- Indonesia has revoked four out of five nickel mining permits in Raja Ampat after public pressure and findings of environmental damage in the ecologically sensitive archipelago, home to some of the world’s richest marine biodiversity.
- However, the government retained the permit for PT Gag Nikel, citing its location outside a UNESCO-designated geopark, lack of visible pollution, ongoing land rehabilitation, and the high economic value of its nickel deposits.
- Environmental groups have criticized the decision, pointing to legal bans on mining on small islands and warning of threats to marine life such as manta rays and coral reefs from barge traffic and industrial activity.
- The case reflects broader concerns about Indonesia’s nickel rush, with nearly 200 mining concessions on small islands nationwide, raising alarms over environmental destruction and the prioritization of industry over legal and ecological safeguards.
JAKARTA — The Indonesian government has revoked four out of five nickel mining permits in the Raja Ampat archipelago following a public outcry over mining in one of the world’s most biodiverse marine ecosystems.
Environmental groups have welcomed the decision, but criticized the decision not to revoke the permit for the remaining concession in Raja Ampat, held by the company PT Gag Nikel (GN).
On June 10, the minister of mines, Bahlil Lahadalia announced the government had revoked the permits for four nickel mining concessions in Raja Ampat: PT Anugerah Surya Pratama (ASP), PT Kawei Sejahtera Mining (KSM), PT Mulia Raymond Perkasa (MRP), and PT Nurham.
He cited environmental violations, including pollution, sedimentation and deforestation, as among the reasons for the decision.
Situated within the Pacific Coral Triangle, Raja Ampat is widely recognized as a global epicenter of marine biodiversity, harboring 75% of all known coral species and more than 1,700 species of reef fish. The four revoked concessions were located on islands within the Raja Ampat archipelago that were designated by UNESCO as global geopark in 2023 due to their exceptional geological, ecological and cultural significance.
The region boasts the oldest exposed rock formations in Indonesia, dating back some 400 million years. These ancient rocks, particularly prominent on Misool Island, represent nearly one-tenth of Earth’s geological history, offering invaluable insights into the planet’s evolution.
“Based on our own inspections, these areas need to be protected, especially their marine ecosystems and conservation zones,” Bahlil said at a press conference in Jakarta on June 10.
However, the government chose not revoke the mining concession permit on Gag Island, operated by GN, a company that’s part-owned by state-owned miner Antam. While Gag Island is also located in the Raja Ampat archipelago, Bahlil said it lies outside the geopark and is far from popular tourist sites such as Piaynemo.
He also claimed he hadn’t found significant environmental pollution when he visited the island on June 7. He denied as false media posted online showing pollution of coral reefs and seawater around the island.
He also cited GN’s efforts to rehabilitate parts of its concession that have been cleared for mining. Of the 260 hectares (642 acres) of land that it has stripped, it has rehabilitated about half. GN has also handed over 54 hectares (133 acres) of the rehabilitated land to the state, leaving 130 hectares (321 acres) that it continues to mine and will eventually be required to also rehabilitate.
“This is a good example of the environmental impact assessment process [in action],” Bahlil said.
He also claimed GN has all the necessary permits to operate on Gag Island, including a long-standing business contract with the government first signed in 1998 and valid until 2047.
Notably, the minister said Gag’s nickel deposits are too profitable for the government to give up.
“Why do I have to push [for nickel mining on Gag Island]? Because the production is 3 million [metric tons of nickel ore per year],” Bahlil said.
Local leaders in Raja Ampat also want to see the region developed through mining and other economic activities, he added.
An investigation by local media outlet Narasi found that nickel from Gag Island is processed at the Weda Bay industrial park on Halmahera Island, about 250 kilometers (155 miles) northwest of Gag and the hub of Indonesia’s electric vehicle battery production. Nickel is a crucial component in lithium-ion batteries and other clean energy technology.
According to Antam’s latest annual report, Gag Island has 56 million wet metric tons of nickel reserves, the third-biggest among the various nickel mining concessions in which the state-owned miner holds a stake. This makes Gag Island home to more than 11% of Antam’s nickel reserves, underscoring its strategic value to the company’s long-term operations.
