doc. PWYP Indonesia
doc. PWYP Indonesia

The more extractive industries, the more welfare the people around. But, unfortunately it is not felt by people who lived in Tayan Hilir subdistrict, Sanggau District, West Kalimantan.

“In 2012 there are 65 mining licenses in 242,342.25 Ha areas, which is consist of 45 exploration mining licenses and 20 exploitation mining licenses.” Said Hermawansyah, Executive Director of Swandiri Institute. When many mining company which are operated in Sanggau, it supposed to bring in revenue for villages, which become mining affected region. The revenue come from Village Fund Allocation (ADD), Revenue Sharing Fund (DBH), and Corporate Social Responsibility (CSR).

The fact is the fulfillment of basics services in Sanggau District still minimum, such as fulfillment in energy basic service. “Mining companies have less good intention when asked by community to realize the CSR program” said Pius Tomi The Chief of Sejotang Village. Tomi added, that their parties didnt know how much revenue sharing fund (DBH) was received by village from mining sector.

Meanwhile, after the enactment of the obligation to build smelter for mining company, the operation of that company has stopped. What remain is the environmental degradation. “What we get now is environmental degradation such as defilement of Semenduk Lake and Bekat Lake” added Pius Tomi. He add, that learning from the experience, it is important for community around mining areas to know the village revenue through revenue sharing fund mechanism, and they should to encourage the mining company to realize their CSR program.

Facilitated by Swandiri Institute, people of Sanggau held focus group discussion untitle “Transparency and Public Monitoring to Improve Revenue and Income in Extractive Sector”, which take place in Sanggau, last 27th May. The participant of this discussion are delegation of Local Revenue Offices, Local Development Planning Agency of Sanggau, local community from Sejotang and Subah village, and civil society coallition Publish What You Pay (PWYP) Indonesia.

According to Minister of Finance Regulation (PMK) 210/PMK. 07/2012, revenue sharing funf and income of Sanggau District which come from land rent are Rp. 1,648,561,066. Local government of Sanggau should to get revenue sharing fung from land rent approximately Rp. 3,776,056, 584. There is difference around Rp. 2,127,495,518. This difference is known as “potential lost”, which caused by several factors, one of the cause is the company didnt pay their obligation or underpayments,” he said.

Meliana Lumbantoruan as Research Manager of PWYP Indonesia, explain that local community can find out how much the revenue sharing fund of Sanggau, and ask how much the amount which perceived by their village. It is based on the Public Information Act, where the data of revenue sharing fund is public data. Meliana also explain the EITI initiative, which encourage government to open the concession companies data and encourage the mining company to report their peroduction.

The simple is, local community can calculate the revenue from their village. With formula: 2$/ha for exploration mining licenses, and 4$/ha for exploitation mining licenses. Also calculate the revenue from royalty, the formula is (volume x commodity tariff x selling price). And relate with CSR, the community have to more thoroughly in sort out between CSR and the company’s program that just accommodate company’s interest.

The remain task for community who lived around mining are make sure the budget from extractive sector are allocated for priority in poverty alleviation, so the people’s live gradually changed better.