The Sabah government has launched a review of long-term forest management licenses after discovering that several concession holders violated reforestation terms by planting oil palm instead of timber trees.
Chief Minister Datuk Seri Hajiji Noor told the State Assembly on Wednesday that the state was taking firm action against license holders who breached their reforestation obligations under the Industrial Tree Plantation (ITP) policy.
“We are reviewing many FMU (Forest Management Unit) licenses because of widespread non-compliance.
“Some license holders did not follow the regulations — instead of planting timber trees, they planted oil palm. That is not acceptable,” he said during his winding up speech on Wednesday.
Hajiji said the government is now considering terminating these licenses where necessary, adding that any new or existing agreements must strictly comply with the original terms.
“This is the government’s firm position,” he said. “We want these forests managed sustainably. That’s why we’re seeing less logging activity now, and some sawmills have even closed down.”
The issue was raised by opposition leader Datuk Seri Mohd Shafie Apdal, who pointed to a 21 November 2024 written reply from the state legislative assembly indicating that Sabah had issued 43 long-term logging licenses, 33 Sustainable Forest Management License Agreements, and 10 concession licenses, covering one million hectares of forest reserves — including Yayasan Sabah land.
Shafie expressed concern that some reforestation licenses were being abused and questioned why short-term logging licenses — such as a 32,000-hectare concession on state land from 2023 to 2024 — were being awarded to private individuals instead of state agencies.
“Why are we giving these out to individuals, especially when some already hold nearly 100,000 hectares in concessions?”
“Why not give it to Yayasan Sabah or its subsidiaries like Benta Wawasan — so the profits can go back to the state, for education and development?” said Shafie.
Hajiji said he was not immediately aware of the specific concession in question but promised to check and provide a written reply. – April 16, 2025
