooo (fifteen billion rupiah) at the maximum. Article 99 (1) Anybody causing standard quality of ambient air, water, sea water or standard criteria for environmental damage to be surpassed because ofhis/hernegligence shall be subject to impris onmentfor,oneyear the minumum and 3 (three) years at the maximum and a fine amounting to Rp1,000,000,000(one billion rupiah) atthemini mum and Rp3,000,000,000 (three billion rupiah) ....lI1WIfflllm. (2~1tt'l'tfe Cd1 of the action as referred to In pal..iIJftl (1) wounding people and/or en dat... Il'ghuman health, the said person shall be subject to Imprisonment for 2 (two) years at the minimum and 6 (six) years at the maxi mum and a fine amounting to Rp2,OOO,ooo,Ooo (two billion rupiah) at the minimum and Rp6,OOO,OOO,000 (six billion rupiah) at the maxi mum. (3) In the case of the action as referred to in para graph (1) causing serious injury or death to people, the said person shall be subject to im prisonmentfor 3 (three) years at the minimum and 9 (nine) years at the maximum and a fine amounting to Rp 3,000,000,000 (three billion rupiah) atthe minimum and Rp 9,000,000,000 (nine billion rupiah) at the maximum. Article 100 (1) Anybody violating the quality standard ofwaste water, emission or nuisance shall be subject to imprisonment for 3 (three) years at the maxi mum and a fine amounting to Rp Rp3,000,000,000 (three billion rupiah) at the maximum. (2) The penalty as referred to in paragraph (1) may only be imposed if the imposed administrative sanction is notobeyed or violation is committed more than once. Artidel01 Anybody releasing and/or distributing ge netically engineered products to environmental media...... 28A media that contravenes legislation or environmen tal permit as referred to in Article 69 paragraph (1) letter g, shall be subject to imprisonment for one year at the minimum and 3 (three) years at the maximum and a fine amounting to Rpl,OOO,OOO,ooO (one billion rupiah) at the mini mum and Rp3,000,000,000 (three billion) at the I1liIllimum. Artidel02 Anybody treating 83 wastewitllout the per mitas referred to in Article 59 paragraph (4), shall be subject to imprisonment for one year at the mini mum and 3 (three) years at the maximum and a fine amounting to Rpl,OOO,OOO,OOO (one billion ru piah) at the minimum and Rp3,000,000,OOO(three billion) atthe maximum. Article 103 Anybody producing B3 waste and not con ducting the treatment as referred to in Article 59, shall be subject to imprisonment for one year at the minimum and 3 (three) years at the maximum and a fine amounting to Rpl,OOO,OOO,OOO {one bil lion rupiah} at the minimum and Rp3,OOO,OOO,OOO (three billion) at the maximum. Article 104 Anybody dumping wate and/or materials into environmental media with thepermitas referred BusinessNews 7936/3-29-2010 to in Article 60, shall be subject to imprisonment for 3 (three) years at the maximum and a fine amounting to Rp3,OOO,OOO,ooo (three billion) at the maximum. Article 105 Anybody importing waste into the territory of the Republic of Indonesia as referred to in Ar ticle 69 paragraph (1) letter c shall be subject to imprisonment for 4 (four) years at the minimum and 12 (twelve) years at the maximum and a fine amounting to Rp4,OOO,OOO,OOO (four billion rupiah) at the minimum and Rp12,OOO,000,000 (twelve bil lion rupiah) at the maximum. Article 106 Anybody importing B3 waste into the terri tory of the Republic of Indonesia as referred to in Article 69 paragraph (1) letter d, shall be subject to imprisonmentfor 5 (five) years at the minimum and 15 (fifteen) years at the maximum and a fine amounting to Rp5,000,000,000 (five billion rupiah) at the minimum and Rp15,OOO,000,000(fifteen bil· lion rupiah) at the maximum. Article 107 Anybody importing 83 which are forbidden by legislation into the territory of the Republic of Indonesia as referred to in Article 69 paragraph (1) letter b, shall besubjet.t to Imprisonment for 5 (five) years..",,,, years at the minimum and 15 (fifteen) years at the maximum and a fine amounting to Rp5,000,OOO,000 (five billion rupiah) at the minimum and Rp15,000,000,000 (fifteen billion rupiah) at the maximum. Artide 108 Anybody commiting the land burning as re ferred to in Article 69 paragraph (1) letter h, shall be subject to imprisonment for 3 (three) years at the minimum and 10 (ten) years at the maximum and a fine amounting to Rp 3,000,000,000 (three billion rupiah) at the minimum and Rpl0,OOO,OOO,OOO (ten billion rupiah) at the maximum. Article 109 Anybody running business and/or activity without the environmental permit as referred to in Article 36 paragraph (1), shall be subject to impris onmentfor one year at the minimum and 3 (three) years at the maximum and a fine amounting to Rpl,OOO,OOO,OOO (one billion rupiah) atthe mini mum and Rp3,000,000,000 (three billion) at the maximum. Article 110 Anybody formulating amdal without hav ing certificate of competence of amdal formula tor as referred to in Article 69 paragraph (1) letter i, shall be subject to imprisonment for 3 Business News 7936/3-29-2010 29A (three) years at the maximum and a fine amount ing to Rp3,000,000,000 (three billion) at the maxi mum. Article 111 (l)Officials iSSUingenvironmental permitthat is sue enviromental permit without amdal or UKL UPL as referred to in Article 37 paragraph (1) shall be subject to imprisonment for 3 (three) years at the maximum and a fine amounting to Rp3,000,000,000 (three billion) at the maxi mum. (2) Officials issuing business and/or activity permit that issue business and/or activity permit with out the environmental permit as referred to in Article 40 paragraph (1) shall be subject to im prisonment for 3 (three) years at the maximum and a fine amounting to Rp3,OOO,000,000 (three billion) at the maximum. Article 112 Every authorized officially not supervising intentionally the compliance ofpersonnel in charge of businesses and/or activities to legislation and the environmental permit as referred to in Article 71 and Article 72, thus causing environmental pol lution and/or damage that costs lives, shall be sub ject to imprisonment for one year at the maximum or a fine amounting to Rp500,000,000 (five hundred million rupiah) at the maximum. Article 113 .. 