Legal Responsibility of Foreign Investors in the Oil Palm Plantation Sector for Environmental Damage in Indonesia
DOI:
https://doi.org/10.59890/ijels.v4i9.75Keywords:
Foreign Investment, Legal Responsibility, Environmental Damage, Law Enforcement, Oil Palm PlantationsAbstract
Foreign Investment (FDI) in the oil palm plantation sector contributes to national economic growth, but on the other hand has the potential to cause environmental damage. This study aims to analyze the regulation of PMA's legal responsibility for environmental damage, examine the forms of liability that can be imposed based on Law Number 25 of 2007 concerning Investment and Law Number 32 of 2009 concerning Environmental Protection and Management, and identify the obstacles to law enforcement and efforts to solve them. This research uses normative legal research methods with laws and regulations, conceptual, and case approaches. The results of the study show that PMA can be held accountable in the form of administrative sanctions, civil liability, and criminal liability. However, the effectiveness of law enforcement is still constrained by regulatory disharmony, the complexity of corporate structures, weak supervision, and the difficulty of proving environmental damage. Therefore, it is necessary to harmonize regulations, strengthen corporate accountability, improve inter-institutional coordination, and optimize environmental recovery mechanisms to realize sustainable and environmentally sound investments.
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