The Indonesian Ministry of Marine Affairs and Fisheries has suspended operations at two resorts located on Maratua and Bakungan Islands, East Kalimantan for lacking permits, addressing concerns over possible illegal foreign investment and sovereignty on small islands.
According to the ministry, this action was taken because the two resorts lacked the necessary permit documents, including the Approval of the Suitability of Marine Space Utilisation Activities (Persetujuan Kesesuaian Kegiatan Pemanfaatan Ruang Laut or PKKPRL), water tourism activity permits, and permits for the utilisation of small islands. There was also an indication that a foreign investor was involved in the resorts’ operations.
The Director General of Marine and Fisheries Resources Supervision (Pengawasan Sumber Daya Kelautan dan Perikanan or PSDKP), Pung Nugroho Saksono, was present on Maratua Island to temporarily suspend the operations and activities of marine space utilisation by the two resorts.
“Maratua Island and Bakungan Island are among the outermost islands in the country that require special attention from the government. For this reason, the Ministry of Marine Affairs and Fisheries is here to safeguard these islands, maintain sovereignty, and ensure they are not later recognised by foreign entities,” said Saksono in a statement on Friday, the 20th of September.
Saksono also underscored that, when it comes to remote islands such as Maratua Island and Bakungan Island, any foreign-related investment, specifically, must not compromise the integrity of the Republic of Indonesia.
Meanwhile, the Director of Marine Resources Management Supervision, Halid K. Jusuf, remarked that any Foreign Capital Companies (Penanaman Modal Asing or PMA) wishing to establish businesses on small islands in Indonesia must first obtain permits from the Ministry of Marine Affairs and Fisheries. Should they fail to do so, his department will not hesitate to freeze the business.
“We are still offering leniency by providing guidance. However, if within the specified timeframe the PMA-owned business does not acquire the necessary permits, we will impose administrative sanctions, including sealing or freezing the business,” said Jusuf.