Irman Syahriar, Benhard Kurniawan Pasaribu, Dina Paramitha Hefni Putri, Khairunnisah /
JOSR: Journal of Social Research, 2(1), 44-50
Land Bank Agency in The Implementation of Land Acquisition for the Public
Interest in Indonesia 48
states that the plan for Space Utilization activities on Land Bank land mentioned in Article
138 paragraph (2) letter a requires continuity between spatial planning and land banks, it is
hoped that it will make land use suitable. The Land Bank, which is a land supply institution
for the acceleration of future development in its implementation, will experience obstacles
and problems if the current spatial planning rules do not improve. Land Bank in Indonesia
has challenges in the future, including:
1. priority interests that will take precedence between investment interests or
equitable economic interests in the provision and distribution of land;
2. factors of many interests and authorities between the land bank and the Minister of
Agrarian and Spatial Planning / BPN or the Head of the Land Office / Head of the
Land Area Office;
3. the hope of reducing the litigation in court due to consignment (objection to
compensation) of land acquisition for the public interest should be maximal
The Theory of Legal Expediency in the School of Utilitarianism provides an
assessment that states the purpose of the law is to be able to provide benefits (expediency)
to as many people as possible. Betham in her opinion explains and puts forward the most
objective basis by looking at whether a policy or action that has already been made brings
benefits or results that can be useful or vice versa those results can result in harm to the
people concerned. Land Bank has many benefits, one of the goals of land banks is to the
greatest prosperity for the people, many of the results of successful studies show that land
banks have a large role in improving the welfare of people in several developed countries,
such as the Netherlands and the United States. Supporting legal tools that can be in the
form of laws that specifically regulate land banks, then the implementation of land banks
in Indonesia will run according to their functions appropriately and effectively to obtain
large results. This condition will improve the welfare of each individual and society in
general and by the mandate of the constitution which aims to realize the greatest prosperity
of the Indonesian people.
The existence of a Land Bank is regulated in articles 125 to 135 of the Job
Creation Law (Tampi, 2022). The Land Bank is a specialized agency that manages the land,
and functions to carry out the planning, acquisition, procurement, management, utilization,
and distribution of land. In article 125 paragraph (4) of the Job Creation Law, it is written
that the function of the Land Bank is to carry out the planning, acquisition, procurement,
management, utilization, and distribution of land. Meanwhile, in Presidential Regulation
Number 47 of 2020 concerning the Ministry of Agrarian and Spatial Planning, article 5
states that one of the functions of the Ministry of ATR is land acquisition and land
development. Furthermore, the birth of Government Regulation Number 64 of 2021
concerning the Land Bank Agency, a land bank was formed as a special agency or special
institution which is expected to be one of the means to meet land needs effectively and
efficiently. The Land Bank is specialized as a form of the bank that functions as a price
controller on the land market share and guarantees the efficiency and rationality of land
prices, streamlines and guarantees that land values have prices that can be reached and can
be owned by all groups, and has a function to combine and collaborate between policies,
strategies, implementation, and evaluation in the land sector (Winati et al., 2022).
The issuance of government regulation Number 64 of 2021 concerning the
Land Bank Agency states that the Land Bank is a Sui Generis institution that has special
authority. The institutional structure of the Land Bank is regulated by the enactment of
Presidential Regulation Number 113 concerning the Structure and Implementation of Land
Banks in Indonesia. This regulation states that the structure of the Land Bank consists of
the Land Bank Committee, the Supervisory Board, and the Implementing Agency. The
Land Bank Committee consists of the Minister of Agrarian Affairs and Spatial
Planning/BPN, the Minister of Finance, and the Minister of Public Works and Public
Housing. The Supervisory Board consists of the Director General of Land Acquisition and
Land Development, and the Head of the Implementing Agency consists of Experts from