30A Artide113 Anybody providing fake information, mis leading information, disappearing information, dam aging information or providing untrue information which is needed for the need ofsupervision an.d law enforcement with respects to environmental pro tection and management as referred to in Artide 69 paragraph (1) letter j shall be subject to impris onment for one year at the minimum and a fine amounting to Rpl,OOO,OOO,OOO (one billion rupiah). Artide114 Personnel in charge of businesses andlor activities not implementing the government's co erciveness shall be subject to imprisonment tor one year at the maximum and a fine amounting to Rpl,OOO,OOO,OOO (one billion rupiah) atthe maxi mum. Artide 115 Anybody intentionally preventing, impeding or aborting the execution of theasks of environ mental supervisors andlor civil servant investiga tors shall be subject to imprisonment for one year at the maximum and a fine amounting to Rp 500,000,000 (five hundred million rupiah) at the maximum. Artide116 (1) In the case of environmental crime being com mitted by, for and on behalf ofa business entity, Business News 7936/3-29-2010 thecriminal offense and penalty shall be imposed on: a. the said business entity; and I or b. person ordering the crime or person acting as activity manager in the crime. (2) In the case of the environmental crime as re ferred to in paragraph (1) being committed by aperson acting the working scope of business entity on the basis of working relations or other relations, the penalty shall be imposed on the ordering party or leader in the crime without regarding whether the crime is committed indi vidually or collectively. Artidel17 If criminal offense is filed to the ordering party or leader in the crime as referred to in Artide 116 paragraph (1) letter b, the imposed penalty shall be in the form of imprisonment and fine weightened by one thirds. Artide118. With regards to the crime as referred to in Artide 116 paranraph (1) letter a, penalty shall be imposed on business entities represented by ex ecutives aithorized to represent the business enti ties inside and outside the court in accordance with legislation as funmonal executives. Artide119....... 31A Artide119 Besides the penalty as referred to in this law, the business entitlesshall be liable to additional penaltyot disciplinary measures in the form of: a. seizure ofprofits earned from the Dime; b. closure ofbusiness and/or activity place wholly or partly; c. improvementof impacts of the crime; d. requirement for worfdng what is neglected with out right; and/or e. placement of companies under custody for 3 (three) years at the maximum. Artide120 (1) In executing the provision as referred to in Ar ticle 119 lettera, letter b, letter c, and letter d, prosecutors shall coordinate with institution in charge of environmental protection and man agementaffairs to implementexecution. (2) In executing the provision as referred to in Ar ticle 119 letter e, the government shall be au thorized to manage business entities subject to sanction of placement under custody to imple ment the legally fixed court Verdict. OtAPTERXVI 1RANSl11ONALPROVISlON Artide121 (1) In no later than 2 (two) years following the en forcement of this law, every business and/or BusinessNews 7936/3-29-2010 activity already haVing business and/or activ ity permit but not yet having amdal document shall be obliged to complete environmental au dit. (2) In no later than 2 (two) years following the en forcement of this law, every business and/or activity already haVing business and/or activ ity permit but not yet having UKL-UPL shall be obliged to make environmental management document. Article 122 (1) In no later than one year following the enforce ment of this law, every amdal formulator shall be obliged to have certificate of competence of amdal formulator. (2) In no later than one year following the enforce ment of this law, every environmental auditor shall be obliged to have certificate of compe tence ofenvirormental aUditor. Artide123 All permits in the field ofenvironmental man agementalrea(Jy issued by the Minister, governors or regents/mayors by virtue of their authority shall be integrated into environmental permit in no later than one year follOWing the stip'ulatlon of this laW. CHAPIERXVJL....... 32A otAPTERXVU CONCLUSIDN Artidel24 following the enforcementofthis law, all leg Islation thatamstItutes th implementing regulatioos ofLawNumber 23 Year 1997 on Enviroomental Man agement (Statute Book of the Republic of Indone sia Year 1997 Number 68, Sl,Ipplement to Statute Book ofthe Republlcoflndooesia Number3699) shall be declared to remain effective in 50 far as they do not contravene or have not been replaced by the new ones on the basis of this law. Artide125 With the enforcement of this law, Law Num ber 23 Year 1997 on Environmental Management (Statute Book of the Republic of Indonesia Year 1997 Number 68, SUpplement to Statute Book ofthe Republic oflndonesia Number 3699) shall be shall be revoked and declared null and void. Artide126 The implementing regulations mandated in this law shall be stipulated in no later than one year as from the date ofenforcement of th1slaw. Artide127 This law shall come Into force as from the date ofpromulgation. Business News 7936/3-29-2010 For pUblic cognizance, the law shall be pub lished by pladng it in Statute Book of the Republic of Indonesia. Ratified inJakarta On OCtober 3, 2009 TItEPRESlDENTOFTItEREPUBUCOFINDONESIA, sgd. DR.H.SUSlLOBAMBANGYUDHOYONO Promulgated in Jakarta On OCtober 3, 2009 TItEMINISJEROFLAWANDHUMANRlGHTSOFTItE REPUIIlICOFINDONESIA, sgd ANDI MATTAlATTA STAnm:BOOKOFTItEREPUBUCOFINDON£S[A YEAR2009 NUMBER140 ELUCIDATION ON LAW OF THE REPUBUC OF INDONESIA NUMBER 32 YEAR 2009 ABOUT ENVIROMENTAL PROTECTION AND MANAGEMENT L GENERAL 1. The ConstItution of 1945 states that proper and heillthyenvironm8l1tmnstilUteSa human rlght....... 33A right and constitutional right of every Indo nesian citizen. In relations thereto, the state, government and all stakeholders are obliged to protect and managethe environment in the implementationofsustainabledevelopmentso thaUndonesia's environment can continue to become a source and support of life for Indo nesian people as well as other creatures. 