20 mining firms in forest conservation areas will resume operation

As many as 20 mining companies operating in forest conservation areas will be allowed to resume their operations following a comprehensive study indicating that their mining activities will not cause damage to the protected forests, State Minister for the development of eastern region, Manuel Kaisiepo has said.

Speaking to reporters following a meeting with Papua Governor JP Salossa in his office, Manuel said that 20 companies were part of 50 mine operators whose concession areas overlapped with protected forest locations.

He said that the 20 companies, which owned concessions areas either for mineral resource development or oil and gas were mostly located in the eastern provinces. "Details of the policy related to the resumption of their activities will be soon announced by related government?s agencies," he said.

The new forestry law has banned open-pit mining operations in forest conservation areas. The law has, however, sparked controversies because along before the introduction of the law, many investors such as PT Gag Nikel, have been awarded contracts to develop mineral resources, gas or oil in areas that has been categorized as protected forests.

PT Gag Nikel has, for example. been forced to stop the development of its massive nickel project in Gag island in Papua following the introduction of the law.

Papua Governor Salossa questioned the criteria in determining a location as a forest conservation area. "How should some part of the Gag island which comprises only of dry land and wild grass are categorized as protected forest areas. There is no forest at all," he said.

The forestry ministry and other government institutions have in principle agreed to allow the operation of some companies in the so-called protected forests due to their significant economic benefit. But it is not easy to make such a break through because allowing them to continue their activities will mean that the existing forestry law should be amended. (godang)