Indonesian Political, Business & Finance News

Exactly 20 Years On, 200 Lapindo Mudflow Compensation Claims Remain Unpaid

| | Source: MEDIA_INDONESIA Translated from Indonesian | Social Policy
Exactly 20 Years On, 200 Lapindo Mudflow Compensation Claims Remain Unpaid
Image: MEDIA_INDONESIA

Exactly two decades after the first eruption on 29 May 2006, the issue of compensation for the Lapindo mudflow in Sidoarjo, East Java, continues to leave deep scars for affected residents. As of 29 May 2026, hundreds of claims from residents and business owners remain unpaid.

Akhmad Basuni, Chairman of the Sidoarjo Mudflow Victims Forum (FKKLS), revealed that approximately 200 claims are still outstanding. The total compensation value for these cases amounts to a staggering Rp1.5 trillion.

Basuni explained that this figure relates to a 2020 proposal by the Minister of Public Works and Housing, Basuki Hadimuljono, to resolve social issues within the affected area. However, payments have only reached 20% for high-value claims.

After the process dragged on through three presidential terms, residents have taken decisive action. On 20 May 2026, FKKLS sent an official letter to President Prabowo Subianto.

“The core request is for the central government to issue a special presidential decree (Keppres) so that the government handles the compensation payments. If we wait for PT Minarak Lapindo Jaya, it’s clear that even after three changes of president, payments still haven’t been made,” Basuni told media on Friday (29/5).

Beyond monetary issues, Basuni highlighted breaches in the sales agreement. According to the deal, full payment should have been made two years after the 20% down payment. If unpaid, titles should be returned to residents. However, titles remain withheld despite the lack of full payment.

One direct victim is Ana Maria. Of the Rp1.6 billion she is owed, she has only received Rp400 million.

“There has been no progress to date. We keep asking around, but the result is always the same,” said Heri Susanto, Ana Maria’s brother, describing the despair of residents who have waited two decades.

Residents hope the central government will take over the remaining compensation payments, while the debt with PT Minarak Lapindo Jaya can be resolved internally by the state in due course.

Around 300 Lapindo mudflow victims performed Eid al-Fitr prayers for 1447 Hijriyah on vacant land next to Nurul Azhar Mosque in Jatirejo Village, Porong District, Sidoarjo. After 19 years of the mudflow disaster and multiple changes in government, they place their hopes on Prabowo.

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