14A

PROVISION FOR IMPLEMENTATION OF PRESIDENTIAL REGULATION NO. 36YEAR 2005CONCERNING LAND PROCUREMENT FOR CONSTRUCTION Of PUBUC INTERE~T AS

AMENDED BY PRESIDENTIAL REGULATION NO. 65YEAR 2006 CONCERNINGAMENDMENT TOPRESIDENTIAL REGULATION NO. 36 YEAR 2005 CONCERNING

LAND PROCUREMENT FOR CONSTRUCTION FOR PUBUC INTEREST

(Regulation of Head of National Land Affairs Agency of RI No.3 Year 2007, dated May 21, 2007)

WITHTHEBLESSING OFTHEONE AND ONLY GOD,

THE HEAD OFNATIONAL LAND AFFAIRS AGENCY OF

REPUBliC INDONESIA,

Considering:

That to implementthe provision InArticle2 and

Article 22ofPresidential Regulation No.36 Year 2005, con­

cemlng Land PrOCurement ror PubliCInterest constructiOn

as amended byPresidential Regulation No.65 Year2006, it

is necessary to stipulated regulation of the Head of Na­

tional Land Affairs Agency on provision for implementing

PreSidential Regulation No.36 Year 2005, concerning Land

Procurement for Public Interest COnstruction asamended

by Presidential Regulation No.65year 2006, concerning

Arn~ndmP,l'\t to Pr~idpntialR~ulationNo_36YAAr20ns,

concemi~ Land Procurement for implementation of Pub­

licInterestCOnstruction;

In View of:

1. Law No.5 Y03r 1%0, concerning Regulation of Agro:r

ian Basic Prindpals (Statute Book of the Republic of

Indonesia Year1960No.104, Supplement to Statute

Book of theRepublic ofIndonesia No.2043);

2. Law No.51 Prp. Year 1960,concerning Prohibition from

uSing Land Wltrl pennltrrom the AuthohZed Person or

hiS/her proxy (Statute Book of the Republic of Indone­

sia Year1960No.1SS, Supplementto Statute Book of

the Republic of Indonesia No.2106);

BUsiness News 1728/1U-24-20Qtl'

3. law No.20 Year 1961, concerning Revocation of Rights

to Land and Items Existing on It (Statute Bookof the

RepUblIC or looonesla Year1961NO.2l:R1, SUPf>lement

to statute Bookd theRepublic of Indonesia No.2324);

4. Law No.17 Year 2003 (lINNo. 6915JNI!lS$ .26.4-2&4

andso fotth), concerning State's Finance (Statute

Bookof the Republicof Indonesia Year 2003 NoA7,

Supplement tostatute Bookof theRepublic of Indone­

sia No.4286);

5. law No.1Year2004 (BNNo. 7042pages 3A-19A

andso forth), concerning State Treasury (Statute

600k of the R~publlt: of Indonesia Year 2004 No.5,

Supplement to StatuteBookof the Republic of Indone­

siaNo.435S);

6. Law No.32Year 2004 (BNNo.7r.83pages :lA-;t:lA

and so forth) concerning Regional Administration

(StatuteBookof the Republic of IndonesiaYear2004

No.l25,Supplement to Statute Book of the Republk: of

Indonesta No.tJ437) as amended by law No.8 Year

2005, concerning StipUlation of Government Regula­

tion in Lieu of lllw No.3 Yeer 200S (BN No. 7218

pages 20A·2U4), concerning Amendment to Law

No.32Year2004,concerning Regional Administration

to become Law(statute Book of the Republicof Indo­

nesia Year2005No.iOB, Supplementto Statute BOok

of theRepublic of IndonesiaNo.4548);

7. laW ., .••

15A

7. Law No.Z6 Year Z007 (BNNo. 7S99pages,lQA-3OA

..so fotth), oonceming Space Layout (statute Book

of theRepublicof lndonesjaYear2007I'l1o.68, SUpple­

ment to 5tahJte Book of the Republic: of Indonesia

No.4725);

8. GovemmentRegulation No.40 Year 1996 (BNNo. 5679

pages .lSA-2OA andso forth) concerning Right to

MakeBusiness. Right to construct and Right to Use

Land (Statute Book of the Republic oflndonesia Year

1996 No.58, Supplement to Statute Book of the Re­

public of Indonesia No.36ct3)i

9. Government Regulation Na.24 Year 1997 (BNNo. 6139

p;IgeS ~!JA-34Aand so k1I1h), concerning Land

RegistratIOn (Statute BookOfthe Repubflcof Indone­

sia Year1997 No.2S, SUpplement to statuteBook of

the Republic ofIndonesia No.2171);

10. G>vemment Re!JulaOOn No.16Year 2004 (BNNo. }'JJJ

pages 2A~12A), concemmg land layout and Use

(Statute Bookof the Republic of Indonesia Year 2004

No.45,Supplement to StatuteBook: of the Republic of

II'Idonesia No.4385);

11. Presidential Regulation No.36 Year 2005 (BNNo. 721.9

pages2A-&4), concemmg land Procurement forPub­

lic Interestconstructionas amended by Presidential

Regulation No.65 Year2006 (BN No. 7376 pageslSA-

ZOA),U!1K:e1 ning Amendment to Plesidential Regula­

tion No.36 Year2005, concerning land Procurement

for PubJicInterest COnstruction;

12. Presidential Regulation No.IO Year2006,concerning

National land Agencyj

13. Presidential Decree No.34 Year2003 (BN liD. 6920

pages lA·2AJ, concerning National Policy on land

Affairs;

Business News 7728/10-2+2008

DEC} DES:

To stipulate:

REGULATION OFTHE HEADOF NATIONAL LANDAFFAIRS

AGENCY ON PROVISION TOIMPlEMENT PRESIDENTIAL

~F(:,lJ\ ATION. f',&(Y36 YEAR 'lOOe:;. <:nNC'£RNtNG I MIDPRO­

CUREMENT FOR PUBLIC INTEREST CON-STRUCTION AS

AMENDED BY PRESIDENTIALREGULATION 0.65YEAR 2006,

CONCERNINGAMENDMENrlD fIRESIOOOIAlREQJtAllON

00.36YEAR 2005, CONCERNING LAND PROOJREMENTFOR

PUBtlC INTEREST CONSTRUCllON.

Q-1APTERI

GENERAL PROVISlON

Article 1

What is meant in this regulation by:

t. l;ovemlT'lf"nt age"CV shall he State Institutiorl,Oepart-

menl1 Non-<io'iemmental Institution, Provincial G0vern­

mentor Regency/Municipality Government

2. Ownershallbeholderof right to land,and/or ownerof

building! and/orownerof plants,and/orownerof other

items related to the land.

3. Land Price Appraising Institution shallbeprofessional

andindependent institutionshavingexpertiseandca­

pability in landpriceappraising.

.q. Land Price Apprai:)ing Team shall be 1I teem duly es~

tablished underDecIsion ofthe Regentimayor or Gov­

emorfor laktll't'l Oil'lital City" S~i::\1 Rl'!gion to Bl'lpr.:tise

the landprice, ifthere is no Land PriceAppraising Insti­

tute intheregency/rnunidpality concerned.

OiAPTERII

Pl.ANNING

Article 2

(1) Toobtain land for the public interestconstnJction, the

governmentagency that needs the Ianel shall prepare

proposal OIl the mnstruct10n planore (1) yearbefore,

specifying the:

a. purposes andobjectJves d the constructioni

b. location andsiteof the construction;

c. areaof landneeded;

d. sourced fundi

e. analySiSorenvlronmental feaSIbility for me CDflStn.JI:;­

tionplan, lndudlng impactofthe construction and

the efforts of prevention andcontrol.

