Granting right of use over right of management by BIFZA is the implementation of one of the powers previously held by the Batam Authority (Presidential Decree No 41 of 1973). The authority in the land sector is a central government authority namely the National Land Office (Badan Pertanahan Nasional Indonesia), which carried out by the Head Office of the National Land City Concerned, however based on historical owned Batam City, in the early formation of a government agency directly responsible to the President, the Batam Authority, which turned into the Agency of Batam aimed at the development of industrial areas, the authority in the licensing of land was also owned by these institutions for granting right of management over the whole area in Batam which implemented by BIFZA that also directly under the central government in accordance with Presidential Decree No. 8 of 2016 (successor Presidential Decree No. 18 of 2013). Provision of residential houses to foreigners are used as a means to facilitate investment and effort, which is expected to have a positive impact on the national economy as well as in the area of Batam. The role of the BIFZA in the land sector, especially giving the right to the use rights over management rights that were already described above, affecting also later on in the implementation of the licensing of land when seen in the 2016's, transforms the status of Batam Free Trade Zone (FTZ) become Special Economic Zone (SEZ)