Jakarta. Indonesia Morowali Industrial Park (IMIP), a major nickel processing hub, has pledged to improve its environmental compliance and adopt more sustainable business practices following a warning from Environment Minister Hanif Faisol Nurofiq.

The minister recently revealed that industrial activities and factory construction were taking place on 1,800 hectares of land outside the designated area approved in IMIP's environmental impact assessment (AMDAL) documents.

“Fundamentally, IMIP complies with all applicable laws and regulations. We are ready to follow directives from the relevant ministries, including the Environment Ministry,” said Dedy Kurniawan, Head of Media Relations at IMIP, on Thursday.

Located in Morowali Regency, Central Sulawesi, IMIP said it would enhance coordination and supervision of its tenant operations in accordance with the ministry’s guidance.

According to Dedy, IMIP occupies 2,000 hectares of land and has had its AMDAL permit since 2020. As the industrial park’s value and investment potential continue to grow, the company has expanded its development area.

He said that IMIP submitted an application to extend the AMDAL coverage to an additional 1,800 hectares in 2023, but approval has yet to be granted by the Ministry of Environment.

Despite the setback, Dedy stressed that IMIP uses advanced technology to reduce emissions from its nickel smelters. The company also implements both automatic and manual Continuous Emission Monitoring Systems (CEMS), with results verified by accredited laboratories and reported to the authorities.

“These emissions are monitored in real time by the Ministry of Environment through 58 monitoring points already installed, with more currently being added,” he said.

In the long term, IMIP plans to shift toward cleaner energy sources such as solar power and reduce its reliance on coal, he said.