(2) Preparation d proposal for construction plan referred

to inparagraph (l), letterS band C, governmentagency

that needs such land mayasktorconsidelation of the

National Land Agency fAthe Republic of Indonesia.

ArtiCle 3

No proposal for ronstrudion plan referred to in

ArtkIe 2 shall be needed If the construction for publicin­

terest is used for urgentpublicsafetyanddisaster treat-

ment fadlities.

CHAPTERID

DECISION OF LOCATION

Article 4

Based on the proposal for construction plan re­

ferred to in Article 2, the government agency that needs

the Ia.nd shalt submitapplication for decislon ofthe loca­

tion to the Regent/Mayor or Governor for area in Jakarta

capital Cityof Special Region with copy to the Head of

Land Affi:ii~ Office of the Regency/Municipality.

BusineSs News 1728/10-24-2008

16A

Article5

(1) At receipt of the application roc decisiun of the Iocatiorl

referred to inArticle4, the Regent/Mayoror Governor

for area in Jakarta capital City Special Region shall

study the justification of theoonstruction plan from the

various aspects below:

a. space layout;

b. lancllayout and use;

c. social economy;

d. environmenti and

e. control, ownership, anduseof land.

(2) Thestudy onjustification of the constructfon plan re­

ferred to In paragraph (1) shall be based on recom­

mendation ofthe relevantagencyandLand Affairs OffIce

inthe Regency/Municipality.

(3) t3asedoo.tne \1!Q)Irmendation refetred to in paragn?Jph

(2), the RegentfMayor or GCwernor for areain Jakarta

capital Ut\'Special Region shan issue dedslonon the

Ioaition.

(4) ThecleclsiOn of location referred to In paragraph (3)

shall be submittEd tothegovernment agency that needs

the land with copy to the Land Affairs Office in the

Regency/Municipality andretevant agency.

-(5) DecisIOn oflocation referred to Inparagraph (3) shall

also~ as permit fur blond ~uis\tion fur the gov­

ernmentagency that needs the land.

Article6

(1) Decision of the location referredto in ArtiCle 5, para­

graph (3) 5hall be made for 0 term of:

a. one (1) year for land procurement that needs an

area of landup to 25(twenty-five) hectares;

b.two!!., .

b. two (2) years for landprocurement that needs an

area of landfrom 2S (twenty-five) up to 50 (fifty)

hectares·,c. three (3) yearsfor land procurement that needs an

area of land more than SO (fifty) hectares.

(2) Ifwithinthetermof thestipulated location referred to

in paragraph (1) landprocurement is not settledyet,

but has obtained at least 75% {seventy-five percent}

or the construction plan,the Regent/Mayor or Gover­

nUl rur drea urJ<ski:Ula Cdpital Oly Spedal Region may

only Issue one (1) time extension for the stipulated

location for a term of one(1) yearat the longest.

Artide7

In theeventthat the recommendation referred to

in Artlde 5, paffigraph (2) does natju~with the existing

Site Plan of tile Area or space pfanning of the area or

municipality, but may not be carried out on the location

referred to in Article 2, paragraph (1), the Regent/Mayor

or Governor far area within Jakarta Capital City Special

Region suggesb other location for-oonstrucdon to the gov­

ernmentagency thatneeds the land.

Article 8

AS Of receipt of the deoslon of tile iocanon, the

government agency that needs the landwithin 14 (four­

teen) dayS shall be obliQed toannounce theconstruction

planfor publicInterest to the people, byorientation:

a. directly; and

b. indirectly, using printed media, electronic media, or

other media.

BUSll1eSS News 7nS/lO-24-2008

11A

Artide9

If the landlocation has been decided astheloca­

tion forconstruct:k>n for pubJic interest, the thirdparty in­

tending to obtainthe land at the location shall beobliged

to obtain written permit from the Regent/Mayor or Gover

norfor area withinJakarta capital City Special Region.

Article10

Nopermitto obtainthe landreferred to in Article

9 shall be requiral ir~ land is ubtdined rlUllI inht::lita~,

court judgment that has legal power and final or by in­

struction of the law.

Article 11

(1) Application for decision of the site located in two (2)

regencies/municipalities or more than one (1) prov­

inceshallbe submitted to the Governor.

(2) Application for decision of the site located in two (2)

provinces or more shall be submitted to the Head of

National Land Affairs Agency of theRepublic of Indo­

nesia.

Article12

The procecIure for decision of the location, referred

to inArtIcle 4 throughArticle7 shall alsoapplytodecision

of the location that is underthe authorityof the Governor

and adjusted to meenVironment at provtnclalleVei.

Artide 13

Procedure for decision of the location referred to

in Article 4through Artide 7 shall alsoapplytodecision of

the location that is underthe authorityof Head of National

Land Affairs Agency ofthe RepublicofIndonesia.

CHAPlERIV

PROCEDURE.FOR LAND PROOJREMENT

Part One

j;or Land whichArea is more than one (1) hectare

Paragraph 1

Establishmentof Land ProcurementCOmmittee

Artidp 14

(1) Forprocurement of landfor public interest construc­

tion referredto inArticle 5 of PresJdential Regulation

NO.36 Year 2005 asamended by Presidential Regula­

tion No.65 Year 2006, land Procurement Committee

of the Regency/Municipality shall be established under

Decision of the Regent{Mayor or Governor for area

within Jakarta Capital City Special Region.

(2) Members of the Land Procurement Committee of the

Regency/Munidpality shall be the most nine (9) per­

sons with structureasfOllows:

a. secretary of Region acting as Chairman and as

member;

b. Official from regional instrumentof Echelon II act­

ing asVice Chairman and asmember;

c. Headof Land Affairs Office of Regency/Municipality

or official appointed as Secretary also acting as

member;3nd

d. Head of5ervice Office/Office/Agency of Regerq/

Municipality relating to the land procurement or

offidal appointed asmember.

(3) land Procurement Committee of Regency/Municipality

as referred to Inparagraph (1) shallrunctlonto:

a. prrMdedartflcationOJInformationtothepeople;

b.study and inventory the Iand,bulldtng, plants and

other items relatedto the land,whichtights will be

released or handedaver;

BusinessNewsm8/1o-2+2008

18A

c. study the legalstatusof the land wbich rightwill be

released or handed over;

d. announce the result of study and inventoryas re­

ferred to in letters band Ci

e. receive the evaluatioll 1e>Ultor the kmd value, cmd/

or building, and/or plantsand/or other itemsrelat~

Ing to the land from the Institution or Land Value

Appraising Team and the offidal responsible for

appraising the buildingand/or plantsand/orother

Items relating to the land;

f. holddeliberationwith the ownerswhich rightswill

be released or handed;

g. decide the amount of loss compensation for the

landwhich right will be released or handed over;

h. wilrll:>C;cc; th~ rlF>liv~ry c1IMS cnmpl"nsatinn to thp

owners;

i. draw up Minutes of release or hand-overof right;

j. administer and documentaU documents on land

procurementanddeliverto thegovernment agency

that needs the landfrom the Land Affairs Office of

the Regenc.yfMunidpalityi and

k. submitany issue with consideration for settlement

of land procurement to the Regent/Mayor or the

Governor if the area is within Jakartacapital Oty

Special-Reglon if no consensus is reached by delib­

erationto adopt resolution.

