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BPN Relax the Expiry, Extension and Renewal of Land Rights During COVID-19 Pandemic

Updated: Jun 18

By Puspa Amelia (puspa.amelia@launcher.id) and Clara Viriya (clara.viriya@launcher.id)

The Indonesia Land Office (Badan Pertanahan Nasional / Kementerian Agraria dan Tata Ruang (“BPN”) has issued certain policies related to the extension of the implementation of land rights and the period of land rights registration in response to the COVID-19 pandemic. Through its policies, BPN has granted the relaxation on the validity period of certain rights as stipulated in the Decree No.88.1/SK-hr.01/IV/2020 on the Extension of the Validity of Land Rights and the Extension for the Registration of the Decree on the Granting, Extension or Renewal of Land Rights that Have Expired or Will Expire during the COVID-19 Emergency Period.

The BPN relaxed such land rights only limited to: a) right to Build (Hak Guna Bangunan “HGB”); b) right to use (Hak Guna Pakai “HP”); and c) right to Cultivate (Hak Guna Usaha “HGU”) that will or have expired on 31 March 2020 will remain valid up to 31 December 2020. In addition, those relaxations also apply for granting, extension, or renewal decrees of land title that expired from 31 March 2020. However, in the event of the land right holders and/or owners land title expired on or after 31 March 2020 and such holders/owner does not submit an extension application to BPN by 31 December 2020, therefore the land rights will result in the expiration of the land titles and also applies for the land right holders and/or owners of granting an extension, or renewal decree on the registration such decree. Otherwise, the decree will be deemed null and void.

BPN also issued its Circular Letter No.7/SE-100.HR.01/IV/2020 on Ease of Granting and Registration Services and Land Titles During the COVID-19 Emergency Status Period. Through this circular letter, BPN also relaxes the documentation requirements for the transfer of rights decree over land titles which validating evidence of tax payment from the relevant tax (PPh or BPHTB are no longer required. The required documents only a stamped statement letter and PPh and/or BPHTB proof of payment.

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