Sat, 19 Jul 2003

Govt questioned over mining in protected forests

Moch. N. Kurniawan, The Jakarta Post, Jakarta

A leading non-governmental organization has demanded a clarification of a recent government proposal to allow more mining firms to resume operating in protected forests.

The Indonesian Center for Environment Law (ICEL) has also questioned the inclusion of PT Karimun Granit in the government's proposed list of mining companies despite the fact that its mining contract was awarded in 2000 following the enactment of Law No 41/1999 on forestry, which bans open pit mining in protected forests.

The proposal has been submitted to the House of Representatives for approval.

Separately, State Minister for the Environment Nabiel Makarim said on Friday he had raised the issue with his colleagues in the Cabinet.

"I asked whether 22 was a sacred number, so that new firms were included in the government list to meet the figure," Nabiel said.

Last year, the government proposed to the House that 22 mining companies be allowed to operate in protected areas in accordance with contracts originally given to them by the government.

These companies were awarded contracts before their concessions were converted into protected forests following the implementation of the new forestry law outlawing open pit mining in protected areas.

Later on the government halved the number of firms on the list for various reasons, ranging from imminent closure to gloomy business prospects.

But late last month, the government, through the Office of the Coordinating Minister for the Economy, picked 11 mining firms as replacements although the were not part of the original 22-strong list. Wimpy S. Tjetjep, director general for geology and mineral resources at the Ministry of Energy and Mineral Resources, said the additional firms had been added as their concessions allowed economies of scale to be developed.

Wimpy added that following the enactment of the forestry law, 158 companies had requested approval to continue their operations in protected areas.

According to ICEL data, the additional mining firms contained in the proposed list are PT Antam Sulawesi, PT Antam Maluku, PT Sorik Mas Mining, PT Interex Sacra Raya, PT Maruwai Coal, PT Irja Eastern Mining, PT Sungai Kencana, PT Barito Intan Mas, PT Masmindo Dwi Area and PT Kalteng Coal.

The other 11 are those proposed last year: PT Gag Nickel, PT Weda Bay, PT Nusa Halmahera Mineral, PT Meratus Sumber Mas (now PT Pelsart Tambang Kencana), PT Freeport Indonesia, PT Karimun Granite, PT Natarang Mining, PT Indominco Mandiri, PT Newmont Nusa Tenggara, PT INCO, PT Nabire Bhakti.

The House will decide whether or not to change the status of these firms' concessions from protected forests to production forests after a government team conducts the necessary re- assessments.

ICEL advocacy head Indriyani Augustine has expressed deep concern over the absence of government transparency in the selection of the new firms.

"Mining contracts should be awarded only to companies which pass the screening process. The government should not seek other companies just to meet the figure of 22," she said.

"But on top of that, we still disagree with the plan to allow mining operations in protected areas since besides being against the law, it will certainly endanger the environment and displace tribal communities living near the mines."