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Jakarta Post

Islands for sale raise concerns

The sale of an island in the Thousand Islands regency has raised questions over land ownership in the area, which has huge tourism potential

Fachrul Sidiq (The Jakarta Post)
Jakarta
Tue, March 19, 2019

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Islands for sale raise concerns

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span>The sale of an island in the Thousand Islands regency has raised questions over land ownership in the area, which has huge tourism potential.

A property agent named Ellya Puspawati Widjaja marketed Dua Barat Island for Rp 243 billion (US$18.48 million). The price per square meter of the land is set at Rp 3.1 million.

The advertisement, which was uploaded to property marketplace www.99.co, appeared to be taken down after it made headlines on several news outlets and prompted Jakarta Governor Anies Baswedan to comment on the matter. Anies said he had yet to hear anything about the sale and would gather relevant information first.

In a document purportedly issued by the regency administration in 2017, a copy of which was obtained by The Jakarta Post, the 7.93-square-hectare Dua Barat Island is designated as a green area and conservation area, according to the Detailed Spatial Planning (RDTR) and Zoning System.

Thousand Islands Regent Hussein Murad did not immediately respond to the Post’s request for comment on the authenticity of the document. He previously said it was impossible for an individual to own and sell an entire island.

According to a 2016 regulation issued by the Agrarian and Spatial Planning Ministry, Indonesian citizens are allowed to control 70 percent of a small island, while the rest is owned by the state.

Ellya could not be reached for comment, but the agent was not alone in advertising an “island” as another marketer has advertised a plot of land in Thousand Islands regency at an equally staggering price. An 11-ha plot of land on Melinjo Island is on sale for Rp 166 billion, while a 4.8-ha plot of land on Tidung Island is marketed at Rp 250 billion.

Property agent Stanley Yap, who is advertising 1,400 sq m of land in Tidung Island — a popular destination for budget travelers and holiday goers — said that only some parts of the island could be advertised as an entire island could not be privately owned.

He said the sale was legal because the owner possessed a building permit (IMB) as well as a right to build permit (SHGB), which lasts for 25 years and can be extended.

“Our potential target are investors who wish to build a resort in the area,” said Stanley, a verified seller at the marketplace.

The regency is popular for its underwater tourism and has huge untapped potential. The regency welcomes nearly 1 million tourists per year.

The case in Pari Island, in which a legal battle is ongoing between the residents, who have lived there for years, and private enterprise PT Bumi Asri Raya, which claims 90 percent ownership of the island, has raised a question over the issuance of the certificate.

In 2018, the Indonesian Ombudsman’s Jakarta office found that the issuance of 62 freehold titles (SHM) and 14 right to build permits to the company was administratively flawed and needed to be evaluated.

Martin Hadiwinata of the Indonesian Traditional Fishermen’s Association (KNTI) said the government needed to investigate the case because if sold, an island may lose its natural function to protect the ecosystem.

He said the 2007 law on the management of coastal areas and small islands explained in detail about islands and their functions.

“Small islands have a purpose to protect coastal areas from potential tsunamis and can serve as a shelter for fisherman when facing bad weather,” he said.

Nelson of the Jakarta Legal Aid institute (LBH Jakarta) said that owning a large part of an island was not prohibited but the government needed to ensure who actually owned the islet, as in many cases they were owned by foreigners under the name of Indonesians to skirt regulations.

People’s Coalition for Fisheries Justice Indonesia (Kiara) secretary-general Susan Herawati said the practice of selling islands was against the law and there should be tough action taken against it.

“It is an insult to the Constitution. The government needs to take stern action,” she said. Moreover, she added, the advertiser blatantly marketed it as “the entire Dua Barat Island”.

“If it can happen in Jakarta, imagine in areas with minimum supervision from the state?”

According to the group, out of 110 islands in the regency, at least 60 islets were privately owned.

“Data from the administration even show that 90 percent of the islands in the regency are owned by the private sector. This shows that sovereignty in Indonesian waters is not enforced,” she said.

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