Regulation of the Minister of Forestry No. P.43/Menhut-II/2008 concerning guidelines on the lease of forest area

20A GUJDEUNES ON THE LEASE OF FOREST AREA (Rpgulation of tM Minist~r of For~ No. P.43jMf?onhut-TTj2000, datprl July 10, 2008) WIl1-l THE BLESSING OFTHE ONE AND ONLY GOD THE MINISTER OFFORESTRY, Considering: a. that based on Regulation of the Ministerof ForestryNo. P.12jMenhut-II/2004, the useof COnservation Forest Area for miningactivities hasbeenstipulated; b. that based onRegulation ofthe Minister of Forestry No. P.14jMenhut-IIj2006 in conjunction withRegulation of the Minister of Foresby NoP.64jMenhut-U/2006, guide lineson the leaseof forest area havebeenstipulated; c. that with the stipulation of Regulation of the Minister of FOrestry No. P.12jMenhut-IIj2004 andRegulation afthe Ministerof Forestry NoP.14/Menhut-llj2006 inconjunc tion with Regulation of the Ministerof Forestry NoP.64/ Menhut-II/2006asstated in letters a andb, it isneces saryto makeperfections on the dynamics of the useof forest areasfor purposes outside of forestry activities by taking into accountthe preservationof natural re d. that with the stipulation of Government Regulation No. 2 Year2008 concerning Typesand Tariff on types of Non-Tax State Income originatil'l!J from th~ tl<;E' of for est areas for the purposeof developmentoutside of forestryactivities prevailing within the Forestry Depart ment, it is necessary to make perfections on the im posingof Non-Tax State Income as a replacement of compensation of land; e. that besed on the considerntions referred to in letters a, b, and c, it is necessary to stipulate a regulation of the Ministerof Forestry concerning Guidelines in lease or FOrest Area. In view of: 1. Law No, ~ Year 1990 concerning the conservetlon of Biology Natural Resources andits Ecosystem (R.t State Gazette Year 1990 No.49, Supplement to Stature Book ofthe Republic ofIndonesiaNo.~19); Business N~c;. 77~"/1-23-2009 2. LawNo. 20Year 1997(BNNo. 6JOJpages9A-J4A andso on} concerning Non-Tax State Income (Stat ute Book of the Republic of Indonesia Year 1997No. 43, SUpplement to Statute Book of the Republic of tn donesia No. 3687); 3. Law No. lj Year 1!:l!:l7 (BN NO. IiO!lZ pafJe5 ~9A­ 2JA andso on) concerning Management of the'uv lng Environment (StabJte Book. of the Republicof Indo nesia Year 1997 NO. 68, Supplement to Statute Book of the Republic of Indonesia No. 3699); 4. LawNo.41 Yea r 1999 (BN NO. 6412pages JA-6A and so on) concerning Forestry, which had been amended by Law No. 19 Year 2004 (Statute Bookof the Republic of IndonesiaYear 1999No. 167,SUpple ment to Statute Book of the RepulJlic or ImJunesk:!Nu. 3888); 5. LawNo.3 Year 2002 (BNNo. 6732pages lA-1L4) Wflt:ernlllY Sldte Deft::rl:;e (Statute Book ofthe Repub llc.ot Indonesia Year 2002No.3, Supplement to Stat ute Book of the RepublicofIndonesia No.4169); 6. Law Nu. 34 Year 2004 concerning Indonesia National Armed Forces (Statute Book. of the RepUblic of Indo nesia Year 2004No. 127, Supplement to Statute Book of the Republic of Indonesia No, +139); 7. LawNo. 32 Year 2004 {BN No. 6875pages 15A ZtAandso on)conceming the Regional Govemment, vvhiGh hed been amended several times, lastly by UlW No. 12 Year 2008 (Statute Bookof the Republic of Indonesia Year 2008No. 125,Supplement to Statute [look of the Republic of Indonesia No. 4437); 8. Law No. 26 'Year 2007 (BN No. 7599pages lOA· 30Aand$0 on) concerning Spatial layout (Statu:e. Book of the Rcpllbl\c of Indone$ia Year 2007 No. 68, Supplement to StabJte Book of the Republic of Indone sia No.472S); 9. Government Regulation No. 30 Year 2001 concerning StateFore5tfy PublicCompany (Perurn Pemutani)stat ute Book of the Republic of Indonesia (StatuteBookof the P2public of Indonesia Year 2003 No. 67); 10. Government •..•. 21A 10. Government Regulation No.44 Year.2OO4 concerning ForestryPlanning (StatuteBookof the Republic of In donesia Year 2004 No. 146, Supplement to Statute Book of the Republic ofIndonesia No.4452); 11. Government Regulation No. 45 Year 2004 concerning Fnrest Protection (Statute Bonk of th~ Republic of In donesia Year 2004 No. 147,Supplementto Statute Book of the Republic of Indonesia No.4453); 12. Government Regulation No.6 Year 2007 concerning Forestry Pattern, Compilation of forest Management Plan andthe utilizationof Forests (Statute Book of the Republic of Indonesia Year 2007 No.22, Supplement to Statute Bookof the Republic of IndonesiaNo. 4696), whichhad been amended by Government Regulation No. 3Year 2008 (BNNo. 7676pages.tOA-25Aand soon}(Statute Book afthe Republic of IndonesaYear 2008 No. 16, Supplement to Statute Book of the Re public of Indonesia No.4614); 13.Government Regulation No.38 Year 2007 concerning Division of Government Affairs betweenthe Govern ment, Province Regional Government, and Regency/ MunldpalTtyRegional Government (statute BooK of the Republic of Indonesia Year 2907 No.62, Supplement to Statute Book of theRepublic of Indonesia No. 4737); 14. Government Regullltion No.2 Year 2008 (8NNo. 7652 pages26A-3OA)concemingTypes andTariffof Non Tax StateIncome originating from the useof forest area for the purpose of development beyond forestry activities prevailing within the forestry Department (StatuteBook of the Republic ofIndonesia Year 2008 No. 15, Supplel1lPnt to <;f<:IhltP Rook of the Rppflh/ic of Indonesia No. 4813); 15. GovemmentRegulation No. 26 Year 2008 (BNNo. 7740 pages 10A-26A and so on) concerning National Region Spatial layout (R1RWN) (Statute Book of the Republic of Indonesia Year 2008 No.48, Supplement to Statute Book of the Republicof IndonesjaNo. 4833); 16. Presidential Regulation No.5 Year 2006 concerning National Energy Polky; 17. Presidential Decree No. 41 Year 2004 (BN No. 7063 pages.t6A-.18A)conceming Permits or Agreements in the Sector of Mining Existing within Forest Areas; 18.Presidential DecreeNo. 187jM Year 2004(BNNo. 71..28 Business News 7765/1~23-2009 pages3OA~3.tA)concemingthe Establishment of the United Indonesia cabinet, which hadbeenamended several times, lastly by Presidential Decree No. 31/P Year 2007; 19. Presidential Decree No.9 Year 2005 (BN No. 7182 ~2A-nA)ronteming Position, Duty. Functinn~, Organization Structure, and WorkProcedure of State Ministries of the Republic of Indonesia; 20. Decreeof theMinister of ForestryNo. 