Indonesian Political, Business & Finance News

'No more forest concessionaires'

'No more forest concessionaires'

KENDARI, Southeast Sulawesi: Governor La Ode Kaimuddin said yesterday the province is closed to new logging concessionaires because its forests need time to recover.

"Forest concessionaires may boost economic development, but in our province they have caused substantial ecological and financial damage," he was quoted by Antara as saying.

He gave as a example the case of PT Gemini Timber in Kolaka regency whose license to exploit 23,000 hectares of land was recently revoked because of the extensive damage it has caused in the forests. The company, which started operations in 1976, also had Rp 1.3 billion of land taxes in arrears.

The governor said his office is currently compiling a list of the "sins" committed by concessionaires in the province, such as their failure to develop the surrounding community. The list will later be submitted to the Minister of Forestry, he said.

Kaimuddin said dozens of hectares of forest have been destroyed by timber companies. The province has 3.8 million hectares of forests, including 420,800 hectares of protected areas and 669,000 hectares of productive forests. (swe)

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