ESDM Commences Revision of Permen on RKAB Reporting Periods

The Ministry of Energy and Mineral Resources (Energi dan Sumber Daya Mineral– “ ESDM ”) is following up on the proposal to revert the reporting period for the Work Plans and Funding Budgets (Rencana Kerja dan Anggaran Biaya– “ RKAB ”) for Minerals and Coal (Mineral dan Batubara– “ Minerba ”) back to an annual basis, following an agreement reached between the Minister of Energy and Mineral Resources, Bahlil Lahadalia, and Commission XII of the Indonesia’s House of Representatives (Dewan Perwakilan Rakyat– “ DPR ”).

The Secretary General of the Ministry of ESDM, Dadan Kusdiana, confirmed that the revision process for Regulation of the Minister of Energy and Mineral Resources No. 10 of 2023 on Procedures for the Preparation, Submission, and Approval of RKAB, as well as the Procedures for Reporting the Implementation of Mineral and Coal Mining Business Activities (“ PermenESDM 10/2023 ”), is currently underway.

“Yes, we are in the process of adjusting the regulation,” Dadan told Hukumonline.

Meanwhile, the Secretary of the Directorate General (“ Ditjen ”) of Minerba, Siti Sumilah Rita Susilawati, explained that the revision process will be aligned with current coal market conditions. The Permen revision is expected to address the issue of oversupply in the global market, which has contributed to declining coal selling prices.

“So that the implementation of the RKAB is more adaptive and aligned with the dynamic needs of the industry as well as better mining governance,” she explained.