Indonesian Political, Business & Finance News

Gaspol Today: Indigenous Communities versus Corporations in Sihaporas—Government Must Find Solutions

| | Source: KOMPAS Translated from Indonesian | Social Policy
Gaspol Today: Indigenous Communities versus Corporations in Sihaporas—Government Must Find Solutions
Image: KOMPAS

Jakarta—The agrarian conflict over customary land in Sihaporas, North Sumatra, continues without reaching a resolution. For decades, indigenous communities have fought to protect their territory from policies deemed to disproportionately benefit corporations. Customary land claimed by indigenous residents as ancestral inheritance has been repeatedly worked by paper industry companies. Meanwhile, indigenous communities report receiving no commensurate economic benefit. Several residents have even reported experiencing repressive actions from unidentified parties whilst asserting their land rights.

The previous government had revoked business licences for several corporations in the Sihaporas forest area. This policy was issued through the Forest Area Enforcement Task Force (Satgas PKH) to revoke 28 company licences suspected of causing hydrometeorological disasters in Aceh, North Sumatra, and West Sumatra in November 2025. The licence revocation was announced by State Secretary Minister Prasetyo Hadi during a press conference at the Presidential Palace in Jakarta on Tuesday, 20 January 2026.

However, Mersi and other indigenous community members have yet to experience tangible benefits from this licence revocation. She stated that repressive actions continue despite the business licences being revoked. “Please be consistent, President Prabowo, be consistent with the revocation of TPL licences, recognise and protect indigenous communities,” said Mersi.

Kompas.com also sought confirmation from PT Toba Pulp Lestari (TPL). TPL Director Anwar Lawden emphasised that the mechanism for resolving indigenous community land claims falls entirely within the government’s purview. He referenced Law Number 41 of 1999 on Forestry, specifically Article 67 paragraph explanation, which provides that resolving indigenous community land claims in state forest areas falls under government authority.

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