INDONESIA STRENGTHENS WILDFIRE PREVENTION FRAMEWORK: NEW FIRE BUFFER ZONE AND CORPORATE COMPLIANCE OBLIGATIONS FOR LAND-BASED BUSINESSES

Introduction

The President has issued Presidential Instruction No. 11 of 2026 on Strengthening the Enforcement of the Prohibition on Land Clearing by Burning and the Control of Forest and Land Fires (”Presidential Instruction 11/2026”), which took effect upon its issuance on 31 August 2026. The issuance of Presidential Instruction 11/2026 reflects the Government’s continued commitment to strengthening the national framework for the prevention and control of forest and land fires through enhanced coordination among central and regional government institutions and stricter enforcement measures. Rather than replacing Presidential Instruction No. 3 of 2020 (”Presidential Instruction 3/2020”), Presidential Instruction 11/2026 complements the existing framework by requiring its continued implementation to the extent that it remains consistent with the new policy direction.

One of the principal changes introduced by Presidential Instruction 11/2026 is the expansion of corporate responsibilities in relation to wildfire prevention. The Presidential Instruction requires business entities holding land rights, Mining Business Licences (Izin Usaha Pertambangan – “IUP”), Special Mining Business Licences (IUP Khusus – “IUPK”), and forestry concessions to adopt more comprehensive fire prevention measures, including the establishment of emergency response units, the provision of adequate heavy equipment, and the protection of surrounding operational areas through mandatory fire buffer zones.

Presidential Instruction 11/2026 also introduces a more restrictive approach to the application of local-wisdom exceptions for land clearing by burning. While customary practices remain recognised, the Government has imposed additional safeguards to ensure that such exceptions are applied only to genuine traditional activities and are not used to facilitate commercial land-clearing activities. The strengthened framework is expected to increase regulatory scrutiny of businesses operating in the mining, plantation, forestry, infrastructure, and other land-based sectors, placing greater emphasis on preventive environmental compliance and operational preparedness.

Key Changes  

Mandatory Five-Kilometer Fire Buffer Zone

A significant compliance obligation introduced by Presidential Instruction 11/2026 is the requirement for holders of land rights and concession holders to maintain a fire buffer zone extending at least five kilometres from the outermost boundary of their operational areas. This obligation expands the scope of corporate responsibility beyond concession boundaries by requiring businesses to safeguard surrounding areas that may present wildfire risks capable of affecting their operations

Unlike the previous regulatory approach, which primarily focused on fire prevention within concession areas, Presidential Instruction 11/2026 adopts a broader preventive strategy by recognising that forest and land fires frequently originate outside operational boundaries before spreading into concession areas. As a result, businesses may need to reassess existing land management practices, monitoring systems, and coordination with neighbouring landholders and regional authorities to ensure that adequate preventive measures extend throughout the required buffer zone.

For businesses operating extensive plantation, mining, or forestry concessions, the implementation of the five-kilometer buffer zone may require additional operational planning and resource allocation. Companies should therefore consider reviewing the adequacy of their monitoring mechanisms, emergency response procedures, and risk assessments to ensure compliance with the new obligation.

Enhanced Corporate Fire Prevention Obligations

In addition to the buffer zone requirement, Presidential Instruction 11/2026 strengthens the fire prevention obligations applicable to holders of IUPs, IUPKs, and forestry concessions. Business entities are required to establish a comprehensive fire prevention management system supported by sufficient emergency response personnel and appropriate heavy equipment, including excavators, to facilitate rapid response in the event of forest or land fires.

These requirements indicate that environmental compliance is no longer limited to maintaining written procedures or obtaining environmental approvals. Instead, companies are expected to demonstrate operational readiness by ensuring that personnel, equipment, and emergency response capabilities are available and capable of responding effectively to wildfire incidents whenever necessary.

