Various problems in the management of natural resources are prevalent in Indonesia as the wealth of natural resources has not been managed properly. In fact, the reserves are running low due to overexploitation. Revenue from natural resources that should be used as development capital has not been able to overcome poverty and inequality. A large amount of revenue in the natural resource sector actually makes this sector prone to corruption.
Starting from a civil society movement that encourages transparency in the extractive industry sector, PWYP Indonesia is here with the belief that the extractive resource sector can be a capital for welfare and social justice if it is managed transparently, accountably, and in favor of the national interest.
We believe that a fair and transparent reform of extractive resource management policies is absolutely necessary. To make it happen, all parties must be involved, including community groups. Therefore, community groups must become stronger and more organized. The community must be involved in managing, supervising, and decision-making as they are the ones who are directly affected by the extractive industry.
Since its establishment in 2007, PWYP Indonesia has contributed to improving the governance of extractive resources in Indonesia. We encourage the formation of extractive industry transparency initiatives in Indonesia. Hence, the public can find out how much revenue is generated from this sector.
We also collaborate with the KPK and related ministries in structuring permits in the mining sector. Many mining permits are found operating in prohibited areas, such as protected forests and conservation forests. Mining permits that are in arrears for taxes or other financial obligations. Also, mining companies are dredging and leaving holes, without carrying out environmental rehabilitation. PWYP Indonesia provides assistance to ten local governments in encouraging improvements in extractive resource governance in their regions. We also continue to provide policy recommendations that support the realization of extractive resource governance that is transparent, accountable, and free from corruption.
However, there is still a long way to go. There will always be obstacles and challenges. Despite that, it is our collective duty to manage our natural resources wisely in order to improve people’s welfare without sacrificing the environment.