SBY: Rules on land acquisition politicized

Rendi A. Witular, The Jakarta Post, Jakarta

President Susilo Bambang Yudhoyono has said that he suspected that land speculators and political parties were behind a recent protest by a group of people who were demanding that the government revoke new regulations on land acquisition.

"Land speculators, whose interests are affected by the regulations, are now teaming up with certain political parties to annul the regulations. The government will push to introduce the regulations so that the public will not be easily provoked," he said on Tuesday when opening the Indonesian Chamber of Commerce and Industry (Kadin)'s two-day national conference.

The President, however, refused to name names.

The government issued Presidential Regulation No. 36/2005 on land provision for developments in the public interest last month in an effort to speed up construction of large infrastructure projects.

The regulations were issued to resolve problems in land acquisition for state infrastructure projects, but they have been strongly opposed by certain groups and political parties in several provinces who claim that the regulations would jeopardize the people's right to protect their land.

Included in the government regulations is the authority to eliminate land owner's rights to withhold their properties, unless an agreement is made on the compensation payment offered by the government for the land.

The right, however, will only be applied to a minority of land owners who fail to agree on compensation terms offered by the government for land that will be used for public facilities or infrastructure.

The regulations allow land disputes to be resolved in court, even while construction of the project continues.

"The regulations are in the interests of the public because land speculators always try to disrupt land clearance for public facilities making the cost of construction expensive. Speculators often disrupt construction of (public) facilities," said Susilo.

He also ordered the Ministry of Public Works to make the regulations widely known to prevent the public from being provoked by speculators.

To prevent land speculation the regulations also stipulate a safeguard arrangements for landowners -- whose land will be used for public facilities -- in selling their lands to other parties aside from the government.

People who want to buy land allocated for public facilities in future, have to seek written approval from local administrations before they seal the deal.

In the approval, the buyer has to agree that he or she will not sell the land to other parties at a price higher than that initially set by the government.

At present, the government and private investors often have to buy land at higher prices due to the emergence of land speculators.

Numerous infrastructure projects in the country have run aground due to problems related to land acquisition, with investors facing widespread protests from landowners.