Licensing Process for Borrow-to-Use Forest Area Permits Integrated into the OSS System

The Minister of Environment and Forestry (“ Minister ”) recently issued a Regulation on Guidelines for Borrow-to-Use Forest Areas (“ Regulation 27/2018 ”). This regulation was issued in order to integrate the licensing procedure for Borrow-to-Use Forest Area Permits (Izin Pinjam Pakai Kawasan Hutan– “ IPPKH ”) into the newly operational Online Single Submission (“ OSS ”) system, which is regulated by Government Regulation on Electronically Integrated Business Licensing (“ OSS Regulation ”). [1] Regulation 27/2018 repeals and replaces Regulation of the Minister (“ Regulation 50/2016 ”) which addressed the same matters. [2] In essence, Regulation 27/2018 redefines overall provisions which relate to the IPPKH, which functions as the permit for the utilization of areas of both commercial and protected forest (collectively referred to as “ Forestry Areas ”) for development purposes, as addressed under the following sections: [3]