Govt suspends operations of firms in Batang Toru Basin after deadly floods

Monday, December 8 2025 - 07:45 AM WIB

The government has ordered a temporary suspension of activities by companies operating in the Batang Toru River Basin in North Sumatra to allow for environmental audits, following recent floods and landslides that claimed hundreds of lives.

Starting December 6, all companies in the basin and surrounding areas—including those in the palm oil, mining, and electricity sectors—must halt operations and undergo environmental assessments.

 “We have summoned three of the companies for an official inspection on December 8 in Jakarta,” Environment Minister Hanif Faisol Nurofiq said in a statement on Saturday.

He stressed that the Batang Toru and Garoga River Basins are vital ecological and social areas that must be safeguarded.

Read also :  MEMR: Batang Toru hydropower plant has not yet secured forest area permit

The minister announced the move after conducting aerial and on-site inspections in upstream areas to examine the causes of the recent disasters, assess business activities that may heighten flood and landslide risks, and verify compliance with environmental safeguards.

During his visit, Nurofiq inspected several companies, including gold miner Agincourt Resources; state-owned plantation firm Perkebunan Nusantara III; and North Sumatera Hydro Energy, developer of a hydroelectric power plant in the area.

Based on the findings, the government decided to temporarily halt the operations of the three companies and require environmental audits to help reduce ecological pressure in the upstream watershed, which plays a crucial role in supporting local communities.

Nurofiq also called for a broader evaluation of all business activities in the region amid extreme rainfall, which has reached more than 300 millimeters per day.

 “Environmental restoration requires a holistic landscape approach. We will assess the damage and legal aspects, and we will not rule out criminal proceedings if violations are found,” he said.

He added that the ministry is tightening verification of environmental approvals and spatial-planning compliance for activities on steep slopes, upstream watersheds, and river channels, with law enforcement measures planned for violations that increase disaster risks.

Rizal Irawan, the ministry’s Deputy for Environmental Law Enforcement, said aerial monitoring showed extensive land clearing that is increasing pressure on local watersheds.

He said clearing linked to hydropower projects, industrial tree plantations, mining, and oil palm plantations is clearly visible and is triggering large-scale erosion.

Monitoring will continue to expand to the Batang Toru, Garoga, and other watersheds in North Sumatra, he added.

Editing by Reiner Simanjuntak

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