(4) The secretariat of the land Procurement committee

d the Regency/Munldpaflty shalldOmld!e at the Lancl

AffaIrs omce ofthe Regency/Municipality.

Attide15

(1) If tile land needed for coostruction for public interestis

bcalQ;l. in tno (2) regendes!l1lUflir.:fIBlties or more in

one(1)~, a LardProcuremert:camll'iUEe r:iPrai­

inceshafl be estabftshed by Dedsion of the~.

(2) Members ........

(2) Members oftfle LandProcurement Committeeof the

Provin/Y rf'lferrf!!d to in p:'Iragraph (1) shall comprise

nine (9) personsat the mostwithJhe composition shown

below:

a. secretary of theRegion shallact asChairman and

asmember;

b. R~ionQI offioal of the Province appointed in the

same levelas Echelon UasViGe Chainnan andas

member;

c. Headof NarlOOlIf LandAffairsAgencyof Provincial

Region of offieiat· appointed as secretary and as

member; and

d. Head of service OffiCe/Office!Agency in the Prov­

ince relating to implementation rAlandorocurement

or offICial appointed asmember.

(3) The land Procurement Committeeofthe Province re­

ferredto in paragraph (1) shaU havethe duty to:

a. provideguidance, guideline and diredive for imple­

mentation of land procurementin thetagenCylmu­

niclpality;

b. coordinate In integratiOn the procurement Ofland

in the regency/muniCipality;

c. give L"Onsk:lt:ralion to UU:~ GuvernQr to make ~i-

sian forsettlement asto the natureand/oral110Uflt

of loss compensation as requested by Regent;!

Mayor; and

d. supervise and controlthe procurement of landin

theregern:yjmunlcipaUty.

(4)~ SE>netariat of the: land Procureme:nt Committe:e

oftheProvince.shail domicile at theOffICeof National

Land Affairs Agency of Provincial Region.

Business News7728/10-24-2008

l~A

Article 16

(1) If the land n~ed for construction for public interest

is located in two (2) provmces or more, a National

LandProcurementCommittee shall be estabJishedby

Dedsion of the Ministerof Home Affairs.

(2) Members of the National Land Procurement Commit­

~ referT@(f to in paragrqph (1) "halJ .::ampt'ise nine

(9) persons at the most with the compositionasshown

below.

a. Secretary General of th~Department ofHome Af­

fairs actingasChairman andasmember;

b. Echelon I offlOalof the Department of Public Worl<s

acting asVICe Chafnnan andasmember;

c. Echelon I official oftheDepartmentofNational Land

Affairs Agency of the RepUblic of Indonesia ap­

pointedasSecretary andasmember;

d. Director ~eraljl\ssistantMinister/Deputy of

agency that is relatedto the land procurement as

member;

e. Governor or offldal appointed in the same level as

Echelon II asmember;and

f. RcgentiMayor of officiu1 appointed from Echelon n

levelas member.

(3) National LandProcurement COmmittee referred to in

pamgraph (1) shall mve the duty to:

a. provide guidance, guidelineand directive for Imple­

mentation of fand procurement in the regency/mu­

nicipality;

b. coordinate in integrationthe procurement of land

in !:he regency/municipality;

c. decide and/or stipulatea LandProcurement Com­

mltb::eofRegency/Municipality to Ci:lnY out the task.

for land procurement in the respectiye regencyl

munidpalilyj

d.give.•.. ,

22A

PROVISION FOR IMPLEMENTATION OF PRESIDENTIAL REGULATION N0.36 YEAR 2005CONCERNING LAND PROCUREMENT FOR CONSTRUcnON OF PUBLICINTEREST AS

AMENDED BY PRESIDENTIAL REGULATION NO.65 YEAR 2006 CONCERNINGAMENDMENT TO PRESIDENTIAL REGULATION NO.36 YEAR 2005 CONCERNING

LAND PROCUREMENT FORCONSTRUmON fOR PUBUC INTEREST(Regulation of Head of National Land Affairs Agency of RI No.3 Year 2007, dated May 21, 2007)

(Continued from Business News No. 772.8 pages 14A-20A)

Paragraph 3

Identification and InventoryArticle20

(1) If the construction plan is accepted by the people as

referredto in Article 19, paragraph (3), letter a, the

Land Procurement Committee of the Regency/Munici­

pality shall conduct identification and inventory on the

control, useandownership of the landand/or build­

ingsand/or plantsand/or other items relating to the

land.

(2) The identification and inventory referred to in para­

graph(1), shallcoverall activitieson:

Ct. designated borders;

b. measunng the plotof landand/or building;c. mapping of the plot of landand/or building andcir­

cumference ofthe bordersof the plotof land;

d. stipulation of borders of the plot of land and/orbuilding;

e. data administration on the use and utilization of

the land;

f. status administration on the landand/or building;

g. data on the control and ownership of landand/or

building and/orplants;h. data on evidence of control anJ1 ownership of land

and/orbuilding and/orplants;and

l, othersdeemed necessary.

Article21

(1) Failure to conduct identification inventoryof the object

effectively by the Land Procurement Committee of the

Regent/Munidpality, work unitsmaybeestablished to

assist the dutyof the Land Procurement Committee of

the Regency/Munidpality.

BUSiness News 7731{1 0-31-2008

(Z) The work units referred to in paragraph (1) shall be

established and stipulated by the Land Procurement

Committee of theRegency/MunidpaHty.

(3) The resultof identification and inventory conducted by

the work units referred to in paragraph (1) shall con­

stitutethe responsibility of the land Procurement COm­

mitteeof the Regency/Munidpality.

Article22

If the identification and inventory referred to in

Article 20,paragraph (2) are conducted by the work units

referred to in Article 21, paragraph (1), selection of the

work unitshall be based on justification of expertise of the

work unit members and the dutYto be conducted.

Article 23

(1) Theresultof identification anti inventory referred to in

Article 20, paragraph (2), lettersband cshall be stlpu­

late<:! in a tonm of Map of the Plot of Land.

(2) Theresultof identifICation andinventory referred to in

Artide20,paragraph (2), letter e through letterh,shall

bestipulatedin a form of a Ust that contains:

a. nameof the Holderof Rightto Land;

b. statusof Land and its document;

c. areaof the land;

d. ownership and/orland Control and/orbuilding and/

or pJants and/or other items relating to the Land;

e. useandutilizationof the Land;

f. imposition of Rightto the Landi and

g. other infonnation.

(J)Jhe........

(3) The land Procurement Committee of the Regency!

Municipality shall announce the Map of Plotof land

and Ust referred to in paragraphs (1) and(2) at the

Village Office and Land Affairs Agency Office of the

Regency/Munidpality,in website for seven (7) days

the mass media in at least two (2) times issues in

order to giveopportunityto all parties concerned to

file for objectkm.

(4) In the presence of objection, the Land Procurement

Committee of the Regency/Municipality shall mvestt­

gateandassess the objection, and if:

a. theobjection isaccountable, the Land Procurement

C..ommittee of the Regenev/Munidoality shall make

properamendment/correction;

b. the objection isnotaccountable, then the land Pro­

curemsnt CornmittPe of th~ Rpgenc:y/Municipality

mayproceed processing the landprocurement.

(5) If the objection referred to in paragraph (4) relates to

dispute of ownership, and/or control/use of the land

and/or building and/or plantsand/or other itemsre­

lating to the land, the Land Procurement Committee of

the Regenq/MuoiclpDiity take DJI efforts for settlement

bydeliberation.

