Several civil society organizations have urged the government to focus on environmental restoration and law enforcement rather than the takeover of the Martabe mine in response to the natural disasters in Sumatra. This emerged during a public discussion organized by Publish What You Pay (PWYP) Indonesia, together with Article 33 Indonesia and the Transnational Institute (TNI), on Wednesday (4/3/2026). PWYP Indonesia National Coordinator Aryanto Nugroho said the government should focus on environmental restoration and law enforcement for the Martabe mine and other companies in the case of the revocation of 28 permits related to natural disasters in Sumatra.

“Why doesn’t the government focus on recovery and law enforcement, rather than just taking over permits?” he said in an official statement.

No Explanation 

As is known, the takeover of the Martabe gold mine is an implication of the Forest Area Regulation Task Force (PKH Task Force)’s move to revoke the permits of 28 companies.

The permit was revoked because the company was accused of violating regulations that resulted in the natural disasters of flooding and landslides in Sumatra in late November 2025. However, Aryanto continued, until now, the government, including the PKH Task Force, has not provided an explanation of the types of violations committed by these companies that led to the natural disaster in Sumatra. Following the revocation of the permit, management of the Martabe gold mine is scheduled to be transferred from PT Agincourts Resources (PTAR) to PT Perusahaan Mineral Nasional (Perminas), a state-owned enterprise under the auspices of BPI Danantara.

“Our concern is that revoking the company’s permit and then transferring it to Perminas will not resolve the environmental issues. It’s simply a transfer, without any improvements. This isn’t about who manages it, but rather improving governance, which is crucial, including compliance with mining regulations,” Aryanto emphasized. Furthermore, Rachmi Hertanti from the Transnational Institute highlighted that the PTAR mining permit case in Martabe has attracted the attention of many parties and faces the threat of investor lawsuits in International Arbitration if not handled carefully, creating legal uncertainty. Although PTAR is a national company, its ownership chain is connected to an international investor, namely Jardine Cycle & Carriage from Singapore, which has investment protection under the Indonesia-Singapore Bilateral Investment Treaty (BIT). “The investor lawsuit against this country has the effect of holding the government hostage in its efforts to improve environmental sustainability governance in the extractive sector,” Rachmi continued. Meanwhile, Giri Ahmad Taufik, an academic from UPI and Senior Associate of Article 33 Indonesia, highlighted the increasingly widespread state-led tendencies recently, in various fields, including through the role of state-owned enterprises.

Giri explained the discourse and trajectory of the interpretation of Article 33 of the 1945 Constitution, including the concept of state-led and the role of BUMN in Indonesia, and recommended a form of state-led that encourages meritocracy. “Even if there’s talk of asset takeovers, they must be based on objective data, oriented toward improving governance, and grounded in applicable legal provisions and regulations. That’s what’s called the rule of law,” he said.

Source: Kompas

 

Privacy Preference Center

Skip to content