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Govt. Regulates Procedures for the Release and Annulment of Land Rights over Areas of Burnt Land

The Minister of Agrarian Affairs and Spatial Planning/Head of National Land Agency (“Minister”) has issued Regulation No. 15 of 2016 on Procedures for Relinquishment or Annulment of the Right to Farm and Right to Use over Areas of Burnt Land (“2016 Regulation”).The 2016 Regulation sets out the procedures through which the government can impose sanctions in the form of mandatory relinquishment or annulment of any Right-to-Farm or Right-to-Use land titles over areas in possession of parties which have failed to mitigate the effects of fire.The 2016 Regulation is of relevance to all holders of Right-to-Farm and Right-to-Use land titles.Land Rights: Right to Farm and Right to UseAs a general rule, the government may grant Right-to-Farm (Hak Guna Usaha) and Right-to-Use (Hak Pakai) titles to either individuals or entities (“Land-Rights Holders”). The Right to Farm is bestowed so that state-owned lands can be cultivated by agricultural, fishery, and livestock businesses. [1] Meanwhile, Right-to-Use titles are bestowed so that plots of land which are owned by the government or Indonesian citizens who are holders of Freehold Estate (Hak Milik) titles can be utilized. [2] The 2016 Regulation sets out a number of obligations which must be fulfilled by all Land-Rights Holders, specifically the obligations to: [3]

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