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Indonesia to auction off Widi reserve, fisheries ministry says

08.12.2022

Indonesia plans to auction the development rights to an entire archipelago of more than 100 tropical islands has descended into chaos, with a fisheries ministry official criticising the sale.

Sotheby s described the uninhabited pristine Widi Reserve as one of the most intact coral atoll ecosystems left on Earth and is due to open bidding on Thursday. There is no sale price, but prospective buyers will need to provide a US $100,000 deposit.

Victor Gustaaf Manoppo, the director general of marine spatial planning at the fisheries ministry, disputed whether the appropriate approvals had been granted to operate in the marine-protected zone in the Coral Triangle area of eastern Indonesia.

The sale of islands to non-Indonesians is banned under Indonesian law, so buyers must bid for shares in PT Leadership Islands Indonesia PT LII, an Indonesian development firm that has licensed the rights to build an eco-resort and luxury residential properties on the reserve.

Manoppo said PT LII does not have full approval from the central government to run the reserve. According to the information, PT LII does not currently have marine activity approval for the use of the Widi Islands waters, he told a press conference this week.

The Widi islands can't be owned by foreigners and can't be traded according to our legal regulations. Conservationists say that the development could cut off local communities and threaten its ecosystems, which include rainforests, mangroves, lagoons, lakes and coral reefs that are home to vast marine life.

Afdillah Chudiel, a campaigner at Greenpeace, welcomed the fisheries ministry stance, saying that it should act decisively to enforce the rules prohibiting the sale and purchase of islands, which are public rights and state assets. The benefits of the island must be given to coastal communities and traditional fishermen, not for a group of rich people and investors.

Home affairs minister Tito Karnavian has defended the sale, telling critics that the firm PT LII was just trying to raise a capital investment. The goal is not to auction Widi Reserve Indonesia, which Karnavian quoted as saying. The goal is to attract foreign investors, so that is fine. The sale would go ahead as planned at Sotheby s Concierge Auctions in New York on 8 -- 14 December, according to PT LII.

The sale said in a statement: What LII has is the exclusive license to conserve, sustainably develop, and manage the Widi Reserve with over 30 licenses, permits, approvals and government recommendations in hand. Sotheby s has previously addressed environmental concerns. Charlie Smith, Sotheby s Concierge Auctions executive vice-president, told the Guardian via email that PT LII would be actively involved, not just handing over the entire project. He said that the company's plan touches less than 1% of the rainforest and 0.005% of the entire reserve with no-go areas for tourists and spaces that limit the number of guests.

A Sotheby s representative said the islands are an animal kingdom of epic proportions, home to hundreds of rare and endangered species, including blue whales, whale sharks and other species that are yet to be discovered. A private airstrip that can serve guests from destinations such as Bali, Jakarta and Cairns is a 10,000 hectares 25,000 acres north-east of Bali.