The Minister of Agrarian Affairs and Spatial Planning/Head of the National Land Agency of Indonesia has recently made effective Regulation 17/2019 on Location Permit on September 20, 2019, replacing the previous Regulation 14/2018. This new regulation was enacted to clarify the location permit issuance framework under the Online Single Submission system (OSS).
Regulation 17/2019 made changes to the licensing procedures to obtain the location permit and it covers the following major provisions:
Location permit’s subjects consist of businesses that need land to run their business but they have not owned the land yet. These subjects include the following:
Regulation 17/2019 puts location permit into two categories based on commitment requirements:
The main issuance procedure of location permit in Indonesia is listed in the following steps:
1. Register through the OSS system
2. Submit application of location permit along with the below documents:
3. Issue location permit and relevant location map
4. Fulfill commitments
In accordance with Regulation 17/2019, applicants no longer need to submit valid service fee’s payment receipt together with the location permit applications.
However, the submission of payment receipt is still in fulfillment of commitments:
1. Submit requirements
2. Conduct technical land considerations
3. Issue approval
The location permit in Indonesia is valid for three years from its effective date. Businesses may be allowed to extend the location permit for another one year if the land acquisition has reached at least half of the target of initial acquisition.
Regulation 17/2019 permits businesses to obtain land titles relating to other overlapping land titles via the below legal steps:
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