Regulation of the Minister of Forestry No. P.63/Menhut-II/2009 concerning procedures for issuing business licences to utilize silvipasture zones in production forests

2lA PROCEDURE FOR ISSUING BUSINESS LICENSE TO UTILIZE SILVO PASTURE ZONE IN PRODUCTION FOREST (Regulation of the Minister of Forestry Number P.63/Menhut-II/2009, dated OCtober 14,2009) WIlHDlE BI fSSINGOFDlEONEANDONLYGOD, MINlSTEROFFORESTRYOF DIE REPUBl.ICOFINDONESIA, COnsidering: a. that to implement the provision in Article 32 of GovernmentRegulation Number 6 Year 2007 con cerning Forest System and Preparation of For est Management Program, and Utilization ofFor est. it is necessary to stipulate Regulation of the Minister of Forestry concerning Procedure for Granting Business License for Utilization ofSilvo Pasture ZOnein Producing Forest; b. that under Article 70 paragraph (2) of Govern mentRegulation Number 6 Year 2007 in conjunc tion with GovernmentRegulation Number 3 Year 2008 concerning Forest System and Preparation ofForest ManagementProgram, and utilization of Forest, Business License for Zone Utilization may be granted within the Business License for Zone Utilization area in CUltivated Forest in the area bearing license; c. that in accordance with the foregoing, it is nec essary to stipulate Regulation ofthe Ministerof Forestry concerning Procedure for Granting Busi ness License for Utilization ofSilvo Pasture Zone in Produdng Forest. In view of: 1. Law Number 5 Year 1990 concerning Conserva tion of Biological Natural Resource and Its Eco system (Statute Book Of the Republic ofIndone sia Year 1990 Number 49, SUpplement to Statute Bookofthe RepublicofIndonesia Number 3419); 2. Law Number 23 Year 1997 (BN No. 6092pages ~9A-2JAilndSO on) concerning Living Environ mentManagement (Statute BookOf theRepublic Business News 8007-8008/9-22-2010 ofIndonesia Year 1997 Number68, SUpplement lDSIal:ute BookOfthe RepublicofIndonesia Num ber3699); 3. Law Number 41 Year 1999 (BNNo. 64~2pages ~A-6Aandso on) concerning Forestry (Statute Book Of theRepublicofIndones1aYear 1999Num ber 167, Supplement to Statute Book Ofthe Re public of Indonesia Number 3888) as amended by Law Number 19Year 2004 (BNNo.7:I43pages 26A-29A)concerning StipUlation ofGovernment Regulation in Lieu of Law Number 1 Year 2004 concerning Amendment to Law Number 41 Year 1999 concerning Forestry to become Law(stat ute Book Ofthe RepUblic ofIndonesia Year 2004 Number 86, Supplement to Statute Book Of the Republic ofIndonesia Number4412); 4. Law Number 32 Year 2004 (BNNo. 7~83pages JA-1JA andso forttJ)concerning Regional Gov ernment (Statute Book Of the Republic ofIndo nesia Year 2004 Number 125, Supplement to Statute Book Ofthe Republic of Indonesia Num ber 4437) as amended several ti,,,.:lS and lately amended by Law Number 12 Year 2008 (BNNo. 7676pages26A-32Aandsol"oltf1)(StatuteBook Ofthe Republic of Indonesia Year 2008 Number 59, Supplement to Statute Book Ofthe Republic ofIndonesia Number 4844); 5. Government Regulation Number6 Year 2007 (BN No. 7529pages JA-2JA andso Forth) concern ing Forest System and PreparationofForestMan agement Program and Forest Utilization (stat ute BookOfthe RepublicofIndonesia Year 2007 Number 22, Supplement to Statute Book Of the RepUblicofIndonesia Number4696) as amended by Government RegUlation Number 3 Year 2008 (BNNo. 7676pages~OA-25Aandso 1"oItf1)(Stat uteBook OftheRepublic ofIndonesia Year 2008 Number1fi.··...• Number 16, SUpplement to Statute Book Of the Republicoflndonesia Number4814); 6. Presidential Decree Number 187/M Year 2004 (BNNo. 7128pages30A-3tA)conceming Estab lishment of Indonesia Bersatu Cabinet, as amended several times and lately amended by Presidential Decree Number 31/P Year 2007; 7. Regulation ofPresident Number 9 Year 2005 (BN No. 7184pages 2A-23A andso rorth) concern ing Capacity, Duty, Function, Organizational Structure, and Work Procedure of the State Min istry of the Republic of Ind.onesia, as amended several times and lately amended by Regulation ofPresident Number 20 Year 2008; 8. Presidential Regulation Number 10 Year 2005 concerning Organizational