Coal Association Asks for Simplification of Permits and Downstream Plans

The Indonesian Mineral and Coal Energy Suppliers Association ( “ Aspebindo ”) welcomes the plan of the People's Representative Council of the Republic of Indonesia ( “ DPR RI ”) to revise the Law No. 4 Tahun 2009 on Mineral and Coal Mining ( “ Minerba Law ”).

Deputy Chairman of Aspebindo Fathul Nugroho emphasized that the revision of the Minerba Law must be able to bring improvements to the coal business climate. Fathul submitted a number of inputs to the Indonesian House of Representatives Legislation Body to be considered in the revision of the Minerba Law.

According to Fathur, the revision of the Minerba Law is expected to improve the licensing process to the formation of a national downstream strategy. It is hoped that the government can form a roadmap for the development of supporting infrastructure for refining and processing that is able to develop refining technology and innovation.

"With this strategic plan, we business actors can also provide input, both on the construction of smelters and the derivatives of the smelter results," said Fathul..

Fathul also proposed that the revision of the Minerba Law can provide a solution to the acceleration and simplification of the mining licensing process. Integration is needed between the Ministry of Energy and Mineral Resources (“ Ministry of ESDM ”) and the Ministry of Environment (“ KLH ”) regarding the management of environmental permits because it is often an obstacle.