146/Kpts-II/l999 concerning Guidelines for the Reclamation of Former Mines in Forest Areas; 21. Decision ofthe Minister ofForestJy No. 32/Kpts-II/2001 concerning Criteria andStandard ofConfirmation of a Forest Area; 22. Decree of the Minister of Forestry No.70{Kpts-D/2001 concerning Stipulation of a forest Area, Change of Status and Function of Forest Area, which had been amended by Decision of the Ministerof ForestryNo. SK.48{Kpts-ll/2004; 23. Regulation of the Minister of ForestryNo. P. 13{Menhut IIIZoo5 concerning Organization andWorkProcedure of the Forestry oepertment,whlCtl hadbeen amencJecl several times, lastly by Regulation of the Minister of Forestry No. P.15/Menhut-lI/2008; DECIDES: To stipulate: lHE REGULATION OfTHE MINISTER OFFORESTRY CON CERNING GUIDEUNES ON LEASE Of fOREST AREA. CHAPTERI GENERAL PROVISIONS Article 1 In this ReguJationr what is meantby: 1. Lease of a forestareais the useof part of a forestarea to another party for the purpose of development be yondforestryactivities without changing thestatus, al lotmentandfunctions of the area. 2.. Lease of a forestareathat isnon-commercial in nature is an activity for the purposeof development beyond forestry activities not for profit purposes andthe lessee is not imposed with tariff for the useof said facilities. 3. Compensation. . . . . 3.Compensation isanobligation ofa forestarea lessee to provide anddelivera piece of land that isnot a forest area or to pay an amount of fund treated as Non Tax State Income (PNBP) asa replacement otland com pensation in accordance with Legislations. 4. Non-Tax 5tme Income from the U5e of rarest: area here inafterreferred to asPNBP isa Non-Tax StateIncome originating from the useof a forest area for the pur jJ05e ofdevelopment beyond rOI\::sb)' activitie5 prevail ing within the Forestry Department asa replacement of land compensation in accordance with Legislations. 5. COndition 01' proposed compensation land that Issaid asclearand clean is a condition of a proposed com pensation land for where-in its status is clear, not in confliCt, not unaer the control of un-nghmJl partieS, and not borne with righton certain land, andnot managed byotherparties. 6. Reclamation is aneffort to corrector recover landand vegetations in a forest area due to the use of forest area so that it can function at an optimum in accor dance with itsallotment. 7. Widthafforest area that ismorethan ,0 % (thirty per cent) isthe width of a forest area in a province that is based on Decision of the Minister of Forestry on the appointment of a forest area of a province where-in the widthof its forest area is more than 30 % (thirty percent) of the width of landof the province. 8. L1 is as meant in Government Regulation No; 2 Year 2008, i.e, the area disturbed by the useof forestarea for supporting means andinfrastructures having a per manentnaturefor the durationof the use of a forest area, andopening of active mines (ha) which further shall becharged withone(1) timesthe tariff of PNBP of the use of Forest area. 9. L2 is as meant in Government Regulation NO.2 Year 2008, i.e. the areadisturbed by the use of forest area having a temporary nature which technically can be irn lTlf'f'liiVely rPrl<'limed (ha), which furthershall be charged with four (4) timesthe tariff of PNBP of the use of for est area. Business News 7765/1-23-2009 Z2A 10.l3 is asmeant in GOvernment Regulation NO.2 Year 2008, i.e. the areadisturbed by the use of forest area having a pennanent nature which technically cannot be reclaimed (ha), which further shall be charged with two (2) times the tariff of PNBP of the use of Forest area until thf':~a is returned. 11. Minister is the Minister charged with duties and re sponSibilities in the sectorof foresby. Article2· leaseof forestareashall be performed based on a permltof the Minister. Article3 lease of forestarea is purported to: a. Limitandregulate the useof a portionof a forestarea for strategic purposes or limitedpublic interestoutside of a forest sector without changing the status, func tionsandallotmentof a forestarea. b. To prevent the presence of endaves within a forest area. CHAPTER II FORM OFFOREST AREA LEASE Article4 lease of a forest areacan be in the form of: a. Lease of forest area for the purpose of development beyond forestryactivities having a non-commercial na ture in provinces where the width of its forestarea is morethan 30% (thirty percent) of the province land wiCltn, with a PNBP compensation onthe use at torest areaas of Rp. 0,DO (zero rupiah). b. Lease of forest areafor the purpose of development beyono forestryacnvmes Inprovinces where thewidth of its forest area ismorethan 30% (thirty percent) of the province land Width, with a PNBP compensation on the use of rorest dEeo. c. Lease of forest area for the purpose of development beyond forestry activities in provinces where the width of its forest erea is less than 30% (thirty percent) of the province land Width, with a compensation in the form of landthat is not a forest area. Article S .. 23A Article 5 (1) Lease of forest area for the purposeof devEllopment beyond forestryactivities covers: a. Religious purposes; b. Defense and security; c. Mining; d. Development of electricity and renewable energy technology installations; e. Development of telecommunication nets; f. Devetopment of water installationmirts; g. Public roads, railroads; n. QlannelS Ofdean water a~orwastewater; i.Inigation; j. Watercontainmentbasins; k. PublIC faCllItleS; I.Telecommunication rweaters; rn, Radlotransmission stations; n. "TeleVISIOn relaystatIOnS; 0. 5ea,lair traffic safety means. (2) For the developmentof' roads, canals, or the like not liMltyJIiD:Id i:I5~NiId5.m-m. in pi.... (1) letter 9 among othersfor the PUfJlOll!