Property ownership in business development, particularly over the land, is undeniably crucial. Since the presidential era of Joko Widodo, licensing related to land permits have undergone transformation, including integration of digital system usage. However, given that Indonesia is an archipelago with diverse geographical conditions, the licensing process for land ownership via digital does not necessarily provide a proper solution. Following this, The Ministry of Agrarian Affairs and Spatial Planning/National Land Agency has issued a legal document in the form of technical guidelines, which serves as a guide for applicants to submit offline registrations. Find out more of our insights about this topic in our Legal Brief publication.

1. Legal Brief
Navigating the Complexities in
Issuance of KKPR (Suitability of Spatial
Utilization Activities)

2. As commonly understood, any form of enterprise intending to conduct management activities in Indonesia is required to
possess land ownership. Such land ownership is mandated to comply with specific indicators, particularly concerning land
designation and the variables present in the field.
In the era of President Soeharto, there was an opening of investment opportunities
which aimed to facilitate investment and economic development through streamlined
processes such as location permits (izin lokasi). Izin Lokasi formerly regulated under
Regulation of The Minister of Agrarian Affairs and Spatial Planning/Head Of National
Land Agency Number 2 of 1999.
President Soeharto’s Era
Simplified Explanation on Izin Lokasi
Rights and Obligation
Licensing Procedures
Rights Obligation
Waive other party’s
rights over their land
after the permit
holder conducts the
following: (i) enters
into sale and
purchase
transactions with
land-owner(s); (ii)
provides
compensation to
land-owner(s); (iii)
performs land
consolidation; or (iv)
other lawful
measures.
Respect other party’s
interests over their land if
such party has yet to
transferred the rights over
the land to the permit
holder.
Register the obtained land
with the local Land Office.
Utilize the land for its
permitted objectives as set
out in the investment plan.
Report to the Head of Land
Office every three months
regarding progress on the
land acquisition and the
use of obtained land based
on the permit.
Application/Submission
Written Application proposed to the relevant official within its technical
consideration, covering: (i) the land right type(s); (ii) physical assessment of
the land; (iii) land utilization; and (iv) land capacity.
Technical Coordination
Such proposal must be signed by the relevant official with having a
coordination meeting, with following aspects:
• information on the investment plan and its impacts;
• opportunity for the land-owners to clarify the investment plan;
• obtaining social and environmental data (for local society); and
• community participation.
Granted/Signatory of Permit
• The permit may be extended for one year if the permit holder already
obtains at least 50% of total targeted area.
• The permit holder will adjust the development target under its investment
plan, if the permit holder still fails to secure the land after an extension.
• The permit holder must release the land to other qualified parties, if the
acquired land is less than 50% of the total targeted area.
Introduction: Historical Milestone the
Implementation of Online KKPR (1/2)
A H R P L e g a l B r i e f

3. The initiative of the transformation was driven by the need to integrate environmental, social, and economic considerations into land use
decision-making, signaling a shift towards a more sustainable and inclusive approach. KKPR aims to enhance transparency, public
participation, and adherence to spatial plans, with the expectation of reducing land use conflicts, promoting responsible development, and
overall supporting the vision of sustainable development. This change reflects an understanding that the management of space and
natural resources must be conducted in a manner that considers social justice, environmental sustainability, and balanced economic
growth, marking a significant step forward in land management and development governance in Indonesia.
In the era of President Jokowi, Izin Lokasi has transformed into Suitability to Spatial Utilization
Activities (Kesesuaian Kegiatan Pemanfaatan Ruang / “KKPR”) which represents a strategic move
by the Indonesian government to ensure that land development and construction activities are
aligned with existing spatial planning frameworks.
President Jokowi’s Era
Simplified Explanation on KKPR
Pursuant to Government Regulation Number 21 of 2021 on Spatial Planning Organization (“GR 21/2021"), the Minister of Agrarian Affairs
and Spatial Planning (“Minister”), who also serves as the Head of the National Land Agency, has promulgated Minister of Agrarian Affairs
and Spatial Planning Regulation Number 13 of 2021 on the Implementation of Spatial Utilization Activities Suitability and Spatial Utilization
Program Synchronization (“MoAR 13/2021").
With the enactment of MoAR 13/2021, it effectively supersedes and nullifies the following legal instruments:
1) Minister of Agrarian Affairs and Spatial Planning Regulation Number 17 of 2019 on Location Permits along with its subsequent
amendment; and
2) Minister of Agrarian Affairs and Spatial Planning Regulation Number 22 of 2019 on Expedited Spatial Utilization Licensing.
Legal Background
Legal Outcome
KKPR
KKKPR
KKKPR for business activities will be issued in accordance with
the suitability of spatial utilization activity location plans as they
relate to a Detailed Spatial Plan (Rencana Detail Tata Ruang –
“RDTR”) that has been integrated into the OSS system.
PKKPR for business activities will be granted if there is no RDTR
available or if the available RDTR has yet to be integrated into
the OSS system.
KKPR processed via the Online Single Submission
(“OSS”) system through the issuance of the following:
• Confirmation of the Suitability of Spatial Utilization
Activities (Konfirmasi Kesesuaian Kegiatan
Pemanfaatan Ruang – “KKKPR”); or
• Approval for the Suitability of Spatial Utilization
(Persetujuan Kesesuaian Kegiatan Pemanfaatan
Ruang – “PKKPR”).
Introduction: Historical Milestone the
Implementation of Online KKPR (2/2)
PKKPR
A H R P L e g a l B r i e f

