JAKARTA: Sovereign wealth fund Danantara Indonesia will take over land seized from 28 firms linked to floods and landslides in Sumatra, a spokesperson for the country's forestry task force told reporters on Tuesday (Jan 27).
President Prabowo Subianto revoked the firms' business permits last week for alleged environmental breaches that worsened the impact of deadly floods in Sumatra late last year.
The handover is under way, task force spokesperson Barita Simanjuntak said, adding there would be a "comprehensive process" to minimise the impact of the permit removals on workers and surrounding communities.
The companies operate across sectors ranging from forestry, oil palm and cocoa to power generation and mining.
Pulp maker Toba Pulp Lestari, one of the firms that had its permit revoked, will cooperate with the government, company director Anwar Lawden said, adding it had not received an official letter revoking the permit.
The area of land taken over from the 22 plantation and forestry firms on the list was around one million hectares, the government has said previously.
A Danantara spokesperson said the fund could not immediately comment. - Reuters