2. The Unitary State of the Republic oUndone sia is situated on a diagonal position between two continents and oceans with tropical cli mate and weather as well as season result ing a highly valuable natural condition. In ad dition, Indonesia also has the second longest coastal line in the world with a huge popula tion. Indonesia has wealth ofbiological diver sity and abundant natural resources. The wealth needs to be protected and managed in an environmental protection and manage ment system Which is integral and integrated between sea, land and air environment on the basis of the Acrhipelago Concept. Indonesia is also situation on a position ex tremely vulnerable to impac:ts of climate change. The impac:ts include the decreasing food produc:tion, affected supply of water, outbreakofpests and plant diseases as well as human diseases, rising sea surface, drown ing isles, and extiction ofblological diversity. The availability of natural resources isnot Business News 7936/3-29-2010 equitable quantitatively and qualitatively while development ac:tivities need the rising natural resources. Developmentac:tivities also contain risk of environmental pollution and damage. The condition may lower the carry ing capability, supportcapabilityand produc tivity of the environment so as to become social burden I. In relations thereto, Indonesia'senvironment must be protected and managed properly on the basis ofthe prinCiples of state responsi bility, sustainability, and justice. In addition, environmental manegement must be able to contribute economic, social and cultural ben efits, which is executed on the basis of the principles ofprudence, environmental democ racy, decentralization, as well as recognition and appreciation of local and environmental wisdom. ~nvironmental protection arid management demands the development of an integrated system in form of a national environmental protection and managementpolicy which must be executed in accordance with the principles and consequently as from the central to re gion. 3. The use of natural resources must be In line, harmonious and balanced with the en vironmental functions. As a consequence, deyelopment plans andlor prosrams must 34A be Inspired by the obligation to preserve the environment and realize goalsof sustainable development. ThIs lawrequiresthegovemmentand regional governments to make strategic environment assessment (KLHS) to ascertain that the prin ciples of sustainable development have be come a basis and been integrated into the de velopment of a region and/or policies, plans and/or programs. In the other word, results ofKLHSmust be used as a basis for develop ment policies, plans and/or programs ofa re gion. In the caseofresults ofKLHScertifying that the carrying capability and support ca pability have been surpassed, the develop mentpolicies, plans and/or programs must be Improved in atcordance with recommendation of KLHSand lill businesses and/or activities already surpassing the carrying capability and support capability are not pennitted anymore. 4. SCience and technology have enhanced the qualityof life and change human lifestyle. The useofchemical-based produetshas increased the production of waste of hazarduous and toxic materials. It demands the development of a safe disposal system with minimum risk on the environment" health, and sustainability of humans and other creatures. Besides producing products beneficial to eommunlties, industrialization also causes BusinessNews 7936/3-29-2010 impacts, such as the production of hazarduous and toxic waste potential to threaten the environment, health and sustalnabllity of humans and other crea tures if they are dumped into the environ mental media. Realizing it, hazarduous and toxic materials along with the waste thereof need to be protected and man aged properly. The territory of the Unitary State of the Republic of Indonesia must be free from the disposal of waste of hazarduous and toxic materials from out side Indonesia. Realizing the potential ofnegative impactsas consequences of development, early mea sures to control the impacts continues to be developed. Environmental impact analysis (amdal) is any of the preemptive instruments ofenvironmental management, which mustbe strengthened continuously through the en hancement of accountability in the formula tion of amdal by requring the licensing for amdal appraisers and applying certification to formulators of amdal documents as well as darifylng legal saction againstviolators in the field ofamdal. Amdal also becomes one ofthe main require ments for securing environmental permit, which must be owned before the business li cense is obtained. S.Preemptive........ 5. Preemptive measures in the framewor1cofcon trolling environmental impacts need to be ex ecuted by utilizing maximally supervisory and licensing instruments. In the case ofenviron mental pollution and damagealreadyoocuning, it's necessary to take repressive measures in the form of enforcing law effectively, conse quently and consistently for the occurring en vironmental pollution and damage. In relations thereto, it's necessary to develop a dear, firm and comprehensive environmen tal protection and management law system to assure legal certainty as a foundation for the protection and management of natural resources as well as other development ac tivities. This law also empower provisions of law, ei theradministration law, civil law and criminal law. The prOVisions of civil law cover the settlement ofenvironmental disputes outside and inside the court. The settlement of envi ronmental disputes inside the--court covers class actions, litigating right of environmen tal organizations or litigating right of the gov ernment. The method is expected to notonly bring about curative effects but also gener ate awareness ofall stakeholderswith regards to the urgency of environmental protection and management for the life of the present and future generations. Business News 7936/3-29-2010 35A 6. The enforcement ofaiminallaw in this law in troduces minimum penalty, besides the maxi mum one, expansion of evidences, offense against violation of quality standard, inte gration ofcriminal law enforcementand regu lation of corporate crime. The enforcement of environmental criminal law continues to ob serve the principle of ultimum remedium re quiring the application ofcrime law as the last lender resort after the application of admin istration law is deemed unsuccessful. The ap plication ofthe ultimum remedium principle only applies to certain formal crime, namely offense against violation of the quality stan dard ofwaste water, emission and nuisance. 