The Paradox of Nickel Investment in Indonesia
DOI:
https://doi.org/10.58954/epj.v5i3.339Keywords:
economic growth, environmental degradation, investment, nickel exploitation, socio-ecological impactAbstract
Indonesia, home to the world’s largest nickel reserves, plays a vital role in the global electric vehicle supply chain. However, large-scale nickel exploitation has caused serious ecological and social issues, especially in Sulawesi and Maluku. This study examines the socio-ecological impacts of nickel mining and explores pathways for sustainable management. Conducted from February to November 2024 in Central Sulawesi, Southeast Sulawesi, and North Maluku, the research used qualitative mixed methods, including interviews, observations, and document analysis. Findings show that while nickel exploitation has spurred economic growth through investment and industrialization, it has also led to environmental degradation, pollution, and loss of local livelihoods. The unequal distribution of economic benefits, weak environmental regulation, and limited community involvement have worsened local conditions. Stakeholders express differing views on the industry's impact, revealing the need for inclusive, collaborative, and justice-based management approaches that balance economic gains with ecological and social sustainability.
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