Right to Manage (“HPL”) is regulated in the following legislations:
- Law Number 21 of 1997 regarding Tax on acquiring Land and Building (“BPHTB Law”);
- Government Regulation Number 40 of 1996 on Right to Cultivate, Right to Build and Right to Use over Land (“GR No. 40/1996”);
- The Minister of Agriculture Regulation Number 9 of 1965 on Execution of Conversion regarding Right to Control over State Land and Provisions concerning further Policies (“MR No. 9/1965”); and
- The Minister of Agriculture/Head of National Land Agency Regulation Number 9 of 1999 on Procedures Granting and Cancelling Rights over State Land and the Right to Cultivate (“MR No. 9/1999”).
Under MR No. 9/1999, HPL is defined as the State’s right to control land which can be partly delegated to the HPL holder.The elucidation of Article 2 paragraph (3) letter f of BPHTP Law explains the Right to Manage. Based on the elucidation, the Right to Manage is the State’s right to control land, the state can delegate parts of its authority to the holder of the Right to Manage, such as (i) planning the designation and use of land (ii) planning the use the land for the purpose to implement its business, (iii) delivering parts of the land to a third party or cooperating with a third party.
Objects of HPL are agricultural land and non-agricultural land.
Based on Article 67 of MR No. 9/1999, HPL can be granted to the following parties: Read the rest of this entry »
The increasing scarcity of land that can be used for commercial purposes in a city center such as Jakarta, requires efficient management of construction development in the city center. To realize sustainable development, and use the available land efficiently, a recently developed concept known as the superblock concept has been integrated in the urban area.
A superblock is an area with a group of integrated buildings, which results in an area of land with a high density of mix used land. The characteristics of a superblock can be recognized by integrating activity and functionality all in one area, comprising residences, a hotel, offices, a shopping center, and other facilities.
According to Article 43 paragraph (4) of Ordinance of DKI Jakarta Number 6 of 1999 on Regional Zoning Plan of Special Capital City Region of Jakarta, constructing a superblock is conducted through the utilization of space using a mixture of housing and other facilities such as a shopping mall and/or offices. The space used for housing ranges between 35%-65% of the total available space. The requirements when using an integrated structure of housing and other facilities, also known as a superblock, are : Read the rest of this entry »
Conflicts in relation to agrarian law occur a lot in Indonesia. Why does this happen? Is it because the legal instruments available are not sufficient for the people’s needs? Agrarian law in Indonesia is regulated under Law Number 5 Year 1960 concerning Agrarian Subjects (“UUPA”) and its implementing regulations. This article will examine if the UUPA does comply with the people’s needs and will discuss the normative principles as set out in the UUPA, which are often debated.
According to Article 1 paragraph (1) of UUPA, the territory of Indonesia consists of all land, water and all the people of Indonesia, that unites the Nation of Indonesia. All land, water and space, including the natural resources, contained in it are under God’s grace and considered as National wealth.
The State Principle: Highest Level of Control of Land, Water, Space and Natural Resources
This principle is based on Article 2 paragraph (1) of UUPA. The word “control” in this article does not mean to possess, but is used to express that the State is the highest controlling organ within the nation of Indonesia and can: Read the rest of this entry »
The right of a land can be upgraded or downgraded. This can be done in accordance with the interest of the right’s holder of that particular land. A right of land is downgraded to fulfill the needs of the right of land’s holder which might not qualify to hold a particular right of land it has just acquired. This happens, for example, when a legal entity won a land with Right of Ownership (Hak Milik) through a public auction, while it is not allowed for legal entity to hold an Right of Ownership over land. However, the right of land is able to be upgraded in order to acquire Right of Ownershipfor residential purposes.
Downgrading the Right of Land
According to State Agrarian Minister/Head of National Land Office Decision Number 16 of 1997 on the Change of Right of Ownership to Right to Build (Hak Guna Bangunan) or Right of Use (Hak Pakai), and Right to Build to become Right of Use (“Downgrading Right of Land Decision”), there are 2 (two) types of right of land that can be downgraded, which are: Read the rest of this entry »
Currently, construction of Condominiums is growing rapidly, considering the demand for housing is increasing. In this regard, in order to accomodate the people’s need for housing, the Law No. 20 Year of 2011 on Condominium (“Condominium Law”) stipulates that condominium can also be constructed over waqf land.
Waqf land means a land that is separated or granted by Wakif (party who donates its asset) in order to be used for a certain period of time for the interest of religious service and/or public welfare as per sharia law. Therefore, waqf is fully implemented for the social purpose and/or public welfare.
For condominium owners, either general condominium or special condominium, which is established by utilizing the waqf land, a Certificate of Building Ownership of Condominium Unit which is commonly referred to as SKBG Sarusun, as evidence of the ownership of the condominium unit, will be obtained.
Terms and Conditions of the Utilization of Waqf Land for Condominium
Terms and conditions of utilizing the waqf land under Article 20 and Article 21 of Condominium Law are as follows: Read the rest of this entry »