E-ISSN 2549-0680  

Vol. 6, No. 2, July 2022, pp. 166-183 
doi: https://doi.org/10.24843/UJLC.2022.v06.i02.p03      

This is an Open Access article, distributed under the terms of the  

Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/)  
 

166 

Risk or License? Precautionary Principle’s Transition 

in Genetically Modified Organisms’ Benefits After Job 
Creation Law 
 
Rudi Natamihardja* 

Faculty of Law, Universitas Lampung, Bandar Lampung, Indonesia  
 
Orima Melati Davey** 

Master of Law Program, Universitas Lampung, Bandar Lampung, Indonesia  
 
Febryani Sabatira*** 

Faculty of Law, Universitas Lampung, Bandar Lampung, Indonesia  
 
Desia Rakhma Banjarani**** 

Faculty of Law, Universitas Sriwijaya, Palembang, Indonesia  
 
Ria Wierma Putri***** 

Faculty of Law, Universitas Lampung, Bandar Lampung, Indonesia 
 
Abstract 
This article aims to discuss the implementation of precautionary principle on the use of 
Genetically Modified Organisms (GMO) in Indonesia as well as to identify and evaluate the 
changes of provisions on precautionary principles related to the use of GMOs as stipulated in 
the Environmental Law and the later Job Creation Law in Indonesia. This article employs 
normative legal research that descriptively examines humans, circumstances, and other 
phenomena to strengthen old theories and support new theories that are still in the drafting 
stage. It uses secondary data sources consisting of primary legal materials and secondary 
legal materials. The result shows that the implementation of precautionary principle on the 
use of GMOs is based on the Environmental Law and the Job Creation Law which can be 
seen in the AMDAL. Under the Environmental Law, the implementation of precautionary 
principle prioritizes the importance of a risk's impact before the activity is carried out. 
Whereas in the Job Creation Law, the operation of an activity adjusts the level of risk, namely 
low, medium, and high. Hence, based on Job Creation Law, a business activity that already 

utilizes GMOs is allowed to conduct its operation if the risk is assessed as low. It is due to a 
transition between the risk approach in the Environmental Law and the licensing approach in 
the Job Creation Law. This article suggests that in GMO usage, the government should find 
more specific precautionary implementation than regulations and labels since regulations 
alone are too abstract to comprehend in a society. 

 
Keywords: Environmental Law; Genetically Modified Organisms; Indonesia, Job Creation 

Law; Precautionary Principle. 
 
 

                                                           
* Email: rudi.natamihardja@fh.unila.ac.id  
** Email: orimadavey23@gmail.com  
***Email/Corresponding Author: febryanisabatira@gmail.com  
****Email: desiabanjarani@fh.unsri.ac.id   
*****Email: ria.wierma@fh.unila.ac.id  

 

 

https://doi.org/10.24843/UJLC.2022.v06.i02.p03
http://creativecommons.org/licenses/by/4.0/
mailto:rudi.natamihardja@fh.unila.ac.id
mailto:orimadavey23@gmail.com
mailto:febryanisabatira@gmail.com
mailto:desiabanjarani@fh.unsri.ac.id
mailto:ria.wierma@fh.unila.ac.id


 
Risk or License? Precautionary Principle's Transition  

in GMO's Benefits After Job Creation Law 
Rudi Natamihardja, Orima Melati Davey,  

Febryani Sabatira, Desia Rakhma Banjarani, Ria Wierma Putri 
 

 

167 

1. INTRODUCTION  

Food scarcity has motivated experts to find scientific breakthroughs in 

search of solutions. One of the efforts to fulfill world hunger is through 
biotechnology. Biotechnology manipulates living organisms that aim to 
improve human welfare and the environment.1 Biotechnology has been 

applied in simple human life; one example is yeast to make alcohol and 
bread. Along with the times, traditional biotechnology has developed into 

modern biotechnology involving sophisticated genetic engineering. These 
genetically engineered products are known as Genetically Modified 
Organisms (GMO).  

GMO undergoes genetic changes or deoxyribonucleic acid (DNA) 
unnaturally through natural recombination. Genetic engineering of GMOs is 

a change in an organism‘s fundamental nature or characteristics, especially 
plants and animals, to create new characteristics according to human will 
and need. Humans, animals, plants, enzymes, and other living organisms 

have changed their essential characteristics and properties through modern 
scientific technology.2 In human life, GMOs are better known for food 

production and health. The technology analyzes how the characteristics of 
an organism can be passed on to other organisms to create new 
characteristics. One example of genetic engineering is that bacteria are 

introduced into a plant immune to pests.3  

Foods in the form of GMOs are crops consumed by humans and 
animals. The yields of genetically modified crops are successful from crops 

that have been engineered to have characteristics that are resistant to 
drought, pests, and herbicides.4 Some examples of GMO drugs are insulin 

because bacterial insulin is genetically modified to resemble the human 
insulin gene so that the protein content contained undergoes a synthesis 
process. In addition, genetic engineering can be found in vaccines, such as 

Hepatitis B, which is produced from yeast. A precautionary principle based 
on potential risks before the natural phenomena reflects how the principle is 
used with the GMO.5  

As much as GMOs are essential breakthroughs, their alien and 
unknown nature sparks discouragement from society. Debates on GMOs are 

further complexed by the disagreement between the public and scientists. 
Debates are seen through numerous studies. In 2013, the government of 

                                                           
1 Andrew Tylecote, ―Biotechnology as a New Techno-Economic Paradigm That Will 

Help Drive the World Economy and Mitigate Climate Change,‖ Research Policy 48, no. 4 
(2019): 2. 

