A sustainability review on the Indonesian job creation law

The Job Creation Law (JCL) is an omnibus law promulgated by the Indonesian government to promote investment in the nation by simplifying business license issuance and providing an exemption on previously established procedures. Business license applicants are exempted from the obligation to conduct...

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Main Authors: Sudharto P. Hadi, Rizkiana S. Hamdani, Ali Roziqin
Format: Article
Language:English
Published: Elsevier 2023-02-01
Series:Heliyon
Subjects:
Online Access:http://www.sciencedirect.com/science/article/pii/S2405844023006382
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author Sudharto P. Hadi
Rizkiana S. Hamdani
Ali Roziqin
author_facet Sudharto P. Hadi
Rizkiana S. Hamdani
Ali Roziqin
author_sort Sudharto P. Hadi
collection DOAJ
description The Job Creation Law (JCL) is an omnibus law promulgated by the Indonesian government to promote investment in the nation by simplifying business license issuance and providing an exemption on previously established procedures. Business license applicants are exempted from the obligation to conduct Environmental Impact Assessment (EIA) so long as their projects are aligned with the land utilization policy and the zoning plan. This creates a threat to environmental sustainability as only 10% cities or regencies in Indonesia are equipped with detailed zoning plans. Furthermore, environmental considerations are rarely incorporated into spatial planning. This paper reviews changes in spatial and environmental planning practices based on a comparison among existing regulations, qualitative assessment of potential environmental impact based on lessons learned from various study cases, and critical evaluations on the aim to ease business establishment versus sustainability. The research method includes analysis of relevant document and descriptive quantitative analysis. We found that JCL puts sustainability aside and may lead to further environmental degradation.
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spelling doaj.art-7cdf44517a4642b5a95df333aeface732023-03-02T05:01:31ZengElsevierHeliyon2405-84402023-02-0192e13431A sustainability review on the Indonesian job creation lawSudharto P. Hadi0Rizkiana S. Hamdani1Ali Roziqin2Faculty of Social and Political Sciences, Diponegoro University, Semarang, 50275, Indonesia; Graduate Program of Environmental Studies, Diponegoro University, Semarang, 50241, Indonesia; Corresponding author. Faculty of Social and Political Sciences, Diponegoro University, Semarang, 50275, Indonesia.Graduate Program of Environmental Studies, Diponegoro University, Semarang, 50241, IndonesiaDepartment of Government Studies, Universitas Muhammadiyah Malang, Malang, 65144, IndonesiaThe Job Creation Law (JCL) is an omnibus law promulgated by the Indonesian government to promote investment in the nation by simplifying business license issuance and providing an exemption on previously established procedures. Business license applicants are exempted from the obligation to conduct Environmental Impact Assessment (EIA) so long as their projects are aligned with the land utilization policy and the zoning plan. This creates a threat to environmental sustainability as only 10% cities or regencies in Indonesia are equipped with detailed zoning plans. Furthermore, environmental considerations are rarely incorporated into spatial planning. This paper reviews changes in spatial and environmental planning practices based on a comparison among existing regulations, qualitative assessment of potential environmental impact based on lessons learned from various study cases, and critical evaluations on the aim to ease business establishment versus sustainability. The research method includes analysis of relevant document and descriptive quantitative analysis. We found that JCL puts sustainability aside and may lead to further environmental degradation.http://www.sciencedirect.com/science/article/pii/S2405844023006382Job creation lawDetailed spatial planningExemption of environmental feasibilityEnvironmental and social impact assessment
spellingShingle Sudharto P. Hadi
Rizkiana S. Hamdani
Ali Roziqin
A sustainability review on the Indonesian job creation law
Heliyon
Job creation law
Detailed spatial planning
Exemption of environmental feasibility
Environmental and social impact assessment
title A sustainability review on the Indonesian job creation law
title_full A sustainability review on the Indonesian job creation law
title_fullStr A sustainability review on the Indonesian job creation law
title_full_unstemmed A sustainability review on the Indonesian job creation law
title_short A sustainability review on the Indonesian job creation law
title_sort sustainability review on the indonesian job creation law
topic Job creation law
Detailed spatial planning
Exemption of environmental feasibility
Environmental and social impact assessment
url http://www.sciencedirect.com/science/article/pii/S2405844023006382
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