Indonesian authorities have ordered the suspension of a controversial tourism project linked to US President Donald Trump due to environmental concerns. The large-scale development, located in Gunung Gede Pangrango, approximately 60 kilometres south of Jakarta, has faced mounting criticism over its impact on local ecosystems and water management issues.
The project, covering more than 3,000 hectares, is a collaboration between Trump’s business partner, Indonesian billionaire Hary Tanoesoedibjo, and the Trump Organization. Called Lido City, the development includes luxury hotels, golf courses and country clubs, with the Trump Organization set to manage these properties in exchange for a share of the revenue. The project, originally estimated to take over a decade to complete, was projected to cost $3 billion, with Trump-affiliated properties alone accounting for more than $300 million.
1. Environmental impact higher than planned
While the Indonesian government has promoted the project in the past as part of its strategy to develop tourism destinations beyond Bali, pressures from conservation groups, arguing that the government prioritises economic gains over ecological preservation, have prompted authorities to better investigate the actual impact of the project.
The Indonesian Environment Ministry has found severe mismanagement of rainwater runoff, which has led to sedimentation in the Lido Lake, a crucial water body in the region. Originally spanning 24 hectares, the lake has reportedly shrunk to just 12 hectares due to accumulated sediment. Officials emphasized that the discrepancy between environmental impact plans and actual implementation poses a significant threat to the region’s natural resources.
“The mismatch between environmental plans and physical implementation is a serious concern in efforts to preserve natural resources,” said Ardyanto Nugroho, Director of Environmental Complaints, Monitoring, and Law Enforcement at the ministry. He added that authorities are awaiting further laboratory test results before determining legal actions against the developers.
Local media reports confirmed the placement of an official “supervision” sign at Lido Lake. “We committed to preserving the environment and will take firm action against violations that impact the ecosystem and surrounding communities,” Nugroho said.
2. Threat to biodiversity
Gunung Gede Pangrango National Park, home to one of Java’s last remaining virgin tropical forests, is a biodiversity hotspot, which can be severely affected by the project. The area boasts more than 2,000 species of flora and 250 species of birds. Critically endangered species, such as the Javan slow loris—the world’s only venomous primate—Javan leaf monkey and Javan leopard, rely on this habitat for survival. The Javan hawk-eagle and Javan silvery gibbon, numbering fewer than 4,000 in the wild, are also at risk due to encroaching development.
Environmental advocates welcomed the government’s decision, interpreting it as a sign that authorities are taking the project’s ecological impact seriously. “The Lido area is one of the most important watersheds of the Cimandiri River and plays a vital role in the landscape of Gunung Gede Pangrango National Park,” said Meizani Irmadhiany, Executive Chair of Konservasi Indonesia. “It is time for the business sector to prioritise environmental principles that have long-term impacts on ecosystems, communities and even businesses themselves.”
3. Other developments also to blame?
However, Tanoesoedibjo’s firm, PT MNC Land, has denied sole responsibility for the environmental degradation. Budi Rustanto, President Director of MNC Land, argued that other nearby developments, including government offices and residential buildings, have also contributed to Lido Lake’s sedimentation.
“Since 2013, we have actively sought solutions to address the lake’s decreasing depth, given that 50% of the lake is within our development area,” Rustanto told Indonesian news outlet Kompas, adding that MNC Land has adhered to Indonesia’s environmental impact assessment regulations (AMDAL).
It remains to be seen whether or not further investigations will unveil other discrepancies between the submitted plans and actual impact on the environment. If they do, it is likely that the developers will be given a chance to put forward rectifying measures before the project is completely shut down.
