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Bali Is Losing Its Farmland to Commercial Development

Antara
November 26, 2025 | 3:00 pm
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Residents walk along a neighborhood inundated by floods on Jalan Bukit Barisan, Denpasar, Bali, on Wednesday, Sept. 10, 2025. (Antara Photo/Fikri Yusuf)
Residents walk along a neighborhood inundated by floods on Jalan Bukit Barisan, Denpasar, Bali, on Wednesday, Sept. 10, 2025. (Antara Photo/Fikri Yusuf)

Jakarta. Agrarian Affairs and Spatial Planning Minister/National Land Agency Chief (ATR/BPN) Nusron Wahid has endorsed Bali’s decision to halt the conversion of productive farmland for commercial development, warning that the island’s protected agricultural zones have fallen far below national requirements.

At the same time, he urged local authorities to begin establishing new rice fields to replace areas already lost to tourism-driven expansion.

Speaking in Denpasar on Wednesday, Nusron said Bali’s Sustainable Agricultural Land (LP2B) — land that must not be converted — currently accounts for just 62 percent of the island’s total rice-field area, well below the 87 percent mandated under Indonesia’s spatial planning rules. Under the broader category of Sustainable Food Agriculture Zones (KP2B), including reserves and infrastructure, the requirement is 90 percent, while Bali stands at only 83 percent.

“Before stopping all land conversion, we must work with regents and mayors to find solutions, including identifying new land. LP2B in Bali has not reached the required threshold,” he said.

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Nusron called on the governor to map out roughly 6,000 hectares of new land, consisting of 4,000 hectares to replace fields already converted and 2,000 hectares to meet the minimum requirement.

He warned that failing to restore the minimum agricultural land coverage would place Bali in violation of national law. Under the 2009 Sustainable Agricultural Land Law, illegal conversion of protected farmland carries penalties of up to five years in prison. Creating new rice fields, he said, would allow the government to legalize past conversions while strengthening Bali’s long-term food security.

Nusron stressed that the policy is intended to balance the island’s agricultural needs with its tourism and housing demands. Given Bali’s limited land availability, he encouraged residents to build homes on non-productive land and to embrace vertical housing options. Land-use control, he added, is essential for national priorities such as food self-sufficiency and subsidized housing programs.

His comments come amid heightened scrutiny of Bali’s land-use practices following floods and landslides in September that killed 17 people. Environment Minister Hanif Faisol Nurofiq has blamed the disaster on poor waste management and unregulated construction of hotels, villas, cottages, and housing on former rice fields and hillsides. He said the rapid conversion of green space has weakened the island’s resilience to extreme rainfall.

According to government data, Bali has lost about 400 hectares of forest to commercial and residential development since 2015. Following the deadly floods, Governor I Wayan Koster announced that the province will stop issuing permits to convert productive farmland into commercial zones beginning in 2025. The provincial government will review development plans to ensure no new tourism projects encroach on agricultural land.

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