PALMOILMAGAZINE, JAKARTA — Indonesia’s Ministry of Environment and Forestry (KLH), through its Environmental Control Agency (BPLH), has secured a major legal victory in the fight for environmental justice. On July 8, 2025, the Jakarta High Court ordered palm oil firm PT Banyu Kahuripan Indonesia (PT BKI) to pay IDR 282.88 billion in environmental compensation to the state treasury.
The court ruling follows a lawsuit filed by the KLH/BPLH over a 2023 land fire that scorched 3,365.64 hectares in Karang Agung Village, Lalan Subdistrict, Musi Banyuasin Regency, South Sumatra. The fire caused severe ecological damage—ranging from soil degradation and air pollution to biodiversity loss and setbacks to Indonesia’s climate target under FOLU Net Sink 2030.
Deputy for Environmental Law Enforcement, Police Inspector General Rizal Irawan, praised the court for applying the precautionary principle and strict liability doctrine in its ruling.
“This decision sends a strong message—land clearing by burning is absolutely unacceptable. Fires cannot be tolerated within concession areas. All operators are obligated to exercise due caution,” said Rizal, as reported by Palmoilmagazine.com on Tuesday (July 15, 2025).
He stressed that business owners or concession holders bear full legal responsibility for any environmental harm or pollution on their land. “There is zero tolerance,” Rizal added.
The ruling has also drawn attention to a dissenting opinion by one of the judges, Ida Bagus Dwi Yantara, who argued that restoration efforts must not be limited to peatlands alone, but must cover all affected areas.
“Environmental recovery must address all burnt areas, without exception,” Judge Ida firmly stated.
This view aligns with expert testimony from Prof. Dr. Basuki Wasis, an environmental degradation and soil damage specialist. He underscored that burning land causes irreversible ecosystem damage, especially in peatland zones.
“Land burning leads to long-term destruction that cannot be fully restored,” said Prof. Basuki.
The case was first filed on October 18, 2024, with case number 929/Pdt.Sus-LH/2024/PN.Jkt.Brt at the West Jakarta District Court. Initially, the government sought IDR 355.7 billion in material damages and IDR 960.2 billion in restoration costs.
The Jakarta High Court partially upheld the claim, ordering IDR 282.88 billion in compensation for ecological damage.
Dodi Kurniawan, Director of Environmental Dispute Settlement, called the ruling a reflection of the government’s firm stance against land burning. He vowed that legal efforts will continue to ensure ecological justice is fully upheld.
“We will persist in pursuing legal action to ensure all environmental civil claims are granted in full, for the sake of preserving nature (ex aequo pro natura),” Dodi affirmed.
KLH/BPLH reiterated its unwavering position: no tolerance for land burning and full accountability for any environmental degradation caused by business operators. (P2)
