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SIPA Permit in Lombok (Groundwater Utilization License)

SIPA Permit in Lombok (Groundwater Utilization License)

A SIPA (Surat Izin Pengusahaan Air Tanah) is an official permit required in Indonesia, including Lombok, West Nusa Tenggara, for individuals or businesses that intend to extract or use groundwater in certain volumes. This permit is commonly required for water taken from bore wells or underground sources for business or commercial purposes.

What Is SIPA?

SIPA stands for Groundwater Utilization License, issued by the Indonesian government to legally regulate the extraction and use of groundwater. The permit applies to both individuals and business entities and aims to ensure that groundwater use is environmentally responsible and sustainable. Possessing a valid SIPA ensures compliance with national water resource regulations.

When Is a SIPA Required?

A SIPA is generally mandatory if:

  • You construct or operate a bore well for business or commercial use.
  • Groundwater is used continuously or in large volumes, such as for hotels, villas, resorts, industries, public facilities, or large-scale agriculture.

Who Issues the SIPA?

SIPA applications are processed through the OSS-RBA (Online Single Submission – Risk Based Approach) system.

The issuing authority depends on the groundwater management area:

  • Central Government (Ministry of Energy and Mineral Resources / ESDM) for certain river basin areas.
  • Provincial or Local Government if the groundwater source falls under regional authority.

General Requirements for SIPA Application

While requirements may vary by region, they typically include:

Administrative Documents

  • Applicant or company identification (ID, Business Registration Number/NIB, Tax ID).
  • Proof of land ownership or land use rights.
  • SIPA application form.

Technical Documents

  • Planned drilling point and geographic coordinates.
  • Estimated groundwater extraction volume (m³ per day).
  • Drilling method and pump specifications.

Environmental Documents

  • Environmental approvals or assessments, if required.

Technical Recommendations

  • Supporting recommendations from relevant technical authorities.

All documents must be submitted through the OSS-RBA system in accordance with Indonesia’s digital licensing process.

Application Process Overview

  1. Register and activate a business account in the OSS system (valid NIB required).
  2. Upload all required administrative and technical documents.
  3. Government authorities conduct technical and environmental evaluations.
  4. Upon approval, the SIPA permit is officially issued and can be legally used.

Validity, Renewal, and Compliance

A SIPA permit is issued for a specific validity period and must be renewed before expiration. Permit holders are legally required to comply with approved groundwater volumes, extraction points, and operational terms.

Legal Risks Without SIPA

Using groundwater without a valid SIPA may result in:

  • Administrative fines or legal sanctions,
  • Sealing of wells or facilities,
  • Suspension or revocation of business licenses.

Why Lombok Legal?

Lombok Legal provides comprehensive legal assistance for SIPA permit applications, renewals, and compliance, ensuring your business operates legally and safely under Indonesian law.

Contact Lombok Legal today to secure your groundwater permit and protect your business from regulatory risks.
 

Documents Information:
Procedure Document

Information Document