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Environmental Permit with AMDAL for the Business World – Indoservice

Diposting pada 8 Juni 2024 oleh admin / Dilihat: 1 kali

Environmental Permit with AMDAL for Business – AMDAL has become a familiar aspect among companies. AMDAL is an abbreviation for Environmental Impact Analysis, where every component of life must be familiar and of course related to that aspect. Almost every aspect of life is related to AMDAL because all aspects of the environment and its impacts must be considered and are important.

Discussion regarding AMDAL is contained in Government Regulation Number 29 of 1986. AMDAL is an analysis of the impact of an activity on the environment and surrounding land.

AMDAL studies are important for the government sector, companies and even society because everything you want to do must have a good AMDAL policy. This means that the AMDAL study determines the formation of policies that prioritize environmental sustainability around the development site.

For example, a production company is established in a certain neighborhood close to residential areas. Of course, companies are required to carry out an AMDAL design so that company activities do not pollute the land, water or sound in the environment around residential areas.

Environmental AMDAL

If foreigners want to start a business in the building and construction, agriculture and mining sectors, they must go through an Environmental Impact Analysis (AMDAL) in Indonesia and Environmental Management Efforts and Environmental Monitoring Efforts (UKL-UPL).

Environmental permits or licenses are required for certain businesses that have an impact on the environment to operate in Indonesia. Environmental permits are very important for businesses or sectors whose activities have an impact on the environment, such as discharging waste or any materials into the water or air.

Environmental permits not only require organizations to have a plan for dealing with waste and pollutant emissions, but also require trained personnel and pollution control officers on site.

Purpose and Types of AMDAL

Before discussing the benefits of AMDAL, it is necessary to first understand the purpose and types of AMDAL itself. The objectives of AMDAL in various aspects of life are as follows:

  • As proof of responsibility to preserve the environment for future generations
  • AMDAL aims to guarantee a quality living environment
  • To avoid dangerous environmental impacts on society
  • Building a balance of local resources and population
  • As a resource that can be renewed and recycled

Indonesian Environmental Impact Analysis

The aim of the AMDAL study is clearly to review the impact on the environment or earth. Because, basically humans and the environment must form a balance so that natural disasters do not occur caused by humans themselves. After knowing the purpose of AMDAL we need to know that to process AMDAL there are various types that we need to know:

1. Single AMDAL

This type of AMDAL is an activity or study of a single environmental conservation project regulated by one supervisory agency. The easiest example of a single AMDAL is a hospital or PLTU study project.

2. Sectoral AMDAL

Sectoral AMDAL is an activity and study of impacts on the environment that is carried out sectorally. The reason is because of the appointment of sectoral ministers. For example, a toll road construction project.

3. Social AMDAL

The third type of AMDAL is social AMDAL, where the AMDAL study is carried out by social enterprises. Its implementation certainly involves the authority of more than one social institution. For example, the AMDAL project to establish a school for scavenger children around the Bantar Gebang TPA.

4. Regional AMDAL

As the name suggests, regional AMDAL, this type contains important impacts from activities or businesses in an area. This type of regional AMDAL usually has broader coverage than the previous types. For example, the mangrove planting project in the Kutawaru area, Cilacap.

5. Integrated AMDAL

The final type is integrated AMDAL which is generally not much different from social AMDAL. What differentiates the two is their focus and learning system. If social AMDAL focuses on social aspects, then integrated AMDAL has a larger and more integrated impact. Examples of integrated AMDAL are integrated housing development, industrial and factory development. Therefore, it is not surprising that this type of AMDAL has a wider scope and is sometimes more complicated.

Benefits of AMDAL in Various Aspects

The benefits of the AMDAL study and project itself must be seen from various sides, such as the government, capital and project owners, and the community. An AMDAL study or project must be carried out by any party in order to experience the benefits.

Benefits Amdal

Here are 4 benefits of AMDAL that need to be considered and can be seen from various aspects:

1. AMDAL for the Government

The benefits of AMDAL for the government are actually more related to policy formation. The government has higher authority than other parties. Therefore, the benefit of having an AMDAL is that it helps prevent more severe environmental damage and pollution.

Apart from that, the AMDAL project has benefits for the government, this project can be used as a form of government responsibility in maintaining and protecting the environment. The ultimate goal remains the same, namely avoiding conflicts or disasters that endanger society.