~ tnIMf,lorting faml yields crothers, it can be~witha·lease a f'ofl=it aq::a. Artide6 (1) Development o;lMIIos brNond foraW~within Perum Perhutani workarea able to supporttheman agement riforest, does not require any lease of·for est: area, but it GIn be a pOrt d the rnanegc:rna'lt of PerumPertIJtaniferest management. (2) The ac:tiYities meant in paragraph (1) must tIf5ltv re ceive ¥~ at tbe·Mini*r wtVcb~~ fol lowedl4' by.c:ooperaOOn betweenFetun PemutaAl and tile appIIamt. QWJt£Rm 0BJ£Cl'0F FOREST AReA lEASE Artide 7 (1) Forest U1at canbe provided with Iease·d fGlrest area permit areonly productionforest:areasandCon servation Fore!otArecK Business News n65/1-23-2009 (2) In Conservation Forest Areas, it is prohibited to cany outopen pattern mining. (3) Open patten mining In conservation forests is appli cable only for 13 (thirteen) permits as stipulated in Presidential Decree No.41 Year 2004pursuanttIl Law No. 19 Year 2004. (4) Provisions and procedures on lease of forest areafor openpattern mining in conservation forestsasmeant in paragraph (3) shall be as regulated in this RegUla tion. Article 8 (1) In forest areasobliged to possess a pennit In the field of forestryorPerum Perhutani workarea, the lease of forest area for development outside of forestry, can be accounted for 10 % (ten percent) ata maximum of the permitted area or work area. (2) The definition referred to in paragraph (1), is not ap Ptlcable for lease of forest area for statedefense and sea/air traffic safety. CHAPTER IV PROCEDURE FORlHE SUBMISSION OFAPPUCATION Artide9 (.) AfPicat:iJn for the Iea$e of t'oreitarea may besubmit tedbY': a.~ b.-Foundations; c.State Owned Business Entewri6es (BUMN) I Region CJwnEd fUjiRe6fZ Enterprises (BUMD); d. PrivateBusiness Enterprises; e. Government Agencies. (2) The application for the leaseeI'alorest area meant in pamgraph (1) shell be submitedbv the Heildd Gov amment: AgendeslManagement: d CampanteslMan agementofCOoperatiYes/~of Fotmations to the Minister, withcopies to: a. secretary~lnf theForAlthy ~rtn1Pnt; b. Headd ForeStry Plano logy BOdy; c. Director General in charge of Forestry Production Managpmpnt; d. Director .••.• d. DirectorGeneral in charge of ForestProtection and Nature Conservation; e. DirectorGeneral in charge of land Rehabilitation and Social Forestry ; f. Hcod of Forest Are;:t Stabiljmtion Board. (3) -nte application referred to in paragraph (i) must be accompanied withKK/KP/PKP2B/SIPD/Pennits/ other Agl"QelTlents that had been issu-ed by the offldal pur suant to its authority,exceptfor actiVities not obliged to havea permit/agreement. {4} The application referred to in p:nagJ'3(1h (1) mu~t he accompanied with: a. Work. plan on the useof the forest areaattached with map of l"hP- location with a 1 : 50,000 or the largestscale of the location With informationof the width ofthe appliedforest area and newestsatel Iit€ imaging with a resolutiOn detail as of 15 (fif teen) metersor a resolution detaB asd morethan 15(fifteen) meters in the form of digital and hard copy signed by theapplicant andstatingthe source of the satclHte imagery; b. Recommendation of the Regent/Mayor for permits related with the lease of forest area issued by the Governor; c. Recommendation of the Govemor for permits re lated wItt1 the leaseof forest area issued" by the Regent/Mayor andthe Government; d. AMDAL (Analysis of Environmental Impact) having been legalized by theagency havtng theautholity, exceptfor activities not obliged to compile AMDAl, inaccordance withprevafling provisions; e.Technical cOnsideration from UlePresident DiredDr of Perum Perhutani, if the appliedarea is a work area d Perum Perhutani; 1. Permitor agreement ofrelated non-torestrysec tors, except: for·actMties not obliged to possess permit / agreement. g. Statement on ability to fulfill all obligations and to bearallcosts related withthe application; h. ForminingactivitiesissUed by theGovernoror Re gent in accordance with its authority, a consider ation from the 0irec.tDr General in charge of Coal Business~ n65fl-n-7009 24A Mineral and Geothennal of the Departmentof En ergy and Mineral Rcsou~ is required, Article 10 Application for the lease of forest area for state defense andseajairtraffic safety meansshall be submit ted by the Ministerprovided with dutieS andresponsibili ~ in the sector concemOO to the Minister iICCOMpanied with requirement in the form of WOrk. plan on the useof the forest area. Article 11 (t) Application for permit to use forest area for survey' actMties, for generalresearch activities, and explora tion activitiesshall be submitted by the Head ofGov ernmentAgencieS/ Managementof COmpanies/Man~ agement:ofCoooeratlves/Ma~of FouOOations to the Minister, withcopes to: a. secretary General of the F<lresb'Y. Department; b. Head ofForestryPlano logy Body; c. Dired:DJ Gener~ in d\arge.d ForestTy Production Management; d. DiIectorGener'aI incharge of fo{e:t Protection and Nature ConsetVat:tonj e. Director General In charge of Land Rehabilitation andSocial Forestry; f. Head of forest AreaStabiU1BtionBoard. (2)Theappliqltion referred to 'inparagraph (1) must be aocompaniedwlttl KK/KP/PKP2BfPennit/other agree menU issued by officials in accordance with its au thority, except roraclivi1ies notObliged toJl(JS55 per mit/agreement (3) Theapplicationreferredto·in paragraph(1)must be accompanied with: a. Work plan on the use of the forestarea ·attached with map of the location with a 1 : 50.000 or the largestscaleofthelocation with information of{he width ofthe applied forest arealsigned by the ap pllCant; b. Re«xnmendation of theR~fofpennits releted With the leaseof forestarea issued by the Goremor; c. Recommendation ..... c. Recommendation of the Governor for permits re lated with the lease of forest area issued by the R~ent/Mayur dllU Guvenllll~ Il, d. Technical considerations from the President Direc tor of Perum Perhutani if the requested area is a I"'crum Perhutanl work area; e. Pennit or agreement of related non-forestrysec tors, except for activities not obliged to possess permit I agreement. f. Statement on ability to fulfill all obligations and to bearall costsrelated with the application. g. Forminingactivities issued by the Governor or Re gent/Mayor inaccordance with its authority, acon sideratlon fA the DirectorGeneral Incharge ofCoal Mineral andGeothermal of the Departmentof En ergyand Mineral Resources is required. OiAPTERV PROCEDURE FOR THE SETTLEMENT OF APPUCATlON Article12 (1) Head of Forestry Plano logyBody shall coordinate Ech elon-I officials concerned withthe coverage of the for estryDepartment to providerecommendations/tech nical considerations to the Minister to make a deci son. (2) The technical considerations on lease of forest area meant in paragraph (1) is asfollows: C1. Fur Conservation Forest area, the technical con siderations shall be given by the DirectorGeneral in charge of ForestProtection and NatureConser vation; b. For production area forest, shan be given by the Director General in chargeof Forestry Production Mana99""ent; c. ForPerum Perhutani work area, the technical con siderations shall be given by the President Director ofP~m Perhutani; d. Thetechnical considerations referred to in letters a and b are responses to the copyof the applica tionsubmitted by the applicant. Article 13 Inthea::rm:xtofprovicfngthetB:hnk:afml5i1erations Business News n65{1-2.3-2009 25A referred to in Article 12to the Minister, particular1yfor open mines in conservation forest as meant in Article 7 para YldlJll (3), lilt: (ollowing ::.lcJyes must lit: (,.