Walhi Accuses Mining and Palm Oil Investments of Contributing to Disasters in Sumatra

JAKARTA, KOMPAS - The Indonesian Forum for the Environment, or Walhi, accused business activities that cause deforestation of contributing to flash floods and landslides in several areas in Sumatra by the end of November 2025. Walhi urged the government to evaluate concessions for mining and plantations to prevent similar incidents from recurring.

The Executive Director of the North Sumatra Walhi, Rianda Purba, during a hybrid press conference titled "Cyclone Senyar, Ecological Disaster and Our Future," on Monday (1/12/2025), stated that the major disaster in three provinces, namely Aceh, North Sumatra, and West Sumatra, is not solely due to extreme weather, which coincides with the phenomenon of Cyclone Senyar.

Walhi assesses that the disaster, which has claimed hundreds of lives, is also caused by the accumulation of ecological damage that has been ongoing for decades. The ecological damage referred to is the destruction of forests triggered by investment expansion and land conversion, both legally and illegally.

Changes in status in many forest areas have occurred at least since the issuance of the Minister of Forestry Decree Number SK.579/Menhut-II/2014 dated June 24, 2014, concerning Forest Areas in North Sumatra Province. "From there, many investments then entered the ecosystem area," he said.

The conversion of forest functions, according to records from Walhi, has occurred in several areas in North Sumatra that are now severely affected by disasters such as floods and landslides. These areas include Central Tapanuli Regency, Sibolga City, and South Tapanuli Regency.

Regarding the gold mine in South Tapanuli, the Director General of Minerals and Coal at the Ministry of Energy and Mineral Resources, Tri Winarno, stated that the existence and operation of the mine are not directly related to the areas affected by the disaster.

"Based on our data, the flood location is quite far from the PT Agincourt Resources mine (from the disaster location)," Tri told Kompas.

The Research Manager of Walhi West Sumatra, Andre Bustamar, also mentioned in a press conference that deforestation for mining concessions and other forest exploitation permits is widespread in West Sumatra. Of the total deforestation of 1.15 million hectares from 1980 to 2024, more than half is located within licensed areas.

The loss of forests has made several river basin areas vulnerable and prone to disasters. This condition has resulted in recurring calamities in several regions of West Sumatra.

The death toll has reached 723 as of today, with 91,000 displaced.

Disaster data from three provinces in Sumatra thus far reinforces Walhi's findings. The number of fatalities has reached 723 individuals to date. The number of displaced persons stands at 91,000.

"These critical notes should serve as a reminder of how the government should be responsible and evaluate the management of natural resources," said Andre.

The Executive Director of the Center of Economic and Law Studies (Celios), Bhima Yudhistira, urged the government to evaluate the licensing of forest clearing for business activities. For mining permits, the government needs to impose a moratorium on mining licenses in areas that are currently prone to disasters.

"At the same time, the government can review existing permits. If there are violations against the environment, then the revocation of permits can be carried out. Ensuring that former mining lands are reclaimed can also prevent future flood disasters," he said.

This evaluation, he emphasized, is important. Research by Celios in collaboration with Greenpeace reported in 2021 found that villages with mining locations are more vulnerable to flood disasters. The probability of flooding occurring in 2021 reached 39.7 percent, higher than the 27.2 percent in non-mining villages.

The function of forests as water absorbers during heavy rainfall is diminishing. Mining villages that are vulnerable to flood disasters are also correlated with limited access to healthcare services.

"The factor is due to deforestation occurring during mining activities, which triggers large-scale land clearing. The function of forests as water absorbers during heavy rainfall diminishes. Mining villages that become vulnerable to flood disasters are also correlated with limited access to healthcare services," he stated.

In addition to mining permits, the expansion of oil palm plantations is also correlated with vulnerability to ecological disasters, including floods and landslides. Therefore, he reminded the government to monitor the expansion of palm oil plantations, including illegal activities.

"When the demand for palm oil products increases, especially as Indonesia aims for B50 biodiesel, the implications for land requirements are quite massive. Consequently, palm oil contributes to deforestation and changes in the landscape," he said.

Celios research, on the contrary, found that the moratorium on the expansion of palm oil plantations, accompanied by efforts to increase palm oil production through land intensification and improvements in agricultural technology, can create a positive economic contribution by 2045.

The contribution of the moratorium on the expansion of palm oil plantations is projected to add Rp 28.2 trillion to the Gross Domestic Product (GDP) by 2045.

This calculation is projected from a business surplus of IDR 16.6 trillion, net tax revenue of IDR 165 billion, exports of IDR 782 billion, labor income of IDR 13.5 trillion, and employment absorption of 761,000 people.

Without a moratorium, GDP will decrease by Rp 30.4 trillion by 2045 due to increased social costs and greater environmental losses.