2. AMDAL for Capital Owners

Capital owners here can be exemplified as banks which hold power over capital for entrepreneurs. The benefit of having an AMDAL for capital owners is the ease of providing capital loans for a development or project.

This means that if a party borrows capital from a bank to build a project and the AMDAL of the project is good and of good quality. So, it has become an obligation for banks to provide loans for this development.

3. AMDAL for Project Owners

AMDAL is intended for project owners or companies where AMDAL is key for a company. AMDAL will be beneficial for project owners because it ensures that project construction continues without having to violate applicable laws and regulations.

For example, when there is construction of a housing complex, of course the developer is required to have a good AMDAL. So that way, the government and capital owners will give permission easily. Apart from that, the community is also not disturbed by this development.

4. AMDAL for the Community

The existence of an AMDAL is useful for the community to find out about certain development plans. Apart from that, the community can also become supervisors of projects that are being implemented.

AMDAL for the community is useful so that the community is more attentive and alert to the development of various projects. For example, in the construction of a national park, the public is obliged to inform the developer so that it does not disturb animal habitats and so on.

Environmental Impact Analysis (AMDAL)

The benefits of AMDAL for project owners or companies will be beneficial for project owners because it will ensure the continuity of project development without having to violate applicable laws and regulations. According to Indonesian Environmental Law, AMDAL is required for the following business activities:

  • Exploitation of natural resources (both non-renewable and renewable)
  • Changes in the shape of the environment
  • Environmental pollution and damage/degradation of natural resources
  • Impact on the preservation of natural resources and cultural heritage
  • Utilization and production of raw materials (both natural and non-natural)
  • Introduction of microorganisms and new animal and plant species
  • Application of new technologies that impact the environment

To submit an AMDAL, a company needs to have a document containing the terms of reference, Environmental Impact Analysis (ANDAL), and Environmental Management Plan and Environmental Monitoring Plan (RKL-RPL). A professional AMDAL consultant is required to compile and prepare these documents. Please contact IndoService for AMDAL document preparation.

Indonesian AMDAL Activity Plan

Activity plans must be prepared and announced publicly, as part of the AMDAL preparation and implementation. The public is given 10 working days to provide comments and input on the plan. The AMDAL Assessment Commission (AMDAL Assessment Commission) is the body that evaluates the implementation of AMDAL.

Environmental Permit Approval Process

Then, this commission will provide recommendations to the government in Indonesia regarding the implementation of AMDAL. The evaluation carried out by the commission will take approximately 125 working days including the time needed to provide input to the public. In practice, the entire process will take much longer if entrepreneurs do not consult professional advisors, and do so without proper advice and information.

Environmental Management Efforts (UKL-UPL)

Sectors or business activities that are not required to obtain AMDAL but still have an impact on the environment must obtain UKL-UPL based on the Indonesian Environmental Law. The UKL-UPL document contains action plans, environmental impacts of activities, as well as environmental management and monitoring programs. The UKL-UPL application is then submitted to the relevant authority, and the process will take approximately 14 working days. However, they vary in length and often take longer.

Statement of Ability to Manage and Monitor the Environment (SPPL)

Certain sectors or business activities do not even require AMDAL or UKL-UPL. They only need to submit a Statement of Capability to Manage and Monitor the Environment, known as SPPL, to the relevant authorities in Indonesia. The SPPL application period is not specified, it could take longer or shorter to obtain.

Environmental Permit Approval Process

The Ministry of the Environment (Regulation of the State Minister for the Environment) regulates the types of business activities that require an environmental permit. The environmental permit approval process will go through four stages:

  1. Prepare AMDAL or UKL-UPL.
  2. Evaluate AMDAL and UKL-UPL, then obtain AMDAL approval or UKL-UPL recommendations.
  3. Apply for an environmental permit
  4. Submit an application to the Ministry of Environment in Indonesia, or the governor/provincial/city authority.

Do you know? An environmental permit is required to obtain an industrial business permit in Indonesia.

We, Indoservice, are a business consulting company in Indonesia that serves clients from all over the world. Contact us for further information regarding environmental permits in Indonesia via the form below, and we’ll get back to you with a free quote. Call us now on Tel. / What is it +62877-1449-8500 or email at for special offers and best prices.

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Environmental Permit with AMDAL for the Business World – Indoservice

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Environmental Permit with AMDAL for the Business World – Indoservice

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