plantation companies engage in land clearing without a release permit from
forest areas, with altered Environmental Impact Assessment (EIA) documents, or
with permits stating a different purpose than what is actually being undertaken
in the field. In addition, many plantation companies also operate in areas outside
their Land Use Rights Area or operate without Land Use Right. The acquisition
of customary lands is often facilitated by corrupt practices such as bribing or
coercion of village heads and community leaders.
Police and military involvement
A number of reports also found that many plantation companies have
been engaging military and police personnel to secure their businesses. The
justification for this involvement is Presidential Decree No. 63/2004 or the
Security Measure for National Vital Objects. However, this decree lacks clarity,
especially in terms of its source of its funding, how it will be monitored, and what
standard operational procedures are involved. In addition, in some cases, the
involvement of police and military is not clearly justified. As reported by media,
there are a number of cases related to the lack of accountability in cases of police
and military involvement in providing security to plantations companies (West
Papua Daily, 2017; WALHI, 2018).
Banks and financial institution involvement
A growing concern over the impact of agribusiness activities led to the
finding of indirect involvement of banks and financial institutions in the violation
of human rights in the field. In 2017, Rainforest Foundation Norway (RFN) released
a report on the complicity of Nordic financial institutions in the devastating
environmental and rainforest destruction in Indonesia. The RFN revealed that
about US $1.3 billion was invested by Norway’s largest banks in four Indonesian
banks that finance palm oil companies allegedly involved in human rights
violations, land conflicts, and environmental destruction (Rainforest Foundation
Norway, 2017).
Indonesian laws and policies related to land and agriculture
Problems of land governance
Article 33 (3) of the Indonesian Constitution and Article 2 (1) of the
Basic Agrarian Law assert that earth and airspace are controlled by the State
ANGOC and KPA
55
Select target paragraph3
Connect to a paragraph
Connect to an entity
Disable highlights
Add to table of contents