Regulation of the Minister of Finance No. p.52/Menhut-II/2008 on procedures and requirements for extension of Business Licence for Utilization of Natural Forest Timber Products in Producing Forest

PROCEDURE AND REQUIREMENTS FOR EXTENSION OF BUSINeSS UCENSE FOR UnUZAnoH OF NATURAL FOREST nMIlER PRODUCTS IN PRODUCING FOREST (Regulation of Minister of Rnance No. P.52/Menhut-II,I2008, dated September 4, 2008) WITH THf:BLfSSINGOfllEONE AND-ONLY GOD MINISTER OFFORfSTR.Y, Considering: a. that Article8! paragraph (5) of Government Regu lation No.6 Year 2007 in conjunction with Gov ernment Regulation No.3 Year 2008 concerning ForestSystemqnd Con1:PC/ationof ForestManage~ ment Program, and Forest Utilization states that further provision on the procedure and require ments for extension of licence shalffie ,governed by the Minister; b. that based on the amskleration referred toabove,it is I'l~ry to stipulate PJ:!gufation ofthe MInist,eron the Procedureand Requirements for Extension €:I Business License forUtilization a Natural ForestTimber PnxJuctts in Producing Forest:. I" VieW,of: 1. Law.No.5 "(ear 1990'£OnCemJJig f)reseJVal1on()( Bi0 logiCal Natural MesotJrtes and Its'~ (Stat1ite BookofRlYear Yaer 1996No. 49, SupplernentlD stat uteBook of R1 No. 3419); 2. LawNo. 41,¥ear 1999 (IIN"- H:L2PIIfIJ1$lA-6A fllld4;tll1Wth)<xlncemlngFuesBy(SBofRI Y l999 No. 107; SSB ofRI No. 3B8B), asamend«Jbylaw No. 19Year 2DQ4 (BN No. 7140 pages 318-328) concem ing$tiputationofGovernmentReguJationil Lieu ofLaw No. J Y.ear .2004(BN No. 7D34 pageQS)CJilt'IO'.>mtng Amendment toLaw No.41Year 1S99 concerning for estry to betomeLaw (SB of RIYear. 2004 No. 66, SSB ofRlNo. 441:2);· 3. Law No. 32Year 2004 (BN No. 71.83pagesU-JU aDd. foJth) concerning Regional Government(5B ofRI Year2004 No. 125, SS8 ofRI No. '1437), dmended .several I , • , • 29A several timesand latelyamended by law No. 12Year 2008 (BN No. 7061 pages 118-18B andso forth) (58 of RI Year 2008 No. 59, SSB of RI No.4844); 4. GoYemment RegulationNo. 27Year 1999(BNNo. 6442 pages.tOA-.t2A)concerning Analysis of Environmen tal Impact (58 pf RI Year 1999No. 59, SSB of RI No•. 3838); Ii. G~mPnt R~IlI::'ltinn Nn. 44 Year 2004 ronceming Forestry Program (5Bof RI Year 2004No. 146,SSB of RI No. 4452); 6. Government Regulation No. 45 Year 2004 concerning Forest Protection (SBof RI Year 20~ No. 147, SSB of RI No. 4453); 7. GovemmentRegulatlon No. 6 Year 2007 (BNNo.TSZ9 pages:tA-2hI and$11forttJ)conceming ForestSys tem andcompilation of Forest Management Program, and utiliZation of Forest (56 of RI Year 2007No. 22, sse ofRI No. 4696), asamended by GovPmmentRegu lation No.3 Year 2008 (BN NO. 7630 pages 178-208 andsoforth) (5BafRI Year 2008No.16,SSBofRI No. 4814); B. Government Regulation No. 38Year 2007(BN No. 7576 pages 16-66) concerning Distributionof Administra tion Affairs between the Government, Regional Gov ernmentof the Province, and Regional Administration of the Regency/Municipality (58 of RI Year 2007 No. 82, SSB of RI No.4737); 9. Decree ofPresklent of the Republic of Indonesia No. 187/M Year 2004 (BN No. 7128pages 30A-3L4) concerning Establishment of Indonesia Bersatu Cabi net, esemendedseveral Urnes t1nd Itltely t1lllended by Presidential DecreeNo.31/P Year 2007; 10. Regulation of President of the Republic of Indonesia No. 9 Year 2005 (BNNo. 7182pages2A-23A)ron ceming Capadty, Duty, Function, OrganiZational Struc ture andWorking Procedure of the StateMinistry of the Republic of Indonesia as amended several times ancllately amended byPresidential Regulation No. 20 Year 2008; Business News 7776/2-20-2009 11. Regulation of president of the Republic of Indonesia No 10 Year 2005 (6N No. 8B-12B and so forth) con cerning Origanizational Unit and Duty of Echelon I of the State Ministry of the Stateof the Republic of Indo nesiaas amended several times and latelyamended by Presidential Regulation No.50Year 2008; 12. Dedsion of the Ministerof ForestryandPlanrntion No. 