2 Asheley R. Landrum, William K. Hallman, and Kathleen Hall Jamieson, 

―Examining the Impact of Expert Voices: Communicating the Scientific Consensus on 
Genetically-Modified Organisms,‖ Environmental Communication 13, no. 1 (2019): 53.  

3 Lilian E. Forman. Genetically Modified Foods (Minnesota: ABDO Publishing 

Company, 2010), 13.  
4 Stuart J. Smyth, ―Genetically Modified Crops, Regulatory Delays, and International 

Trade,‖ Food and Energy Security 6, no. 2 (2017): 79. 
5 Zhou Tian-meng, et.al., ―The Dilemma and Solution of the Precautionary Principle 

in EU Regulation of GMO——Based on the Analysis of Case Fidenato,‖ China Biotechnology 

38, no. 6 (2018): 97. 



 
 

Udayana Journal of Law and Culture 
Vol. 6 No. 2, July 20222 

168 

Kenya supported Genetically Modified or GM cotton plantations. However, a 
third of the community did not share the same opinion ten years prior.6 In 

2015, the Pew Research Centre found that only 37% of Americans approve 
the GMO use, a very different comparison from 88% of the American 

Association for the Advancement of Science (AAAS) scientists. In 2016, a 
survey in China stated that 47% of the public are not fond of using GMOs; 
some even view GMOs as a bioterrorism form. In the same year, 60% of the 

Poland people also despise benefiting GM products.7 Subsequently, the 
precautionary principle became the ―bridge‖ between the environment and 
the commercial perspective regarding GMO utilization.  

The reason for such precautions is because there were many concerns 
about GMO use towards human health and the environment. One of these 

issues is the assumption that GMOs can cause allergies. In the United 
States of America, there have been cases where people suffered an allergic 
reaction after consuming GMO food. For instance, people were experiencing 

nut allergies after consuming a soybean cultivar that was inserted with the 
2S albumin8 gene for nutritional reasons.9 GMOs could also intervene with 

the environment, especially biodiversity. One of the cases is in insecticidal 
genes inserted into Bacillus thuringiensis or Bt corn pollen that fatally 
affected the monarch butterfly larvae commonly found in North America. 

The pollen carried by the wind contaminated the milkweed, which is the 
larvae‘s source of food.10 GMOs are also considered invasive because there is 

an array of unlabeled GMO products on the market. People would have 
consumed these products without claiming that they have interfered with 
GMO products.11 Even though most of these impacts are generalized and 

supported by very few scientific studies, the potential is there, and a 
precautionary aim is to press the potential consequences to zero, which 
makes the principle taken into consideration. 

Indonesia is one of the developing countries that accept GMO products. 
From the environmental aspect, Indonesia recognizes the precautionary 

principle through Article 2(f) of Law No. 32 of 2009 concerning 
Environmental Protection and Management (Environmental Law). Therefore, 
the use of GMOs that are in direct contact with the environment in 

Indonesia must comply with the precautionary principle, which is 
implemented in the form of an Analisis Dampak Mengenai Lingkungan 

                                                           
6 Sarah Evanega, et.al., ―The State of the ‗GMO‘ Debate - Toward an Increasingly 

Favorable and Less Polarized Media Conversation on Ag-Biotech?,‖ GM Crops and Food 13, 

no. 1 (2022): 38. 
7 Ibid. 
8 2S albumin proteins are a class of essential seed storage proteins (SSPs) that are 

required by seeds at many phases of development, including germination and seed defense. 
9 Angelo Vega Rodríguez, et.al., ―Myths and Realities about Genetically Modified 

Food: A Risk-Benefit Analysis,‖ Applied Science 12, no. 6 (2022): 9. 
10 Mehmed Fidan and Arif Ayar. Genetically Modified Organisms and Effects on 

Human Health. in Research and Reviews in Health Science, ed. Cem Evereklioğlu, I (Ankara: 

Gece Publishing, 2021), 106.  
11 John Paull, ―Genetically Modified Organisms (GMOs) as Invasive Species,‖ Journal 

of Environment Protection and Sustainable Development 4, no. 3 (2018): 33.  



 
Risk or License? Precautionary Principle's Transition  

in GMO's Benefits After Job Creation Law 
Rudi Natamihardja, Orima Melati Davey,  

Febryani Sabatira, Desia Rakhma Banjarani, Ria Wierma Putri 
 

 

169 

(AMDAL) or Environmental Impact Analysis (EIA).12 The later Law No. 11 of 
2020 concerning Job Creation (Job Creation Law) has changed several 

provisions in the Environmental Law. These changes consist of license 
application steps, licensing regulation, risk accessor, involved community 
elements, support from the government, and consequences.13  

The focus of this research is a precautionary principle that is connected 
with licensing as a barrier to risk. Therefore, this article aims to discuss the 

implementation of the precautionary principle on the use of GMOs in 
Indonesia. In addition, the article identifies and evaluates the changes of 
provisions regarding precautionary principle on the use of GMOs as 

stipulated in the Environmental Law and the later Job Creation Law. It is 
normative legal research that descriptively examines humans, 

circumstances, and other phenomena to strengthen old theories and 
support new theories that are still in the drafting stage.14 The data sources 
used are secondary data sources consisting of primary and secondary legal 

materials. 

