, Jakarta: Advocacy Manager and Indonesian Publish What You Pay (PWYP) Network Aryanto Nugroho explained the mineral and coal sector should be the focus of government attention. Therefore, the action of the Director General of Mineral and Coal Bambang Gatot was highly anticipated by a number of people.

These focuses include the downstreaming and enhancement of mining value added, renegotiation of Contract of Work (KK), and structuring mining licenses and enforcing environmental and social standards from mining activities.

“The Director General of Mineral and Coal must immediately complete the renegotiation process of the KK and the Coal Mining Concession Work Agreement (PKP2B) in a transparent and accountable manner,” he said, in Jakarta, Sunday (05/10/2015).

He explained, until the renegotiation deadline given Law No. 4/2009 on Minerba, it turned out that only one KK had signed the amendment, 20 KK and 21 PKP2B agreed and signed the MOU, eight KK and 12 PKP2B still agreed on part of the contents of the MOU, and five The new KK and nine PKP2B agreed on a draft of the amendment of a total of 34 KK and 73 PKP2B.

“The renegotiation is mainly related to six strategic issues, namely the width of the work area, the continuation of mining operations, state revenue, processing and refining obligations, divestment obligations, obligations for the use of labor, domestic mining goods and services,” explained Aryanto.

In addition, related to mining governance issues, PWYP Indonesia’s Forest and Land Governance Program Manager, Agung Budiono, added that the government must immediately complete the arrangement of 4,296 Mining Business Permits (IUP) which are still in Non CNC status.

Then resolve the overlapping of the mining area with the forest and plantation area up to the supervision of the implementation of reclamation and post-mining guarantees. Not yet optimal non-tax state revenue (PNBP) in the mining sector, both from royalties and land rent must also get attention.

“Based on Indonesia’s PWYP count, the potential loss from 2009-2013 landrent payments in 12 provinces alone reaches Rp 919.18 billion,” he said.

Agung appealed, the new Director General of Mineral and Coal must also continue to work closely with the KPK which has been running well in coordination and supervision in the Minerba sector.

AHL | Suci Sedya Utami – May 10 2015 17:18 WIB