(6) If nosettlement is reached bydeliberation referred to

in pardg rClIJl I (5), the Lend Procurement Committee: of

the Regency/Municipality may suggest to all parties

concerned to settle throughthe court and record the

diSpute or case Inthe Map of Land andList referred to

in paragraphs (1) and (2).

(7) Afterrecording the disputeor case referred to in para­

graph (6), the tanc Procurement committee of the

Regency/MunidpaHty shall proceed processing the land

procurement.

Article24

Atexpiryof the term of announcement referred to

inArtide23,paragraph (3), the Map andListreferred to in

Article23, paragraphs (1) and (2) shall be ratified by all

members of the LandProcurement Committee of the Re­

gency/Municipality andacknowledged bytheHead efland

Business News 7731/10-31-2008

23A

Affairs Office of the RegenCY/MuniCipality, the Head-of Vil­

lageand Head of Sub-District, and/or officials related to

thebuildings and/or plants.

Paragraph 4

Appointment of Institution/Land Value

Assessment Team

Article25

(1) The Land Procurement Committee of the Reqencv/

Municipality shall appointLand Value Appraising Insti­

tution asdecided bythe Regent/Mayor or Governor if

th~ area i5 within Jakarta Capi~l City Special Region

to appraise the landvalue.

(2) The land Value Appraising Institution referred to in

peraqrapn (1) shall be hIstitution that has obtained li­

cense from the National Land Affairs Agency of the

Republic of Indonesia.

Article26

(1) If in the regency/municipality or the surrounding re­

gency/munidpality concerned no land Value Apprais­

ing Institution exists as referred to in Article 25, the

Regent/Mayot orGovernorfor area within Jakarta Capi­

tal aty Special Region shall establish Land Value As­

sessment Team.

(2) Members ofthe Land Value Assessment Team referred

to in paragraph (1) shallconsist of:

a. elements of agency in charge of buildings and/or

plants;

b. elementsof central govemmentagency in charge

of Natiomilland Affairs;

c. elements of agency ln charge of lflnd and BuHding

Tax Services;

d. experts or persons experienced as landvalueap­

praiser;

e. academics that are ableto appraise the land value

and/or buildings and/or plantsand/orother items

relatedto the land.

(;}) Members •....

(3) Members of the Land Value AssessmentTearn referred

to in paragraph (2), if needed, maybeadded from the

elements of People's OWn-lnitiative Institution.

24A

Committee of the Regency/Municipality for use asthe ba­

sis of deliberation betweenthe government agency that

needs the land and the owners.

Paragraph 5

Assessment

Article27

The value of landaffected byconstruetiOqIor pub­

lic interest shall be assessed by the Land Value Assess­

mentInstitution or the Land Value Assessment Team.

Article28

(1) Thl:' value of land shall hE' <l<;<;es:';pd hy thp I ;:mrlValue

Assessment Tearn, if no Land Value Assessment Insti­

tution referred to in Article26 isavailable.

(2) The land Value ~sessmentTeam referred to in para­

graph (1) shall assess the valueof the landbased on

the Tax Object Sale Value (NJOP) or the real/actual

value with due obscrvoncc of the NJOPfor the current

year, andmay alsorefer to variables below:

a. siteand location of land;

b. status ofthe land;

c. land allocation;

d. justification onthe use of landwith theexistingarea

space layout plan or area space IJldllflirlY 1)1 city

plan;

e. available facilities andinfrastructure; and

f. other factors that attect the valueof the land.

Artide 29

Thevalueof buildings and/or plantsand/orother

itemsrelated to the landshallbeassessed by the Head of

Service Office/Office/Agency in the Regency/Municipality

in charge of building and/or plantsand/or other items re­

lated to the land, in accordance with the standard value

stipulated in the statutoryregulation.

Article30

The result of assessment referred to in Article 28

andArticle 29 shall be handedoverto the LandProcurement

Paragraph 6

Deliberation

Artide31

(1) The Land Procurement Committee of the Regency/

Municipality shall decidethe place anddate of delib­

eration by inviting the govcmment.agcncy thet needs

the land andthe ownersfor deliberation on:

a. the construction for public interestplan at the Ioca­

t1on;and

b. the natureand/or amountof loss compensation.

(2) The i1witation referred to paragraph (1) musthave been

received by the government agency thatneeds the land

andthe ownersin three (3) daysat the latestprior to

the dateof the deliberation.

(3) Thenature of deliberation and/oramountof loss com­

pensation shallbebased on;

a. agreement of the parties;

b. resultof the assessment referred to in Article 30;

and

c. deadline for settlement of the construction project .

Article32

(1) In principle deliberation shall be held directly and

jointlybetween the govemmentagency that needs the

land with the owners that havebeen registered in the

ratified Map and Li5t as referred to in Article 21.

(2) Deliberation shall be chaired by the Chairman of the

Land Procurement Committee of theRegencv/Munid­

parity.

(3) If the Chairman of Land Procurement Committee of

the Regency/Municipality referred to in paragraph (2)

is absent, deliberation shall be chak'ed by the Vice

Chainnan.

(4) If the landand/or building, and/or plants and/orother

items related to the I and needed for the construction;

Business News 7731/10-31-2008 a. is •.ft· ...

a. isthe object ofdisputeat the court, then delibera­

tion shallbeheldwith the litigating parties;

b. isjoint rightto ownership, deliberation shall be held

with all holdersof rights;

c. is bequeathed property, deliberationshallbe held

with theparties as governed in the statutory regu­

lationconcerning bequeathed property.

Article 33

(1) If the total number of owners makes it impossible to

hold upfront deliberotion, jOintly end effectively, delib­

eration maybeheld in phases.

(2) If duringthe upfront andjoint deliberation referredto

in Artide 32, paragraph (1) or phases as referredto in

paragraph(1) the owners are unable to attend, they

may represent other persons byvirtue of the Power of

Attorney drawn up by notary or privately drawn up

acknowledged by the Village Chief or official with

eouivalentlevel theretu and the Chiefof Suh-Distrkt.

(3) Theattorneyreferredto in paragraph (2), on behalfof

the grantor of power shall have the power to make

decision to submit proposel, opinion, desire, end to

acreptor reject the nature and/oramountof loss com­

pensation, asexplicitlyset forth in the Powerof Attor­

ney.

(4) To protect the owners, the attomey referred to in para­

graph(3) maybegranted the poweronlyfrom one{1)

person.

Article34

Deliberation on the planfor constructon for public

interest at the location referredto in Artide 31, paragraph

(1), letter a shall be deemed to have reached consensus if

at least75% (seventy-five percent)of:

a. the areaof landneeded for construction hasbeen ob­

tained; or

b. alltheowners have agreed tothe nature and/oramount

of losscompensation.

Business News7731/10-31-2008

25A

Article 35

(1) If in the deliberation for construction of publicinterest

at the location the total numberof ownersis less than

75% (seventy-percent), the land Procurement COm­

mitteeof the RegencyjMunidpality shall propose to the

government agency that needs the land to move to

another location.

(2) If the constructioncannot be moved toanother loca­

tion as specified the cntena rererred to in Article 39,

the Land Procurement Committee of the Regency/Mu­

nicipalityshall proceedprocessing the land procure­

ment

Article 36

The landownersthat have not agreed yet to the

natureand/or amountof losscompensation andthe total

numberis 25% (twenty-five percent)of the total number

of owners/area of land, the Land Procurement COmmittee

of the Regency/Municipality shallendeavor re-deliberation

until agreementhas been reached on the nature and/or

amountof losscompensation.

