TEMPO.CO, Jakarta – The Publish What You Pay (PWYP) coalition is demanding that the government take responsibility and immediately reform the governance of the mining sector, particularly in terms of oversight, to prevent illegal practices in the mineral and coal (minerba) sector, particularly in priority areas such as the Indonesian Capital City (IKN).
PWYP assesses that the government has failed to monitor illegal mining in the IKN and the Bukit Soeharto Forest Park (Tahura) Conservation Area since 2016. “These exploitation activities have caused state losses of Rp 5.7 trillion, coal depletion of Rp 3.5 trillion, and damage to the Tahura area reaching Rp 2.2 trillion,” said PWYP researcher Adzkia Farirrahman.
Adzkia emphasized that this case is not just an incident, but rather a sign of weak government oversight in the mining and coal sector. “How could an illegal mine have operated for so long in a priority area without detection? This illegal mining activity is suspected to have been going on since 2016,” he said.
He urged the Ministry of Energy and Mineral Resources (ESDM) to immediately evaluate and improve the mineral and coal mining monitoring system, including the establishment of an early detection system. He also pushed for an audit of all mining business permit (IUP) holders in the capital city (IKN).
PWYP urged the government to impose sanctions on companies involved in document falsification, strengthen digital monitoring systems, and involve the public in the monitoring process.
This illegal mining case came to light after the National Police’s Criminal Investigation Agency (Bareskrim Polri) arrested three suspects involved in coal smuggling and confiscated 351 containers. The perpetrators falsified documents from companies holding IUPs, such as PT MMJ and PT BMJ, to deceive officials at the Kariangau Terminal (KKT) Port in Balikpapan during shipments to Tanjung Perak Port in Surabaya.
Buyung Mawarjo, a member of the PWYP coalition, stated that many illegal mining activities in East Kalimantan remain untouched by the law. This, he argued, reflects the failure of law enforcement against both legal and illegal mining companies. “It’s important to note that this case also involves official documents from IUP-holding companies as one of the shipping requirements,” Buyung said.
He explained that these documents were used to pretend that the coal came from legal mines or IUP holders. “It came from illegal mining activities.”
PWYP also highlighted the weak role of the illegal mining task force established by the National Capital Authority (OIKN). Despite operating for almost two years, the task force is considered ineffective in stopping large-scale illegal mining operations. Buyung assessed that the task force formed by OIKN needs to be evaluated to produce concrete outcomes and be able to build effective inter-institutional coordination.
Source: Tempo