7. The fundamental differencebetween Law Num ber 23 Year 1997on Environmental Manage ment and this law resides on the fortification contained in this law with regards to the prin ciples ofenmvironmental protection and man agement based on good goverance because the formulation and application of every in strument to prevent environmental pollution and/ordamage and as well as mitigation and Jaw enforcement require the integration of aspects of transparency, participation, ac countability and justice. 8. In addition, this law also governs: a. totalityofenvironmental managementsub stances; b. clarity ........ b. clarity of central and regional authority; c. fortification of environmental controlling measures; d. fortification of instruments preventing en vironmental pollutions and/or damage, covering instruments of strategic environ mental assessment. quality standard ofthe environment, standard criteria for envi ronmental damage, amdal, environmental management and monitoring programs, li censing, economic instruments ofthe en vironment. environment-based legislation, environmental risk analysis, and other in struments in accordance with advance mentofscience and technology; e. empowermentof licensing as a controlling instrument; f. empowermentof ecosystem approach; g. certainty in responding and anticipating developments of global environment; h. fortification ofenvironmental democracy through information access, participation access and justice access as well as forti fication of rights ofcommunities in the pro tection and management of environment; i. enforcementofdvillaw,administration law and aiminallaw more dearly; j. more effective and responsive fortification ofenvironmental protection and manage ment institutions; and k. fortification ofauthority ofenvironmental supervisors and dvil servant environmen tal investtptors. Businescl\l4lWS 7936/3-29-2010 36A 9. This law authorizes extensively the Minister to exercise the whole administration author ity in the field ofenvironmental protection and management as well as coordinate with other institutions. Through this law, the government also authorizes extensively regional govern ments to implement environmental protection and management in their respective regions, which is not regulated in Law No. 23/1997 on Environmental Management. In relation thereto, the institution having work load on the basis of this law is not only suffi cient one organization stipulating and coor dinating the implementation ofpolicies but an organization with portfolio stipulating, imple menting, and supervising environmental pro tection and management policies is also needed. Apart from that. the institution is also expected to have a scope of authority to su pervise natural resources in the interests of conservation. In orderto assure that the basic tasks and functions of the institution can be executed, it needs adequate funding sup port from the state budget of revenue and expenditure for the government and ad equate regional bUdget of revenue and ex penditure for regional governments. II. Article............. (To be continued) ===( R)=== 33A ENVIROMENTAL PROTECTION AND MANAGEMENT (Law No. 32/ 2009, dated October 3,2009) [Continued from Business News No. 7936 pages lSA-36A] n.AR1lQ.E BYARllQ.E Artidel SUfficiently clear Artide2 Letter a The principle ofst3te responsibility means: a. the state assures that the utilization of natural resources would contribute optimal benefits to the people's welfare and the living standard of the people, either the present generation or fu ture generation. b. the state assures the right ofcitizens to a proper and healthy environment. c. the state prevents the utilization of natural re sources that causes environmental pollution and/or damage. Letter b The principle of conservation and sustainability means everbody bears obligation and responsibility for the future generation and their fellow generation by taking efforts to preserve the support capability of the ecosystem and improving the quality of the environment. Letter c The principle of harmony and equilibrium BusinessNews 7940/4-9-2010 means environmental utilization must regard as pects, such as economic, social, cultural interests and protection as well as conservation of the eco system. Letter d The principle of integration means environ mental protection and management are executed by integrating elements or synergitlzing related components. Letter e The principle of benefit means the whole executed development programs and/or activities are adjusted to potentials of natural resources and the environment for enhancing the people's wel fare and human dignity in harmony with the envi ronment thereof. Letter f The principle ofprudence meansuncertainty about impact of a business and/or activity due to limited mastery of science and technology is not a reason for delaying measures to minimize or avoid threatagainst environmental pollution and/ordam age. Letter g The principle of justice meansenvironmental management......... 