Bali Governor Wayan Koster has announced that he will establish a new provincial law to help protect the island’s coastal regions from environmentally damaging tourist developments.
Governor Koster has long been vocal about his intention to crack down on tourism development that threatens Balinese culture and the local landscape.
Bali Governor Wayan Koster has publicly announced this week that he and the provincial government will be drafting three new regional regulations (Ranperda) that will help protect Bali’s coastal regions and water quality.
Speaking to the media, Governor Koster stated that the Draft Regional Regulation on Coastal Protection and Coastal Boundaries has been drafted due to the increasing restrictions on public access to coastal areas that have long been centers of traditional and religious activities.
His concern not only lies with access and the environmental impact of major tourist development in coastal areas, but also the effect such infrastructure has on local communities and their access to sacred coastal sites.
Balinese Hindus have a reverent relationship with the ocean, and many of Bali’s top tourist beaches were sites of sacred importance long before holidaymakers arrived.
Governor Koster described the increasing pressure on the province’s coast due to both development and tourism activities, which in the past have disrupted local ceremonies, rituals, and social activities.
He shared, “The coast and coastal boundaries are religious, socio-cultural, and economic spaces for the community, and their use as public spaces is now increasingly under pressure.”
One aspect of the newly drafted laws is the establishment of the Kerta Bhawana Sanjiwani Regional Public Company, a regionally-owned enterprise (BUMD) specifically designed for clean water and wastewater management.
Governor Koster described the establishment of this water BUMD as a strategic step aligned with the regional development vision of “Nangun Sat Kerthi Loka Bali.” He shared, “Water is the source of life, so ensuring the availability and quality of clean water is a fundamental obligation of the regional government.”
The focus on creating new regional laws to help curb the impact of tourism development on coastal regions is just the start of the major steps taken by Governor Koster this month.
The Governor has also met with the Indonesian Deputy Minister of Investment and Downstreaming Todotua Pasaribu, on investment governance, regulating foreign direct investment (PMA), and consolidating central and regional governments in licensing services.
Governor Koster has been clear that he wants to crack down on the negative impacts of foreign investment in Bali and to eliminate foreign investors who are breaking the law or operating in grey areas of immigration and investment policy.
Deputy Minister Todotua gave his backing to Governor Koster, sharing, “We must balance and regulate foreign investors so they not only do business but also make real contributions to the region and the country.”
The meeting resulted in a landmark move between the central government and provincial government to open a dedicated licensing services desk for Bali as part of the Online Single Submission system.
It has long been noted by leaders in Bali that the Online Single Submission system, which is managed by the central government and grants permits and licences for the biggest development projects in the country, bypasses any on-the-ground checks in Bali.
This has led to some major tourism developments being given the go-ahead without the nod of approval from local Bali-based government agencies.
Deputy Minister Todotua explained, “Consolidation between the central and regional governments must be swift. High-risk licensing, including through the Online Single Submission (OSS) platform, must be more focused, measurable, and expedited.”
He confirmed that the central government is supporting Bali in cracking down on international investors found to be violating the law.
He explained, “We have already revoked hundreds of permits, ranging from those detrimental to MSMEs to those violating local wisdom. The central and regional governments cannot act in isolation. Protecting local businesses must be a priority.”
Governor Koster concluded with a warning to foreign investors who are flouting the law, especially those running accommodation and villa businesses in Bali.
He shared,”It’s unfair to those who are disciplined. I will take firm action against those who violate the law and support those who are disciplined. We support investment, but it must be controlled, and there will be no mercy for violators.”
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