(II I jed out: a. An integratedstudy bya StudyTeam where-in its ele ments shall consist of elements of related Echelon-I work units and clements of other related agcncies; b. Formation of the Study Team referred to in letter a shallbe pelformed bythe Minister; c. Recommendation of the study result shall be reported by the Team Chairman to the Head of Forestry Plano logy Bodyandshall be forwarded to the Ministerfor a decision; d. Costs artsing due totne formation of the StudyTeam and its activities shall be borne on the applicant, on condition that suchcosts shallnot be binding. Artide 14 (1) In the event the application for the lease of a forest area is ~ected, theMinister shall issue a rejection letteronsaid application. (2) In the event the application for the lease of a forest area is approved, the Ministershall issue a principle approval letter on the forestarea lease, covering obli gabons tobe fultiUed bytile applicant, with atennof 2 (two) years andextendable. (3) In theeventtheapplication fur the lease offorest area is for surveyactivities,generalresearch and explora ton for actiVtties outside of forestry is approved by the Minister, the Head of Forestry Plano logyBodyon be halfof the Minister shall issue a permit approval letter for activities within the forest eree wntdining ubliyd tions to be fulfilled by the applicant, with a term of 2 (two) yearsand extendable. CHAPTER VI OR! TC:;AllONS OF THE APPllCANT Article 15 (1) If the Minister approves theprinciple agreement onthe forest area lease referred to in Article 14 paragraph (2.), the applicantshall: a. Bear the costs of the borders of the lease of the forest area; b. Bear .. b. Bearthe costs of inventorying of trees; c. Perform reclamation and reforestation owWte for est area that is no lortger used without having to wait the terminationof the term of the lease of the forest area; d. Perform forest protection; e. Provide fadlities to forestry officersboth from the Central andRegion whiteperforming monitoring and evaluation inthe field; f. Bear all costsdue to the presence of the lease of the forest area. g. considering that the fulfillment of the obligations in letters (c), (d), (e) and (f) are performed after the issuance of the lease of forest area permit, then the applicantis obligedto draw up a statementin the appearance of a notary. (2) If the applicantreceiving the prinaple iitireemant on forest area lease with a land compensation for the lease of forest areain provinces wherethe width of its forest area is less than 30 % (thirty percent) of the province landwidth, other obligations besides the ob ligations referred to in the abovepaiJgraph(1) are: a. Provid~ anddPlivPr non-forest arealandto the for estry Departmentthat is clear and clean as com pensation of the leased forest area; b. Bear the costs of confinnation of forest areaorigi nating. from land compensation; c. Perform and bear reforestation costson the land compensation. (3) In the eventtheapplicant receiving the principle agree mentonforestarea lease in provinces wherethe wktth uf il.5 forestarea is morethan 30 % (thirty percent) of the province landwidth, other obligations besides the obligations referred to in the aboveparagraph (1) is to pay PNBP for the use of foresl Ared in accordance with legistations. (4) If theapplied forest areaisa naturalforest, then other obligations besides the ObligatIOns referredto in pera graph (1) and paragraph (2) or paragraph (3) above are: a. Topay ForestResources Royalty (PSDH) and Re forestation Funds (DR) which shall be paid to the Government in accordance with prevailing provi sions; b. In areashaVing beenbornewith utilizationpermit, the borrower shall be imposed with an obligation to pay the PermitContributionthat had beenpaid by the holderof the utilizationpermit based on the width of the area being used in accordance with prevailing provisions. c. Topay investmentcostsof forest management or forest utilization to the managementor holder of ltillzation permit due to the useof forest areaac cording to the width ofcultivatedforestareabeing leasedand the termofthe lease 'Of the fOrest area. (5) If the appliedforestarea isa QJltivated forestor refor estationarea, then other obligationsbesides the obli gations referred to in paragraph (1) and paragraph (2) or paragraph (3) aboveare: a. Topay indemnifications of tree values to the holder of utilization permitor-tothe Government for those not barr.e with permit pursuant to planting costs sources; b. To pay PSDH to theGovernment in accordance with prevailing provisions; 1":. To pay Permit Contributionshaving been paid by the holderof utilization permit based on the width of the areaused in accordance withprevailing pro visions; d. Topayinvestmentcostsof forest management or forestutilization to the management or holderof utilization pennit due to the use of forest are;! '11": cording to the width ofcultivatedforest areabeing leased andthe term ofthe lease ofthe forest erea, Article16 Obligations of an applicantreceiving an approval permit for activities in a forest orca for surveyactivities, general research and expk>ration activitiesoutsideof for estry sectorare as foUows: 8;10 ... -.. 