InfoSAWIT, JAKARTA — The West Java Governor’s decision to issue a circular letter banning new oil palm planting has sparked legal debate over the limits of provincial authority within Indonesia’s regulatory hierarchy.
The circular, issued on December 29, 2025, prohibits new palm oil development and calls for crop substitution across the province. Legal experts question whether a circular letter has the authority to restrict business activities permitted under national law.
Indonesia’s Plantation Law and the Job Creation Law grant licensing authority to regional governments but require compliance with national standards. Under Law No. 12/2011, circular letters are not part of the formal legislative hierarchy.
Legal scholar Prof. Ermanto Fahamsyah argues that circular letters are administrative tools, not regulatory instruments.
“If a circular imposes prohibitions that contradict higher regulations, its legal validity can be challenged,” he said.
Observers warn that the policy could undermine legal certainty and expose the province to administrative and judicial disputes. (*)
This article reflects the author’s legal opinion.
