M. Agus Yozami, Andin Aditya Rahman
Indonesia’s Extractive Industries Transparency Initiative (EITI) – an organization that produces a publicly-accessible pool of reliable information on public revenues paid by oil, gas, mineral and coal industries to the government – has published their 2013 report.
The report revealed that monies paid by mining companies are equivalent with state’s revenue from the sector.
Regardless of the positive findings, EITE Indonesia indicated that there are flaws with the data being managed by the Directorate General of Minerals and Coal at the Ministry of Energy and Mineral Resources (Minerba Directorate).
The flaws are evident by the difference in accounted royalties paid by mining companies to the Government. The Government’s official records show that the total received royalties reached USD 727 million. However, after EITI Indonesia made further inquiries on Minerba Directorate’s physical records, the total of accounted royalties only reached USD 54 million.
Fajar Reksoprodjo, Communications Secretary of EITI Indonesia, explained that the manual process at the Minerba Directorate was a data management fiasco. The Receipts and deposits data are still in hardcopies.
“Data management is done manually by the Minerba Directorate, which will inevitably bring about errors. For example, data writing error, mistake in filling in the proper taxpayer’s identification number, and inputting inaccurate information,” stated Fajar in Jakarta, Tuesday (4/6).
Ambarsari Dwi Cahyani, Extractive Industry Revenue Specialist at EITI Indonesia, highlighted the importance of EITI Indonesia report, it serves to inform the general public on the details payments made by oil, gas, mineral and coal companies to the Government.
“Even further, the report also provides the same detailed information on every mining companies, regardless if it’s big or small, including companies holding local permits,” stated Ambarsari.
In the premiere report on state revenues from mining companies in 2009, it indicated a total of IDR 251.7 trillion in tax and non-tax state revenues. The report encompasses a total of 17 mineral extraction companies and 54 coal mining companies.
(hot/ds)
M. Agus Yozami, Andin Aditya Rahman
Indonesia’s Extractive Industries Transparency Initiative (EITI) – an organization that produces a publicly-accessible pool of reliable information on public revenues paid by oil, gas, mineral and coal industries to the government – has published their 2013 report.
The report revealed that monies paid by mining companies are equivalent with state’s revenue from the sector.
Regardless of the positive findings, EITE Indonesia indicated that there are flaws with the data being managed by the Directorate General of Minerals and Coal at the Ministry of Energy and Mineral Resources (Minerba Directorate).
The flaws are evident by the difference in accounted royalties paid by mining companies to the Government. The Government’s official records show that the total received royalties reached USD 727 million. However, after EITI Indonesia made further inquiries on Minerba Directorate’s physical records, the total of accounted royalties only reached USD 54 million.
Fajar Reksoprodjo, Communications Secretary of EITI Indonesia, explained that the manual process at the Minerba Directorate was a data management fiasco. The Receipts and deposits data are still in hardcopies.
“Data management is done manually by the Minerba Directorate, which will inevitably bring about errors. For example, data writing error, mistake in filling in the proper taxpayer’s identification number, and inputting inaccurate information,” stated Fajar in Jakarta, Tuesday (4/6).
Ambarsari Dwi Cahyani, Extractive Industry Revenue Specialist at EITI Indonesia, highlighted the importance of EITI Indonesia report, it serves to inform the general public on the details payments made by oil, gas, mineral and coal companies to the Government.
“Even further, the report also provides the same detailed information on every mining companies, regardless if it’s big or small, including companies holding local permits,” stated Ambarsari.
In the premiere report on state revenues from mining companies in 2009, it indicated a total of IDR 251.7 trillion in tax and non-tax state revenues. The report encompasses a total of 17 mineral extraction companies and 54 coal mining companies.
(hot/ds)