27A a. To make a reportonthefulfiUment dobllgations stIpu lated Inthepermit forad:IvIties ·in t11e forest areaperi odicaIyeNerV six(6) monttts to the Mi"lster; b. To'pay 1ndem.1II'k:attonsdtree values of OJItiYated for est and PSOH or to pay PSDH and DR for treesdam aged/eut In natural forest In accordance with prevaW ing pn:Ms1ons; c. 1b pay investmentcosts d forest managementorfor est utIilation to themanagementor tile holderOf' uti lization permitorpnMndal/regeocy services incharge offorestry due to the useOfrarest areaaccording to the WIdth Of the aJlt:iVate(I foreSt area tJetng leased and1he tennof theleaseof the forestarea; d. NottDbuId anypermanentconstructions; e. PerfOnn foreSt prtJfet'tIOni t Pes roil Iledamatkli and t"ehabMatloi I on opened/used forest area; g. PRMdefcl:lldesbJ1bre5try uffIo:r5ldh from the Q:w trcII and Region whIepefonning II1OI1il1:Jrir9andevakt clition Inthefield; h. lb -maIe«~ letter on hMiUing iIUotMglations Inthe appe8ianceda Notary. Article 17 The utlzation d wood asa result d the lease d 1'oreItOIUl permit tefeiTed to in M:ide 15 paragraph (4-), Nude 15 paragraph (5) andArtide 16 shall be regulated Inac:mrdancewIh I egisIatIoos. ArtiCle 18 (1) R.equn:rnents d proposed ccmpensation land for a fore:t area Is asfollows: a. ClearsIBtus, not In mnfIiCt, not under the oontroI ~parties hewingno~ and rD: managed by olher parties; b.SkuaterJ dfrectty bordering with a forest area; c. t..ocated in thesame Sub-DAS; ifunabteto bemet, entIIedto be ballsferredwithin the same DAS; if it stIfcannotbe met. it Is entitled to betrat tSfer Iedto thearea ofotfter DAS in thesame island orother istlnels in·tne same prOItnce;. Business News n65/1-23--2009 d. Can be re-forested conventionally; e. NuIlitication/c:ancellatiOn ofrighton landcompen sation from the Iand-bQok·in the agencies having the authority; and f. Recommendation rJ theRegent/Mayor or the G0v ernoror National land Bodyinacxmdance with its authority respectivety. (2) Ontheproposed compensation landprovidedbythe applicantas meant In paragraph (1),a field checkshall be made to value its technical feasibility by a Team coordinated by Provincial Forestry service, and the result~ shallbeset forth ina Report onTechni calFeasibilityof the proposed land compensation. (3) Based ontheTechnical Feasiblljty Report referred to in paragraph (2), theMinister shilil issUe an approval on theproposed landcompensation. (4) The proposed 'andcom~ that had been ap proved bytheMinister as meant il paragraph (3) shall further be bcniSfe Iedphysic:.aIv itthet1efd set forthin 8 PhysicalFiekI Transfer Reportwiththe following ar IClIIIgI!IUE!llt: a. In the event the leased forest area is within the wort. area d Perum Perhutani, the ttallsfer shaU be perbmed between the.~ and PenJm PerhlDtli asbasis for tbernaoagementdthe fur est. b. In the event the leased forest area is not in Perum PeItlutanl MiJXarea, the tmnsrer shaD beperformed between theapplicant andtheIXDVindaI service in charge of forestry. c. In the~ the leased forest.area. is nota work aread Perum Perhutani. buttheland eDmDenSB tion borders with PerumPer11lltani work area" the transfershall be performed between theapplicant and Perum Perhutani asbasis til perform theman agement: of the forest. d. The PhysicalReIdT~ReportCQntains, among others. the fnDowlna.matters: Widttl andIocatiDnrl tile transferred.land rom pensat;iQn based on measurement d theLand Affi:lil"§ Of'frp (kadastraI). P'!ffii9'IIy."......... 28A PhysicaRy, thedetM!red landcompensation shall be in a dear stttus, not in conflId:, not under therontrolofpalties havingno rightsthere-to, not borne with certain rigtm; on the land, and not managed by other partie5. The Forestry Department has the right to ex ecute management ad:Mties on the delivered land oompen3Dti6n. Shall attachcopieS of valid proof of thetransfer of rightfrom the land owner'to the user of the rore,t eree, and evidences Ofthe rek:ose of right on thelanel te be a forest area. (S) Based onthe physical field traMferreportreferred to In pamgraptl (1'), it shlll!1 further be fonowed with a b8i tsfet 'Of document5 of thelandcompensation from the applicantto the Head ofForestry Planology Body 111 the narnt:: dtttte-MInI5ter, and further \.uproces5 the conflnnatlon of'the forest area originating from the landcnmpensatiOn. (6) F1e1C.l C1Ltiv!lie5 on lht! reased rurest area rnay be per formed afterthe issuance of the 'ease permit. Artide 19 (1) The Minister can provide a dlSpenSatJonfor theperfor mance ofattMtieson leasedforest areas. (2l The dIspensatIOn referred to In paragrapn(1) shan be wtth,thefodowing reqUirement: a. Forthe extenSIon of leased forest area agreement Where-in tne rum'nmem Of requirements must be conformed to this RegulBnon orthe-extension of a lease agreaIlei d/pennIt stmoperaUonalln the field bUt me extenSIOn tX1JIe1easing process IS not yet issued; b. FOrar:tMties petfQtned by fIlJMM or8lJMO ; Co forad:Mtles ttie'p8yn1eftt'there-Oforiginates from APBN or APBD; d. ForaetlvitiestfBUMS" tnetlJndft'Tg there-dis Shared with theGoYemment; e. Fornational vital pi ojeds orobjed:s; f. Fordeanwater, CJiI & gas, eled:riClty and tetecom munication proJedS. Business News 7165/1-23-2009 (3) The dlSpensatlon referred to in paragraph (1), will be given afterthe fulfillment ofthe obligations referredto in,Articie 15 exceptfor land~ oncondi tion that a statement on the abllty to fulfill the land cornpencation in the ~pearanceofa Notary. (4) "The provision of dispensation for handHng activItieS of natural disasters and state defense is entlUed to be givflon without ~1tI11gfor the htJl'fllrTMri d thE! obliga tions referred to in Article 15. (5) Dispensation win be provkIed for a term of one (1) year andextendable in-accordance with the time pe rod of the principleapprovalor the time required for the settiementof land administrationontheland a)m oensation. (6) Holders of dtspensatlonpermlt are obliged to amplle a work planonthe setl1ement of the fuWiltment of 0b ligations. Artide20 (1) Technicalities of. the reforestation of land compensa tIOn, including the typesof plants isdetermined in ac cordance with the management function and plan, or utilization planof the forest area,or Il!foIestation plan compiled by the applicant under the guidance d the local Regional Bureau ofRiver' Basin Area Management (BP-!DAS). (2) Rea&zatlon of the reforestationof the 'land axnpensa tiDn mustbe completedin two (2) yearsatttleilltest after thedelivery of the laRd compensation meant in ArtktIe 16 paragraph(4). (3) Evaluation of thesuc.te9S of re(Clestatb, pIeintsootbe landcompensation shallbe made at hafmthe cyde timedthe typedstiPUlated~ IJ1dthetrans ferdplants"that aretheyieldofthe16aestatioodthe I8ndCOlnpensilItioil sMI'be madeat:1I1eend dthec:yde orend of IeiIse afforest areapermitJ~ (4) Tl'ansferd thE=: plants thatareI1!!d:sfAthe ret'oresIa tion meant in paragraph{2} sttaItbe set fDrth Ina Re portontheTramterof Rebestatiun