Indonesia Faces Environmental Concerns Over $6 Billion EV Battery Project
Environmental groups express worries about a new $6 billion Indonesian EV battery megaproject due to potential environmental impacts on a once-pristine island.
JAKARTA: The Indonesian government is facing backlash from environmental groups over a $6 billion electric vehicle (EV) battery megaproject, backed by Chinese giant CATL.
Scheduled to be inaugurated by President Prabowo Subianto on the Maluku Islands' Halmahera island, concerns revolve around the project's impact on the environment and local communities.
Indonesia, the largest nickel producer in the world, recently implemented an export ban that has spurred a domestic industrial boom.
The new EV battery complex, which includes processes from nickel mining to cathode production, is also supported by Chinese firm Zhejiang Huayou Cobalt and Indonesia's state-owned Antam.
Environmental groups argue that the Indonesian government and involved Chinese firms have not guaranteed adequate environmental protections for the project site, located near an industrial park with reports of increased pollution and deforestation.
Organizations like Climate Rights International (CRI) urge commitment from CATL, Huayou Cobalt, and PT Antam to respect local communities' rights and protect the environment.
Halmahera already hosts the world's largest nickel mine by production, Weda Bay, which has sparked environmental damage concerns.
Greenpeace Indonesia emphasizes the project's significant responsibilities towards the environment and local populations.
Without prioritizing these aspects, they warn of adverse impacts on biodiversity and climate crises.