 

2. RESULT AND ANALYSIS 

The risks of GMO products have been debated among experts for years. 
Experts strongly recommend every GMO product be used according to the 

precautionary principle. Therefore, the following discussion will further 
describe the relationship between applying the precautionary principle and 
the use of GMO products. 

2.1. Correlation between Precautionary Principles in the Utilization of 
Genetically Modified Organisms 

Concerns have been raised concerning the safety of GMO products 

using processed food, raw food ingredients, or other components. As a 
result, it is essential to minimize the potential of this risk emerging through 

an analysis based on the precautionary principle. The precautionary 
principle serves as a criterion for GMO products to guarantee that their 
utilization does not have harmful effects. 

2.1.1. Precautionary Principle as a Risk Standardization  

The precautionary principle is a standard-setting philosophy for 

preventing serious threats to human health or the environment. It is applied 
to natural occurrences that are characterized by uncertainty and a lack of 
scientific information.15 The principle is used for conducting estimation and 

calculation to minimize the potential risk and is considered one concept that 

                                                           
12 Elly Kristiani Purwendah, ―Perlindungan Lingkungan Dalam Perspektif Prinsip 

Kehati-Hatian (Precautionary Principle),‖ Jurnal Media Komunikasi Pendidikan Pancasila 
Dan Kewarganegaraan 1, no. 2 (2019): 85. 

13 Anih Sri Suryani, ―Perizinan Lingkungan Dalam Undang-Undang Cipta Kerja Dan 
Dampaknya Terhadap Kelestarian Lingkungan,‖ Info Singkat: Kajian Singkat Terhadap Isu 
Aktual Dan Strategis 12, no. 20 (2020): 14.  

14 Soerjono Soekanto. Pengantar Penelitian Hukum (Jakarta: Penerbit Universitas 

Indonesia, 2012), 50.  
15 Tian-meng, et.al., op.cit., 96. 



 
 

Udayana Journal of Law and Culture 
Vol. 6 No. 2, July 20222 

170 

is widely outlined in various international environmental agreements, such 
as:  

(1) The 1992 Convention on Biological Diversity. 

(2) The 1992 United Nations Framework Convention on Climate Change. 

(3) The 1992 United Nations Convention on the Protection and Use of 
Transboundary Watercourses and International Lakes. 

(4) The 1994 Protocol to the 1979 Convention on Long-range 

Transboundary Air Pollution on Further Reduction of Sulphur 
Emissions. 

(5) The 1995 Agreement for the Implementation of the Provisions of the 

United Nations Convention on the Law of the Sea of 10 December 1982 
relating to the Conservation and Management of Straddling Fish Stocks 

and Highly Migratory Fish Stock. 

(6) The 1996 London Protocol to the 1972 Convention on the Prevention of 
Marine Pollution by Dumping of Wastes and Other Matter. 

(7) The 2000 Cartagena Protocol on Biosafety to the Convention on 
Biological Diversity.  

(8) The 2001 Stockholm Convention on Persistent Organic Pollutants. 

(9) The 2018 Regional Agreement on Access to Information, Public 
Participation and Justice in Environmental Matters in Latin America and 

the Caribbean. 

Precautionary becomes a general principle of public international law, 
including International Environmental Law, that is recognized and 

implemented worldwide. The principle is categorized as preventive measures 
that contain a careful action conducted ―before‖ an impact of a natural 

phenomenon occurs. The precautionary principle comprises the following 
elements:16 

a. Risk Uncertainty 

Precautionary measures or behavior go further than preventive 
measures because the measures are given in situations where the 
consequences and impacts are known,17 for example, the impact of 

smoking and the use of pesticides. Preventive measures are carried out 
before it is known that there is a causal relationship between the 

existing technology in a product or activity and the potential damage or 
danger that will be caused due to the absence of scientific evidence.18 

                                                           
16 Giulia Claudia Leonelli, ―Judicial Review of Compliance with the Precautionary 

Principle from Paraquat to Blaise: Quantitative Thresholds, Risk Assessment, and the Gap 
between Regulation and Regulatory Implementation,‖ German Law Journal 22, no. 2 (2021): 

195.  
17 Ante Ivčević, et.al., ―Local Risk Awareness and Precautionary Behaviour in a 

Multi-Hazard Region of North Morocco,‖ International Journal of Disaster Risk Reduction 50 

(2020): 4. 
18 Ronald Watson and Victor Preedy, ―Genetically Modified Food: Production, Safety, 

Regulation and Public Health,‖ 78. 



