Government to revoke permits of 20 companies amid Sumatra disaster probe

  • Published on 05/12/2025 GMT+7

  • Reading time 2 minutes

  • Author: Julian Isaac

  • Editor: Imanuddin Razak

Forestry Minister Raja Juli Antoni has announced of the government’s plan to revoke Business Permits for Forest Utilization (PBPH) belonging to 20 companies managing a combined 750,000 hectares (ha) of land across Indonesia, including those in the three provinces recently devastated by severe floods and landslides ‒ Aceh, North Sumatra, and West Sumatra.

The decision will take effect once it receives approval from President Prabowo Subianto.

“After obtaining approval from President Prabowo, we will revoke the permits of around 20 PBPH entities that have performed poorly, covering approximately 750 thousand hectares nationwide, including in the affected provinces,” Raja Juli told lawmakers during a hearing with the House of Representatives’ Forestry Commission IV on Thursday, December 4, 2025.

The minister, who is also a politician from the Indonesian Solidarity Party (PSI), declined to reveal the names of the targeted companies, saying the details will be made public only after receiving the President’s endorsement.

He said that the move aligns with his ministry’s ongoing effort to rationalize PBPH management and enforce a moratorium on new permits for the exploitation of natural forests and plantation forests.

Investigation

Raja Juli also revealed that the Ministry of Forestry is currently investigating 12 companies suspected of contributing to the ecological disaster in Sumatra. Early findings from the ministry’s law enforcement division indicate these companies may have been involved in illegal logging activities in areas hit by flooding and landslides.

“Our forestry law enforcement unit has found indications of violations involving 12 legal entities in North Sumatra, and legal action is being pursued,” he said.

The minister stressed that underperforming and non-compliant companies must be held accountable, adding that poor forest management has played a role in worsening the disaster’s impact on local communities.

While details about the companies under investigation remain undisclosed pending presidential approval, the government’s latest actions reflect a broader push for environmental accountability and stricter oversight of the forestry sector ‒ particularly in regions vulnerable to climate and ecological risks.

As emergency response efforts continue in the disaster-hit provinces, the Ministry of Forestry insists that safeguarding Indonesia’s natural resources is vital to preventing future catastrophes.

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