PIBII'IIsonthe land aJfnPen5iltioo fmmthebolder rA IeIIsiRJ permit to the forest mill1llQE!l1lerlt/hoIderof utilization permit or to the provindal/regency servkE in charge of forestry. (SlIn .... , (5) Intheeventthe land compensation will become PenJm PertllJblnl1NOl1c. area,then~~ oft:he f.:tnd compensation shall be performedby PerurnPerhutani inaccordancewithprevailing provisions. ArtiCle 21 (l) Redamatlon onp&armed areasshall be perfonned im mediatelv after the oorm»etion of mininaactivities on Ll and L2 or after the,(X)l'1"lple6on of the use-of the forest areaandbefore the expiry of the lease of forest area permit. (2)Re-vegetation in reclamation actiVities shall be made WIth a planting interval as of 4 X 4 meters or doser usingforestvegetation types. (3)Evaluation onthe success~I of re-veget:ation within reclamation activities shallbe made QIl thethird year afterplantation, withthefollowing provisions: a. Succe$S percentage shallbe a minimum of 80 % (eighty percent)of the numberof plantedcrops; b. Pertentage ofhealthy plantsshallbea minimum eX 80 % (eightypen:ent); Business News 776511-23-2009 29A c. Evafuation shallusethe cenRJS method. (4) EvaILJ<'ltioo on the ~u~levelof~within reclamatiOn activities meant in paragraph (3) shall be performed by: a. For mining sectors, by the Forest Area Stabilin tioft,8Qard (BPKH), by induding etements-eJemen of BP-DAS, Monitoring Board of Production Forest Utilization(~P), DepBrtment of Enefgy ancf.Min.,. ealResoun:es,l Provincial Mining5ervIce, and must be set forth in a Report. b. For" non mining sedloIs, by Bl"KH by iliduding BP DAS and BP2Hp, andmust be set forth ina Report. (5) For the perfonnance of rectamationactivities in Perum Petttutllni wotkDI1!:flS, permit; holders shell cooperate VffthPerum Perl1utanl1n at'OOfttance wfth l.eg1s1ations. O1APTERVll . ( TO becontinued ) 4. Presidential ••... SA GUIDEUNES ON THE LEASE OF fOREST AREA (Regulation of the Minister of Forestry No. P.43/Menhut-ll/2008, dated July 10, 2008) [ContinuQd from Business News No. 7765 pages 2OA~29Al OiAPTERVII rORLSTAJlEA LEASE PERMIT Artide22 (1) Permit for forest area lease wlU be issued by the Min isterafterthe fulfillment ofall (1 tile ObItgatJonS Inthe principle approval are in aceoraance with prevailing provisions. (2) As an exception to the provision referred win ,para graph (1), the permit for forestare.a Jease.t:af1 be is ~UM under the conditions refeITed to inArtide 19. Artlde23 (1) Permits for survey activities, tor~ reseatdl ac tivitles,and tor~~on activities out side Of fore$t1y, pindpIe i!rppfMI,and lease~ forest area.~ maybe-b'ansfel ,Od· o:t8dill:herpaItV or for a.changed name after receiVing a written ap proval from thepermitissuer. BuSiness News n66/1-28-2009 (2) The transfer of pennJt or change of name referred to in paragraph (1), isperfonned by submittinaanappli catiOn to the Mlnisterwfth required aa:ompanying docu ments. OiAI'1tRVID RIGHTS OF lEASE PERMIT HOLDERS Artfde24 Aholder of foreStarea lease permit has the right to occupy and manage as well as to cany out activities reIlrted wIth.lease Offo~ area activities. OtAPTERlX' lANDCOMPENSA'tION Artide25 (1) Lease of forest area using the land Q)lTJpensatfon methodf5~by; 8. ProvIdIng anddeltvering a land compensation or; b.PayIngtbe PMBPforttle useof forestarea. (2) 1"" " :...r..u. (2) Lease offorestarea withoutproviding and delivering land c:.ompensation may be given only for: a. Non-oommerdal actiVIties peJformed andownedbv GoYemmenI:agencies" Inprovinces wherethEt width fA Ib rons. art!iI is mm: thcIll 30% (th4ty~t) of landwldthcI the related province; or b. state defense intI!lrest; or c. 5ea!alr traffiC safely means. Artide26 (1) The leasing of forest area by land compensation as referredto In ArtIcle 25 paragraph (1) Jetter.~ is regu latedwiththefollowing provisions: a. For lease offorestareas for commercial purposes In provinces where the widttl of ItS foI'estClirea is less than 30 % (thirty percent) of the province land width, the appUcant mustprovide anddeliver land compensation that is c:lear and dean andre-for estedto the Fore5try Department in a width oftwo (2) times thewidthof theforestareatobe used. b. Forthe useofforest·area that is non-mmmerdalin nature in PnMnoes where the: width·ct tts fotest area-is1lss-ttBft 30% (thirty percent) d thepray. inee land width, the applicant must provide and delIVer laRd compensatIOn that is dear all(J dean and re-forested to the Foresby Department In a width of one (1) timesthe widthof the forest area to be used. (2) lease d forestarea thrua axnpensation I7ipayiQg the PNBP on the use of the forest area referred to in h tide 25 par8glClph (1) letter b Is regulated with the following provisions: a. For leased forest area for comrnerdal purposes In prcMnces wherethewidth d itsforestareil is more than 30 % (thirty percent) of the province land width, the applicant must pay the PNBP (In the USE! of forest area In lieuof the land compensation. b. For theuse of forestarea that is oon-commerdaJ In IllIture in provinces where the width of ib fore5t Business News n66/1-28--2009 9A area is more than 30%(thirty percent) of the prov Ince land widUl, the appUc:anl: shall pay the PNBP on the we of t'orestareaJn lIeUof Iat1d compensation at a tariff of Rp0,00 (zero rt4>iah). (3) The provision d Ii:Ind compensation must befulfiJled by the applicant of the forest area tease within a period of two (2) yearsat theIIt8st from theissuance d the prindQle apprawII an fcle5I::~lease by Ule Min isb!r. (~) For theleased forestareabypaying PNBP for the use of the,foreSt area referred to ifIt Artide 4 letter b and AItlcle 25 paragraph (l).Ietter b, the amount of the PNBP i5cak:&11ated bI:IBJ onthetbIIcrMng famuIa:PNBP =(11xtariff) + (L2x4 x tariff) +{L.:ix 2x tanff} Rp/ Year. (S)Proc:edureon the imposlng. ooIecting and usingPNBP fund on the user:IfoIestaimshall bereguaeted·sepa ratdy. QiAAffR)( TERM AND EXTENSION OF fOREST AAEAtEASE.PERMIT AItide·21 (1)Term ofthepermitfor forestarea leaseis20(twenty) years at tile longest, and extendiJbIe in acmrdance withpermitting in Itsfield, and maybe revoked by the Ministerinthe event ofviolations ctprovisions r:i leg Islations. (2) Pennits for -SlHVeY actiVities, far general research ec tivities# and for explcMationad:ivit:ies on activitiesout sidetttorestrywlthinafoJestamkgMn