Palm Oil Company Fined IDR 920 Billion Due To Land Fire In West Kalimantan

JAKARTA - The Indonesian government has punished palm oil company PT Rafi Kamajaya Abadi to pay a fine of Rp920 billion because it was proven to have caused a 2,560 hectare land fire in West Kalimantan (West Kalimantan).

He explained, on July 3, 2023, the Supreme Court rejected the company's appeal by punishing environmental compensation of Rp. 188.97 billion and environmental restoration measures worth Rp. 731.03 billion.

"The panel of judges has implemented the natura dubiopro with absolute responsibility," said Director General of Law Enforcement of the Ministry of Environment and Forestry (KLHK) Ratio Ridho Sani in Jakarta as reported by ANTARA, Tuesday, July 25.

The ratio said that the 2,560 hectare land fire had a major impact on public life and health due to smoke, land damage, loss of biodiversity, and hampered Indonesia's commitment to achieving the climate change agenda, related to reducing carbon emissions.

PT Rafi Kamajaya Abadi, he said, is a foreign investment company with 95 percent of shares dominated by Malaysia.

"The decision must be a lesson that firm action against the person in charge of forest and land fires. We will not stop taking action against perpetrators of environmental destruction, including forest and land fires," said Rasio.

The Indonesian government continues to monitor locations that are burned via remote sensing satellites. Various law enforcement instruments, he said, were also used, ranging from the application of administrative sanctions, dispute resolutions including civil lawsuits, to enforcement of criminal law.

Rasio emphasized that the rejection of the appeal made by the Supreme Court could provide lessons to any person in charge of business or activities not to burn land in land clearing or land processing activities.

"I have ordered the attorney to immediately execute the decision and coordinate with the Chairman of the Sintang District Court, including preparing steps to confiscate the execution of the company's assets so that the execution process can be carried out immediately," said Rasio Ridho Sani.