North Maluku Governor Pushes ESG Principles, Overseeing Mining Industry Practices

The North Maluku Provincial Government is encouraging the business community to commit to Good Mining Practices by implementing Environmental, Social, and Governance (ESG) principles within the region. This initiative is considered essential for maintaining environmental sustainability.

The North Maluku Provincial Government continues to monitor replanting and reclamation efforts to ensure that the industry remains responsible in restoring forest functions and environmental conditions following the mining process.

“Of course, there is damage. Trees are felled, and we extract nickel layers. Will they be gone? Yes, but what needs to be discussed is how they are managed,” stated the Governor of North Maluku, Sherly Tjoanda Laos, during CNBC Indonesia’s Closing Bell on Tuesday (11/05/2026).

To this end, the implementation of ESG must be prioritised in maintaining the nickel industry. This is achieved by ensuring that nickel management is conducted responsibly.

“The point is that nickel is used for batteries, which are green products. It is impossible for us to use green products if the production process itself is not green,” Sherly asserted.

In addition to replanting and reclamation, Sherly revealed that restored land will be utilised as social forests or returned to the community for the cultivation of cloves, nutmeg, and coconut.

“So, we must ensure that after what is taken from underground, we focus on restoration—how to reclaim what has been taken,” she said.

Furthermore, Sherly expressed that nickel downstreaming will continue to occur in North Maluku over the next ten years. She even projected that several electric vehicle battery factories would be established in the province.

“I imagine that in 10 years, North Maluku will serve as an example of how a province uses its natural wealth as capital to empower its human resources,” she emphasised.

As information, up to the first quarter of 2026, North Maluku Province successfully recorded an economic growth of 19.6%, largely supported by downstreaming, particularly in nickel. Nickel downstreaming has also brought a multiplier effect, including the creation of 100,000 jobs and increased economic circulation.