fortwn(2) yearsandeldandabieiA~wih B$sedIorV«ll'k Plan, aRdmcw beJeIIOkedbvdie Head rJ fOJestJY Plan ni~ Bodyon behalfcl thel4lnlster in the event d vi0 lations of provislons.of 'egis'iItioIlS. (3) Extension for the pennit:of~ aree·le,as@, and per mits forSW\'eYaetMties, for gefJef'ilreseatdl activities andfor exploration aetMties·on·activities outsidedfor esb)', will be gNcn baed on ~utmofan evafuation. (4)Tenn . lOA (4) Term of the lease OfforeSt area for the purpose of state defenseandge8/air b'affic safety meallSas well as forpublicroedsshaII·appty forthedIntion itisstill usedforsakipurposes. Artfde28 (1)The isSUaIlce fAanextensiondtheterm dforestarea lease is made by the Minister. (2)AppI~for the~ d a (.B1TI1on foresI:area leaseshallbe~ to theMtnisterwJth copies as referred to InArtide9 paragraph (2) andmustbesub ntitted sO< (6) month.s at tf1e·1atmtbefore the cepi1y of sudlpennit {3} AppIicatJon for the extensfon M permjt>; for survey Be tMtIe5,general researdl aet1vItIes and expIoraUon ec tivItIeS on actMties outside of 1'on:!st7Y shall be ad dressed to the Minister with copies as lefellOO to in ArtIcle 11 paragraph {I} andmustbesubmtted three (3) months at the latest beforethe expiryof the per mit. (4) Application for~ettensiDnria~ apprt:Ha\ on the useofa forestarea shall be addressedtothe Min Ister, andshatl be submftted three (3) months at the latestbefon! tfie·expiryd the approval. ·GtAPlmXI MONlTORlNGNfOEVAL.UJmON Micle2'l (1) MonitOring andevafuatfon shallbe pecfonned onthe prindp&e apprtMll, permit forSlINeyactiVIties, pennlt 101"generalreseart:h- acdYfUesand permitfor expIora donadMtfes foract:fvItieSoutside rlfcresbYand~ mentor lease afforestarea pennit (2) Monitoring ad:IYitfes shall be performed at least ()O(E a year coordinated by the Headof Pravfndaf 5efvla! in charge of Forestry, wtt.tr members consisting of ele ments of ForestArea·stabilization Board, River Basin Business News 7766/h?8-2009 AreaMan2lgementBo8rd, Monitor1ng Board onthe utI~ lization rtProductiOn Porest,andRegency/Municipal~ JtyServIces In charge of Foresby. (3)Eva'luatiotr adMties Shan be perfonned at leastonce In ffvoe (5)years coordinated by the Head Of Provincial servtee InCharge cI Foresby with .Team canposftlOn consisting ofelementsof the Forest Area StabilizatIOn Board,RJVer Basin Area Management Board, Monltor~ ing Board on the Wization of Production~ re 1ab!d Forestry Deparbnent UPT and Regenc:y/Munid~ patty 5ervtees in charge of Forestry, with a verifica~ t:Iotl from the Forestry Planning Body. {1) Costs for the monftnring and evaluation referred tD in paragraph (2) and paragraph (3) shall be borne onthe holderd prindpJe approval, permit for surveyactivities.. permitfor' general~ aaMtie:i and pennil For ex pIoIatIon aetMtJes fDr actfvities outside of forestry, and agl'8!JT1el1t or 1ease 01' forestarea pennlt. (5) Fwther pn;Msi:ms onthe perfonnance fA the requJJ'e-o ments referred to 1n paragraph (1) andparagraph (2) shalbe reguJatedbythe thddForesbyPIaMngBcd)t ArtfdeJO If basedonthe result of anevaluation on the ful fillment Ofthe oblIgatJons in the prindpJe appnMll, the permittor survey ad:iYIties, forgeneralresearchactiVitIes aM frJr~ adMties for ad'fvitj@o; out:sid@ of for estry, andagreement or lease of forestarea pennlt, it is foundoutthat the permithoIdeIs didnot fulfill their obllga tIan$,~ shall be Imposed to sandior\s In ao::ordance with legislations, O1APTERXIl NUI..11FICATION OF FOREST AREA LEASE PERMIT Alttde31 (1) Permit Approval for surveyactMtles, for general re sean:h aGtMties and for exploration activities for ac tivities outside offorestry, prlndple approval andlease of forestarea pennltshaH benullified if: l'I Tfo!lTfl ••• ItA B. Term expired~ b. RedcedbythepermlttssuerauSIndIrDnImposed to a pennit hotter; c. RebJI'ned Dra permit hoIcIer WItha wnuen Slate merit to the permit i9stJer.beforethe expiry date rK the prindpIe approval. (2.) 5ar\ttk)ns meantInpaTagtaph (1) 'etter b shaM be ;m.. posed': B. NMusilg the 1OreSt:area orvk*Il:ed provisions stated In the pennltfor survey actiVities, for general re seardt act.tvlties, and for exploration adivitiesfor adM:fes outsideof foreslry, principleapprowI and lease d forest areapermit; b. Tmnsfemng it to another party and/or changing the name ofpennit for SUrYf!!f activities,permitfor generalresearch activtties and permitfor expbra tim actMtIesfor ae:tMties outside offorestry, prin dple approval and lease of forest area permit. withoutthe approval of the Minister; or c. Leaving the exploited forest area before tennina lion. (3) The imposing of sanction in the form of revoca tion shall be Imposed after the holder of permit for survey activities, for general research activi ties, and for exploration activIties for actIvities outside of forestry, principle approval or agree mentor lease of forest area permit was given a warning by the Head of provincial SeiVice incharge of forestry for three (3) times consecutfvely with a consideration period as of 30 (thirty) working days from the receipt of the warning letter and its r@vocation §:haU be proposed by the Head of Pro vincial' service In charge of Forestry. (4)ThemMicat:ionof permitforSUIVe'Y aetMbes, for gen eral research ae:tivities, and for exploration actiVities fer ad:Mtiesoutsidefifortstry, principle approw' and agreementor leaserI forest area penni, asmeant In paragraph (1) cJoesf1IJt relieve theobl~of the permit holderto: Business News n6Fi/1.-]R-200Q a. Settle the payment d aUIts Qbllgations stipuloted b'ftt:le Minlstlllr. b. Perform an stipulated pnMsionS untKthieaxpiryOf pennJt fOr survey acttvItJes, 1tJf' general resear~h actiVities, andforexploration adMttes foractivities outside of forestry, principle approval and agree ment or teaser:I forestarea permit, in i.