 
Risk or License? Precautionary Principle's Transition  

in GMO's Benefits After Job Creation Law 
Rudi Natamihardja, Orima Melati Davey,  

Febryani Sabatira, Desia Rakhma Banjarani, Ria Wierma Putri 
 

 

171 

b. Scientific Assessment of Potential Risks 

The scientific assessment of potential risks is vital in preventing the 

precautionary principle from being misused. This element consists of two 
aspects, namely, risk assessment and risk management that are usually 
applied in the industrial sphere.19 

c. Potential for Serious or Irreversible Damage 

The precautionary principle estimates the potential for severe or 

permanent damage. Oil pollution in the sea is an example of estimated 
severe damage that is not necessarily permanent while the extinction of 
flora, fauna and natural resources is an example of serious permanent 

damage. This element can occur if natural phenomena are applied over a 
long period and with high intensity.20  

d. Proportionate Precautions 

Prevention in the precautionary principle prioritizes public health over 
the economy. The previous precautionary principle can be used to 

reduce exposure, monitor, label, test before entering the market, and 
conduct studies or research to reduce uncertainty decided by 
policymakers. However, a product ban is a last resort when a product‘s 

risk is too dangerous for a country to bear.21 

e. There is a Shift in the Burden of Evidence 

Shifting the burden of proof is different from a traditional proof. 
Definitive evidence will generally apply the product first and, over time, 
analyze its impact, while a shift in the burden of proof means the risk 

must be known before the product is applied. The burden of proof is left 
on the creators of the product or natural phenomenon to be responsible 
for the risks that occur. The product creator must provide scientific 

support that the product to be applied has zero risk.22 

 

2.1.2. Precautionary Principle: Linking Genetically Modified Organisms 
Products between Environmental and Economic Aspects 

The precautionary principle, which is drawn from environmental risk 

management and is used as a tool to avert a major hazard to human health 
or the environment based on uncertainty or scientific knowledge 

estimations, is routinely applied to GMOs. An estimate of damage can be 
eliminated or decreased by employing the precautionary principle. The 

                                                           
19 Ibid. 
20 Ibid. 
21 Rajib Deb, et.al., ―Genetically Modified Crops: An Alternative Source of Livestock 

Feeding,‖ in Genetically Modified Organisms in Food: Production, Safety, Regulation and 
Public Health (Elsevier Inc., 2016): 490. 

22 Ibid. 



 
 

Udayana Journal of Law and Culture 
Vol. 6 No. 2, July 20222 

172 

precautionary principle can be regarded as a precautionary act that is 
carried out before the impact occurs.23 

Scientists have been debating the hazards of genetically modified foods. 
GMOs, according to scientists, work on the precautionary principle because 

the risk of GMOs is unpredictable. Distribution of health and ecosystems are 
two of these two factors. GMOs have a tendency to spread out of control in 
the environment, posing dangers that are difficult to assess.24 Both of these 

parameters act as a risk assessment for determining the effects of GMOs.25 If 
the two prerequisites are insufficient to verify a 0% GMO risk, the 
precautionary principle can be used to assess the GMO risk (precautionary 

measures) using the parts of the precautionary principle stated above. 

The usage of GMOs in human life can be seen in the areas of food, 

health, and medicine.26 GM plants have been employed as processed crops 
that are consumed by humans and animals in the food industry. Crops can 
be grown faster with genetic engineering techniques than with traditional 

methods. The harvest can be handled in such a way that it adapts to 
drought, pests, and herbicides, or has tolerance to them. The benefits of 

GMOs can be divided into two categories: insect resistance and herbicide 
resistance.27 Bt for short is a frequently debated pest-resistance genetic 
modification. Bt is a naturally occurring pesticide that has been used as a 

repellent for decades and has been approved for use by organic farms as a 
pest management strategy. Toxins can be extracted and introduced into the 
genes of crops, which are currently often used in maize. 

Countries do not always accept the utilization of GMOs. This is due to 
the risks posed by the use of GMOs. Countries are worried about the 

uncertainty of GMOs, which pose a high risk to a country's sovereignty 
because GMO products can spread plant or animal diseases. The risks 
posed by GMO products have two aspects. These two aspects include the 

distribution and impact on health and ecosystems.28 Ecologically, GMOs 
have a habit of spreading out of control, creating challenges to ascertaining 
risks.29 Crossbreeding of a plant species with GMOs causes an effect on 

environmental systems that is very widespread, irreversible, and with 
uncertain risks. In the development of the use of GMOs, the state is in a 

dilemma between the commercialization of GMOs and the protection of 
sovereignty. This dilemma is bridged by the precautionary principle where 

                                                           
23 Naveen Thayyil. Biotechnology Regulation and GMOs: Law, Technology and Public 

Contestations in Europe (New Delhi, India: Edward Elgar Publishing, 2014), 65. 
24 Renate Schubert. Future Bioenergy and Sustainable Land Use (London and 

Sterling: Earthscan, 2010), 89. 
25 M. G. Edwards and G. M. Poppy. Environmental Impact of Genetically Modified 

Crops (Oxfordshire: CAB International, 2009), 72. 
26 Center of Ecogenetics and Environmental Health. Fast Fact about Genetically 

Modified Organisms (Washington D. C.: National Academy Press, 2013), 39. 
27 Eliana M.G. Fontes, et.al., ―The Environmental Effects of Genetically Modified 

Crops Resistant to Insects,‖ Neotropical Entomology 31, no. 4 (2002): 499. 
28 Ashli Akins, et.al., ―The Universal Precautionary Principle: New Pillars and 

Pathways for Environmental, Sociocultural, and Economic Resilience,‖ Sustainability  11, 

no. 8 (2019): 13. 
29 Schubert, op.cit., 149. 



