Enforcement in Tesso Nilo: Large-Scale Palm Owners Must Pay Fines, Smallholders Exempt Under PP 24/2021

Palm Oil Magazine
Illustration of oil palm plantations. Photo by: Sawit Fest 2021 / Trismon Saputra

PALMOILMAGAZINE, BOGOR — The controversy surrounding the enforcement of forest governance in Tesso Nilo National Park (TNTN), Riau Province, continues to escalate. The government’s efforts—through the Forest Area Enforcement Task Force (Satgas PKH)—to relocate residents and clear illegal oil palm plantations have sparked mixed reactions, including demonstrations and official complaints.

Tensions rose on June 18, 2025, when thousands of affected residents staged a protest in front of the Riau Governor’s Office, rejecting relocation plans and demanding the governor facilitate dialogue with the central government. The governor agreed and pledged to arrange a meeting by July 18 at the latest.

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Shortly after, on June 24, a counter-protest emerged from a group supporting the government’s efforts to protect the park’s elephant population and relocate illegal settlers. Disputes continued to mount.

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On July 2, impacted residents filed grievances with the House of Representatives’ Aspiration Council, followed by a report to Indonesia’s National Commission on Human Rights (Komnas HAM) on July 4, alleging potential human rights violations by Satgas PKH.

Meanwhile, Satgas PKH began assertive actions, including clearing illegal palm oil plantations. Among the high-profile targets was a plantation allegedly owned by a local legislative member, spanning hundreds of hectares.

Ahmad Zazali, SH., MH., Director of AZ Law Office & Conflict Resolution and Chair of the Center for Law and Conflict Resolution (PURAKA), stated that while Satgas PKH’s actions are legally justified, they lack fairness if large-scale plantation owners are not subjected to administrative fines.

“We support the enforcement efforts. However, under Article 33 of Government Regulation (PP) No. 24/2021, large-scale plantation owners in forest areas must be fined,” Zazali told Palmoilmagazine.com on Wednesday (July 9, 2025).

PP 24/2021, a derivative of the Job Creation Law, adopts the ultimum remedium principle—criminal charges should be a last resort. The regulation distinguishes between two categories of illegal land users:

  1. CoIDRorate and individual owners managing over 5 hectares in forest areas must face administrative fines.
  2. Smallholders who have lived and farmed on land under 5 hectares for at least 5 years are exempt from fines and instead addressed through land regularization programs, such as Social Forestry, Conservation Partnerships, or TORA (Land for Agrarian Reform).

Zazali added that for lands within production forests, owners may apply for forest use permits for a 25-year cycle or partner with license holders in cases of overlapping claims. However, for lands located in protected or conservation forests—like TNTN—no compromise is allowed; such areas must be returned to the state.

“But returning the land alone is not enough,” he stressed. “Large-scale plantation owners must also pay fines as mandated by Article 33. Otherwise, it creates legal inequality, where smallholders are forced out while wealthy operators escape accountability.”

He emphasized the importance of legal fairness in resolving forest tenure conflicts, noting that laws must distinguish between small farmers struggling to survive and coIDRorations or individuals pursuing profit through large-scale exploitation.

“Justice in enforcement is critical to resolving agrarian conflict. The Satgas must demonstrate that the law is equal for all—not harsh on the weak and lenient on the powerful,” Zazali concluded. (P2)

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