Cornelis Highlights Disparity: Borneo Gives Billions, Gets Pennies

Dr. H.C. Cornelis oices the concerns of the voiceless Borneo community regarding natural resources and the economic disparity between the region and the capital. Personal document.

🌍 DAYAK TODAY  |  JAKARTA:  Former West Kalimantan Governor Cornelis, now a member of Indonesia’s House of Representatives, has raised serious concerns over what he describes as a long-standing fiscal injustice. 

Despite Borneo’s massive contribution to the national budget—especially from coal, oil, gas, and palm oil revenues—only a fraction of that wealth returns to the region in the form of infrastructure, public services, or local development funds.

Borneo fuels Indonesia’s economy, but receives little

"Covering nearly 28.5% of Indonesia’s landmass, the island of Borneo—locally known as Kalimantan—boasts abundant reserves of coal, oil, gas, and palm oil. Yet, despite its critical role in fueling the national economy, this vast, verdant expanse remains one of the nation’s most underdeveloped regions," Cornelis emphasized.

Read Kalimantan, Sapi Perah Republik yang Terlupakan? (In-depth reporting)

The irony is impossible to miss: while Borneo powers much of the country’s economic engine, it receives only a trickle of benefits in return.

IRONIC: Coal from the heart of Borneo is transported out, while Borneo's energy supply is scarce. Photo credit: doc. dayaktoday.com.

According to Indonesia’s Ministry of Energy and Mineral Resources, East Kalimantan alone contributed over 45% of the nation’s coal production in 2021. In that same year, the province sent more than 50 trillion rupiah (about $3.5 billion) in non-tax revenues to the central government, mostly from coal, oil, gas, forestry, and palm oil sectors.

Yet just 20 to 30% of those funds are returned to the region in the form of government transfers—via General Allocation Funds (DAU), Special Allocation Funds (DAK), and Revenue Sharing Funds (DBH). The remaining 70–80% flows to Jakarta, fueling infrastructure and development in Java and western Indonesia.

Read Prof. Anhar Gonggong: Tak Satu pun Presiden Menjalankan Pancasila

“It’s like Borneo is the republic’s cash cow,” said Dr. H.C. Cornelis, Governor of West Kalimantan (2008–2018), now serving as a member of the Indonesian House of Representatives (DPR-RI), Commission XII, representing Electoral District I of West Kalimantan. 

“We contribute so much, yet our people live with poor infrastructure and limited public services.”

A Systemic Inequality

The stark disparity between resource contribution and local benefit has deep roots. Experts say the current fiscal transfer model, which treats all provinces under a single national formula, fails to account for the scale of resource extraction in areas like Borneo.

According to a 2021 report by the Institute for Development of Economics and Finance (INDEF), the central government’s current revenue-sharing scheme ignores the real value of what’s taken from producing regions. “It’s structurally unjust,” the report notes. “And it perpetuates inequality.”

Unlike mere empty talk, Cornelis backs his words with hard facts and data. Borneo remains a paradox: rich in natural wealth, but poor in public benefit. 

A comparative look at per capita development spending also reveals a troubling pattern. Research by Kompas in 2022 found that Borneo receives far less in infrastructure investment per resident than provinces on the island of Java—even as it continues to bankroll the state.

Development Delayed

The result is visible on the ground. Many rural communities in Kalimantan still lack paved roads, access to clean water, quality healthcare, and equitable education systems. In some remote areas, electricity remains a luxury.

Read Pemimpin (Sejati) Makan Paling Belakangan

These conditions have fueled growing calls for fiscal justice and even federalist reform. Civil society groups argue that unless revenue flows are restructured to benefit producing regions directly, inequality will deepen—and unrest may follow.

Borneo’s forests, long home to the Indigenous Dayak people, are also under threat. As corporations expand mining and palm oil operations, traditional lands are being cleared or taken over, often with little consultation or compensation.

“We’re watching the forest disappear, and with it, the wealth,” said a Dayak community leader in Central Kalimantan. “Our people are left with nothing but dust and empty promises,” said one of the Dayak leaders known for his bold and outspoken voice.

A Nation at a Crossroads

The government’s recent plan to move Indonesia’s capital to East Kalimantan has drawn mixed reactions. While proponents argue it will bring development to the island, critics fear it could accelerate exploitation without fixing the underlying injustice.

“If the new capital becomes just another way to extract more while giving back less,” said one academic, “then we’ve learned nothing.”

For now, Borneo remains a paradox: rich in natural wealth, but poor in public benefit. And until the rules of the game change, the people of Kalimantan may continue to bear the costs of a prosperity they seldom enjoy.

"Unlike mere empty talk, Cornelis backs his words with hard facts and data, as seen in the following: INEQUALITY IN RESOURCE REVENUE FLOW IN BORNEO."

Borneo’s Contribution to the National Budget

$3.5 Billion (East Borneo – 2021)

🛢 100% of resource revenue
➡️ 70–80% flows to the central government

📉 Only 20–30%
⬇️ Returns to the Region

🏠 Funds Returned to Local Communities
🌍 National Coal Production

This infographic illustrates the stark imbalance in how resource wealth is distributed in Borneo, Indonesia. In 2021, East Borneo alone contributed the equivalent of $3.5 billion to the national budget through its coal and oil production. However, 70 to 80 percent of these revenues are absorbed by the central government in Jakarta. Only 20 to 30 percent of the generated wealth is redirected back to the region. 

Read Jalan Lingkar Dataran Tinggi Borneo yang Terampas dan yang Putus Itu Bernama Krayan

This disparity highlights a systemic issue in fiscal decentralization, where local communities—despite being the primary producers—receive a disproportionately small share of the benefits. 

The situation calls for a fairer revenue-sharing mechanism to support regional development and social equity in Borneo.

-- In-depth interview with Dr. H.C. Cornelis by: Rangkaya Bada.