602jKpts-IIjl998 in rnniunction with No. 622/Kpts-IU 1999 (8N No.6370pages18-28) concerning Analysis of Environmental Impactof Forestry Development, En vironmental Management Effort and Environmental Monitoring Effort of Forestry Development; 13. Regulation of the Minister of ForestJy No. P.13/Menhut 11/2005 concerniny Orydlli"aUurl (1lJ(j Wurkingp~ dureof the Department of Forestry, as amended sev eraltimes and latelyamended by Regulation No. P.1S! Menhut-IT/2008. o Eel DES: Tostipulate : REGULATION OFTHEMINISTER OFFORESTRY ON PRO CEDURE AND REQUIREMENTS FOR EXTENSION OF BUSINESS 'UCENSE FOR UTIUZA1l0N OF NATURAL FOREST TIMBER PRODUcrs IN PRODUCING FOREST (IUPHHK-HA). CHAPTER I GENERAL PROVISION Article 1 What 15 meant in Uli:) Rt:yulCiUon by; 1. Business License for Utilizationof NaturalForest lim ber Productsin Producing Forest (lUPHHK-HA) shall be business license for utilizationof forest products in the form of timber in produdng natural forest bymeans of harvest or logging, reforestation, maintenance andmar keting. 2. Extension of IUPHHK·HA Shall be grant of extension to holderof IUPHHK-HA which term has expired. 3. Business 3. Business Ucense contribution tor Forest Utilization (UUPtI) shall belevy charged onthe holder of business license for replacement of intrinsique valueof the for estcrop collected from the State-controlled forest. 4. Minister shall beMinisterassigned thedutyandrespon sibilityIn the forest sector. 5. Director General assigned the duty andresponsibility in the Management of Producing Forest. 6. Provindal service Office shall beService Office assigned the duty andresponsibility In the forestry sector inthe provincial reaglon. 7. Regency/Municipality 5erviceOfficeshaU be 5evIce Of ficeassigned the duty andresponsibility in the forestry :sedor In the regency/municipality region. . Business News m6/2~20-2009 30A QiAPTERn PROCEDURE AND REQUIREMENTS Article 2 Extension of IUPHHK+IA may berequested by the holder of permit which termhas expired. Artfde 3 . (To becontinued ) 2. presidential.! ... 20A PROCEDURE MD REQUIREMENTS FOR EXTENSION OFBUSINESS UCENSE FORUnUZAnON OF NATURAL FORESTTIMBER PRODUCTS IN PRODUCING FOREST (Regulation of Ministerof Anance No. P.52jMenhut-ll/2008, dated september 4, 2008) [Continued from Business News No. 7776 !)ages 28A~30A] Artide3 (1) Application for extension of IUPHHK-HA mlS be sub mittedwithin two (2) yearsat the latest'prior to expiry Ofthe liCenSe. (2) Application for extension of IUPHHK-HA mustbe sup ported by thecomplete reQUirementsandmlJ5t be sub mitted by the holder of permit to the Minlsrerof for estry With copyto: a. thesecretariatGeneral; b. theDirector General; c. tI1@Head of Fonestty Planning Agehc:y; d. theGOvernor; e. theRegentJMayor; 1. Head of ServkeOfflc:edthe Province; and g. Head of Serviceof theRegency/MuniCipality. (3) The application for extension ofIt.A-IHK-f1A submil:lJed after theperiod referred to in paragraph (1) elapsed, the MinistershallIssue a letter d rejection to the ap plICation for extension dRJPHHK-HA andnotification of permit expiry. Artide4 tl) ThereQ.rirementsfa"aQbiootbredEnsk:JndIlFHHK~ HAreferred to inArtIcle 3 paragraph(2) shallbe: a. Recoounendation dtheGoYemorlhathasobtained technical conskIeration dtne local RegentfMayor; b. Copy of Deed of Company Establishment and its c. written evidence statingthatthecompany has paid off ItS finandaI obligations in the foresby sector coveril'tg ForestResource Commission (PSDH) and ~estjatlOnrond (DR) and ottler nnandal obli~ gationslssued by theanpetent lIUtharity; d. ftnaR::ial~«theCOt1lPiHYf hokiing lUPtiHK+IA for the last five (5Jyears thathasbeen audited by Publk: Aa:ountant based on Statement d financial Accountancy No.32 concerning ForestryAccoun taocvj e. map of the Ioc:ation requested onscale 1:50.000or 1: 100.000; and f. aero mozaic photographic mapscale 1 : 20.000or satemte Imagery resolution ofmfnimum 30 (lf1irty) meters covering the lasttwo (2) years' result (2) The RecommendClliun uf the Guvemur referred to In paragraph (I) letter a, in its implementation shall be IssUed by the Headof 5ervk:eOffic.e Ofthe PttMnc.e on behalfofthe Governor. (3) ThetedlnicaJ conskferatlon of the Regent/Mayor re tenel1tD In paragraph (1) letter8, in its impIementa~ tion shall be Issued by the Head d Service omce of the ReQeocy/Munldpallty on behalf of the Regent! Mayor. (4) If norecommendation IsIssued bythe GoVernor within 28 (twenty-elght) working daysasof receiVed of the copv of application for extension, recommendation of the Governor f>haII be deemed ro have been issued after:'..• '-'--' after the Director General of Forestry Production Management on behalf of the Minister requesting confirmation from the Head of 5eNice Offioa ofthe Province. QiAPTERm PROCEDURE FOR ASSESSMENT ArtideS (1) Tne requlren lents rererred to m ArUde 1 shan be evalu ated bythe Director GeneraL (2) The DirectorGeneralshan delegate theevaluatingac tion referred to in paragraph (1) to the working unitof Echelon II withintheDirectorate General of Producing ForestManagerment based onthe bJpoksi (?). (3) If the requirements referred to in Article 4 is incom pk>te.~Oirednr~ <;h::d\ notify this. to thP ;r,ppii cationto completely complywiththeadministrative re quirement within60 (sixty)calendardays. (4) Failure to comply with therequirements referred to in paragraph (3), the Director GeneJaI shaH notify the Minister on the rejection to the applialtion for exten sionclIUPHHK-HA. (5) If the requirements referred to InArticle 4 is com piled with, any company not having PHAPL certifi cate yet or the PHAPL certificate it holds has ex pll'e(l, the DlteCCOr General snail evaluate the per formance of the UtilizatiOn of Pteser\led Producing NaturalForest (PHAPl). (6) If therequirements referred to in ArtIcle 4 arecom plied with, thecompany hokJing PHAPLcettiflcatewhiCh tenn is stili valld, then noevaluation shall beneces saryon the performance of Utilization of Preserved Producing Natul"81 Forest (PHAPL). 21A Artide6 (1) Perfonnance evaluationon utilization of preserved forest referred to In Article 5 paragraph (5), shall be made based on the criteria and Indicator of Preserverd Natural Forest Management (PHA'l) in accordance with the provision of the statutory regulation and implemented by Capable lPI as stipulated by the MinIster whkh cost is charged to the applicant. (2) If the Capable LPI reterted to In paragraph (1) Isnot stipufated yet bytheMinister, perfonnance evaluation of the PHAPL referred to in Article 5 paragraph (5) shall be conducted by theEvaluating Team dulyestab [ist\ed by the Director General. (3) Thecapabile LPI referred to in paragraph (1) or Evalu atingT~m ref~rrE>d to in p;r,r::.graph (') <;haD submit the resultof performance evaluation to the Director General. ArtIcle 7 (1) Based on the result ofevoluation oHPI referred to in Artide 6 paragraph (3), or ampliace with the require ments for company holding PHAPL certificate as re ferredto InArticle 5 paragraph (6), the Director Gen eral shall submit proposal for extension or rejection torextentJOn to the MI[11ster. (2) If no recommendation of the Governorreferred to in Article 4 paragraph (1) letter a is Issued, the Minister shall consider/review extension of the li cense after the license holder performance has beenevaluated based on the authority asgoverned in Article 4 paragraph (2) of Law No.41 Year1999 cnnceming Fnr~try Artide a .