Optimizing the Use of Village Treasury Land: A Case Study of Five Villages in Central Java

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Authors

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Indra Krishnamurti

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Arief Nugraha

Based on the Ministry of Home Affairs Regulation 1/2016, there are 3 formats in village land use, which are rental, cooperation in joint ventures, and Build Operate Transfer/Build Transfer Operate (BOT/BTO). Here comes the question, between these 3 formats, which will benefit its people the most?

This time, the latest #CIPSPolicyPaper identify that the implementation of BOT/BTO format is the most profitable one for the villagers. Therefore, we recommend Articles 14–16 of MoHA Regulation 1/2016, which stipulates that cooperation in joint ventures and BOT/BTO models can only be considered when village budgets are insufficient, to be dropped. Furthermore, we also encourage villages to intensify entrepreneurial activities and involve the private sector that is proven to be able to provide significant additional income to the village treasury.

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