Unit and Duty ofEch elonl of the State Ministry of the Republic of Indonesia, as amended several times and lately amended by Presidential Regulation Number 50 Year 2008; 9. Dedsion ofthe MinisterofForestry Number 177/ Kpts-II/2oo3 (ONNo. 7019pages26A-28A)con cerning Criteria and Indicator for Preserved For est Management within Business Management UnitofCultivated Forest Utilization; 10.Dedsionofthe Minister Forestry NumberSK.101/ Menhut-II/200S concerning Accelerated Devel opment ofCultivated Forest to Fultill !J;Jsic Com modity for Pulp and Paper Industry, as amended several times and lately amended by Regulation NumberP.43/Menhut-II/200S; 11.RegulationofMinisterof Forestry Number P.13/ Menhut-II/200S concerning Organizational Structure and Work Procedure of the Depart mentofForestry, as amended several times and lately amended by Regulation Number P.64/ Menhut-II/2008 (State Gazette Of the Republic oflndonesia Year 2008 Number80). DECIDES~ Busine&5News8007-8008/9-22-2010 To stipulate: REGU'..AllONOFTHEMINISTEROFFORESIRYOONaRN INGPROCEDUREFORGRANflNGBUSfNESSUCENSEFOR um.JZA1I0N OFSILVOPASllJREZONEINPRODUCING FOREST. CHAPTERI GENERALPROVIS[ON Article 1 What is meant in this Regulation by: 1. Producing forest shall be forest zone having main function to produce forest product. 2. Utilization of timber forest product shall be ac tiVity to utilize and exploit forest produce in the form of timber without causing damage to the environment and restriciting the main function thereof. 3. Business Ucense for Utilization ofCultivated f0r est Timber Produce (IUPHHK-HT) shall be any business activity within producing forest zone, either sole cultivation or mixed cultivation, to produce prime product in the form of timber, which activities consist of land preparation, nursery, planting, maintenance, safeguarding, harvesting or felling, processing and marketing. 4. Business License for Utilization of Silvo Pasture Zone hereinafter referred to as IUPK-SP shall be Forestry activities combined proportionately with pasturing business within producing forest covering letting-free and/or stabling the live stock in the context of forest preservation. 5. Individual shall be invidivual persons existing within or surrounding the forest. 6. Cooperative shall be local community coopera tives operating in Forestry business sector. 7. Indonesian Private-Owned Business Entity here inafter referred to as BUMSI shall be limited com pany in the form of Indonesian legal entity al though its capital originates from investors or foreign capital which IUPK in prodUcing forest may begranted. 8. BUMN...... 23A 8. BUMNshall be as governed in the applicable pr0 vision. 9. Minister shall be Minister that is assigned the duty and responsibility in Forestry sector. 10.DirectorGeneral shall be Director General that is assigned the duty and responsibility in For estry Produce Management. 11.Head of Provincial service Office shall be Head of service Office that is assigned the duty and responsibility in Forestry sector in Provincial region. 12.Head of service Office ofRegency/Municipality shall be Head of service Office that is assigned the duty and responsibility in Forestry sector in . Regency/Municipality region. CHAPTERn REQUIREMENTS FORAREAANDAPPUCANT PartOne Requirements for Area Article 2 (1) Area for silvo pasture zone utilization business shall be Producing Forest: a. that bears IUPHHK-HTI; and b. that bears no IUPHHK or other business per mit yet. (2) Extent of area that may be granted silvo pas ture zone utilization business shall be: a. for area that bears the permit referred to in Article 2 paragraph (1) letter a covering maximumof500 (fivehundred) hectares; and b. for area that bears no permit as referred to In Article 2 paragraph (1) letter b covering minimum 5 (five) hectares. PartTwo Requirements for Applicant Ai'tlck! 3 (1)il'heapplicant for IUPK-SP in area that bears permitas referred to in Article 2 paragraph (1) IetbIra is specially allocated for the holder of IUPHHK-HTIconcerned. Busille5ltNews 8007-8008/9-22-2010 (2) The applicant of IUPK-SP in area that bears