 
Risk or License? Precautionary Principle's Transition  

in GMO's Benefits After Job Creation Law 
Rudi Natamihardja, Orima Melati Davey,  

Febryani Sabatira, Desia Rakhma Banjarani, Ria Wierma Putri 
 

 

173 

countries can estimate potential risks before using GMOs.30 Therefore, the 
study illustrates the relationship between the precautionary principle and 

GMOs through the following illustration. 

 

Illustration 1. The linkage between the Precautionary Principle and the Genetically 
Modified Organisms 

Based on Illustration 1, it can be seen that GMOs are the main object 

of the problem. The GMOs‘ purpose is to be utilized and commercialized, but 
it is hindered by the considerations of countries regarding environmental 
aspects. Therefore, the application of the precautionary principle lies 

between commercialization and sovereignty. The relationship of the 
precautionary principle with GMOs is as a benchmark or risk basis, 
meaning it acts as a liaison between the economic point of view and the 

environmental point of view in utilizing GMOs. 

The precautionary principle, unlike the preventative concept, does not 

require certainty when determining the danger. As a result, there is a 
significant distinction between preventative and precautionary actions. 
Precautionary measures go beyond preventative measures because 

preventive measures are used in cases where the implications and effects 
are known, such as the effects of smoking, pesticide use, and so on. 

Precautionary precautions, on the other hand, are taken before it is known 
that there is a causal relationship between current technology in a product 
or activity and the possible damage or risk that will be created due to a lack 

of scientific evidence. This is especially true when it comes to GMOs, 
because each GMO product is unique, posing unique dangers. 

2.2. The Implementation of Precautionary Principle on Utilization of 

Genetically Modified Organisms in Indonesia  

Based on the data for the year 2020, Indonesia is one of the most 

populous countries globally, with 273 million people.31 Indonesia is 
currently faced with an agricultural land crisis and declining crop 

                                                           
30 Wahyu Yun Santoso, et.al., ―Signifikansi Pendekatan Kehati-Hatian Dalam 

Pengaturan Organisme Transgenik Di Indonesia,‖ Jurnal Hukum Lingkungan Indonesia 4, 

no. 1 (2017): 90. 
31 BPS-Statistics Indonesia, ―The Indonesia Population Census 2020 Highlights, 

(United Nations Expert Group Meeting, 9-12 February 2021),‖ 8. 

Genetically 
Modified 
Organisms 

Utilization and 
Commercialization 

Precautionary 
Principle 

States sovereignty 
and the environment 



 
 

Udayana Journal of Law and Culture 
Vol. 6 No. 2, July 20222 

174 

productivity in the agricultural sector. Therefore, the use of GMOs is an 
option in Indonesia to promote people‘s welfare. Even so, Indonesia‘s 

dependency towards its nature makes the country very fragile to any kind of 
potential risks. Hence, Indonesia‘s regulation must apply precautionary 

measures in utilizing GMOs. The implementation of the precautionary 
principle on the use of GMOs in Indonesia is as follows: 

Table 1. Implementation of Precautionary Principles on Utilization of Genetically 

Modified Organisms in Indonesian Law and Regulations 

Law and Regulations 
The Realization of Precautionary 

Principle’s Implementation 
Law No. 32 of 2009 concerning 
the Environment Protection and 

Management (Art. 47) 

Environmental Impact Analysis 

Law No. 18 of 2012 concerning 
Food (Art. 77-79) 
 

a. PRG32 should not be produced without 
government approval. 

b. Requirements for food containing PRG are 
government regulations (Government 
Regulation No. 28 of 2004). 

Government Regulation No. 69 of 
1996 concerning Food Labels and 
Advertisements (Art. 35) 

This article describes the obligation to include 
―Genetic Engineering Food‖ or at least a 
memorable PRG logo. 

Government Regulation No. 28 of 
2004 concerning Food Safety, 
Quality, and Nutrition 

This law outlines the requirements that must be 
met by a PRG, such as genetic information, 
description of donor organisms, description of 
genetic modification and characterization, and 
food safety information. 

Government Regulation No. 21 of 
2005 concerning Biosafety 

There is an assignment to the Biosafety 
Commission by the Minister or the Head of 
Non-Departmental Government Institutions 
(LPND) when providing recommendations for 
the biosafety of PRGs. 

Presidential Regulation No. 39 of 
2010 concerning the Commission 
on the Biosafety of Genetically 
Engineered Products (KKH PRG) 

KKH PRG also carries out assignments from the 
Minister and the Head of LPND such as 
technology assessment and evaluation and 
examination and proof of negative impacts. 

Decree of the Minister of 

Agriculture No. 
1038/KPTS/HK.330/11/1997 
concerning the Establishment of 

KKH PRG 

The legal basis for the formation of the PRG 

KKH. The PRG KKH has the primary function of 
formulating materials to prepare guidelines for 
environmental safety assessment, feed, and 

monitoring of PRG utilization. 

Joint Decree of the Ministers of 
Agriculture, Forestry and 
Plantations, Health, State Food 
and Horticulture 1999 concerning 
Biosafety and Food Safety of 
PHRG 

The contents of this joint decision include 
regulations regarding classification, security 
requirements, assessment procedures, rights, 
obligations, and reporting on PRG security. 

