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Get your AMDAL ready in Indonesia and avoid delays in running your business

A missing or incomplete AMDAL in Indonesia can delay environmental approval and affect the business licensing process under OSS-RBA. For projects with significant environmental impact, such as mining, manufacturing, energy, infrastructure, and forestry, an AMDAL is often a key requirement before the relevant license or operational approval can be granted.

This is why reviewing early in the project planning stage can help you stay on schedule and reduce licensing risks, giving you confidence in your process.

Key Takeaways

  • AMDAL is mandatory for high-risk, high-impact business activities under PP 22/2021 and Permen LHK 4/2021.
  • It is submitted through the Amdalnet platform, which is integrated with OSS-RBA.
  • Environmental Impact Analysis review is handled by Tim Uji Kelayakan (TUK), which has replaced the previous Komisi Penilai AMDAL.
  • The processing timelines vary by category (A, B, or C), with document preparation taking 60 to 180 working days.
  • Since a 2024 ministerial decree, the authority for AMDAL approval has shifted to provincial and regency or municipal governments.

The importance of AMDAL for business licensing approval in Indonesia

AMDAL, or Environmental Impact Analysis, is a required environmental study for certain business activities that may create significant environmental impact. It is regulated under Law No. 32 of 2009, Government Regulation (PP) No. 22 of 2021, and Minister of Environment and Forestry Regulation (Permen LHK) No. 4 of 2021.

Today, AMDAL is no longer processed as a separate “environmental permit” (izin lingkungan). It forms part of Persetujuan Lingkungan, or Environmental Approval, which is connected to Indonesia’s OSS-RBA business licensing system.

For activities that require an Environmental Impact Analysis, companies must complete the process before Environmental Approval can be issued and the relevant OSS-RBA licensing process can proceed.

AMDAL in Indonesia: How it differs from UKL-UPL and SPPL

For businesses with significant environmental impact, AMDAL is the key environmental instrument used to support Environmental Approval under OSS-RBA. Other activities may follow different environmental approval instruments, such as UKL-UPL or SPPL, depending on their scale, location, and level of impact.

Instrument Who Usually Needs It Nature
AMDAL Businesses with significant environmental impact, such as large-scale mining, manufacturing, infrastructure, energy, or forestry projects Full environmental impact study, including KA-ANDAL, ANDAL, and RKL-RPL
UKL-UPL Businesses that do not require AMDAL but still need environmental management and monitoring Standardized environmental management and monitoring document
SPPL Businesses or activities outside AMDAL and UKL-UPL obligations Self-declaration of environmental management and monitoring commitment
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AMDAL in Indonesia: Step-by-step process and timeline

The process is now closely connected to OSS-RBA and Amdalnet. Before preparing documents, businesses must first confirm whether their activity requires AMDAL, UKL-UPL, or SPPL.

If Environmental Impact Analysis is required, the company must complete several steps before Environmental Approval can be issued.

Self-screening (penapisan mandiri)

The business checks whether its activity is listed in Permen LHK No. 4 of 2021 or screens it through Amdalnet. To facilitate this, clearly outline the key documents and data required for self-screening, enabling businesses to determine their environmental permit requirements from the start accurately.

Preparing KA-ANDAL

KA-ANDAL is the terms of reference for the AMDAL study. It defines the scope of environmental impact analysis and is submitted for review.

Preparing ANDAL and RKL-RPL

ANDAL is the main environmental impact analysis, while RKL-RPL sets out the environmental management and monitoring plan. Qualified professionals should prepare these documents.

Public consultation

Affected communities and relevant stakeholders are allowed to provide input. Their feedback becomes part of the assessment process.

Assessment and SKKL issuance

The Environmental Feasibility Assessment Team (TUK) reviews whether the proposed activity is environmentally feasible. If approved, the government issues the SKKL, which becomes the basis for Environmental Approval.

The timeline for preparing the documents depends on the project category:

Category Document Preparation Timeline
Category A Up to 180 working days
Category B Up to 120 working days
Category C Up to 60 working days

These timelines only refer to document preparation and do not include public consultation, assessment, or approval stages.

Common challenges businesses should prepare for

Preparing AMDAL in Indonesia can be complex, especially for businesses unfamiliar with environmental approval requirements, Amdalnet, and OSS-RBA integration. Common challenges include:

Overlapping regulations

The requirements are based on several regulations, including Law No. 32 of 2009, PP No. 22 of 2021, and various Permen LHK regulations. These rules must be read together, and requirements may differ by sector, activity, and location.

Unclear approving authority

Businesses need to confirm whether the approval process falls under the central, provincial, or regency/municipal government. Choosing the wrong route can delay the process.

Unpredictable cost and timeline

Delays may occur when businesses are unfamiliar with the system, TUK requirements, document standards, or the process for sourcing certified consultants.

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Inconsistent document quality

Poorly prepared documents can lead to repeated revision cycles during the TUK assessment, extending the approval timeline.

Business licensing deadlock

Environmental Approval is linked to OSS-RBA, and an incomplete Environmental Impact Analysis can block the broader business licensing process, not just the environmental approval stage.

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Prepare your AMDAL before licensing delays begin

For activities that require an Environmental Impact Analysis, companies must complete the process before Environmental Approval can be issued, and the relevant OSS-RBA licensing process can proceed.

InCorp Indonesia (an Ascentium Company) helps foreign investors identify the right environmental requirement, prepare the necessary documents, and manage the process with the relevant authorities.

Our support includes:

Fill out the form below to review your environmental approval requirements before they affect your project timeline.

Frequently Asked Questions

What is AMDAL in Indonesia?

AMDAL is Indonesia's Environmental Impact Analysis, required under PP 22/2021 for business activities with significant environmental impact, and forms part of the mandatory Persetujuan Lingkungan within the OSS-RBA licensing system.

Who needs AMDAL in Indonesia?

Businesses in sectors listed under Permen LHK 4/2021, typically large-scale mining, manufacturing, energy, infrastructure, and forestry projects, that meet defined scale or location thresholds, including operations near protected areas.

How long does AMDAL approval take?

Document preparation alone ranges from 60 working days (Category C) to 180 working days (Category A), depending on the cumulative impact scale, with additional time needed for public consultation and TUK assessment.

What replaced the old Komisi Penilai AMDAL?

The Tim Uji Kelayakan (TUK), a feasibility assessment team introduced under PP 22/2021, now reviews and evaluates AMDAL submissions.

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Disclaimer

The information is provided by PT. Cekindo Business International (“InCorp Indonesia/ we”) for general purpose only and we make no representations or warranties of any kind.

We do not act as an authorized government or non-government provider for official documents and services, which is issued by the Government of the Republic of Indonesia or its appointed officials. We do not promote any official government document or services of the Government of the Republic of Indonesia, including but not limited to, business identifiers, health and welfare assistance programs and benefits, unclaimed tax rebate, electronic travel visa and authorization, passports in this website.

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