4. A H R P L e g a l B r i e f
Rencana Detail Tata Ruang (“RDTR”)
Issuance of KKPR
Submission of KKKPR
KKKPR as have been integrated with RDTR will be issued in accordance with the suitability of spatial utilization activity.
RDTR is a detailed plan regarding the spatial arrangement of
districts/cities equipped with district/city zoning regulations.
RDTR itself constitutes a more detailed form of Spatial
Planning (Rencana Tata Ruang Wilayah “RTRW”), which is
very general in nature. That is why there are several areas
where fully integrated RDTRs have not yet been incorporated
into the OSS system.
Between the two products of KKPR processed, the
distinguishing variable is the RDTR that has been integrated
within the OSS System.
General Overview the Submission of
KKPR in Terms of KKKPR
As previously explained, KKPR is processed via
OSS system, with 2 (two) possible legal
products, namely: KKKPR or PKKPR.
Differential Factor
KKKPR registration must be submitted along covering:
1. Location coordinates;
2. Required areas;
3. Information relating to land tenure and business type; and
4. Building floor plan and areas.
Assessment of space utilization proposal via OSS system will be examinated by considering the proposed business and RDTR
suitability. Then, the OSS system will issue a KKKPR in the form of approval.
Registration of KKKPR
1
Assessment of Spatial Utilization Proposal
KKKPR should be issued within one day of a complete set of application requirement and payment due to administrative non-tax
revenue.
KKKPR will remain valid for three years from the date of issuance.
Issuance of KKKPR
2
3

5. Submission of PKKPR
A H R P L e g a l B r i e f
Issuance of PKKPR
As a legal-consequence of RDTR not being comprehensively available at the land level in Indonesia and have not yet integrated into the OSS
system, the applicant in this case needs to first submit an assessment down-to-top with the Regional and Central Governments by elaborating on
the ‘Spatial Layout Planning’ at the respective levels of government authority.
Certain Level of Spatial Layout Planning (Rencana Tata Ruang / “RTR”)
01 National Spatial Planning (Rencana Tata Ruang Wilayah
Nasional “RTRWN”): serves as the policy direction and
strategy for the utilization in the level of national’ spatial area.
02 Nationally Strategic Provincial Spatial Planning (Rencana
Tata Ruang Kawasan Strategis Nasional “RTR KSN”): A
detailed plan derived from the RTRWN, encompassing
objectives, policies, and spatial arrangement strategies,
spatial structure plans, spatial pattern plans, spatial utilization
directives, spatial utilization control directives, as well as area
management.
03
Archipelago Spatial Planning (Rencana Tata Ruang
Pulau/Kepulauan “RTR Pulau/Kepulauan”): A detailed plan
for island’ and archipelago’ that formulated as an elaboration
and operational tool of the RTRWN.
04 Provincial Spatial Planning (Rencana Tata Ruang
Wilayah Provinsi “RTRWP”): A general spatial plan in
the level of provincial areas, referencing to the RTRWN,
RTR Pulau/Kepulauan, and RTR KSN.
05 Regional Spatial Planning (Rencana Tata Ruang
Wilayah Kabupaten/Kota “RTRW Kabupaten/Kota”): A
general spatial plan in the level of Regional areas,
referencing to the RTRWN, RTR Pulau/Kepulauan, RTR
KSN, and RTRWP.
PKKPR are issued by the Minister through the Director-General of Spatial Planning by taking into account the results of the study,
technical consideration for the relevant land, as well as a consideration of the Spatial Planning Forum (if this is deemed necessary).
PKKPR registration must be submitted along covering: 1) Location coordinates; 2) Required areas; 3) Information relating to land tenure
and business type; 4) Building floor plan and areas; and 5) Technical building plan and/or area master plan.
Registration of PKKPR
1
Assessment of documents are to be conducted in reference to
principles of sustainability and complementarity based on
Spatial Layout Planning in certain levels.
Assessment of the Required Documents for PKKPR
2
If deemed necessary, a field review (peninjauan lapangan) may also be
conducted in order to assess the documents that address the proposed
spatial utilization activities.
Issuance of PKKPR
3
General Overview the Submission of
KKPR in Terms of PKKPR

