No More Converting Rice Fields in Bali into Villas

The Bali Provincial Government is taking firm action to halt the alarming rate of agricultural land conversion. Through Governor’s Instruction Number 5 of 2025, Bali Governor Wayan Koster has banned the change of function of rice fields into non-agricultural areas, including the construction of villas and tourism properties. This instruction mandates strict protection for agricultural land in Bali, especially Sustainable Food Agricultural Land (LP2B) and Standard Rice Field Area (LBS), from development pressures. The regulation was actually established on 2 December 2025 but has recently come to prominence following numerous complaints on social media regarding the rejection of Building Construction Approvals (PBG) and Certificates of Worthiness (SLF) by the OSS (Online Single Submission) system. PBG is the official permitting replacement for the Building Permit (IMB), which is mandatory before constructing, altering, or maintaining a building to meet technical standards. Citing the Bali Provincial Government’s website, this policy aims to preserve the availability of productive land while strengthening food sovereignty on the Island of the Gods. Furthermore, this step is part of efforts to realise the regional development vision of “Nangun Sat Kerthi Loka Bali”, which emphasises balance between nature, humans, and culture. “We must ensure that the balance between nature, humans, and culture remains intact. If agricultural land continues to shrink, food sustainability and Bali’s harmony will be threatened,” said Bali Governor Wayan Koster, quoted on Friday (24/4/2026). Local government assesses that without strong protection, the reduction in rice fields could jeopardise the sustainability of the agricultural sector, which has long been one of the foundations of Bali’s economy and culture. This means that development projects such as villas, hotels, or other commercial facilities are no longer permitted to use protected rice fields. In addition, regency/city governments are urged to reject any form of spatial planning revisions that could reduce agricultural land area. Protection of agricultural land is also strengthened through spatial planning policies. The instruction explicitly prohibits changes to the designation of LP2B and LBS in Regional Spatial Planning documents (RTRW) or Detailed Spatial Planning (RDTR). Consequently, the room for manoeuvre to convert rice fields into development zones is increasingly limited, as it has been locked through regional planning regulations.