Bahlil said that while GN’s permit hasn’t been revoked, the company’s activities are under strict monitoring.
The government last week temporarily halted GN’s mining activities following the protests against mining in Raja Ampat. It’s unclear if the suspension remains in place or has been lifted.
Not enough
Kiki Taufik, the global head of Indonesia’s forest campaign for Greenpeace, which has long sounded the alarm over mining in Raja Ampat, welcomed the government’s decision to revoke the four other concessions. He called it a victory for the #SaveRajaAmpat campaign, which calls on the government to protect the biodiverse archipelago from nickel mining.
“The #SaveRajaAmpat campaign stands as concrete evidence — and a source of hope — that when people raise their voices and unite, we can pressure those in power and bring about change together,” Kiki said in a statement.
However, the government needs to go further and revoke GN’s permit to ensure full protection for the entire Raja Ampat ecosystem, he added.
Iqbal Damanik, senior forest campaigner at Greenpeace Indonesia, also criticized the government for not revoking GN’s mining permit. He said a revocation was warranted, regardless of whether Gag Island lies outside the geopark zone, given that small islands are off-limits to mining under a 2014 law on the management of coastal areas and small islands.
“This reflects poor policymaking. We’re showing favoritism toward extractive industries while ignoring the fact that, legally, this is a violation,” Iqbal told Mongabay.
This prohibition is backed by a 2022 Supreme Court ruling and 2023 Constitutional Court ruling that reinforced this blanket ban on mining on small islands. In its ruling, the Constitutional Court qualified small-island mining as an abnormally dangerous and ultra-hazardous activity due to the inherent threat it poses to life and ecological integrity.
“It’s not just a matter of whether it’s located in a tourism zone or not — we know the regulations clearly state this is prohibited. And the Constitutional Court has ruled that this kind of activity is an ‘abnormally dangerous activity,’ so why is that being disregarded?” Iqbal said.
Herdiansyah Hamzah, a constitutional law expert at Mulawarman University, said he believed there were indications of corruption in the issuance of the nickel mining permits in Raja Ampat because the licenses should never have been issued in the first place.
“Yet, mining permits were still issued [despite the 2014 law],” he said as quoted by local news site Tempo. “That suggests there was collusion between the licensing authorities — in this case, the government — and the mining companies. This issue must be pursued further: what exactly is behind the issuance of these permits?”
Bahlil declined to comment when asked about whether mining on small islands violates the 2014 law.
Too ecologically sensitive
Even if mining on small islands were permitted under Indonesian law, the fact remains that nickel mining in a region as ecologically important and sensitive as Raja Ampat is too risky to be allowed, Iqbal said.
“It’s puzzling why Gag Island isn’t included in the geopark,” he said, noting that the waters around the island are rich in marine life such as manta rays (Mobula birostris), the largest in the world.
“Conservation International conducted research mapping the migratory paths of manta rays, which pass through the mining concession areas,” he said. “The northernmost point is Wayag, followed by Gag, Kawe and Piaynemo [islands]. These manta rays travel from Piaynemo to Wayag, passing through the mining concession zones.”
That leaves these giant filter feeders vulnerable to the heavy barge traffic carrying nickel from the islands, Iqbal said.
And like manta rays, coral reefs could also be damaged by passing barges carrying nickel, he added.
Electric ambition
The proliferation of nickel mining to small islands isn’t just limited to Raja Ampat, but has spread across Indonesia as the government tried to capitalize on the growing demand for EVs, according to Susan Herawati, the secretary-general of KIARA, an NGO advocating for coastal communities’ rights.
According to data from mining watchdog Jatam, there are 195 active mining concessions on 35 small islands in Indonesia, in apparent violation of the 2014 law. This has brought social and environmental destruction, all in the name of surging EV production and sales, Susan said.
“This harsh reality shows that the Indonesian government’s stance is not focused on protecting human rights and citizens’ welfare, but instead on economic growth and legal certainty for corporations,” she said in a press release.
Banner image: Nickel mining activities on Kawei Island, Raja Ampat, West Papua, Indonesia. Image courtesy of Greenpeace.
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