Canggu Loft Studio Protected Rice Field Case: A Year After Inspection, Investigation Results Remain Unclear
Nearly a year after Bali's provincial parliament special committee (Pansus TRAP) inspected a villa business in Canggu over alleged misuse of protected rice fields and provincial government land, no concrete findings have been published. Concerns remain over transparency as a budget of roughly IDR 3.5 billion for the oversight committee also remains unclear in its execution.
Bali's provincial parliament special committee on spatial planning, regional assets and licensing (Pansus TRAP) conducted a surprise inspection on October 17, 2025, at Canggu Loft Studio in Badung Regency. The site is provincial government land reportedly falling within a protected rice field (LSD) zone, leased to a private individual while the tourism accommodation business was said to be operated by a Singapore-based foreign investment company (PMA).
During the inspection, committee members questioned the relationship between the land leaseholder and the operating company, the completeness of permits, and misunderstandings about Indonesia's Online Single Submission (OSS) system. The committee stressed that obtaining a Business Identification Number (NIB) through OSS does not exempt operators from complying with spatial planning rules or local government authority. Villa Radha Pererenan, also built on provincial rice-field land, was flagged for similar scrutiny.
Nearly a year later, however, no findings have been publicly released. Questions remain unanswered: whether the land is confirmed to be LSD, whether asset use complies with spatial zoning rules, whether permits for both properties are valid, and—if violations were found—what corrective recommendations were issued and to what extent they have been implemented.
Adding to the scrutiny, roughly IDR 3.5 billion was allocated in Bali's 2026 regional budget to support the committee's oversight work. Some lawmakers said the funds had not been fully disbursed due to administrative issues, though the parliament secretariat clarified that some activities, such as meetings and official travel, had already been funded.
The case highlights a broader structural issue: data from Bali's National Land Agency (BPN) reportedly shows the island's rice field area shrank by 6,521.81 hectares, or about 9.19%, between 2019 and 2024.
Things to Consider
If renting, staying at, or investing in accommodation in Bali, verify through a local lawyer or licensed agent whether the property sits on protected rice field (LSD) land and whether it holds proper spatial planning and building permits (not just an OSS business registration number). When choosing long-term accommodation, check whether the actual land leaseholder matches the business operator, and exercise caution with properties involving unclear ownership or operational structures.
Source: Nuansa Realita News