Recently, the government issued guidelines to be applied in the exploitation of freehold and traditional owned forest areas (hutan hak) through Ministerial Regulation P.26/MENHUT-II/2005.

In principle, all land titles attached to the forest can be appointed into Hutan Hak, which shall then have the function of conservation, protection and production. Appointment of such forest shall be based on the city/regional site masterplan. The criteria for appointment shall be based upon the national criteria. The appointment process must undergo inventarization, mapping and the subsequent appointment.

The hutan hak can be utilized by their respective land owners although its utilization may not hinder its primary function. The ministerial regulation also stipulates the methods of status transfer, rights and obligations of the right holders, institutional development, control and supervision, and reporting mechanisms. Management and control reports are to be submitted 6 monthly to the Minister and the relevant Provincial Governors. This Regulation has been in force since 16 August 2005.