Regulation of the Head of BPOM33 
No. HK.03.1.23.03.12.1563 of 
2012 concerning Guidelines for 
the Assessment of Food Safety of 
Genetically Engineered Products 

The Biodiversity Safety Commission carries out 
the safety assessment of PRG for Genetically 
Engineered Products (KKH PRG). 

                                                           
32 PRG stands for ―Pangan Rekayasa Genetik‖ or Genetically Engineered Food. 
33 BPOM Stands for ―Badan Pengawas Obat dan National‖ or National Agency of 

Food and Drugs Control.  



 
Risk or License? Precautionary Principle's Transition  

in GMO's Benefits After Job Creation Law 
Rudi Natamihardja, Orima Melati Davey,  

Febryani Sabatira, Desia Rakhma Banjarani, Ria Wierma Putri 
 

 

175 

  Table 1 describes the consistency, coherence, and correspondence 
regarding the application of the precautionary principle on the use of GMOs 

through regulations in Indonesia. The Commission on the Biosafety of 
Genetically Engineered Products (Komisi Keamanan Hayati Produk 
Rekayasa Genetik/KKH PRG) was established to analyze and assess the 
risks of genetically engineered products. In addition, through regulations 
related to GMO products, the public is asked to understand genetically 

modified food products through food labeling. 
 

2.3. Comparison of Implementation of Precautionary Principles on 
Utilization of Genetically Modified Organisms According to the 
Environmental Law and the Job Creation Law 

Before understanding how to apply the precautionary principle to the 
use of GMO according to the Environmental Law and the Job Creation Law, 
the research will first describe how to apply the precautionary principle 

according to each of these arrangements.  

2.3.1. The Implementation of Precautionary Principles on Utilization of 
Genetically Modified Organisms according to Law No. 32 of 2009 
concerning Environmental Protection and Management 

Environmental law in Indonesia recognizes 3 (three) principles, 
namely, the polluter pays principle, the prevention principle, and the 

precautionary principle. The Environmental Law regulates the precautionary 
principle in Article 2(f). The precautionary principle is then applied in the 

obligation to carry out an Environmental Impact Analysis (EIA) or AMDAL.34 
Article 47 paragraphs (1) and (2) of the Environmental Law stipulate that 
every business or activity that has the potential to have a significant impact 

on the environment, threats to ecosystems and life, and human health and 
safety is obligated to conduct an environmental risk analysis.35 
Environmental risk analysis can be carried out through risk assessment, 

management, and communication. This means that based on the 
Environmental Law regulation, if the legal subject in the future will carry 

out activities and businesses that utilize GMOs, then as a precautionary 
measure, the risks of these activities and businesses must be reviewed 
first.36 

 
 

 

                                                           
34 Martika Dini Syaputri, ―Partisipasi Masyarakat Dalam Penyusunan Analisis 

Mengenai Dampak Lingkungan Berdasarkan UU No 32 Tahun 2009,‖ Varia Justicia 13, no. 

2 (2017): 125.  
35 Satria Sukananda and Danang Adi Nugraha, ―Urgensi Penerapan Analisis 

Dampak Lingkungan (AMDAL) Sebagai Kontrol Dampak Terhadap Lingkungan Di 
Indonesia,‖ Jurnal Penegakan Hukum Dan Keadilan 1, no. 2 (2020): 133.  

36 Sri Maulidiah, et.al., ―Environmental Management: A Study on the Precautionary 
Principle in Siak Regency of Indonesia towards Sustainable Development,‖ EM International 

26, no. 3 (2020): 10856. 



 
 

Udayana Journal of Law and Culture 
Vol. 6 No. 2, July 20222 

176 

2.3.2 Precautionary Principles’ Implementation on Utilization of 
Genetically Modified Organisms according to Law No. 11 of 2020 

concerning Job Creation 

The Job Creation Law was enacted on November 2, 2020, which aims 

to address legal issues, commencing with the overlapping of laws and 
regulations or the incompatibility of rules with one another. In this case, 

this study focuses on the Job Creation Law‘s substance, which consists of 
79 laws with 15 chapters and 174 articles targeting 11 clusters, including 
environmental issues.37 Thus, the Job Creation Law impacts the revision 

and deletion of several articles carried out in the Environmental Law. One of 
the highlighted problems within the Job Creation Law is the objective to 

abolish Article 40, which requires an environmental license to obtain 
business permits. The abolition of the license has given rise to various legal 
polemics since licensing is essential in maintaining and determining an 

agreement from the authorities based on the law. Based on theory, licensing 
has three vital functions, namely, (1) as an instrument of development 
engineering, (2) as an addition to state revenue, and (3) as a regulator of 

community action. In the third function, licensing prevents community 
behavior from damaging and demolishing the environment.38 Thus, business 

activities must be carried out with various administrative and legal means 
necessary to the government, whether conducted in concrete or legal 
actions. Issuance, implementation, and enforcement of laws based on the 

environmental license is a means to protect and preserve the environment 
from the activities of managing natural resources and their impacts on the 

environment. In this case, good governance principles must be implemented 
as standards for the government.39 

