Indonesian Political, Business & Finance News

Regions race to issue licenses

Regions race to issue licenses

Nearly every regency in Kalimantan, Sumatra and Papua has
issued an average of 150 timber licenses per year, each covering
an area of up to 10,000 ha, according to the report from the
Inspectorate General of the Ministry of Forestry.

The report, which was seen by The Jakarta Post last week, does
not provide a comprehensive report on the total licenses issued
by the regencies, but only gives some examples.

Sintang regency in West Kalimantan, between 2001 and 2002,
issued 409 licenses covering a total area of 41,000 ha. The
regency has targeted its timber output to reach 1.26 million
cubic meters per year, according to the report.

In Sanggau, another regency in West Kalimantan, the local
administration has targeted an output of 400,000 cubic meters of
timber per year.

The target is indeed alarming as the ministry has limited the
log output this year to only 6.5 million cubic meters, from 12
million last year, in order to help reduce deforestation.

"We just cannot imagine how detrimental the regencies' moves
have been to our forests. What will happen if 100 regencies
target the same output?" said Lumisu.

Issuance of such licenses is also widespread in Papua, but in
a different way, he said.

In that area, businesspeople use easily manipulated tribal
chiefs to obtain licenses.

Under the local regulations, a tribe can apply to the
provincial government for the right to develop tanah adat
(traditional land), of up to 10,000 ha.

Once they obtain the licenses, they pass them on to the
businesspeople who have urged them to apply for them in the first
place. --JP

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