Article 37

(1) Deliberation to decide the nature and/or amount of

losscompensation shallbe heldwithina periodof 120

(one hundred twenty) calendar days effective as of

the dateof the invitation for the first deliberation with

respect to the locationfor construction that cannotbe

movedto anotherlocation whichcriteria isasset forthin Article39.

(2) If the location for construction cannot be moved by

means of space layout, the construction pJan that has

obtained approval of the communityas referred to in

Article 19,paragraph (3), letter andagreement on the

location for construction hasreached 75%(seventy-fivepercent) as referred to in Article 34, and the period

referred to in paragraph (1) hasexpired,the govern­

mentagency that needs the landshall makeloss com­

pensetlon paymentto the ownersand Minutes of Pay­

mentof LossCompensation or Minutes of Offerfor loss

Compensation Payme,nt thereof shall be drawnup.

(3) If........

(3) If the owners still reject the paymentof loss compen­

sation or refused to acceptthe offer for paymentof

loss compensation, after 120 (one hundred twenty)

days has elapsed the land Procurement Committee of

the Regency/Municipality shall draw up Minutes on

Payment of Loss Compensation.

(4) If the owners referred to in paragraph (3) stilt reject,

then based on the Minutes referredto in paragraphs

(2) and (3), the LandProcurement Committee of the

Regency/Municipality shall instruct the government

agency that needs the landto place in CUstody the loss

compensation moneyat the district court whichjuris­

diction covers the location of the landfor the construe­

tion.

Article38

TheLand Procurement Committee of the Regency/

Municipality shall draw up Minutes of Result of Dellbera­

tion on the Location for Construttion for Public Interest

andDecide the Nature and/or Amountof Loss Comoensa­tion signed byall members of the Land Procurement Corn­

mittee of the R'?5JenCY/Munidpality, thegovernment ageilC)l

that n~Ms the land and the ownsrs.

Paragraph 7

Unmovable Location of Construction

Article39

Thelocation isunmovable bymeans of space lay­

out technice I reeson for construction for public Interest to

anotherplace or location asreferred to in Article19,para­

graph (4), letter b, Article 35, paragraph (2) and Article

37, pCUcl'yrcllJh (1), if;

a. based on historical, climatologist, geographically, geo­

logically andtopograph lea lIyaspectis notavailable in

Other location;

b. moved to anotherlocation shall impose sacrifice, loss,

andgreaterexpenses or moresubstantial expenses;

c. the construction planis verymuchoeeoec aname l0­

cation constitutes the best location compared toother

location or no other location isavailable; and/or

Business News 7731/10-31-2008

26A

d. not in such location may inflict disasterthat threatens

the securityandsafetyof the peopleat large.

Paragraph 8

Dedslon of land Procurement COmmittee of

the Regency/Municipality

Article40

(1) Based on the Minutes referred to in Article37, para­

graphs (2) and (3) and Articfe 38, the Land Procure­

mentCommittee of the Regency/Municipality shall is­

suedecision on the natureand/oramountof loss com­

pensation and Nominative Listof Loss Compensation

Payment.

(2) The Nominative Ust shall statethe names of the own­

ers, the rights released or assigned, the areaof Iandl

bUilding, the total numberofplants, the natureand/or

amountof loss compensation received, the natureand

amount of loss compensation placed in custody, sig­

natures of the owners and Project Management of the

qovernment eoencvj:hatneeds the land, andthe Land

Procurement COmmittee of the Regency/Municipality

as witnesses.

(3) The landProcurement Committee ofthe Regency/Mu­

nicipalityshall submitthe decision referred to in para­

graph (1) to the governmentagencythat needs the

land, with oopy to thp RP!Jent/M::lyor or Govemor if the

area is located within JakartaCapital CitySpecial Re­

gion and the Head of Land Affairs Office of the Re­

gency/Municipality.

(4) If the land required for construction belongs to the

governmentagency, decision on the stipulation of the

natureand/or amount of loss compensation shall be

made based onthe procedure asgoverned inthestatu­

tory regulation on StateTreasury.

Artide 41

(1) Owners who object to the decision on the stipulated

nature alllJ{ur dll \Cluntof loss ccxnpen50tion tssued by

the Land Procurement Committee ofthe Regency/Mu­

nicipalityreferredto in Article40, paragraph (1), may

file ..•.•

file objection to.theRegentjMayoror Governor or Min­

lsterof HomeAffairsaccording to their respective au­

thoritY supported by explanation on the causes and

reasons of objection within 14(fourteen) days.

(2) The Regent/mayor according to their respective au­

thority shall make dpc~ionon ~ttlement of the objec­

tion by the ownersreferred to inparagraph(1) within

30 (thirty) days.

(3) The Governor based on his euthority 3holl make deci

sion on theobjection c:L the owners reterred to in para­

graph (1) in the landprocurement for public interest

within Jakarta capital City Specfal Regron or land pro­

curementin two (2) or more regencies/municipalities

in one (1) province within 30 (thirty) days at the latest.

(4) The Minister of Home Affairs according tohisauthority

shall makedecision on settlementof the owners' ob­

jection referred to in paragraph (1) if the land pro­

QJrement for construction for pubHe interest in two (2)

or moreproyinres within30 (thirty) days at thelatest.

(5) The Regent/Mayor or Governor or Minister of HorneAffairsaccording to their respective authority prior to

makingdecision on settlementon the nature and/or

amountof IMS compensationmay request for consid­

erationor opinion/desire of:

a. the ownersor their attorneys that file the objec-

tion;

b. the Land Procurement Committee of the Regency/

Municipality; and/or

c. government agency thallJt::eds Uldl'dnU.

(6) Decision of the Regent/Mayor or Governor or Minister

of Home Affairs that approved or amended the nature

and/or amountof loss compensation shall be submit­

ted to the ownersthat file the objection, the govern­

ment agency that needsthe land, and the land Pro­

curement Committee of the Regency/Municipality.

(7) Decision of the Regent/Mayor or Governor or Minister

of Home Affairs referredto in paragraph (6) shall be

valid asthe basis for paymentof losscompensation to

the ownersthat file the objection.

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27A

Artide42

If the effort for settlement taken by the Regent!

Mayor or Governor or Minister OfHome Affairs isstill unac­

ceptable to the ownersand the locationfor the construc­

tion cannot be moved,the Regent/Mayor or Governor or

Minister of HomeAffairsaccording to their respective au­

thority shall submit proposal for settlement by revoking

the rightsto landbased on law NO.20 Year 1961 concern­

ingRevocation of RiQhts to land andItems ExistinQ on the

land.

Paragraph 9

Payment of LossCompensation

Article43

(1) The riQhtful partips to rPrpive 10<;<; mmpen<;ation ;m"~

a. the holders of rights to the landor therighlful par­

ties inaccordance with the statutoryregulation; or

b. supervisor of bequeathed property.

(2) If the landbears the right to useor right to buildbuild­

ing on the land bearing the right to ownership or the

land bearing the right to manage, the rightful person

to the loss compensation shallbe the holderof right toownership or holderof the rightto manage.