no permit referred to in Article 2 paragraph (1) let ter b yet that may apply for IUPK-SP shall be: a. individual persons; b. cooperatives; c. Indonesian Private-Owned Business Entity (BUMSI};OI" d. State-OWned Business Entity (BUMN). OiAPJERm REQUIREMENTSAND EVALUATIONOFAPPUCATION Part One Requirements for Application Article 4 (l) Requirements for application for IUPK-SPthat bears IUPHHK-HTI as referred to in Article 2 paragraph (l) letter a shall consist of: a. photocopy of the Decision Letter for grant ing IUPHHK-HTI Iiclenseandother business li cense; b. maponapplication; c. recommendation of the Governor; d. technical proposal. (2) Requirements for application for IUPK-SP that notbearinglUPHHK-HTIorotherbu$inesslia!nse yetas referred to in Article 2 paragraph (1) let ter b shall consist of: a. recommendation of the Governor if the pro posed area is located cross Regencies, not imposed other rights and is supported by lo cation map of scale 1 : 100.000; b. recommendation of the Regent/Mayor If the proposed area is located in one RegencyIMu nicipality region, is not imposed other rights and supported by location map of scale 1 : 100.000; c. Statement stating willingness to open branch office in the province and/or regency/mu nicipality; d. Deed ofEstablishmentofCOoperativesor BusI ness Entityand its i1mendlTlel1$U1iIthilvebeen approved by the the competent authority; e. operates..... 24A e. operates in Forestry/agriculture/plantation, husbandry business activities; f. Business license certificate from the compe tent authority; g. Obligatory Taxpayer Identification Number (NPWP); h. Technical proposal containing among other things: 1) general condition consisting of the condi tion of the proposed area and the condi tion of the company; 2) technical proposal on business activities containing the objectives and planning on utilization ofsilvo pasture zone. (3) Recommendation from the Governor or Regent! Mayor as referred to in paragraph (1) letter a and IeltIer b, based on the analysis of themoe function made by the Forestryservice off"lCeand Fon!St2lone EffidentUse Public; tfaII (BPKH) such as analysis of Forestry licenses, license for use otforestmneand zone convelslor., assetforfh in spatial data. PartTwo Evaluation ofApplication ArticleS (1) Application for JUPK-SP referred to in AlticIe 2 paragraph (1) shall be submitted by the appli cant to the Minister with copy to: a. theDiredDrGeneral; b. the DiredDr General ofForestry P1anology; Co the Head ofseMce Office of Procince; d. the Head of Service Office of Regency/Mu nicipality. (2) Based on the copy referred to in paragraph (1), the Director General of Forestry Planology through the Forest Zone Effldent Use Public Hall (BPKH) shall verify the result ofanalysis referred to in Article 4 paragraph (3) on the Map as at tached to the application within ten (10) work ing days at the latest to the Director General. Business News8007-8008/9-22-2010 . (3) The application that complies with the require ments referred to in Article 4 paragraph (1) or paragraph (2) and the map of the area as the resultof theverification referred to in paragraph (:!l), the Director General shall make evaluation and the result thereof must be submitted to the Minister. (4) The Director General on behalf of the Minister shall issue rejection to the any application that fails to comply with the requirements referred to in Article 4 paragraph (1) or paragraph (2). Article 6 (1) Based on the evaluation referred to in Article S paragraph (3), the Minister may accept/agree or reject any application. (2) If the application referred to in paragraph (1) is rejected, the Minister shall issue rejection let ter within seven (7) working days at the latest as ofreceiptof the result ofevaluation of tech·, nical proposal. Artide7 (1) Ifthe Ministerapproves the application referred to in Artide 6 paragraph (1), the Minister shall instruct the Director General of Forestry Planoloty to prepare a map on the work area and submit the result thereof to the Director General. (2) As soon as the Director General receives the map of the