Indonesia's Aceh revokes palm permit after legal challenge
JAKARTA (Reuters) - Indonesia's Aceh province has revoked a controversial permit issued to a palm oil firm accused of breaching a ban on forest clearing, a spokesman said on Friday, in a rare climbdown following a legal challenge by environmental groups.
President Susilo Bambang Yudhoyono has set a goal of cutting greenhouse gas emissions by saving Indonesia's dwindling tropical rainforests, the world's third-largest, a pledge that won the promise of $1 billion from Norway should he succeed.
But the effort is being hampered by soaring global demand for palm oil, used in everything from biscuits to biofuel. Indonesia is the world's top producer of the edible oil, whose exports earn the country $20 billion a year.