Andi Adam Faturahman, Jakarta – The Indonesian Constitutional Court has partially upheld a lawsuit related to the Job Creation Law. The court's decision exempts indigenous communities living in the forests from the obligation to obtain business permits for plantation activities.
"As long as it is not intended for commercial purposes," said Constitutional Justice Enny Nurbaningsih while reading the ruling on Thursday, October 16, 2025.
According to her, business permits only apply to activities intended for trade in exchange for profit. Meanwhile, indigenous communities have been planting for generations in the forest for non-commercial purposes.
She elaborated that Article 17, paragraph 2 letter b of Law No. 6 of 2023, which serves as the primary norm of Article 110B in Article 37 number 20 of the Annex to Law No. 6 of 2023, also becomes a secondary norm related to the previous Court's decision.
The previous decision essentially provides legal protection for indigenous communities to carry out plantation activities without a permit from the central government because it is done to meet personal needs.
"The petitioner's arguments related to the norm of Article 110B paragraph (1) in Article 37 number 20 of the Annex to Law No. 6 of 2023, according to the Court, are well-founded," said Enny.
Meanwhile, in lawsuit Number 181/PUU-XXII/2024 filed by Sawit Watch, the Court states that Article 17 paragraph (2) letter b in Article 37 number 5 of the Annex to Law No. 6 of 2023 is contrary to the constitution and does not have conditional legal binding force.
Similarly, according to Constitutional Justice Suhartoyo, this also applies to Article 110B paragraph (1) in Article 37 number 20 of the Annex to Law No. 6 of 2023 insofar as it relates to the provisions of the aforementioned norm.
"As long as it is not interpreted as an exception for indigenous communities living through generations within the forest and not intended for commercial purposes," said Suhartoyo when reading the verdict.