The Environmental Fund Management Model in Indonesia: Some Lessons in Legal Regulation and Practice

Q3 Social Sciences

Environmental Policy and Law Pub Date : 2023-06-22 DOI:10.3233/epl-230013

Lastuti Abubakar, Tri Handayani

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Abstract

Environmental Fund Management (EFM) is a government effort to optimize EEI (Environmental Economic Instruments), to preserve the functions of the ecosystem. Based on regulation, EFM is entrusted to the Indonesian Environmental Fund (BPDLH) through channeling, fund fertilization, and distribution. BPDLH is appointed a trustee to manage the environmental fund, especially the trust/conservation assistance finance. The existence of trustee agreements often requires follow-up from a legal aspect. This is because Indonesia’s legal system does not recognize the trust law essentially acknowledging the dual ownership of an asset/property. Therefore, this study aims to analyze the use of the trust model in environmental fund management from a legal perspective. It also aims to evaluate the reasons Indonesian law needs to propose a trust policy as the basis for any activity adapting to conservation assistance, including EFM. This study was carried out by using a normative and qualitative juridical analysis. The results showed that the model used in EFM was a legal adaptation of the trust law and was adjusted to the Indonesian constitutional system not recognizing dual ownership. This trust model emphasized an agreement as a legal basis and limited the trustee’s authority in managing funds, leading to suboptimal environmental finance management, especially in nurturing money. Meanwhile, the environmental fund managed by BPDLH was relatively small compared to the needs. This proved that the trust model was represented by individuals/institutions as beneficiaries, based on an agreement with the trustee. From this context, the presence of Indonesian Trust law was capable of ending the legal vacuum in the constitutional system of the country. By specifically regulating the principles of trust and incorporating the dual ownership concept into the proposed law, the goal of fund management was achieved, including environmental finance. The management goal also maximized the benefits for the beneficiaries, namely the environment

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印尼环境基金管理模式的法律规制与实践

环境基金管理（EFM）是政府优化EEI（环境经济工具）以保护生态系统功能的一项努力。根据规定，EFM通过渠道、资金注入和分配的方式委托给印尼环境基金（BPDLH）。孟加拉电力发展委员会被任命为管理环境基金的受托人，特别是信托/保护援助资金。受托人协议的存在通常需要从法律方面采取后续行动。这是因为印度尼西亚的法律体系不承认信托法本质上承认资产/财产的双重所有权。因此，本研究旨在从法律角度分析信托模式在环境基金管理中的运用。它还旨在评估印度尼西亚法律需要提出信托政策作为任何适应保护援助的活动的基础的原因，包括EFM。这项研究是通过规范和定性的司法分析进行的。结果表明，EFM中使用的模式是对信托法的法律改编，并根据印度尼西亚不承认双重所有权的宪法制度进行了调整。这种信托模式强调协议是法律基础，并限制了受托人管理资金的权力，导致环境融资管理不理想，尤其是在培育资金方面。同时，与需求相比，孟加拉电力发展委员会管理的环境基金相对较小。这证明，根据与受托人达成的协议，信托模式由作为受益人的个人/机构代表。在这种背景下，印度尼西亚信托法的存在能够结束该国宪法体系中的法律真空。通过具体规范信托原则并将双重所有权概念纳入拟议法律，实现了包括环境融资在内的资金管理目标。管理目标还使受益者的利益最大化，即环境

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来源期刊

Environmental Policy and Law Social Sciences-Law

CiteScore

1.10

自引率

0.00%

发文量

期刊介绍： This international journal is created to encourage the exchange of information and experience on all legal, administrative and policy matters relevant to the human and natural environment in its widest sense: air, water and soil pollution as well as waste management; the conservation of flora and fauna; protected areas and land-use control; development and conservation of the world"s non-renewable resources. In short, all aspects included in the concept of sustainable development. For more than two decades Environmental Policy and Law has assumed the role of the leading international forum for policy and legal matters relevant to this field. Environmental Policy and Law is divided into sections for easy accessibility.