12 Companies Under Scrutiny for Sumatra Floods Over Forest Conversion

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January 8, 2026 | 05:43 pm

TEMPO.CO, Jakarta - Indonesia’s Forest Area Regulation Task Force has identified strong indications that 12 companies may have contributed to recent floods in Sumatra, allegedly through the conversion of forested areas within river basins.

The task force’s spokesperson, Barita Simanjuntak, said it initially investigated nine companies in Aceh, eight in North Sumatra, and 14 in West Sumatra.

From these, 12 corporations were singled out as potentially responsible for directly exacerbating the disaster.

“Strong indications were found pointing to 12 corporations as the cause of the floods,” Barita said at a press briefing at the Attorney General’s Office on Thursday, January 8, 2026. She clarified that eight of the companies are in North Sumatra, two in West Sumatra, and two in Aceh.

Legal action is being prepared against these firms, including the potential revocation or non-renewal of permits, administrative fines, and criminal proceedings under Forestry Law Number 41 of 1999.

Barita stressed that paying administrative fines would not halt any criminal investigation. “If criminal acts are identified, the legal process will proceed,” she said.

The task force is reviewing both licensing compliance and field operations to verify whether the companies held proper permits and followed all legal provisions. Some companies have claimed that the land in question was not directly managed by them; these assertions are being verified against field data.

“All law enforcement actions are based on strong evidence,” Barita added.

Currently, the 12 companies are under examination at the North Sumatra and West Sumatra High Prosecutor’s Offices. The decision to formally charge and designate suspects will depend on the outcome of these investigations.

Barita emphasized that the presumption of innocence is being respected. However, she reiterated that administrative penalties alone will not suffice if criminal violations are found.

“The process follows proper stages,” she said.

Read: Indonesian Health Minister Explains Why Disaster Volunteers Entered Sumatra via Malaysia

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