Jakarta. Environment Minister Mohammad Jumhur Hidayat said companies in the country's lucrative extractive industries must reinvest part of their profits into environmental restoration and green job creation, as the government seeks to balance resource-driven economic growth with stronger environmental protection.

Speaking at the Investor Daily Round Table titled "Green is the New Growth: Orchestrating Environmental Management and Green Financing for Development" at the Indonesia Stock Exchange on Tuesday, Jumhur said mining and other resource-based industries have made significant contributions to Indonesia's economy and employment but should also bear responsibility for repairing environmental damage.

Indonesia's economy relies heavily on extractive industries — including coal, oil, gas and critical minerals such as nickel and tin — which account for roughly 10% of gross domestic product and generate a significant share of export earnings. The country is the world's largest producer of nickel, the biggest exporter of thermal coal and among the leading producers of tin and bauxite, making environmental governance increasingly important as global investors scrutinize sustainability standards.

"Extractive industries undeniably create economic growth and jobs, but concrete actions must be taken to protect the environment," Jumhur said.

He said companies that profit from exploiting natural resources should be required to reclaim mined land, reforest degraded areas, properly manage waste, and help create green jobs.

"If you mine natural resources and earn profits, you must reclaim the land, plant trees, ensure proper waste management with adequate funding, and create green jobs," he said. "There should not be one standard for one company and another standard for others."

Jumhur said environmental restoration should be viewed as a long-term investment rather than a cost that reduces profitability.

"That is an investment in protecting the planet for the future," he said.

Jumhur said Indonesia should apply environmental standards consistently across all companies, noting that strict compliance has become standard international practice.

"The same rules must apply to everyone," he said.

He warned that companies treating environmental restoration as an unnecessary expense risk facing regulatory action.

"Those who ignore these responsibilities will have to face the law," Jumhur said.

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