(3) The loss compensation for buik::lings ond/or plantsand/

or other itemS relatingto the landbearing the right to

useor land bearingthe right to usebuilding granted

on the land with right to owne~hipor lelllU Witll UI~

right to manage shall be granted to the owner of the

buildingand/or plants and/or other items relating to

me tano,

Article 44

(1) Based ondecision on thenatureand/oramountof lOSS

compensation referredto in Article40, paragraph (1)

or Article 41, paragraphs (6) and (7), the LandPro­

curement Committee of Regency/Municipality shall in­

struct the govemmentagency that needs the landto

make paymentof loss compensation tothe rightful party

to theloss compensation referred to in Article 43within

a periOd of:

a.. Wfthin......

a. within 60 (Sixty)days at the latest asof tile date

the decision ismade if the nature of loss compen­

sation i~ in th~ futm ofmon~;or

b. as agreed upon by the ownersandthe government

agencythat needs the land if the loss compensa­

tion is in the form oth~thanmoney_

(2] If the loss compensation is granted in the form of

moneyas referred to in paragr:aph (1), letter a, the

land Pl'tlOJrement Committee of the Regency/Munici­

pality shall invite the rightful parties to the loss com­

pensation to receivethe Joss compensation in accor­

dance with what has been agreed upon, at specified

the time andat theplace.

(3) The invitation to receive the loss compensation money

referredto in paragraph (2) must have been receiv@d

by the rightful partywithin three (3) days at the latest

prior to the dateof paymentof loss compensation.

Artide45

The loss compensation in the form other than

money as referred to in Article 44, paragraph (1); letter b

shall be granted in the tonn of:

a. landand/or buildingas replacement or re-residential,

as desired by the owncl"'5 and agreed upon by the gov­

ernmentagency that needs the land;

b. The landand/or buildingand/or otherfacilities having

the value of at least equivalent with the bequeathed

propertybeingreleased, for bequeathed property;

c. Recognition in the form of constructionfor publicfa­

cilities or other form that are useful for the welfare of

the local community, for customaryland; or

d. In accordance with decision 'Of the authorized offICials

for lend beklnging to the government Qgency or re­

gionalgovernment.

Artide16

(1) Loss compensation in thefann of money, shall be paid

directlyby the governmentageocy that needs thelandto the parties concerned as referred to in Artide ~3,

witnessed bythe Land Procurement Committee of the

Regency/Municipality.

Business News 7731/10-31-2008

28A

(2) Ifthe party havingthe right to 105S compensation au­

thorizesother person, a Powerof Attorneyto receive

such log; compem;ation "hall·be drawn up in notary

deed witnessed by two (2) witnesses or for remote

area the powerofattorney shall be drawn up in writ­

iog and acknowledged by the Village Chief or the same

IeveJ thereofand the Sub-District Chief.

(3) To protectthe interest of the rightfulparty to loss corn­

pen5ation, the authorized person may only reccive

poweronly fur one (1) personhavingthe right to loss

compensation.

Artide47

(1) After receiving the invitation referred to in Article44,

paragraph (2), If the party tldving Ull~ riyhL to~ com­

pensation isabsent, the Land Procurement Committee

of Regency/Municipality shall re-invite the party con­

cerned to receive payment or loss compensation at

stipulatedtime.

(2) If the partyhaving the right to losscompensation after

having beenappropriately invited tor three (3) times

but is still absent, it shall beodeemed to havenoobjec­

tion to the loss compensation asagreedupon.

(3) In the case of such absence of the rightful person re­

ferred to in paragraph (2) is due to sickness, natural

disaster, or by force situation, then the government

agency thatneeds the landtogetherwiththe land Pro­

curement COmmittee of Regency/Municipality shall de­

liverthe losscompensation directlytothe place where

the ownersarestaying.

Paragraph 10

Depositing Loss Compensation

Artide48

(1) The Land Procurement Committee of Regency/Munid­

palityshall instructthegovemmentagency that needs

the land for deposit the losscompensation moneyat

the districtcourt whichjurisdictioncovers the location

of the landfor construction if:

a.eXistence. • . ~ ...

a. existence of the rightful person to the 1055 com­

pensation referred to in Article 43, paragraph (1)

is unknown;

b. theland,building, plants and/orother itemsinvolv­

ing the land are objects of a case at the court

wherebyno court judgment having flnal power is

made yet;

c. it is still in dispute by the owners and no settle­

mentagreementfrom the parties is reached yet;

d. the land, building, plants and/orother itemsinvolv­

ingthe landare placed undersequestration bvthe

competent authority.

(2) To depositthe loss compensation moneyreferred to

in paragraph (1) and Article 37, paragraph (4), the

government agency that needs that landshall submit

application fordecision to theChairman ofDistrict Court

wfnrh jOrlsdldlbTl rb\fpro:; thp location of thp land for

construction.

(3) AppTfcation R>r dedsronfor deposit as referred to in

pa~apl'l{2~, dWlcomplQtQ:

a. tire name-I(}( die- rightft:d..per.;oo to the loss com­

pensatioo 'Whomthe-JOSS'('£)J1~J)6!Dliation is depos­itad;

b. invitation to receive payment of Joss oompensation

referred min Article44J paragraDh (2); and

c. correspondences:

1) Minutes of Delivery of loss Compensation re­

ferred to in Article 37, paragraph (2) or para­

graph (3);

1) Minute!. ofthe-ResultofDeKberatfon on the lo­

cation of Construction for Public interest and

DlG6101lonW1eNatlJl.'e attd,A11lllllIl1tof,Losscom­

pieDSI!ltlon referred'to inArtide 38..

3) Dedsionof the RegefltfMayQf or Governor or

MW'>t@r of Home Affairs referred to in Article

41, paragraphs (2), (31 (4) and (7);

4) Remarks andlegal reason for depos1ting tbe loss

compensation; and

5) Othercorrespondences relatingto the deposit

ofloss compensation.

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29A

Paragraph 11

Release of Right

Article49

Simultaneously with paymentand receiptof loss

compensation in the form of moneyas.referred to in Ar­

ticle 44, paragraph (1), letter a:

a. the government agency that needs the landshallpre­

pare form of receipt ofpayment of loss compensation;

b. the rightful party to losscompensation shall prepare

statement letterof release/acquittal of the rightto land

or deliveryof the land and/or buildingand/or plants

and/or other itemsthat involve the land;

c. the Land Procurement Committee of Regency/Munici­

pality shall draw upMinutes of Payment of loss Com­

pensation and Rel~se of Rightto Land or Delivery of

land.

Article50

(1) If the loss compensation in the formotherthan money,then ifthe rightful parties to loss compensation have

signed the agreementreferred to in Article44, para­

graph(1), letter band Artide 45, shall be followed by

signing of statement letter of release/acquittal of the

right to land or delivery of the land and/or building

and/orplantsand/orother items relating to the landin

the interestof the governmentagency that needs the

land.

(2) If the that is needed for construction for public interest

is bequeathed property, then the right to the land in

the interestof the new govemmentagency that needs

the land maybereleased/acquittal afterobtaining writ­

tenapproval of thecompetent OfI'idals or Institution in

accordance with the provisions inthe statutoryregula­

tion concerning bequeath.

Att-fdQ 51

(1) Atprepaoogtne stiltellnent letter of release/acquittal

of the right to land ordelivery of land, the rightfulpartyI'D loss com,aensation.shall be obliged to deliver the

orjginaldocumentto the Land procurementCommit­

tee of Regency/Municipality, in the form of:

1k certificate " . .,~

a. certifICate of right to landand/or original document

of ownership and control of the land;

b. other deedsof legalacts relating to the landcon­

cerned;

c. other deeds relatingto the landconcerned;

d. StatementLetter acknowledged by the local Vil­

lageChiefor mstJu»ent of the samelevelstating

that the landletaled to In lettera isthe true own­

ershipof the part¥ concerned.

