“To be honest, I spoke for an hour during a meeting to discuss the basic foundation. Don’t make a mistake because it used to be a lot wrong,” Luhut said.
President Joko Widodo (Jokowi) will soon hold a limited meeting with a number of ministers regarding the easing of raw mineral exports. This meeting aims to find a solution so that the plan does not violate the Mineral and Coal Law (Law) Number 4 of 2009.
Coordinating Minister for Maritime Affairs, Luhut Binsar Pandjaitan, said the schedule for the meeting had been decided on Tuesday (10/1) tomorrow. “The point is tomorrow there is a limited meeting for that and hopefully there is the best way,” he said during a press conference with reporters in Jakarta, Monday (9/1). (Read: 11 Jonan’s Recommendation to Darmin for Revised Minerba Rules)
According to Luhut, the policy of easing the export of raw concentrates must be thoroughly studied so that the President does not violate Law Number 4 of 2009 concerning Minerba. This is because the regulation states that employers must refine mineral minerals produced in the country within a maximum of five years from the enactment of the Law.
On that basis, exports of raw minerals must not be carried out starting in 2014. “To be honest, I spoke for an hour during a meeting to discuss the basic foundation. Don’t make a mistake because it used to be a lot wrong,” Luhut said.
The Director General of Metal, Machine, Transportation, and Electronics Industry at the Ministry of Industry I Gusti Putu Suryawirawan said the government was indeed careful about giving export licenses to Freeport Indonesia. The reason, the construction of a smelter facility from the United States company has not shown significant development. (Read: Building a Smelter, Freeport Asks for Contract Extension Guarantee)
Even though, until now Freeport still has a work contract. It means, in accordance with Minerba Law No. 4 of 2009, the construction period for smelter holders of work contracts has ended five years since 2009. “Those who have work contracts must build a smelter within five years, if for example it is still held, it is past its time,” said he.
On the other hand, the Publish What Your Pay (PWYP) Coordinator Maryati Abdullah reminded the government to be careful in making policies. Do not let the policy of easing raw mineral exports benefit only a handful of parties. (Read: Exploring Indonesia’s Natural Wealth, JK Asks Freeport to Enter Stock)
In addition, the government must be consistent with increasing value added or downstreaming. On the other hand it must also have a strong legal basis to open the raw mineral export tap. “If the revision of PP No. 23 of 2010 relaxes, it means the government violates the Minerba Law No. 4 of 2009,” Maryati said.
Source: here.
In Media, Media Coverage|PWYP Indonesia|January 20th, 2017