~~ . Artide8 (1) The Mini:.;term~y approve or reject the Llpplication for extension of IUPHHK-HA with due observance of the proposal of the Dlll!ctOrGeneral. (2) If the Minister approves the application for extension «the IUPHHK-HA referred to in paragraph (1), the Direc:tDrGencroI3ha11 prepare letterof the Minister on such provisional apprcNal for extension ofIUPHHK-HA to the applicant withoopy to the DirectorGeneral and Head«Forestry PlanologvAgency. (3) Basedonoopyof the provisionalapproval referred to in poragruph (2), the Dircc:tcr Gencrol shall l'Cquest the Headc:IForestry P1anology~ toprepare map of the workarea (Wol1dng AreajWA). (4) The Head eX Forestry PfanologyAgency shall submit the mapof worl<. areareferred to in paragraph (3) to the Diednr General within 30 (thirty) working days. (5) If the Minister rejed5 the application forextensionof IUPHHK-HA referredto in paragraph (t), the Director General shall prepare draft letter of the Ministercon taining rejection to the application for extension of WPHHK-HA den IlOtiI'k:at:ionof~ opiry ofthe license. 0iAPTER1V lSSlEOFDECISION fOREXT£NSlONOF IUPHHK-HA Artide9 (1) Based OIlthe Mapa WorkAreelloerrcd to in ArtIcle B paragraph (4), the DirectorGeneralshallpreparedraft: d Dedsion of the Minister onExtension to IUPHHK+IA to the secretary General within 15 (fifteen) worting days. (2) Based on the draft ofOt:d:sloll 01' Ute Minister Idet Ied to in paragraph (1), the secretaryGeneral shall for wardIt to the Minister withinseven (7) working days. Business News7179/2-27-2009 22A {3} TheMinistershall issue Decision on Extension of the lUPHHK-HA within b:n (lO) working days. (4) Extension to IUPHHK-HA shaD be valid formaximum 55 (fifty-five) tearseffective asof expiry of the IUPHHK HNHPH· a-tAPTERV ISSUE OFINSTRUCTION LETTER FOR PAYMENT OF BUSINESS UCENSE CONTRIBU11ON FORFORESJ UTlUZA110N (SPf.l..IllI'H) Artidel0 (1) As soon as copy of the original Dedsion of the Minister onExteIlSion to IUPHHK-HA l8ened to in Article9 pcna graph (3) is received by the Director GeneralasCol lecting Official shall issue Instruction Letter for Pay. ment of overdueContribution for Business L..k:ense for Forcst utilization (SPP-DUPH). (2) Theawlvin9company forexrensbldWPHHK-fIA shall be obliged to deliver proofof submission ofmpvof the originalor photocythat hasbeen legalized by the Re ceMng Bank Bank to the Director General. (3) The provision on the proocdure for imposition, collec tion, andpayment d llUPH lefeITed to In paragraph (1) shallbe inacmrdance with theprevailing sIatutoty regulation. Article 11 If the stipulated time has elapsed, the holder of Extended IUPHHK-HA as ObligatoryTaxpayer fal~ to pay! settJe theoverdue SPP-IIUPH referred to inArticle 10para g1aph(t), Decision clthe MinisteronExteOOed IUPHHK4iA shallnot be dellvered/wfthdrown backby the Ministerand the MInister shaH Issue not:il'lcatlon letter on the expiryof thelkense. O1APTERVL.,.•,.. OiAPTERVI TRANSITlONAl PROVISION Artike 12 By thetime thisRegulation comes to force: a. Subml5slon of unev~luated ClpplicaUulI rUI extension of WPHHK-HNHPH shall be further processed by re ferring to thisRegulationi b. Stibm1ssb1 ofapplicafion for extensiOn of lUPHHK-HA/ HPHthat hasobtained provision approvat for exten sion of IUPHHK shallbe further processed by issue of the mapof work area; c. Submission of application for extensiOn of IUPHHK-HA/ HrH that has obtoincd map of work orm (Working heal WA) and the area oflUPHHK-HAlHPH hasbeen stfflu lated, shallbe further processed by issue of Dedsion of theMinisterof ForestryonExtensionof IUPHHK-HA. a-tAPTERVll nOSING PROVISION Article13 With this Regulation comes to force, Decision of the Minister of ForestryNo.6885/Kpts-1I/2OO2 (BN No. 6845 pages 9&-108) concerning Procedure and Requirements for Extension Ofsusmess ucense fOr Utilization OfTimber ForestCrep shallbe declared nullandvoid. Business News 7779/2-27-2009 . 23A Article 14 This Regulation of the Ministerof Forestry takes effecton the date it is stipulated. For public oogniumce, this Regulotion 3heall be announced by placing it in the State Gazette of the Repub licofIndonesia. Stipulated in Jakarta OnSeptember 4, 2008 MINISTER OFFORESTRY, Sgd. H.M.s. KABAN Enacted InJakarta On september15,2008 MINISTER OFLAW AND HUMAN RIGHTS OFTHE REPUBUC OF INDONESIA SgcI. ANDI MATTMATTA STATE GAZETTE OFlHE STATE OFREPUBUC OF INDONESIA YEAR 2008NUMBER 44 ===(MA)=== .c. that.'· ....