In brief
The Minister of Agrarian Affairs announced that 11 plantation companies implicated in frequent fires in Kalimantan will face a range of land‑right restrictions, including full revocation for three firms. The move follows police criminal‑investigation recommendations and is aimed at tightening regulation of peatland use and curbing future fires. The decision is expected to affect local communities, the environment and corporate accountability in the region.
On 10 November 2026, Jakarta was the focus of an announcement that would reshape the land‑right landscape in Kalimantan. Indonesia’s Minister of Agrarian Affairs and Spatial Planning, Nusron Wahid, announced that the government will revoke or otherwise restrict cultivation rights for 11 plantation companies linked to repeated forest and land fires in South, West and East Kalimantan.
For years, Kalimantan has suffered from large‑scale fires that flare up each dry season. The fires have devastated carbon‑rich peatlands, released significant greenhouse gases and caused air‑quality damage that endangers local populations and wildlife. Public pressure has grown for a concerted government response to curb illicit land use practices that create such fire risks.
Minister Wahid said the action would follow recommendations from the national police’s criminal investigation department, which has been probing illegal cultivation methods that ignore fire‑prevention protocols. The decree, he explained, is intended to enforce land‑use conditions and discourage future violations that endanger people and ecosystems.
Three of the implicated firms will receive full revocation of their cultivation rights. The decree states that these companies repeated fires that affected more than half of each firm’s concession area. In addition, the firms lacked adequate fire‑prevention facilities and were found to have violated contractual land‑use conditions set by the state.
Other firms will face a range of measures. Some will have their cultivation rights partially revoked, a reduction in the acreage they may cultivate. Several will be denied the possibility of obtaining new rights, and a few will be placed under a “further review” process. The government said all decisions would be documented and made available for public scrutiny.
The legal framework that underpins these measures centers on Indonesia’s land‑use regulations and the Forest Act, which obligates plantation operators to secure fire‑control systems and maintain peatland integrity. The police recommendation cited the Criminal Investigation Unit’s findings that the companies’ practices violated these laws and posed a threat to public safety.
Beyond the direct regulatory impact, the revocations raise significant civic stakes for residents of Kalimantan. Many farming families rely on small‑scale agriculture to sustain their livelihoods in the same regions that the plantation companies use. The loss of cultivation rights may limit local employment opportunities and alter the economic balance between large corporates and smallholders.
Environmental groups have hailed the move as a positive step toward reducing peatland destruction and protecting biodiversity. The decision is seen as part of a broader effort to meet Indonesia’s commitments under the Paris Agreement, by reducing land‑based greenhouse gas emissions and preserving critical carbon sinks.
Public accountability will be key to ensuring transparency. The government vowed to publish the names of the affected companies, details of the conditions violated, and the specific reasons for each type of restriction. The inclusion of a public record of the decision is designed to strengthen the democratic oversight of land rights and corporate conduct in the region.
Critics, however, argue that the decree may trigger legal challenges from the companies and could set a precedent for industry pushback against environmental regulation. They stress that a balanced approach is needed to reconcile economic development with ecological stewardship.
In the months ahead, the focus will shift to how the government enforces the new restrictions and monitors compliance. Local courts may be called upon to adjudicate disputes arising from the revocations, prompting a broader dialogue about how Indonesia’s legal system protects both the environment and the rights of smallholders.
While the revocations target 11 firms, they send a broader signal that the Indonesian state will not tolerate land‑use practices that exacerbate forest fires or degrade peatlands. The decision reinforces the status of public accountability, safeguards environmental resources, and reflects an ongoing tension between commercial expansion and democratic governance in Indonesia’s largest island nation.
