NGOs slams Regent Sjachrani for selling Laut Island as coal mining area

A memorandum of understanding (MOU) between Kotabaru regent Sjachrani Mataja and a German investor to mine coal on Laut Island has drawn criticism from local people, including the Kotabaru Council that plans to summons the regent.

They contended that the MOU signed in Hannover, Germany, was against Sjachrani's earlier statement that he would make Laut Island free from any mining activities. Sjachrani even refused to hand over a 10 hectare mining concession on Laut Island to PT Arutmin.

"It's not proper for the regent to make any agreement on mining before getting inputs from the people and local Council," said Nor Ifansyah of the Advocacy Institute for Saijaan People (Lamas).

Nor said that mining activities on Laut Island - whatever technology used -- could destroy the island that would eventually force inhabitants to leave the island because it would no more be livable.

"There are many factors that make Laut Island not viable for mining," he said.

Sjachrani made the agreement with the German investor in Hannover, Germany. Sjachrani was in Germany together with South Kalimantan Gubernur Sjachriel Darham to promote investment in their areas.

The German investor planned to invest up to US$750 million in Laut Island. It would continue mining in concession areas formerly owned by Arutmin. But the German investor would use underground mining technology, and not open pit mining technology.

Meanwhile, Kotabaru Council speaker Iwan Machmud said that the Council would summons Sjachrani after he arrived home from his overseas trip for further clarification.

Iwan said that he was not yet informed about the agreement between Sjachrani and the German investor to mine coal on Laut Island.

"Later, we will ask him about that. I'm not sure what is meant by Laut Island, does it cover Laut Island only or all the Kotabaru district," he said. (*)