Lentera Negeri
Vol. 7 No. 1 (2026): Lentera Negeri

The impact of the indonesian nickel industry downstreaming policy especially

Ali Martin (Universitas Wahid Hasyim Semarang)
Ismiyatun Ismiyatun (Universitas Wahid Hasyim Semarang)
Saadatul Musthoifiyah (Universitas Wahid Hasyim Semarang)



Article Info

Publish Date
18 Jul 2026

Abstract

This study examines the impact of Indonesia's nickel industry downstreaming policy, focusing on Morowali Regency, Central Sulawesi. Employing a qualitative library research method, the study analyzes Foreign Direct Investment theory regarding market access, raw material utilization, and technology transfer to explain both positive and negative consequences of the policy. Findings reveal that downstreaming generates a substantial multiplier effect, including employment absorption, regional economic growth, and MSME expansion, particularly through companies such as PT GNI. Conversely, the policy produces severe negative impacts, including environmental damage, discharge of nickel waste into coastal waters, and landscape transformation. The study concludes that government and stakeholders must prioritize environmental protection, waste management, reforestation, and local worker employment, rather than focusing solely on mining profits, to ensure sustainable and balanced industrial development in nickel-producing regions.

Copyrights © 2026






Journal Info

Abbrev

lentera

Publisher

Subject

Humanities Education Environmental Science Languange, Linguistic, Communication & Media Law, Crime, Criminology & Criminal Justice Social Sciences Other

Description

Lentera Negeri welcomes submissions across a comprehensive range of academic disciplines, spanning the social sciences, humanities, natural sciences, applied sciences, and technology. Within the social sciences, the journal considers research in sociology, psychology and mental health, counseling ...