34A management must reflect justice proportionally for every citizen, either inter-region, inter-generation or inter-gender. Letter h The principle of ecoregion means environ mental protection and management must regard characteristics of local natural resources, ecosys tem, socio culture and wisdom. Letteri The principle of biological diversity means environmental protection and management must observe integrated efforts to preserve the exist ence, diversity and sustainability ofanimal natural resources along with surrounding biological natural resources forming ecosystem totally. Letter j The principle polluterpays means every per sonnel in charge of business and/or actiVities pol luting and/or damaging the environment is obliged to bear the cost of environmental restoration. Letterk The participatory principle meanseverycom munity member is motivated to participate actively in decision making and implementing environmental protection and managementdirectly and indirectly. Letter I The principle of local wisdom means noble values effective in social life of communities must Business News 7940/4-9-2010 be observed in environmental protection and man agement. Letterm The principle of good goverance means environmental protection and management are inspired by the principles of participation, transparency, accountability, efficiency anmd justice. Letter n The prindpleofregional autonomy meansthe government and regional governments rule and manage directly public administration affairs in the field ofenvironmental protection and management by observing regional specialty and diversity in the context of the Unitary State of the Republic of In donesia. Article 3 up to Article 9 Sufficiently clear Article 10 Paragraph (1) Sufficiently clear Paragraph (2) Letter a up to Letter c SUfficiently dear Letter d local wisdom in this paragraph indudes com munal rights recognized bV DPRD. Letter e.......... Letter e and Letter f Sufficientlydear Paragraph (3) up to Paragraph (5) Sufficientlydear Article 11 and >Article 12 Sufficientlydear Article 13 Paragraph (1) Control over environmental pollution and/ or damage covers, among others, control over: a. water, air and sea polution; and b. ecosystem damage and damage attributed to climate change. Paragraph (2) and Paragraph (3) Sufficientlydear Article 14 Sufficiently clear 35A Letter b The environmental impacts and/or risks cover: a. dimatechange; b. damage, degradation and/or extinction of bio logical diversity; Co enhancement of intensity and coverage of di sasterarea of flooding, landslide, drought. and/ or forest and land fire; d. degradation of the quality and abundance of natural resources; e. the rising trend of change in function of forest area and/or land; f. the rise in the pooror threatagainstsustainability of livelihoods ofa group ofcommunities; and/or g. rising risk ofhuman health and safety. Paragraph (3) SUfficiently dear Article 16 and Article 17 Sufficiently clear Article 15 Paragraph (1) Areameans spaxe constituting a geographic totality along with related elements whose borders and system are determined on the basis of admin istrative and/or functional aspects. Paragraph (2) Letter a Sufficiently clear BusinessNews 7940/4-9-2010 Artide18 Paragraph (1) The communities are involved through dia logue, discussion and public consultation. Paragraph (2) SUfficiently clear Article 19 SUfficiently clear Artide 20......", Article 20 ParagraDh (1) Sufficiently clear 36A component which exist or mustexist and/or pollut ants having content tolerable in ambient air. Paragraph (2) Letter a 11lequality standard ofwater meansthe limit or content of creature, substance, energy or com ponentwhich exist or mustexist and/or pollutants having content tolerable in water. Letter b The quality standard of waste water is the tolerable limit or content of pollutants which may. be inserted into water media. Letterc The quality standard ofsea water is the limit or content of creature, substance, energy or com ponent which exist or mustexist and/or pollutants having content tolerable in sea water. Letterd 11le quality standard of ambient air is the limit or content of creature, substance, energy or BusinessNews 7940/~9-2010 Letter e The quality standard of emission is the tol erable1imitor content of pollutants which may be inserted into air media. Letter f The quality standard of nuisance is the tol erable limit of pollutants, such as vibration, noisi ness and smelt. Letter g Sufficiently dear Paragraph (3) up to Paragraph (5) Sufficientlydear Artide21 . ( To be continued ) ===( R )=== 2A ENVIROMENTAL PROTECTION AND MANAGEMENT (Law No. 32/ 2009, dated October 3,2009) [Continued from Business News No. 7940 pages 33A-36A] Artide21 Paragraph (1) dan Paragraph (2) SUfficiently dear Para9raph (3) Letter a Biomass production means models of utili zation ofsoil resources to produce biomass. The quality standard of soil damage for bio mass production is the tolerable limit of change in basic characteristics of soil in connection with bio mass production. The quality standard of soil damage for bio mass production covers agriCUlture land orcultiva tion land and forest. Letter b The quality standard of coral reef damage is the tolerable limit of physical and/or biological change in coral reef. Letter c The environmental damage related to for estand/or land fire means the influence ofchange in environment, in the form of environmental dam age and/or pollution related to forest and/or land fire attributed to a business and/or activity. Letter d up to Letter h Sufficiently clear Business News 7941-7942/4-14-2010 Paragraph (4) and paragraph (5) Sufficientlydear Artide22 SUfficientlydear Article 23 Paragraph (1) Letter a up to Letter e Sufficiently dear Letter f Micro organism means products of geneti cally engineering. Letter g up to Letter i Sufficiently dear Paragraph (2) Sufficiently dear Article 24 Sufficiently dear Article 25 Letter a up to Letter e SufficienUyclear Letter f .. Letter f The environmental management and moni toring plans are intended to avoid, minimize, miti gate and/or compensate impacts ofa business and/ or activity. Article 26 Paragraph (1) Communities are involved in the announce ment and public consultation in the framework of collecting recommendations and responses. Paragraph (2) up to Paragraph (4) SUfficiently clear Article 27 The other parties are, among others, amdal formulating institutions or consultants. Article 28 up to Article 3S SUfficiently clear Article 36 Paragraph (1) Sufficiently clear Paragraph (2) UKL-UPL recommendations are judged by a technical team of the environmental institu tion. Paragraph (3) and paragraph (4) Sufficiently clear Business News 7941-7942/4-14-2010 3A Article 37 dan Article 38 Sufficiently clear Article 39 Paragraph (1) The announcement in this article constitutes the implemE!ntation of information transparency. The announcement enables participation of communi ties, particularly communities not yet using oppor tunities in raising objection, hearing and others in decision making process. Paragraph (2) Sufficiently clear Article 40 Paragraph (1) The business license and/or activity license include license called in other names, such as oper ating license and construction license. Paragraph (2) Sufficiently clear Paragraph (3) The change in this paragraph is attributable to, among others, the change in ownership, tech nology, addition or reduction of production capac ity and/or change in location of business and/or activity. Article 41 Sufficiently clear Article 42...... 