Minister Purbaya Asks BKPM to Prepare Forest Utilisation Rules Amid Business Confusion
Finance Minister Purbaya Yudhi Sadewa has asked the Ministry of Investment and Downstreaming/Investment Coordinating Board (BKPM) to prepare regulations on the utilisation of production forest in Aceh Jaya Regency following complaints from businesses.
The complaint was lodged by PT Ika Trias Serangkai, a company that processes and exports non-timber forest products (HHBK) based on pine resin and operates in Aceh Province, during a Debottlenecking Channel hearing held by the Task Force for Accelerating Government Programmes to Support Economic Growth (P3M-PPE).
“There is a company that wants to utilise forest areas, but it is facing obstacles,” said Purbaya, as quoted from Antara on Monday (17/8/2026).
PT Ika Trias Serangkai has exported 12 derivative products, such as gum rosin and turpentine, to 26 countries. The problem stems from the non-issuance of the Forest Utilisation Business Licensing Commitment Approval (PBPH) for a production forest area of approximately 44,715 hectares in Aceh Jaya Regency.
The application submitted through the Online Single Submission (OSS) system requires further resolution because the requested area is largely indicated to be within the former PBPH concession area of PT Aceh Inti Timber, whose permit has been revoked.
As a result, the arrangement must follow a special mechanism for land allocation following the revocation of concession permits as stipulated in Presidential Regulation Number 70 of 2023.
This situation has created business uncertainty for the company and has also affected the absorption of pine resin raw materials in line with its production capacity.
“They did not get the land permit because there was some confusion over which regulation applies and who has the authority to issue the permit. After we looked into it, it turned out that the authority is still held by the Ministry of Investment,” he explained.
As a follow-up, the Ministry of Investment and Downstreaming/BKPM, as the authorised party, will follow up on the directive map and land allocation for the former concession of PT Aceh Inti Timber based on Presidential Regulation Number 70 of 2023.
Purbaya explained that they will coordinate further with the Ministry of Forestry, the Ministry of Energy and Mineral Resources, and PT Ika Trias Serangkai to expedite the resolution.
“So I asked the Ministry of Investment to work directly with the investor to see how it might be possible to issue a utilisation letter for the area,” Purbaya added.
Given that there are indications of similar cases on other former concession lands, the resolution of this case could potentially become a policy precedent, so it will be decided carefully and in a coordinated manner.
“This is beneficial because, as the people of Aceh also want to move forward, it can generate business in Aceh with revenue for the region,” Purbaya concluded.