(2) IfnooriQinal documentreferredID In paragraoh (1) is

not available or is lost, the rightful party to loss com­

pensation shallbe obrtged to attach:

3. Statement Letter from the local Police; ;;lf1d/or

b. Minutes of drawn up underOath prepared before

the headof land Affairs Agency of Regency/Mu­

nicipalitytor regiStered land; and/or

c. StatementLetter stating that the land belongs to

theparties and is not being in dispute as acknowl­

edged by the local Village Chief or other instru­

ment of the samelevel.

(3) The rightful parties to loss compensation shallbe re­

sponsible for all losses and legal claims against the

dooJmentauthentldtyas IeferTecI to in paragraphs (1)

and (2).

Article52

tsased onStatement Letterof release/acqUittal of

the right to land or deliVery of the land referred to in Ar­

ticle- 49, Artide 50 and/or Judgmentof District Court as

referred to in Article48:

a. the Head of Land AffairsOfficeof Regency/Municipal­

ity shall record the retease andacquittalof right to the

landbeingreleased or delivered in the land book,cer­

tificate, and general registerof other registrations of

land;

b. if the land being delivered is not bearing certificate

yet, the original documents of the land concerned

shall be recordeduy the Headortano Affairs ornce

Business News 7731/10-31-2008

30A

of Regency/Municipality stating that the right to the

land nasbeen delivered to or released for rewrdlng In

the land Register;

c. if the land being delivered is not bearing certificate

yet, this shallbe recorded in the administration books

of the Village Chief office by stating: "the right to

the land concerned has been delivered to the Gov­

ernment/Regional Governmentfor Construction for

Public Interest".

Paragraph 12

Costs

Artide 53

(1) All fees for land procurementshallbe charged to the

governmentagency that needs the land consisting of:

a. land measuring and mapping;

b. paymentof losscompensation tothe owners;

c. National ancl/or Provindal and/or Regency/Munici­

pality land ProcurementCommittee;

d. Land Value Assessment InstitUtion/Team;

e. Administration of the right to landup tothe issue of

certifiCate;

f. Def>Osit of losscompensation if needed;

g. Separation from the remaining portion otthe own­

ers'land;

h. In the context: of management, coordination, con­

sultation, evaluation, supervision andsettlementof

issues; and

I, others as required In support Of the duty of Na­

tional,Provincial and/or Regency/Municipality land

Procurement Committee.

(2) The amount of LandProcurement Committeefee re­

ferredto in paragraph(1), letterc, based on the pro­

vision d"ipulalP.d by the Minister of Rnance referred to

inArticle 7Aof Presidential Regulation No.36 Year 2005

as amended by Presidential Regulation No.65 Year

2006.

PartTwo ....

PartTwo

For land with Area less than

one (1) hectare (small scale)

Artide54

Landfor~fu,-pllblici~whicha~

is less than one(1) hectare, shallbe procured directly by

sateandpurmase, trade, orothermeans agreed upon by

the parties withotJt assistanoe of land Proa.lrement Com­

mitteeof Regency/Municipality or with assistance of land

Procurement committee of Regency/Municipality.

Artide 55

Direct.procurement of land referred to in Art:ide

54 shallamducte:l according to the statusof landto be

released or deJivered tothegovernment agency tnetneeds

the land.

Artide56

(1) If the land being released bears certificate, then re­

leased/ar;quitt31 of right to landshaD be ronducted by

the holder of right to the land by issuing statement

letter of release/i'!01uittal of right to tile land in th~

interestcKthegovemmentagencythat needs the land,

andthe~agerx.yoonremed shall gmnt loss

oompensation to the holder of right to the 'and.

(2) The reteaseJacquittaI of right to land referred to in

paragraph (1) shall be implemented by the parties

before the Head of Land Affairs Agency of Regency!

Munidpality, or the Land Deed Officials, or the Sub­

DistrictOliefactingas the Land DeedOffICials.

(3) Grant: ctloss compensation by the government agency

that needs tile land to the holders of rights to land

which right to land has been released/8Clluittai based

on dellbeJation asreferred eo in AItide 59.

ArticIeS7

(1) If the landbeingcletivered to the govemmentagency

bearsnocertificate yet, then deliveryof the landshall

he p.xeclIted by the land owners against statementof

Business Newsn31/10-31-2008

JiA

deliveryof ownership of land in the interest of tire

governmentagency that needs the land,and the gov­

ernmentageocy concerned shallgrant loss compen­

sationto the landowners.

(2) Delivery of landreferred to in paragraph (1) shall bf>

executed by the partiesbeforethe Head of Land Af­

fairs Agency tJ Regency/Municipality.

(3) Grant of los<; com~nXltion by government~cy that

needs the land to the land owners that have deliVered

their land shaN beconducted by deliberation as re­

ferred to in Article 59.

Article58

(1) If the holder of right to land or the rightful party based

on the statutoryregulation isdifferentfromthe owner

cl the bUilding and/orownerof theplants and/orowner

ofthe other items illVOlvifig the land, then t.hI:! loss UJIll­

pensation by the government agency that needs the

landshall be grantedto the holderof right or the right­

ful party based on the statutory regulatiOn, and/or me

ownerof the building and/or ownerof the plants and/

or owner rt the plants andjor owner of the other itemsbeingreleased to the government agency concerned.

(2) Decision of the natureand/oramountof loss compen­

sationfor thebuilding andlor pfants and/orother items

involving the land Shall be made by deliberation be­

tween the governmentagency thatneeds theland and

the ownerconcerned andshall be gUided by the provi­

sion in the statutory regulation that governs the price

standard concerned.

Artide59

(1) The nature and/or amount of loss compensation for

direct landprocurement shaltbe decided by delibera­

tion between thegovernmentagency that needs the

land and the owner.

0.) The deliberation referred to in paraqraph r1) maybe

guided by the NJOP or the real/actual valuewith due

observance of thecurrentyearNJOP around the loca­

tion.

Article 60 ..•..

Article 60

If the li:lnd procurement referred to in Artide 54

uses assistance of the Land Procurement Committee of

Regency/Munidpality, thelandshall be procured by means

of the land procurement as governed in Chapter IV Part

Oneof this Regulation.

CHAPTER V

lAND PROCUREMENT OTHERn-1AN

FOR CONSTRUCTION FOR PUBUC INTEREST

Article 61

(l) Procurement of land other than for construction for

public interest as referred to in Article 2, paragraph

(2), in conjunction with Article22ofPresidential Regu­

lation No.36 Year 2005 as; amended by Presidential

Regulation No.6S Year2006, such as procurement of

landfor construction in the interestof the government

i:lgency, owned by the government or regional govern­

ment, shall be conducted directlyby sale andpurchase,

trade,or other means asagreedupon bythe parties.

(L) it the procurement of land referred to in paragraph

(1) is not using assistance of the Land Procurement

Committee of Regency/Municipality, then the proce­

durethereofshall alsoapplythe provision in Article 55

throughArticle59.

(3) If the procurement of land referred to in paragraph

(1) uses assistance of the Land Procurement Commit­

teeof Regency/Municipality, then procurement of the

land thereofshallusethe procedure for procurement

of land as governed in Chapter IV Part One of this

Regulation.

