Gov’t Revokes Concessions of 18 Companies Controlling Over Half a Million Hectares of Forest Land

Ricki Putra Harahap
February 4, 2025 | 2:01 am
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Logs sit on the side of a road leading to the areas of several wood pellet production companies in Pohuwato, Gorontalo province, Indonesia, Tuesday, Oct. 22, 2024. (AP Photo/Yegar Sahaduta Mangiri)
Logs sit on the side of a road leading to the areas of several wood pellet production companies in Pohuwato, Gorontalo province, Indonesia, Tuesday, Oct. 22, 2024. (AP Photo/Yegar Sahaduta Mangiri)

Jakarta. The Indonesian government has revoked forest management licenses from 18 companies that collectively controlled 526,144 hectares of land, Forestry Minister Raja Juli Antoni announced on Monday.

The decision was made after these companies failed to manage the forests sustainably for the economic benefit of surrounding communities, despite holding concessions for decades, Raja Juli said following a meeting with President Prabowo Subianto at the State Palace in Jakarta.

While the minister did not disclose the names of the affected companies, he said that they were granted forest concessions between 1997 and 2010 but failed to demonstrate any concrete commitment to sustainable forestry practices.

“I will soon issue a ministerial decree revoking the forest area management licenses of 18 companies that controlled 526,144 hectares of land from Aceh to Papua,” Raja Juli said.

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He added that the government had issued multiple warnings urging these companies to comply with their contractual obligations before President Prabowo decided to take decisive action.

Future Management and Sustainability Goals
The revoked forest areas will be returned to the state and placed under the management of state-owned enterprises, ensuring that the land contributes to sustainable national development programs that benefit the broader population.

The minister said that the decision is crucial to ensuring that Indonesia’s forest areas remain productive assets for the nation, managed with a focus on sustainability and long-term economic benefits.

The move aligns with the government's broader strategy to enhance environmental protection, curb deforestation, and promote responsible land management in Indonesia’s vast forested regions.

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