The strengthened compliance obligations are accompanied by more significant enforcement risks. Companies that fail to fulfil their wildfire prevention responsibilities may be subject to administrative sanctions, including the temporary suspension of business activities and, where appropriate, the revocation of business licences. These enforcement measures further emphasise the importance of maintaining effective environmental management systems as part of broader corporate compliance programmes.

Stronger Enforcement of the Prohibition on Land Clearing by Burning

Presidential Instruction 11/2026 reaffirms the Government’s prohibition on land clearing through burning and directs both central and regional government institutions to ensure that no regional policy, administrative decision, permit, approval, or exercise of official discretion may be issued if it could authorise or be interpreted as legitimising forest or land burning contrary to prevailing legislation.

This policy seeks to eliminate inconsistencies in the implementation of environmental regulations across different government institutions and regions. Businesses should therefore anticipate a more uniform approach to regulatory enforcement and should review their operational practices to ensure that land development activities do not create unnecessary regulatory exposure.

The strengthened enforcement framework also reflects the Government’s broader objective of reducing the occurrence of forest and land fires through preventive regulation rather than relying primarily on enforcement after fire incidents have occurred.

Narrower Local-Wisdom Exception

Presidential Instruction 11/2026 continues to recognise traditional land-clearing practices carried out by customary communities. However, the scope of the exception has been substantially narrowed. Land clearing by burning is only permitted where it is undertaken for subsistence-based local food cultivation, is limited to a maximum area of two hectares per household, and complies with additional safeguards, including the establishment of effective firebreaks and restrictions applicable to peatlands, protected areas, riverbanks, and designated buffer zones.

The Presidential Instruction also expressly provides that the local-wisdom exception cannot be relied upon by corporations, commercial plantation businesses, mining operators, or other concession holders. Furthermore, implementation of the exception requires recommendations from the relevant government authorities and remains subject to supervision by regional governments. These additional requirements are intended to ensure that customary practices remain limited to genuine traditional activities and are not exploited for commercial land-clearing purposes.

The clarification is particularly relevant for businesses operating in sectors where land preparation forms part of routine operational activities. Companies should not assume that customary practices recognised under environmental regulations may be extended to commercial operations, as Presidential Instruction 11/2026 clearly distinguishes between traditional community activities and corporate land management

Practical Implications

Presidential Instruction 11/2026 demonstrates the Government’s continued shift towards a preventive approach to environmental compliance by placing greater responsibility on businesses to identify, manage, and mitigate wildfire risks before incidents occur. Businesses operating in the mining, plantation, forestry, industrial estate, and infrastructure sectors should therefore review whether their existing environmental management systems remain adequate under the strengthened regulatory framework.

Particular attention should be given to the availability of emergency response personnel, firefighting equipment, heavy machinery, internal reporting procedures, and operational readiness. Companies should also evaluate whether their current land management strategies adequately address the newly introduced five-kilometer buffer zone obligation and whether additional coordination with neighbouring landholders or regional authorities is required.

Given the potential administrative sanctions for non-compliance, businesses may also consider conducting periodic internal compliance reviews and updating their environmental governance policies to ensure continued alignment with evolving regulatory expectations. Early assessment of operational readiness may assist businesses in reducing regulatory risk while strengthening their overall environmental compliance framework.

Key Takeaway

Presidential Instruction 11/2026 significantly strengthens Indonesia’s regulatory framework governing the prevention of forest and land fires by expanding the obligations applicable to businesses operating on or managing land. The introduction of mandatory five-kilometer fire buffer zones, enhanced emergency preparedness requirements, stricter enforcement against land clearing by burning, and tighter limitations on local-wisdom exceptions collectively demonstrate the Government’s intention to adopt a more preventive and risk-based approach to environmental governance.

Businesses holding land rights, mining licences, and forestry concessions should proactively review their environmental compliance programmes, emergency response capabilities, and land management practices to ensure compliance with the strengthened framework. As environmental enforcement continues to intensify, maintaining effective wildfire prevention systems will become an increasingly important component of corporate governance and operational risk management