The Indonesian government is considering seizing mining operations across 191,790 hectares (733.59 square miles) of illegally cleared forest land, according to a deputy forestry minister.
Indonesia Considers Seizures of Illegal Mining Operations
Deputy Forestry Minister Rohmat Marzuki told a parliamentary hearing on Monday that the potential seizures are part of a broader crackdown on unlawful extraction in the archipelago. Authorities have not yet named the companies involved, nor specified what materials are being mined or provided a timeline for the seizures.
- Approximately 191,790 hectares of mining operations lack the necessary forestry use permits.
- The forestry task force has already secured 8,769 hectares as part of the ongoing effort.
- Indonesia’s Attorney General has assessed potential fines totaling 142.2 trillion rupiah ($8.4 billion) for palm oil and mining companies.
The unprecedented crackdown, which includes military-led teams taking over palm plantations and mines, has caused concern within the industry. This has led to increases in global palm oil prices and, more recently, rallies in the prices of metals like tin.
The military-backed forestry task force has already taken control of 8,800 hectares of land where nickel, coal, quartz sand, and limestone were being mined. Additionally, they have seized palm plantations across 4.1 million hectares (10.1 million acres), an area comparable in size to the Netherlands.
The Attorney General has assessed potential fines of 109.6 trillion rupiah ($6.47 billion) for palm oil companies and 32.63 trillion rupiah for mining companies operating in forest areas. ($1 = 16,935.0000 rupiah)
Marzuki stated that the forestry ministry remains committed to reclaiming forest areas from illegal oil palm plantations and illegal mines, working alongside the forestry task force.
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