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Access research reports, policy briefs, and data-driven resources that support transparent, fair, and sustainable climate decision-making in Indonesia.

Access research reports, policy briefs, and data-driven resources that support transparent, fair, and sustainable climate decision-making in Indonesia.

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Trends and Prospects of Natural Resource Management in Indonesia

This study maps out various political events related to natural resource management, such as the President's vision-mission, the Omnibus Law policy, the weakening of the KPK, and the composition of the Cabinet and Parliament which potentially lead to conflicts of interest. Key challenges identified include the President's lack of firmness in implementing the mission for a good and healthy environment and the rights of indigenous peoples, deregulation that risks weakening environmental control standards and indigenous rights, and the weakening of the anti-corruption agenda in the natural resource sector. Furthermore, other concerning factors are the composition of the cabinet and parliament dominated by extractive industry entrepreneurs, the discourse on reviving the GBHN, the relocation of the capital city, and the President's proximity to extractive industry actors which could facilitate rent-seeking practices.

Various speeches by President Jokowi emphasize infrastructure development, human resource development, inviting wide-ranging investment, and bureaucratic reform, but rarely touch upon the commitment to sustainable environmental protection and management. The Omnibus Law policy is planned to revise approximately 74 laws to improve the ease of doing business ranking and reduce the trade balance deficit, but it is feared that it will lower environmental protection regulations and dilute the cultural values of indigenous communities. The weakening of the KPK through the revision of the law and the non-transparent selection process of new leaders is feared to disrupt the environmental law enforcement agenda, considering the significant potential for corruption in the natural resource sector.