President Prabowo Subianto has taken a significant step in favor of environmental conservation by cancelling the permits of four out of five nickel mining companies operating in Indonesia’s ecologically sensitive Raja Ampat archipelago. The move follows a report by Greenpeace highlighting the environmental damage caused by nickel mining in the region, including destruction of over 500 hectares of forest and threats to coral reefs and marine ecosystems.
The Financial Times reported this development, noting it as a rare victory for environmental activists who have long voiced concerns over the rapidly expanding nickel mining sector in Indonesia, the world’s largest producer of nickel, a metal crucial for stainless steel and electric vehicle batteries.
Raja Ampat, located in Papua province, is renowned for its exceptional biodiversity. The archipelago is home to roughly three-quarters of the world’s coral species and around 2,500 fish species, making it a premier destination for diving and eco-tourism. It is also designated by UNESCO as a geopark due to its unique geological and ecological significance.
Following Greenpeace activists’ dramatic protest at a recent minerals conference in Jakarta, where they questioned the environmental cost of nickel extraction, President Prabowo ordered an investigation into mining operations in the area. The environment ministry found evidence of pollution and illegal mining activities in protected forests, prompting the cancellation of licenses for four companies: Anugerah Surya Pratama, Kawei Sejahtera Mining, Mulia Raymond Perkasa, and Nurham.
Environment Minister Hanif Faisol Nurofiq emphasized the government’s commitment to protecting the region, stating, “We will not allow an inch of damage to the area that is home to 75 per cent of the world’s coral species and thousands of endemic species.” The ministry also announced plans to pursue legal action against offending companies.
However, Energy and Mineral Resources Minister Bahlil Lahadalia disputed claims that nickel mining had damaged coral reefs, pointing out that the companies whose permits were revoked had not conducted mining activities this year. Meanwhile, a fifth company, Gag Nikel, continues operations outside the UNESCO-designated zones.
Environmentalists, including Greenpeace’s Indonesia forest campaign head Kiki Taufik, argue the government’s actions are insufficient. “The government has left the door open to polluting nickel mining,” Taufik said, urging a complete ban on mining and processing activities in Raja Ampat to prevent further ecological harm.
Indonesia’s nickel industry has grown rapidly, controlling nearly two-thirds of the global refined nickel supply—up from just 6% ten years ago. This surge followed a 2020 export ban on raw nickel ore, which spurred heavy investment, particularly from China, to secure resources for steel and battery production. Yet, this expansion has drawn criticism for environmental degradation, deforestation, and the reliance on coal-powered smelters, with several incidents of worker safety concerns also reported.
The recent permit cancellations mark a notable but contested milestone in Indonesia’s balancing act between economic development and environmental preservation. Greenpeace warns that revoked licenses may be reinstated if challenged in court, highlighting ongoing tensions over the future of mining in one of the world’s most precious natural habitats.