Article62

If in the procurement of landreferred to in Artide

61 noagreement isreached on the natureand/or amount

of losscompensation, the governmentagency that needs

the landshall lookfor other location.

Businc--"s News 7731/10~31-2008

32A

CHAPTER VI

ADMINSITRATION OF RIGHTTO LAND

Article63

(1) In the contextof procurementof landasgoverned in

Chapter IVandArticle61,the Land Procurement Com­

mittee of Regency/Municipality shall exercise documen­

tation of the land procurementfor each plot of land,

consisting of:

a. proposal on construction plan;

b. resolution on decision of the location;

c. map of the plot of land, List of Land Owners, and

List of Buildings OWnership and/or plantsand/or

other itemslnvolvinq the land;

d. announcement of the map of plot of land, list of

holders of right to the landor the rightful parties in

accordance with the statutory regulatioll, and Ii~t

of Buildings Owners and/or plants and/or other

items involVing the land;

e. decision on the nature end/or-amount of loss com­

pensation andListof NominativeLoss Compensa­

tion Payment;

f. Invitationletters tor dellbelCltion;

g. Minutes on the resultof Deliberation on the Loca­

tion of Construction;

h. Proofof payment and receipt of loss compensa­

tion;

l, Proofof depositof loss compensation money at the

DistrictCOurt;

j. Statementof release/delivery of the right to land;

k. Minutes of Loss Compensation Payment;

I. Documents of ownership,control, useand utiliza­

tion of landinvolvingthe land; and

m. Otherrelated documents.

(2) TheLand Procurement Committee of Regency/Munio­

pality shall prepare Minutes ofLand Procurement Imple­mentation by attachinq the documents reFPrrf>d to in

paragraph (1), anddeliver to:

a. thegovernmentagency that needs the land, in the

form oforiginol document;

b the ".

b. the Land AffairsOfficeof Regency/Municipality, in

the form of record of the original document legal­

ized by the rompetent authority;

C. the masteragency that needs the landin the form

of record of the originaldocument legalized by thecompetent authority;

d. the Regent/Mayor or Governor for land within the

Jakarta Capital City Special Region inthe fonn of

recordof original document legalized by the com­

petent authority.

Artide64

The Governmentagency that needs the land shall

be responsible for:

a. securityand shall maintain the document file on the

landprocurement; and

b. control, safeguard, and maintain the landthat has beenobtained/paid its loss compensation.

33A

Q-lAPTERVIT

IMPLEMENTATION OFPHYSICAL CONSTRUCTION

Article 67

(1) Physical construction on the locationobtained by the

government agency tMr rtf"Pd<; the land, shaH cam­

rnence after release/delivery of the right to landand/

or deliveryof the bUilding and/ordeliveryofthe plants

referred to in Artide 49 and ArbCIe 50, or the lOSS

compensation moneylefell ed to inArticle 48 hasbeen

deposited.

(2) If the loss compensation to the rightful partiesto the

loss compensation is deposited at the District COurt,

the Reg6ntjMayor orGovemor for aA!a located within

the Jakarta capital CitySpecial Region shallissuede­

cision to carryonthe physical construction.

Article65

(1) Minutes of Payment of Loss COmpensation and Min­

utes of the Result of Deliberation on the Location of

rlln~1Ctkvl:'lnri T'lPdo:;inn on thl:> Nature ;uvijnr Amount

of Loss Compensation shallalsoapplyasgrantof con­

trol from the holderof right to land to the government

agency that naeds the land to release/deliver the right

to land or deliver the land to be the land under the

State directcontrol.

(2) Appliootion for the right to the State land referred to

in paragraph (1) latershall be submitted with the right

to the land that may be granted to the government

agency that needsthe 1lJnd.

ArtJde66

The application tor righllu Idnd rderreLI to in Ar~

tide 65,paragraph(2), shall be submittedbythe govern­

ment agency that needs the land to the Head of Land At·

fairs Agencyot Kegency/MunlopalJty to process the right

to land in accordance with the provision in the statutory

regulation.

~News_ml/1O--31-2008

Q-fAPTERVUI

EVALUATION AND SUPERVISION

Article68

(1) The Head of Land Affairs Agency OfficeeX Regencyl

MwIk.if.Jdlity she'" pruvide tedmil:af guidm1ce on the lelnd

procurementin its area.

(2) The Head of LandAffairs Agency Officeof Regencyl

Municipality shallsubmitreportonthe procurement of

land in its areato the Head of National Provincial Land

Af'f.::Iiro; Agency Of'fic£! mch quarter in the currentyear.

(3) The Head of National Provindal Land Affairs Agency

Office shallprepare reporton the procurementof land

in its area to tile Head OfNatfOnal Land Atrairs Agency

of the Republic of Indonesia each semester in the OJr­

rent year.

Artide69

The Head of National ProvincialLand Afu:lirs Asynry

Offic:e shall guide, manage, provide technical guidance and

evatuate the procurement of land in itSarea.

DlAPJERJX •••••

CHAPTER IX

TRANSmONAl PROVISION

Artide70

If no provision on the fee for land procurement

dulY stlpUIated roy me MinISter of Finance Is not avallClble

yet as referred to in Article 7Aof Presidential Regulation

No.36 Year2005 as amended by Presidential Regulation

No.65Year2006, chargeortee:a. the Land Procurement Committee shall be gUided by

the provision inthe statutory regulation;

b. the LandValue Assessment Institution shall be gUided

by theprovision in the statutory regulation onassess­

t1Ient service;c. the Land Value Assessment Teamshall beguidedby

the provts.ion Inthe statutory regulatlor..

Article 71

(1) Procurement of landfor construction for public inter­

est as referred to in Artide 5 of Presidential Regula­

tion No.36Year2005 implemented prior to Presiden­

tial Regulation No.65 Year2006 comes to force shan

remain be governed bV the old regulation.

(~) Procurement of land referred to in paragraph (1) that

has not obtained agreement on the nature and/or

amount of loss compensatiOn may proceed in accor­

dancewith this regulation.

34A

(2) Anyissue arisingafter expiry oftne land procurement

shallnot hamperthe phvsicaIconstruction referred to

in Article67.

(3) The natureand follow-up action for settlementof the

issue referred to in paragraph (2) shall be in accor­

dance withthe content of judgmentof settlement.

Article 73

settlement of control or useof land without per­

mit from the rightful parties or their attorneys, shall be

9oV'~med ba!'Pd O('lthP provision ill law No.51 Prp. Year

1960 concerning Prohibition from Using the Land Without

Pennit from the RightfulParties or their Attorneys.

Artide 74

With this regulation comes into force, Regulation

of the State Minister of Agrarian J\ffairs/Head of National

Land AffairsAgency No.1 Year1994, concerning Provision

on the Implementationof Presidential Decree No.55Year

1993, concernlnq Procurement of lnnd for Construction

for Public Interest, is herebydeclared nullandvoid.

Article 75

This Regulation shall take effect on the

date it is stipulated.

CHAPTER X

nOSING PROVISION

Article 72

(') ThE" duty and respom;ibility of the land Procurement

Committee of Regency/Municipality shallexpireafter

delivery of the document to thegovemment agency

that needs; the land referrPd to in Artfcle 63, para...

graph {2}.

Business New~ 7731/10-31-2008

Stipu~tedinJakarta

OnMay21, ZOO7

HEAD OF NATIONAL LAND AFFAIRS AGENCY

OFl'HEREPUBUC OFINDONESIA

Sgd.

JOYO WINOTO, Ph.D.

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