House endorses controversial Plantation Law
Zakki P. Hakim, Jakarta
The House of Representatives endorsed the controversial plantation bill at a plenary session on Monday, despite protests from farmers and non-governmental organizations.
The House said that the new law would provide investors with legal certainty in the industry, although critics have said it fails to protect the interests of small-scale farmers and traditional tribes, particularly in relation to control of land.
The Indonesian Farmers Association (HKTI) stated that the endorsement was a form of negligence and illustrated a lack of concern for justice and equal distribution in the use of state assets.
"The government should provide small farmers with greater access to state assets (land) through state intervention," HKTI vice secretary-general Agusdin Pulungan told The Jakarta Post.
He pointed out as an example that in neighboring Malaysia, farmers were given the right to use land for up to 90 years, a time frame also given to private investors.
He said that the new law would only provide greater opportunity for big plantation companies to exploit the country's natural resources, but leave small farmers out of the picture.
"We will coordinate with other parties to file a judicial review of the Plantation Law to the Constitutional Court," he said.
All nine factions of the House stated their support for the plantation bill.
The session, led by Tosari Wijaya of the United Development Party (PPP) faction, recorded a "minority note" from legislator Sayuti Rahawarin of the Daulatul Ummah Party (PDU) faction, who objected to some of the articles in the bill.
Sayuti said the bill did not protect traditional tribes and small farmers' land from being taken over by big plantation companies holding concession rights.
He also questioned why the bill did not impose criminal sanctions on companies that fail to preserve the environment.
"We have numerous reports on big plantations taking over tribal land. The bill should stipulate that such companies should have their concessions revoked," he told the session.
Sayuti pointed out that articles 46 to 53 impose criminal sanctions of up to 15 years' imprisonment and up to Rp 15 billion (US$1.66 million) in fines for various crimes, including illegal occupation of land, but there were no sanctions for environmental crimes.
However, articles 48 and 49 carry maximum sanctions of 10 years' imprisonment and a Rp 10 billion fine for people who deliberately or out of ignorance clear land using the slash-and- burn method as it damages the environment. Traditional farmers often use this method.
According to the law, regional administrations provide licenses for plantation companies to operate in the regions, but the Ministry of Agriculture has the power to determine the type of commodities grown, while concessions are issued by the National Land Agency (BPN).
Plantations obtain initial concessions spanning 35 years, which can be extended for another 25 years.
After the extended period expires, a company may propose a new 35-year concession for the same area followed by a 25 year extension.