PRESS RELEASE

BPK Hands the Audit Reports to Ministry of Environment and Forestry

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Jakarta, Tuesday (26 July 2022) – Board Member IV of the Audit Board of the Republic of Indonesia (BPK), Haerul Saleh, hands Audit Reports on Financial Statements of Ministry of Environment and Forestry Fiscal Year 2021 to Minister of Environment of Forestry, Siti Nurbaya Bakar at Auditorium of BPK RI on today (26/7). Based on the audit carried out, BPK provides Unqualified Opinion on the Financial Statements of the Ministry of Environment and Forestry Fiscal Year 2021.

Based on the Audit Reports, BPK reveals that the total forestry revenue within the Ministry as of 31 December 2021 is Rp5,40 trillion. In addition to the revenue presented in the Financial Statements, there are potential for Forestry Revenue resulted from activities in the forest area that cannot be collected for not yet having forestry permit, including activities in the oil palm plantation covering an area of ±2,90 million hectares, activities in the mining area of ±841,79 million hectares, and other activities that had been built in the forest area of ±4,61 million hectares.

On this opportunity, Haerul Saleh also mentions the importance of BPK’s audit recommendation follow-up, as regulated in the Article 20 Law No. 15 of 2004 which states that the official is required to follow-up audit recommendations. The official is also required to give response or explanation to BPK in regards to audit recommendation follow-ups no later than 60 days after the Audit Reports are received. In relation to this, BPK hopes the active roles of Inspectorate General of the Ministry of Environment and Forestry to coordinate the implementation of follow-ups in accordance with its authority by using Follow-Up Monitoring Information System (SIPTL).

“We remind the Secretary General and Inspector General of the Ministry of Environment and Forestry to make your best efforts to complete the follow-ups to BPK’s audit recommendation, so that the Audit Reports can provide benefits for improving the management of state finances,” Haerul Saleh explained.

Public Relations and International Cooperation Bureau

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