The government’s decision to expedite the development of the National Strategic Project (PSN) in Merauke, South Papua has drawn criticism in the absence of proper consultation with local communities and therefore has the potential to damage the environment and threaten their livelihood.
Franky Samperante from Pusaka Bentala Rakyat Foundation said the government’s decision to provide ease and accelerate projects with large-scale forest conversion is a clear example of arbitrary power in policy and state actions that endorse and support corporations and project operators developing the PSN in Merauke under the guise of achieving food and energy self-sufficiency. It also contradicts the 1945 Constitution, violates human rights, and undermines environmental sustainability.
“The implementation of PSN Merauke has been conducted without meaningful consultation with indigenous communities to obtain free, prior, and informed consent (FPIC) regarding the project. This project has been undertaken without transparency, involvement of indigenous people in acquiring environmental permits, land rights transfers, plantation business permits, and other relevant documentation,” Franky said as quoted in a statement on Monday, September 22, 2025.
Coordinating Minister for Food Affairs Zulkifli Hasan announced on September 16, 2025 that the government would expedite the development of the national food, energy, and water zone in Wanam, Merauke Regency, South Papua Province. The government is targeting the land acquisition for food, energy, and water self-sufficiency in Merauke to reach 1 million hectares and changes in spatial planning and land use rights are being expedited.
During its implementation for over a year, PSN Merauke has resulted in significant damages, including violence, coercion, destruction of traditional livelihoods, and loss of forests and biodiversity. More than 19,000 hectares of forest have been destroyed, contributing to higher greenhouse gas emissions and contradicting the government’s climate change commitments.
Indigenous communities such as the Malind Anim and Yei have been forced to accept compensation as low as Rp300,000 (US$18) per hectare, a compensation that is unjust and disproportionate to the socio-economic benefits and environmental services provided by their land and forests.
This land grab and forest destruction under the guise of legal authorization allow the authorities and greedy corporations to acquire vast amounts of land, Franky said.
PT Global Papua Abadi (GPA) and PT Murni Nusantara Mandiri (MNM), as well as other sugar and bioethanol companies involved in PSN Merauke, control over 560,000 hectares of land. This concentration of land ownership in the hands of a few represents “greednomics” that tramples on maximum land ownership limits, he cited.
“We condemn the PSN policy and practices in Merauke under the pretext of national food, energy, and water development. These actions are facilitating large-scale land conversion and forest destruction, showing the reality of greednomics,” Franky said.
“We urge the government to halt the issuance of large-scale forest area permits and extractive practices that harm the environment, carried out without proper studies and consideration for ecological balance, sustainable resource management, and the rights of indigenous peoples,”he added.
The foundation is calling on President Prabowo to immediately review and evaluate the PSN Merauke project, which benefits a handful of exploitative powers at the expense of indigenous communities and the environment.
“We also call on the local government officials of Merauke Regency and South Papua Province to actively use their authority under the Papua Special Autonomy Law to protect the interests of indigenous people, ensuring that development is based on fair, sustainable, and inclusive economic principles,” Franky said.