4A Article 42 Paragraph (1) Suffidently clear Paragraph (2) Letter a Economic instrument in development plan ning means efforts to internalize environmental aspects into the planning and implementation of development and economic activities. Letter b Environmental funding is a system and mechanism of accumulation and management of funds used for financing environmental protection and management programs. The environmental funding results from sources, such as levies, grants and others. Letter c Incentive constitutes an effort to provide monetary and/or non-monetary impetus or attactiveness for everybody or government and regonal government to undertake activities bring ing about positive impact to reserves of natural resources and the quality of enviromental func tion. Disincentive constitutes the imposition of monetary and/or non-monetary burden or threat on everybody or the government and regional gov ernments to reduce activities bringing about nega tive impact to reserves of natural resources and the quality of enviromental function. Business News 7941-7942/4-14-2010 Artide43 Paragraph (1) Letter a Balance of natural resources is a descrip· tion of reserves of natural resource and change thereof, either in physical unit or monetary value. Letter b Gross Domestic Product means the value of the whole goods and services produced by a coun try in a specified period. Gross Regional Domestic Product means the value ofthe whole goods and services produced by a region in a specified period. Letter c Mechanism of inter-regional environmental service compensation/exchange means compensa tion/exchange methods adopted by regional people, communities and/or governments as users ofenvi ronmental service for providers of environmental services. Letter d Internalization ofenvironment cost means the inclusion ofcostsofenvironmental pollution and/ or damage into the calculation of production cost or cost of a business and/or activity. Paragraph (2) Letter a Guarantee funds of environmental resto ration mean a certain amount of funds prepared by........ by a business and/or activity to restore the qual ity of damaging environment attributed to the ac tiVity. Letter b Mitigation funds mean a certain amount of funds used for mitigating environmental pollution and/or damage arising from a business and/or ac tivity. Letter c Trustee/assistance funds mean funds re sulting from sources ofgrants and donations in the interestof environmental conservation. Paragraph (3) Letter a Procurement of environmentally sound goods and services means the procurement priori tizing to goods and services having environmentally sound label. Letter b Environmental tax means a levy imposed by the government and regional governments on ev erybody utilizing natural resources, such as under ground-water intake tax, fuel tax and swalow nest tax. Environmental levy means a levy imposed by regional governments on everybody utilizing facili ties prepared by the regional governments, such as levy on waste water treatment. Business News 7941-7942/4-14-2010 SA EnVironmental subsidy means facility or re duction of burden imposed on everybody having impact which has impact on the improvement of environmental function. Letter c Environmentally sound financial system means a system of financial institution applying re quirements forenvironmental protection and man agement in the financing policies and practices of bank and non-bank financial institution system. EnVironmentally sound capital marketmeans capital market applying requirements for environ mental protection and management to companies listing shares at the capital market or liSted com panies, such as requirements for environmental audit for companies planning to sell their shares at the capital market. Letter d Trade in license to dispose waste and/or emission is the transaction of waste and/or emis sion quota which may be disposed into environmen tal media between personnel in charge of busi nesses and/or activities. Letter e Paymentofenvironmental service meansthe payment/compensation granted by users of envi ronmental service to providers of environmental service. Letter f ...... Letter f Environmental insurance means insurance providing protection upon the occurrence of envi ronmental pollution and/or damage. Letterg Environmental-sound label system means the granting of mark or labet to environmentally sound products. Letter h SUfficiently dear Paragraph (4) SUfficienuy dear Article 44 Sufficiently clear Article 45 Paragraph (1) Sufficiently clear Paragraph (2) Criteria for environmental protection and management performance cover, among others performance to preserve conservation area and downgradeenvironmental pollution and/ordamage. Artide46 Sufficiently clear BusinessNews 7941-7942/4-14-2010 Article 47 Paragraph (1) Environmental risk analysis is a procedure, which Is used for, among others, assessing the re lease and disti'ibution of genetically engineered produd;s.and the dean up of B3 waste. Paragraplt (2) Letter a In this provision, risk analysis covers the whole processes, starting from identification ofdan ger, estimation of consequence or impact, predic tlon of the unexpected impacts on both human se curity and health and environment. Letter b In this provision, risk management covers evaluation of risks or selection of risks requiring management, identification ofchoices of risk man agement, selection of management measures and implementation of the selected measures. Letter c Risk communications