work area referred to in paragraph (1), the Director General shall submit concept of Decision of the Minister concerning Grant of IUPK-SPand itssupporting document to the Min ister through the secretariat General of For estry. (3) The Secretary General shall review the legal aspect and submit the concept of .Decision 'of the Minister concerning GrantofIUPK-SP to the Minister within seven (7) workins days at the latest. Part~ Payment ofBusiness Umnse Conbibution for utilizationofSilvo PastureZone (nuPK-SP) ArticleS (1) The DiredDI Gelleral shaI! widlin seven (7) wortt ing· days at the latest as of receipt of the deci sion for granting IUPK-SP, shall issue Instruc tion letter for PaymentofBusiness License Con tribution for UtiHzation of Slivo Pasture Zone (SPP-IlUPK-SP). (2) The decision conceming grantofIUPK-SP shall be delivered to the applicant after the person conoemed has fully paid the UUPK-SP. (3) Proa!dureforpaymentofnuPK-SPshallmmply with the provisions in the statutory regulation. atAPrERIV EXIB&IlN Artide9 (1) The holder of IUPK-5P must hold certificate of good performance issued by the independent assessment institution that has been accred ited by the Minister that has the right to file application foradditional (extellsion) work area. (2) Application foradditional (exteI1sion) workarea for IUPKSlivoPasture referred to in paragraph (1) must be submitted to the Minister with copy to: a. the DirectorGeneral; b. the Head of Directorate General of Forestry PIanoIogy; c. the Head ofservice Office of Province; d. the Head of service Office Regency/Munici pality. (3) The application referred to in paragraph (1) must be supported by: a. Decision of the Minister concerning Grantor Renewal ofIUPK for Slivo Pasture; b. Recommendation ofthe Governor if the pro posed area located cross Regency bears no Business News 8007-8008/9-22-2010 other rights ancl is supported by Location Map of scale 1 : 100.000; Co Recommendation ofthe Regent/Mayor ifthe prop1!sed area Ioc:ate!I in one Regency/Mu nicipality bears no other rights and is sup ported by Loc::ation Map ofscale 1 : 100.000; d. COpy ofvalid Cdtificateon good performance; e. location map ofthe work area requested for as the result ofconsultation with the Direc torGeneral of Fol estJ., P1anology through the Fol'estZoneEffidentUtilization Public Hall; and f. Field examination by the service Office of Province together with the Producing Forest utilization Monitoring Public Hall, and Forest Zone Efficientutilization Public Hall. Artidel0 Validity of the IUPK-SP in producing forest referred to in Artide 11 paragraph (2) shall be 25 (twenty-five) years at the longest based on the type of its business and may be extended. Artide11 The requirements and procedure for appli cation and evaluation ofapplication for area exten sion referred to in Artide g must comply with the provision in Artide 4 through Artide 7 ofthis Regu lation. atAPTERV MANAGEMENTANDSUPERVISroN Artide12 (1) The Director General of service Office of Prov inceor Head of service Office of Regency/Mu nicipality shall provide technical management and supervision over the rights alHl obligations of the permit holder. (2) The Director General may delegate the techni cal managementancl supervision to the Head of lJ1T. CHAPTERVI""," 26A OtAPTERVI a..osINGPROVlSlON Article 13 If the forest system of the area in the pro e1udngforest referred to in Article 21sstipulated in one (1) KPH, then the area/location for a new ap plication or extension of UPK-SParea must be lo cated in produdng forest. Artide14 This Regulation of Minister Forestry takes effect on the date it is enacted. For publiccognizance, this Regulation ofMin ister Forestry shall be announced by placing it in the State Gazette of the Republic of Indonesia. BusInessNews 8007-8008/9-22-2010 Stipulab!d in Jakarta On OCtober 14, 2009 MINlSTEROFFORESTRY OfTHE REPUBLIC OfINDONESIA, ,sgd. H. M.S. KABAN Enacted in Jakarta On October 16, 2009 MINIS1'EROF LAW ANQHUMAN RIGHTSOf OFTHE REPUBUCOFINDONESIA sgd. ANDIMATTALATTA STATEGAZETTEOFTHEREPUBUCOF INDONESIA YEAR2oo9 NUMBER388 ===( MA )===