Sawit Watch says a government circular interpreting a Constitutional Court ruling could narrow protections for communities living traditionally in forest areas by introducing requirements not explicitly contained in the court’s decision.
PALMOILMAGAZINE, JAKARTA — Indonesian civil society group Sawit Watch has raised concerns over a government circular governing the interpretation and implementation of a Constitutional Court ruling on communities that have lived for generations in forest areas, particularly over a 20-year requirement that it says is not explicitly stipulated in the court’s decision.
Sawit Watch Executive Director Achmad Surambo raised the issue during the Pre-National Conference Webinar on Smallholder Plantations II on Friday (September 4, 2026). He said several provisions in the circular appear inconsistent with the substance of the Constitutional Court ruling.
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One of the main concerns is the requirement for communities to have occupied or lived in an area for at least 20 years.
Surambo questioned the legal basis for introducing the time threshold, arguing that the concept of communities living across generations should be assessed based on intergenerational relationships and factual conditions rather than a fixed number of years.
“The 20-year requirement, in our view, is something that is outside the Constitutional Court’s ruling,” Surambo said during the webinar.
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Intergenerational Ties Should Not Be Reduced to a Time Limit
Surambo said the existence of a community living across generations should not be reduced to a specific time period.
An intergenerational relationship, he argued, can exist even when a community’s presence in an area has not reached 20 years. A relationship involving grandparents and grandchildren, for example, can demonstrate an intergenerational connection within a community.
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Sawit Watch therefore favors a declarative and fact-based approach in determining the existence of such communities. Under this approach, recognition would take into account conditions on the ground rather than relying solely on formal government documentation.
Surambo also questioned provisions relating to the distribution chain for agricultural or forest products. According to him, the circular contains requirements concerning the absence of intermediaries such as buyers, collectors or financiers.
He said applying such requirements rigidly could create problems for communities living in forest areas because their daily economic activities naturally involve interactions with other parties, including selling part of their production to meet household needs.
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Selling Produce Does Not Automatically Mean Commercial Activity
Surambo said the sale of agricultural or forest products should not automatically be interpreted as evidence that a community’s activities are commercial in nature.
The more relevant consideration, he argued, is the purpose and scale of the activity.
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If products are sold to finance basic household needs, such as children’s education, clothing and other family expenses, the activity can still be understood as part of subsistence and livelihood needs rather than a purely commercial enterprise.
“If we sell something to pay for a child’s schooling or clothing, that is more about meeting basic needs than commercial activity,” he said.
By contrast, activities aimed at expanding capital, generating profits and involving large-scale financiers have different characteristics, Surambo said.
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Indicators of commercial activity could include structured corporate involvement and management practices resembling those of a formal business, he added.
Sawit Watch therefore believes the term “commercial interests” needs to be interpreted based on the purpose, scale and structure of an activity rather than simply on whether a sale or purchase transaction takes place.
Circular Should Not Create New Legal Requirements
Sawit Watch also questioned the use of a circular to introduce requirements that are not contained in the Constitutional Court’s ruling.
Surambo said a circular is generally an internal administrative instrument and should not be used to establish new substantive requirements that could narrow the meaning or application of a court decision.
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The 20-year provision is one example, he said. If the Constitutional Court did not establish such a threshold, an administrative circular should not introduce a new condition that could prevent communities from obtaining legal protection.
Another issue concerns a requirement for communities to be registered with local governments.
Surambo questioned the use of mandatory language in relation to such registration, saying it could shift the process from a declarative and factual assessment toward a formal administrative approach.
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Traditional rights, he argued, should not automatically disappear simply because a community does not yet possess formal documentation issued by a government authority.
Call for a More Restorative Approach
Sawit Watch is calling for the implementation of the Constitutional Court ruling to adopt a more restorative and socially just approach.
Such an approach, Surambo said, should consider the history of land occupation, communities’ dependence on natural resources and their livelihood needs rather than focusing solely on enforcement and administrative compliance.
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The debate over the boundary between non-commercial and commercial activities also remains relevant to smallholder oil palm plantations, particularly as authorities determine which community activities should receive protection under the ruling.
Surambo acknowledged that the issue remains subject to further discussion and consultation among relevant stakeholders.
For Sawit Watch, the central issue is ensuring that administrative implementation does not create additional barriers for communities whose traditional relationships with forest areas are recognized by law. (T2)