mean an interractive process of exchange of information and opinions between individuals, groups, and institutions with respects to risks. paragraph (3) Sufficientlydear Article 48...... Artide48 SUfficiently dear Artide49 Paragraph (1) Letter a Certain highly risky businesses and/or ac tivities are businesses and/or activities potential to cause serious impact on human health and envi ronment if accident and/or emergency condition occur, such as petrochemical, oil and natural gas plant as well as nuclear power plant. Environmental auditdocument contains: a. information covering goal and process ofaudit; b. audit finding; c. audit conclusion; and d. supporting data and information. Letter b Sufficiently clear Paragraph dan Paragraph (3) SUfficiently clear Article 50 up to Article 53 Sufficiently clear Artide54 Paragraph (1) Sufficiently clear Paragraph (2) Letter a Suffidently clear Business News 7941-7942/4-14-2010 7A Letter b Remediation is efforts to restore environ mental pollution to improve the quality of enviroment. Letter c Rehabilitation is restoration efforts to re tum the value, function and benefit of the environ ment, including efforts to prevent land damage, provide protection and improve ecosystem. Letter d Restoration means efforts to enable the environment or parts thereof to resume the origi nal function. Letter e Sufficiently clear Paragraph (3) Sufficiently clear Article 55 dan Article 56 Sufficiently clear Artide57 Paragraph (1) Environmental preservation means efforts taken to preserve the functions of the environment and prevent human actions from downgrading the environmentorenVironmental damage. Letter a..... " Letter a Conservation of natural resources covers, among others, conservation of water resources, forest ecosystem, coastal and sea conservation, energy, peat land ecosystem and karst ecosystem. Letter b Reservation of natural resources covers natural resources which may be managed in a long term and a specified period in accordance with the need. In order to execute the reservation ofnatu ral resources, the government, provincial govern ments or regental/municipal governments and in dividuals may build: a. biological diversity park outside forest area; b. green open area (RTH) minimaly accounting for 30%ofthe total size of island/archipelago; and/ or c. planting and preserving trees outside forest area, particularly rare plants. Letter c Sufficiently clear Paragraph (2) Letter a SUfficientlyclear Letter b Preservation of natural resources means efforts to preserve the totality and genuiness of natural resources along with ecosystem thereof. Business News 7941-7942/4-14-2010 SA Letter c SUfficiently clear Paragraph (3) Sufficiently clear Paragraph (4) Letter a Mitigation of climate change is a series of activities which are taken to lower green house emission as a model-of efforts to mitigate impacts of climate change. Adaptation to climate change is an efforts which are taken to enhance adaptability to climate change, including climate diversity and extreme cli mate so as to reduce potential of damage attrib uted to climate change, utilize opportunities arising from climate change and overcome consequences arising from climate change. Letter b and Letter c SUfficiently clear Paragraph (5) SUfficiently clear ArticleS8 Paragraph (1) The obligation to manage B3 constitutes ef forts to reduce the possible risks on the environ ment, such as environmental pollution and/ordam age, given that B3 is very potential to cause nega tive impacts. ParaaraDh (2) . Paragraph (2) Sufficiently clear Article 59 Paragraph (1) Management of 83 waste constitutes a se ries of activities covering the reduction, storage, collection, transportation, utilization and/or pro cessing, including the hoarding of 83 waste. Paragraph (2) Sufficiently clear Paragraph (3) Other parties mean business entities man aging 83 waste and already securing license. Paragraph (4) up to Paragraph (7) Sufficiently clear Article 60 dan Article 61 Sufficiently clear Article 62 Paragraph (1) The environmental information system con tains, among others, diversity of ecologic charac ters, distribution of pepulaticn, distribution ofnatu ral resources and local wisdom. Paragraph (2)' up to Paragraph (4) Sufficiently clear Article 63 and Article 64 Sufficientlv clear Business News 7941-7942/4-14-2010 9A Article 65 Paragraph (1) Sufficiently dear Paragraph (2) The rightto environmental information con stitutes a logic consequence ofthe right to partici pate in environment managem¥nt on the basis of the principle oftransparency. The right to environ mental information will enhance the value and ef fectiveness of participation in environmental man agement, besides opening opportunities for com munities to actualize their rights to a proper and healthy environment. The environmental information as referred to in this paragraph may be in the form of data, information or other information related to envi ronmental protection and management, which is opened for the public according to the characteris tic and objectives thereof, such as environmental impactanalysis documents, reports and documents of results ofevaluation of environmental monitor ing, either the monitoring of compliance or moni toring of change in the quality ofenvironment and spatial plan. Paragraph (3) up to Paragraph (6) Sufficiently clear Article 66 The provision is intended to protect victims and/or the reporting parties adopting legal settle ment for environmental pollution and/or damage. The . lOA The protection is intended to prevent actof revenge from the reported parties through crimi nal and/or civil offense by observing the indepen dence of legal judicature. Article 67 and Article 68 Sufficiently dear Article 69 Paragraph (1) Letter a Sufficiently clear Letter b The prohibited 83 are, among others, DDT, PCBs,and dieldrin. Letter c The prohibition in this provision is in excep tion for the issues governed in legislation. Letter d The prohibited in this letter includes import. Letter e up to 'Letter j Sufficiently clear Paragraph (2) The local wisdom as referred to in this pro vision means the burning of land with the maximum size two hectares per head of