Overview
- Officials said 22 forestry companies lost permits covering more than one million hectares, with six more tied to mining, plantations or a hydroelectric project.
- Named firms include PT North Sumatra Hydro Energy’s Batangtoru hydropower project, Astra International’s PT Agincourt Resources, and pulp producer PT Toba Pulp Lestari.
- The Batangtoru project is controlled by China’s SDIC Power and built by PowerChina, while China’s local consulate has said the construction complied with Indonesian laws.
- The government is also pursuing broader enforcement with lawsuits seeking more than US$280 million in damages, seizures of 4.09 million hectares, and plans to restore about 900,000 hectares including areas in Tesso Nilo National Park.
- Toba Pulp said it is seeking clarification and warned of potential impacts on timber supply, Agincourt previously called the link to the disaster premature, United Tractors shares fell as much as 15 percent, and environmental group WALHI urged rehabilitation with no relicensing or asset transfers.