In order to protect and preserve the environment, documents are 

required in the form of laws, EIA or AMDAL, Environment Management 
Efforts, and Environment Monitoring Efforts or Upaya Pengelolaan 
Lingkungan Hidup dan Upaya Pemantauan Lingkungan Hidup (UKL-UPL) 
and Statement of Ability to Manage and Monitor the Environment or Surat 
Pernyataan Kesanggupan Pengelolaan dan Pemantauan Lingkungan 
Hidup (SPPL).40 AMDAL is an introspection procedure of the principal and 
significant impacts of a planned business or activity on the environment, 

which is then needed in a decision-making process regarding the 
implementation of such activity. Regarding environmental protection and 

management, the primary factor that evolves the foremost concern is 

                                                           
37 Fitri Yanni Dewi Siregar, ―Aspek Hukum Penyederhanaan Perizinan Badan Usaha 

Di Bidang Lingkungan Hidup Dalam Undang-Undang Cipta Kerja,‖ Jurnal Ilmiah 
Penegakan Hukum 7, no. 2 (2020): 188. 

38 Roni Sulistyanto Luhukay, ―Penghapusan Izin Lingkungan Kegiatan Usaha Dalam 
Undang-Undang Omnibus Law Cipta Kerja,‖ Jurnal Meta-Yuridis 4, no. 1 (2021): 112. 

39 Ibid. 
40 Dwi Febriyanti, et.al., ―Fungsi AMDAL Dalam Pengendalian Kerusakan Dan 

Pencemaran Lingkungan Setelah Diundangkannya UU Cipta Kerja,‖ Widya Pranata 
Hukum : Jurnal Kajian Dan Penelitian Hukum 3, no. 2 (2021): 122. 



 
Risk or License? Precautionary Principle's Transition  

in GMO's Benefits After Job Creation Law 
Rudi Natamihardja, Orima Melati Davey,  

Febryani Sabatira, Desia Rakhma Banjarani, Ria Wierma Putri 
 

 

177 

licensing.41 The licensing factor can be used as a guide for business actors 
who will manage the environment. Environmental licensing is related to the 

obligation to obtain an AMDAL as an instrument for preventing ecological 
pollution where this principle is contained in the form of a legal product so 
that it is a necessity that must be obeyed by all parties, which means, in 

order for an environmental permit to be issued and approved, it must obtain 
an AMDAL.42 

The concept of licensing is regulated in the Environmental Law. The 
provision regarding environmental licensing is outlined in Article 1 (35) of 
the Environmental Law which regulates that all parties who establish 

business activities must acquire AMDAL or UKL-UPL in the context of 
protection and environmental management as a prerequisite for obtaining 

business and/or activity permits. Thus, a business and/or activity permit 
will be granted by the agency concerned if the business owner has 
environmental access. Therefore, if the environmental license is revoked, the 

business and/or activity permit will be canceled. However, after the 
enactment of the Job Creation Law, the abolition of environmental licenses 
was determined as a form of simplification of permits which caused a 

fundamental change in the implementation of the AMDAL mechanism.43 
After analyzing the EIA or AMDAL as the implementation of the 

precautionary principle, the research will see how the AMDAL arrangement 
in the Job Creation Law. The regulation regarding AMDAL in Article 24 of 
Job Creation Law has changed. The feasibility test is one of the transitions 

regarding AMDAL. According to its impact on the environment, this test is 
carried out at the beginning of business activities carried out before 
business activities. The government conducts the feasibility test by 

appointing a certified expert or institution.44 In addition, business permits 
can be issued before or after issuing the environmental feasibility decree.45 

Therefore, if there is a business activity that utilizes GMO products and the 
risk is considered low, then the business activity can be carried out. This is 
not under the precautionary principle, which prevents scientific uncertainty 

about risk. The following is a comparison of the implementation of the 
AMDAL between the Environmental Law and the Job Creation Law.46 

 

 

 
 

 

 

 

 

                                                           
41 Muhammad Al Ikhwan Bintarto and Muhammad Uwais Alqarni, ―Landasan 

Filosifis, Aspek Moral Dan Aspek Keadilan Dalam Pembentukan UU Cipta Kerja,‖ Jatiswara 

36, no. 3 (2021): 280. 
42 Martika Dini Syaputri, op.cit., 127. 
43 Siregar, loc.cit.  
44 Ibid. 
45 Luhukay, op.cit., 118.  
46 Sukananda and Nugraha, op.cit., 131. 



 
 

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178 

Table 2. Comparison of AMDAL Arrangements between the Environmental Law and 

the Job Creation Law 
Elements Environmental Law Job Creation Law 

Stages 

Process environmental documents 
(AMDAL or UKL-UPL), environmental 
approvals, environmental permits, and 
business permits 

Process environmental documents 
(AMDAL or UKL-UPL), environmental 
approvals, business permits 

Licensing Process 
The impact is significant or not 
significant towards the environment 

Categorized into high risk, medium 
risk, and low risk 

AMDAL evaluator 
AMDAL Assessment Commission or 
Komisi Penilai AMDAL (KPA) 

Feasibility Test Institute or Lembaga 
Uji Kelayakan (LUK) 

AMDAL Evaluator 

Establisher 
Minister, governor, or regent/mayor 

National government 

Communities 
involved in 
AMDAL 

Communities directly affected, 
environmentalists, communities 
affected by decisions in the AMDAL 
process 