6. Criticisms about the Incumbent Mechanism of Submission of KKPR via OSS
In addressing the intricate landscape of spatial utilization regulatory frameworks, the electronic registration process for
KKPR to outcome KKKPR and PKKPR, has been met with both anticipation and critique. The transition towards
digitalization, aimed at streamlining administrative procedures and enhancing efficiency, has nevertheless surfaced a
series of challenges necessitating meticulous reconsideration and adjustments.
Thus, the Ministry issued the Technical Guidelines Document for Spatial Planning Proposal via Non-Electronic Number
10/Juknis-PF.01/XI/2023 (“Juknis”) is a testament to the regulatory body's commitment to refining this digital venture,
addressing identified gaps, and ensuring a more seamless integration into the national spatial planning and utilization
paradigm. This narrative unfolds within the context of addressing critical feedback, underscoring the imperative for robust
systems, procedural clarity, and adaptive mechanisms to accommodate the dynamic nature of spatial utilization
activities.
Administrative Issues of online submission of KKPR
Technical Requirements and Documentation,
Critiques of the electronic KKPR implementation
further involve technical requirements and
document completeness. In certain instances,
electronic validation and verification of documents
may not suffice for assessing conformity and
compliance with spatial planning regulations.
Hence, the Juknis emphasizes the importance of
accurate and comprehensive supporting
documents, as well as manual evaluation by
officials as part of the assessment process.
Data Updates and System Integration,
Considering that the OSS system is designed to
integrate all documents, yet in practice, data
updates are still sporadic and scattered, leading to
discrepancies between the OSS system, data held
at the regional level, and even with the actual
conditions on the ground.
Administrative Dilemma
The initial objective of the OSS system was to
simplify administrative processes. However, due to
the lack of actual data recording, this has ironically
led to a lack of synchronization, resulting in
administrative issues.
Consequently, applicants in this context are forced
to revert to conventional methods, namely offline
procedures. Furthermore, field officers sometimes
insist on submitting through the OSS under the
pretext of being unable to exercise discretion.
A H R P L e g a l B r i e f
01
02
03
Criticism to Electronic-Submission

7. A H R P L e g a l B r i e f
Registration
Requirements for KKPR
Proposals
KKPR Proposal registrations
submitted upon request by parties
who are deemed eligible to submit
Proposals. Applicants should
submit their KKPR Proposal
registrations to the Minister c.q the
Director-General of Spatial
Planning (“Director-General”)
enclosing an application letter that
covering:
Assessments of KKPR Proposals
Assessments and reviews of documents on proposed
space utilization activities for nationally strategic
activities will be carried out in line with policies that
specifically address nationally strategic activities
coherence to RTR. Furthermore, the following specific
indicators are used for reviews and assessments of
KKPR Proposals in general:
Issuance of KKPR
KKPR Proposals that have completed the assessment
and review stages will be processed as one of three
KKPR types as follows, depending on the accuracy
and suitability of said KKPR Proposals:
Required Document Remarks
Location Coordinates
The location coordinate documents should be submitted in polygonal
Shapefile format and should contain information about the area and the
shape of the relevant land or the identification numbers of any land that
has already been certified.
Required land area for space utilization
activities
This document should contain information on the requested land area
in units of m2 (square meters) or ha (hectares).
Land Tenure Information
This document should contain information about legal relationships
between individuals, groups of persons or legal entities within the
relevant land areas.
Pre-Study Document for the Feasibility
of Space Utilization Activities
The submitted documents must be adapted to match the specific
needs of each space activity plan and should be documented in
accordance with the relevant provisions.
Indicators
Basic assessments of nationally strategic
activity policies.
KKPR assessments under certain
conditions.
KKPR activity confirmations. Provisions on requirements for the
implementation of space utilization activities.
KKPR’s activity approvals. Underpayment statement for non-tax state
revenue (Penerimaan Negara Bukan Pajak
– “PNBP”)
Recommendations for KKPR activities. Preparation of results and determination of
the validity periods and objectives of KKPR.
Legal Outcome Status Explanation
KKKPR KKPR Proposals are compatible with RDTR
PKKPR KKPR Proposals are compatible with RTR
Filling the Gap: Issues with Electronic
KKPR Submission via OSS
The Director-General will issue a KKPR document to the applicant accompanied by a statement of complete approval or partial approval in the form of
a physical document and/or scanned results. It should also be noted that the validity periods of KKPR are determined based on the acquisition of land
ownership as follows:
• KKPR will remain valid for periods of three years for applicants who have not yet acquired land for their business activities and can be extended
automatically in line with land acquisition plans; and
• For applicants who already control/own the entirety of the required land for the location of planned space utilization activities, the validity period of
the KKPR will follow the period of control/ownership of the relevant land.