family to be planted by plants belonging to local variety and surrounded by burning separator to prevent flame from spread ing to surrounding area. Business News 7941-7942/4-14-2010 Article 70 Paragraph (1) Sufficiently clear Paragraph (2) Letter a Sufficiently dear Letter b The granting of recommendations and opin ions in this provision includes in the formulation of KLHSand amdal. Letter c Sufficiently dear Paragraph (3) Sufficiently clear Article 71 dan Article 72 Sufficiently clear Article 73 Seriousviolation means legal violation caus ing serious environmental pollution and/ordamage and triggering social unrest. Article 74 up to Article 79 Sufficiently clear Article 80 Paragraph (1) Sufficiently dear Paragraph (2)....... llA Paragraph (2) Letter a The extremely serious threat means a con dition potential to endanger safety and health of many people so that the settlement thereof may not be delayed. Lelter b and Letter c SUfficienUydear Article 81 up to Artide 83 SUfficientlydear Artide84 Paragraph (1) The provision In this parae... isin~ to protect civil rights of parties in dispute. Paragraph (2). SUfficiently dear Paragraph (3) The provision in this paragraph is intended to prevent the birth of different decisions about one environmental dispute in a bid to guarantee legal certainty. Artide 85 and Article 86 Sufficientlydear Article 87 Paragraph (1) The provision in this paragraph constitutes Business News 7941-7942/4-14-2010 the realization ofa pridple in the environmental law, which is called the principle "poUuter pays". Besides paying compensation, the environmental polluter and/or detroyer may also be charged by judge to undertake certain legal measures, such as order to: a. iJlsta»PI' improve waste treatmentUAit iIIliIl the waste meets the $l:ipuJatedqlIi!lil¥standard of theenvironment; b. restore the environmental functions; aJJd/GI' c. eliminate or destroy causes of environlllellll:al pollution and/or destruction. Paragraph (2) ~fficienl:!y~ ParagrillltJ(3) The imposition ofcoercive money on every day of ~ne5$ in the Q:ecution of Q;I~onItr tp undertake certain measures is in the interest of environmental functions. Paragraph (4) Sufficiently clear Article 88 strict liability means plaintiff is not. sary to prove substance ofg mistake as a basis for paying compensation. The provision in this para graph constitutes lex specialis in lawsuit against legal violation in general. Pursuant to this article, the amountofcompensation which may be charged with environmental poluters or destroyers may be stipulated up to certain limit. Up to...... 12A Up to certain limit means there is an c>h1iga tion according to stipulation of legislation to pro vide insuranCf' for the said business and/or activ ityor the environmental funds have been available. Article 89 SUfficientlydear Artlde90 Paragraph (1) Environmental loss is a loss arising from the pollution and/or damage of the environment which does not belong to private propietary. Certain measures constitute actions to pre vent and mitigate pollution and/or damage as well as restore environmental functions in a bid to en sure that negative impacts on the environment won't occur or repeat. Paragraph (2) Sufficiently clear Article 91 up to Article 93 SUfficiently clear ArtIcle 94 Paragraph (1) dan Paragraph el) Sufficiently clear Paragraph (3) Coordination is an action ofconsultation to obtain personnel, facility and infrastructure assis tance needed in the investigation. Business News 7941-7942/4-14-2010 Paragraph (4) The notification in this article does not con stitute notification about the commencement of in vestigation, but affirms the shape of coordination between civil servant investigators and investiga tors of the Indonesian Police. Paragraph (5) dan Paragraph (6) Sufficiently clear Article 95 SUfficiently clear Article 96 Letter a up to Letter e Sufficiently clear Letter f Other evidences include information dis closed, sent, received or saved electronicaly, mag netically, optically and/or the similar, and/or data, records, or information which is readable, visible and can be heard that can be taken out with and/or without assistance of a facility, written down on paper, non-paper physical materials, or recorded electronically, not limited to writings, voice or pic ture, map, design, photo or the like, letter, sign, fig ure, symbol, or meaningful or understandable or readable perforation. Article 97 up to Article 100 Sufficiently clear Article 101 .. 13A Article 101 Releasing genetically engineered products means statement of recognition to a result of reju venation of genetically engineered products to be come superior variety and mat be disseminated af ter complying with the requirements on the basis of legislation. Distribllting genetically engineering prod ucts means every activity or a series of activities in the framework of the distribution ofcommodities being genetically engineered products to communi ties, for trading or not. Article 102 up to Article 112 Sufficientlydear Article 113 The fake informatio as meant in this article may be in the form ofdocuments or verbal informa tion not matching the actual facts or untrue infor mation. Article 114 up to Article 117 Sufficientlydear Article 118 The functional executor as referred to in this article is businesss entity and legal entity. Business News 7941-7942/4-14-2010 Criminal offense charged with executives of business entities and legal entities for crime com mitted by business entities or legal entities is func tional crime so that the penalty is imposed and sanc tion is imposed on those having authority to the physical executor and receiving action ofthe physi cal executor. Receiving action as meant in this article inclfudes approving, letting or supervising inad equately actions ofphysical executors and/or hav ing policies making the crime possible. Article 119 up to Article 122 SUfficientlydear Artidel23 The license in this provision is, for example, license to manage B3 waste, license to dispose waste water into sea, and license to dispose waste water into water intake. Artide 124 up to Article 127 Sufficientlydear SUPPLEMENTTOSTATUTEBOOKOF 1HER£PUBLICOFINDON.ESIANUMBER50S9 ===( R )===