Communities directly affected 

 
It can be seen from Table 2 that there are transitions and differences 

regarding AMDAL arrangements between the Environmental Law and the 
Job Creation Law. In the Environmental Law, the precautionary principle‘s 
implementation prioritizes the importance of the impact of a risk before the 

activity is carried out. Meanwhile, in the Job Creation Law, an activity can 
be implemented if the risk is assessed as low because there is a transition 

between the risk approach in the Environmental Law and the licensing 
approach in the Job Creation Law. Such transition is considered to be a 
threat to the future environment management system since the Job 

Creation Law determined the level of risk, namely low, medium, and high. 
Therefore, according to the Job Creation Law, it is possible for business 
activities that already utilize GMOs to be operationalized even if the risk is 

assessed as low because there is a transition between the risk approach in 
the Environmental Law and the licensing approach in the Job Creation Law. 

The transition from risk-based to license-based is one of the many legal 
problems that have arisen since the enactment of the Job Creation Law. 
Another concern from this transition is that in the Job Creation Law, the 

community‘s involvement towards risk is merely preventive, whereas the 
direct monitoring of the environment is managed by the license applicant. 
This given role is very subjective and does not fulfill the definition of 

precaution from the environmental point of view.47  
Moreover, since its promulgation in 2020, the Job Creation Law has 

been in the spotlight of legal critics because it is considered to have material 
and formal weaknesses.48 However, beyond the reasons for the necessity for 
a revision of the Job Creation Law, the environmental aspect, unfortunately, 

became the aspect that was least paid attention to. In November 2021 or a 

                                                           
47 M Reza Baihaki, ―Persetujuan Lingkungan Sebagai Objectum Litis Hak Tanggung 

Gugat Di Peradilan Tata Usaha Negara  (Telaah Kritis Pergeseran Nomenklatur Izin 

Lingkungan Menjadi Persetujuan Lingkungan Dalam Undang-Undang Nomor 11 Tahun 
2020 Tentang Cipta Kerja),‖ Majalah Hukum Nasional: Media Pembinaan Dan Pembangunan 
Hukum  51, no. 1 (2021): 13.  

48 Ibid. 



 
Risk or License? Precautionary Principle's Transition  

in GMO's Benefits After Job Creation Law 
Rudi Natamihardja, Orima Melati Davey,  

Febryani Sabatira, Desia Rakhma Banjarani, Ria Wierma Putri 
 

 

179 

year of its implementation, the Job Creation Law through Decision No. 
91/PUU-XVIII/2020 was declared ―conditionally unconstitutional‖ by the 

Constitutional Court.49 This decision is the result of the partial approval of 
the application for a formal review of the Job Creation Law. The Job 
Creation Law is declared contrary to the 1945 Constitution of the Republic 

of Indonesia and has no binding legal force as long as it is not amended 
within two years of the decision being made. Thus, the Job Creation Law will 

be declared permanently unconstitutional if improvements are not made 
within the given period. The court decision might possess an adequate 
opportunity for the development of environmental law in Indonesia. 

Although the provisions related to environmental licensing based on the Job 
Creation Law are still in effect, with a conditionally unconstitutional status, 

the issue of environmental permits can be reviewed and subject to material 
revisions to be included in the Job Creation Law in the future.50 

 

3. CONCLUSION 
Based on the discussion, the research concludes that the 

precautionary principle‘s implementation in the use of GMOs in Indonesia is 

realized in the regulations for the food, feed, and agriculture sectors. The 
regulations of KKHPRG are Presidential Regulation No. 39 of 2010 on the 

Commission for the Biosafety of Genetically Engineered Products and the 
standardization of food labeling of genetically engineered food products 
based on Government Regulation No. 69 of 1996 concerning Food Labels 

and Advertising. A comparison of the implementation of the precautionary 
principle on the use of GMOs according to the Environmental Law and the 
Job Creation Law can be seen in the AMDAL arrangement as the 

implementation of the precautionary principle. In the Environmental Law, 
the implementation of precautionary principle prioritizes the importance of a 

risk‘s impact before the activity is carried out. Whereas in the Job Creation 
Law, the operation of an activity adjusts the level of risk, namely low, 
medium, and high. This means that in the Job Creation Law, it is possible 

for business activities that already utilize GMOs to be operationalized if the 
risk is assessed as low because there is a transition between the risk 

approach in the Environmental Law and the licensing approach in the Job 
Creation Law. All in all, this article suggests the following points: (1) 
regarding the usage of GMOs, the government should find precautionary 

implementations that are more specific than regulations and labels, since 
regulations alone are too abstract to comprehend in a society; (2) 
environmental NGO institutions and the government should coordinate to 

ensure business actors do not abuse the Job Creation Law‘s interpretation 
as their defense on harming the environment; and (3) environmental NGO 

institutions should act as a communicator between the government and 
community related to GMOs usage towards the environment. 

 

                                                           
49 Constitutional Court, Decision of the Constitutional Court of the Republic of 

Indonesia No.91/PUU-XVIII/2020, para [3.20.3], 413. 
50 Dodi Haryono, ―Metode Tafsir Putusan Mahkamah Konstitusi Dalam Pengujian 

Konstitusional Undang-Undang Cipta Kerja,‖ Jurnal Konstitusi 18, no. 4 (2022): 774. 



 
 

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180 

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