8. 01 Blueprint is Everything: As outlined in the KKPR registration procedures, the Applicant is required to
submit both the building floor plan and areas, and the Technical building plan and/or area master plan.
Furthermore, these two documents are also utilized for public consultation during the Land Transaction
Stage. As such, it is crucial for the Applicant to prepare the Blueprint in the pre-land acquisition phase,
both as a compliance measure and as a strategy for mitigation.
A H R P L e g a l B r i e f
Surveying the
Land
Candidate
KKPR Submission Stage Land Transaction Stage
Compiling Land-
Documents
Requirement
Submitting KKPR
Coordinating with
Relevant Officials
Public
Consultation
Acquiring the
Land
Despite the tendency to underemphasize technical documents during the
Submission Stage, Applicants fundamentally undervalue the technical
documentation related to the construction of the intended business premises.
Upon closer examination, it becomes evident that building technical documents
are crucial as a form of mitigation for fulfilling coordination with relevant officials
and public consultation, particularly in instances of opposition. Consequently, it is
essential for the Applicant to maintain the accuracy and consistency of the
building's technical documents according to a strict 'blueprint'.
02 Use the Discretion as Advantage
As it is known in the KKPR registration process,
applicants are required to fulfill land tenure
information requirements. To date, there is a lack of
clarity regarding what constitutes land tenure
information, leading to situations where officials,
through the OSS system, strictly mandate that
applicants 'possess' the proposed land beforehand.
Despite this ambiguity, there remains room for officials
to exercise discretion. In such instances, applicants
have the option to submit a Letter of Intent to Sell
Land, attaching evidence of the landowner's certificate
of ownership, as an initial step.
AHRP TIPS!

9. A H R P L e g a l B r i e f
03 A Master Key: The primary issue in land procurement is the alignment between the RTRW within the
spatial layout plan in certain levels. In practice, a common hindrance that often delays the land
procurement process is the mismatch between the data maintained by the Regional Land Agency
(Badan Pertanahan) and the RTRW overseen by the central government. Therefore, as a safeguard,
in the initial stage of identifying suitable candidate of land, the Applicant may submit Technical
Considerations (“Pertimbangan Teknis”) as a form of adjustment in the change of RTRW for the
business licensing that will be established on the proposed land.
For example, in the RTRW of Kalimantan Island, it is
observed that even at the provincial level, there are
no 'white' or 'unallocated' areas within the RTRW.
This signifies that applicants must undertake a
conversion process prior to the approval of the
KKPR. Therefore, as a pivotal strategy to secure the
related KKPR, applicants may submit Pertimbangan
Teknis through the relevant Regional Land Agency
(Badan Pertanahan Nasional)
As a note, all document requirements for issuing Pertimbangan
Teknis by the Regional Land Agency are discretionary. In
practice, said required documents tend to have a uniformity in the
document requirements necessary for the issuance of the KKPR.
AHRP TIPS!

10. We will continue to follow the developments on this topic and provide additional information as it
becomes available. If you have any questions on this topic, please contact:
This publication has been prepared by AHRP for educational and informational purposes only. The information contained in this publication is not
intended and should not be construed as legal advice. Due to the rapidly changing nature of law, AHRP makes no warranty or guarantee
concerning the accuracy or completeness of this content. You should consult with an attorney to review the current status of the law and how it
applies to your circumstances before deciding to take any action.
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