Indonesia to sanction companies for environmental breaches at nickel industrial park
The Ministry of Environment has cited issues such as poor wastewater management, air pollution and the use of unlicensed tailing areas.
These sanctions will include government directives and fines for those found to be in breach of environmental laws.
The IMIP, which houses numerous nickel smelters, will face a comprehensive audit as part of the government's crackdown.
Deputy for Environmental Law Enforcement Rizal Irawan was quoted as saying: 'Sanctions on IMIP will be in the form of government directives and fines on companies proven to have violated laws."
This move represents a rare but decisive step by the Indonesian Government to address the environmental impact of its rapidly expanding nickel industry.
The nickel industry in Indonesia, which contributes more than half of global production, has been under scrutiny for its environmental footprint and safety concerns. The sector, predominantly owned by Chinese interests, has been rapidly growing this decade.
Tsingshan Holding Group, a Chinese metals conglomerate, controls the IMIP, which has received investment of more than $30bn.
Located on Sulawesi Island, the industrial park spans 2,000 hectares and employs more than 100,000 individuals.
In April, the IMIP experienced a suspension of operations and increased scrutiny regarding its nickel extraction methods after a landslide.
The incident sparked concerns regarding the safety of high-pressure acid leaching techniques employed in nickel extraction at the park.
In a related development, the Indonesian Government recently revoked mining permits for four nickel ore companies in the Raja Ampat region.
This decision followed extensive protests over environmental damage in the area, known for its exceptional marine biodiversity and status as a UNESCO Global Geopark.
"Indonesia to sanction companies for environmental breaches at nickel industrial park" was originally created and published by Mining Technology, a GlobalData owned brand.
The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Bloomberg
an hour ago
- Bloomberg
Trump, Starmer to Discuss Trade Deal, Gaza Situation
US President Donald Trump and UK Prime Minister Keir Stamer are meeting in Scotland on Monday in a bid to remove the remaining obstacles to their trade deal. Starmer will travel to the president's golf course in Scotland, Trump Turnberry, and the two leaders will then travel on together for a further private engagement in Aberdeen. The humanitarian crisis in Gaza will likely be discussed, with Starmer expected to press for a lasting ceasefire. Bloomberg's Lizzy Burden reports from Scotland. (Source: Bloomberg)
Bloomberg
an hour ago
- Bloomberg
Southeast Asia Haze Risk Grows as Forest-Clearing Fires Spike
A rise in forest-clearing fires could cause severe haze in Southeast Asia this year, according to a new report, as elevated agricultural commodity prices motivate companies to boost output from their plantations. Blazes on Indonesia's Sumatra island since mid-July have prompted the Singapore Institute of International Affairs to raise the risk of severe haze to medium in a report released on Monday, with the authors flagging a 'concerning shift' from last year's lowest reading.
Bloomberg
2 hours ago
- Bloomberg
EU Agrees to 15% Tariffs in Trade Deal With Trump
The US and European Union agreed on a hard-fought deal that will see the bloc face 15% tariffs on most of its exports, including automobiles. The deal would leave EU exports facing much higher tariffs than the bloc would charge for imports from the US. Bloomberg's Oliver Crook breaks down what we know and what it means. (Source: Bloomberg)