\ttOfdance with prevaJJing provisjons. (5) When the agreernent: orthe forest area lease permit asmeantin' paragraph (l) letter b andc, is nUHlfied, the Ieased·area·mustbe nedaimed or the edstence of meansandInfrastrUctures that had been constructed shall bedecided by the Minister. (6) Pennit for survey ae.tIvitie:S, for general research activi ties. andfor exDIoration actMtIes for activities outside of forestry, principle approval and agreementor !'ease of forest area permit with certain considerations may becan~ by t:tM! Min~r. (7) With the termination of the use of forestarea, andthe reclamation was evaluated as being sUccessfuf, me MiJljsta- milthen issue a Oed:iion Letter on theTenTll nation of the forest area lease permit, and the trans fer of the leased forest area is regulated as follows : a. In Pe'Un1 PeI1lutani Yakareas, me transler IS made between PenJm PerhutanJ and the hoJder of the forestarea lease pennlt; b. In forest areas bomeWIth foreStutilization permit, it shalt be made between the utilization pennlt holderand the holderof forestarea1easepem11t; C. Inforestareas not: yet managed and natborne with forest utiUzation permit, Itshallbe made between the Provinda\SeMcein·chaTQed'Forestrvand the holdereXforest area lease permit. rnA~xm TRANSfTlONALPROVlSlONS Artide32 (1)The use cf forestDl'Cb executed With an agreement on forestarea leaseshaH remain valid untilthe expiration nf.. "' . rl thelease term, when!es theatI!PSiorl t:hrft:-etshan be carried out in acoordance wItIPftJ\'iS*HIS of this ReguIadcn. (2) Further process on principle approvals on forest area lease exlstint befm'ethe Jtipulatkm of thIs Regulation and ttotytlt foUo..HJp with a lease sol1!lMlent, shAll be conforn1ed: to.Drovislons ofthis Regulation. (3) Holders d principteapprovals whohadprovk:Ied 'land compensation and had:beenpncw essed with preII8iling provisions before the stipulationofthis~ are dedared asstiJI validandshall be·processed in aceor dance with provisiofl5.prevanJng then, except Ofl the regulating of basis of righton tile landcompensation which shall fotlowArtk:le 18paragraph(1) lettere and Artide 18 paragraph (4); (4) In theeventofchanges d functions of tile lease£! for est area, andpursuant to law No. 41Year 1999con cerning Forestry It Is prohibited, the lease agreement or permit for the forest area lease shaH remain valid untilthe expirationd theagreement;lpermit tenn and the Minister may not extend tnepennitforthe forest area~se. (5) An aareement onforest area lease notyet statingan obligation to provide land ampere;ation or theobliga tion to re-forest the forest areaoutsideafthe leased area, the pennit for the forest area lease shaH be with anobligation topl'OYideand deliver a landaxnpensa tion or to paythe PNP8 on the use rl forest area for Provirn:es wiUt a forest mea width above 30% (thirty pel tel It) ofthe pnMr1c:e land Width In aaordance with provi5iOns dthis Regulation. (ti) ProvISiOns ror pertIeS tn8t had pos5E!ssedBn agree mentor lease of forest area- permitroncernfng land compensation is reguiated asfollows : a. A holder of anagreement or permitof forest area lease andhad petformedactivities on the use of a forestarea buthad notyet provided land mmpen sation shaD bedlarged with PNBP ontheU5e'ofthe Rllciru:>cc "'<>wc 77F-t:.f1-?R-?O()Q forest area fromthe stfpulatiort'OfprorftsiOnscon JlfiINlJP:GR,JIae-..Gfthe·tinIt· n ae 1XIIdancewltt.pteIaIUng~ b. HlJIder of an aglienllilt er permit.,. forest area feMe haYtng.pef..,.a:JiIilje;oo tne use of a forestarea but not vet~wIh·a JlInd(Dmpen.; 5ation obigatfDn, shaM lie chaIved with PHBPon the use of the forest area from the stipt.dltion of the reqUirement on PNBPfund· on 1he use d the forest".--; c. ·HoIder·Qf an agreement: or permit ofmrest area lease d1arged withtheobligation to provide a land compenSlilion lind hod provided the land compen sation is not-borne with PNBP fund on the useof the forestarea; cL t10lder Of.an agreement or permit Of rorest area lease whC)·had·been charged with the obligation to re-foresta forest area outside of its IeBsed area, andbased on tvaIuatian results of ProvIncial for estry 5ervice, the refon!station Isstated tDbesuc cessfulata minimum of fKlOA.t, shallnotbecharged withPNBP fund on the use of the forestarea if the forest areaof the provlnre areB15 morethan30%. ForPltWinces where thewttthofits forest area is tess than 30%, it shall be imposed.with an acldl tionaI·obIigation to providea:1and oompensation; e. Holdm- of an agnM!ITlent or pennit of forest area lease who had been charged wtth anobIigatton to re-fore9t a forest area outside of Its IeaBed area, ..-KJ ba$Ie(I on evah.1atioo resulI:i of the Provinoe For:esIryS8vic:e, it is stated; that the result d the refulestalbn isa faikJre,·stBII becharged wfth PNBP fUnd on the useoffOrest·iU'E!a. (7) FClr a priACiple approvaf on forest area lease not yet stating the obligation to provide and deliver land compensation or charged withPNBP fund on the use of forest area, a new principle approval shall be issued in accordance with provisions of this Regulation. (8) Holdersc1 prindpleapprovals onforestarea leasewith an obligation to prov;de anddeffver landCXH11pensa tion,. andhadPI oc:essed the provision rlthe land~ pensation in aa:ordanc:e with requirements r:l Article 18peragraph (1) Jetter e and f, and' ArUde 18para graph (4), must settle: the land compensation within one(1) year. (9) For 13 (thirteen) mining permitsstipulated in PresI dential DecreE! No. 41 Year 2004 pUrSuantto law No. 19Year 2004, they arestillobliged to submit applica tionsfbl'the leaseofforestarea anddispensatfon per mit. (10)Intlle eventthe application A!ferred to Inparagraph (9) meet aD of the requirements, the MinJster shaD IssUe prtndpIe approvals onthe forest area lease and pennitforthe dispensation ofthe forest area lease. eIl} In theeventa perrnjt of forestarea Jease hadexpired buttheredamation obligation had notbeen mmpleted, then the pennlt of suchfOrest l:lrea lease wrH be ex tended just for the purposeof performing the recla mation until the redamation isdeclared asa success. Q-lAPTER XIV Q.OSING PROVISIONS Artide 33 Withthe &ipulatlon ofthisForestry Minister Regu lation, then Forestry 'MInister Regulation No. p.l2/Mlnlster ofFor'estry-II/2004, FotestryMfnfsterReguIaUon No. P.14/ BusinessNews n66/1-28-2009 MinisterofForestry-Il/2006and ForestryMinister RegUla tion No. P.64{Ministerof~/2006 are~ as no more in effect. Artide34 ThisForestryMinisterRegulation commences to becomecfJective from the date ofstipulation. Farpublic oognizanee, thisForestry Minister Regu lation shall be announced In theState Gazette Ofthe Re publicof Indol1@Sja. StIpuiated in Jakarta OnJutv10,2008 THE MINISTER OF FORESTRY, 9:J1. H.M.S. KABAN EnadedInJakarta OnJuly17,'2008 1lfE MINISTER. OF LAW AND HUMAN RIGHTS OFTHE REPUBUC OF INDONESIA, sgd. ANDl MATTALATTA STATE GAZETTE OFll-IE REPUBUC OF INDONESIAYEAR 2008 NO. 24 ""==(0 )=== Ar:t!ge 5, •...