Kartini L. Makmur, Andin Aditya Rahman
The Government is currently busy drafting the Terms of Reference (TOR) for the downstream mining program as the implementation of Law No. 4 of 2009 on Minerals and Coal (Mining Law).
Thamrin Sihite, Director General of Minerals and Coal at the Ministry of Energy and Mineral Resources, stated that this TOR will be a medium for uniting the considerations of various government institutions on this matter such as the Ministry of Industry, Ministry of Finance, Ministry of Trade and the Indonesian Investment Coordinating Board or BKPM.
“This TOR will determine our position so that we are of one voice,” stated Thamrin in Jakarta on Tuesday.
The salient points of the TOR relate to the obligation to process metal ores domestically and restrictions on ore exports starting in 2014. Under these requirements, from12 January 2014, metal concentrates can no longer be exported.
In addition, the TOR will also regulate coal processing with respect to increasing coal content levels and adjusting coal cleaning processes and the standardization of coal size.
Thamrin explained that either this week or next week, the four ministries will renegotiate the provisions on the purification of metal ores in the TOR.
“Domestic purification means up until the ore becomes a metal,” he further explained.
On the other hand, Harry Azhar Azis, Vice Chairman of Commission XI at the House of Representatives, is vocal in asserting that the implementation of the downstream mining program has failed to meet expectations.
He also emphasized that the implementation of the Mining Law is only four months away. Considering that the implementation involves the obligation of mining companies to construct smelters, it seems highly unlikely that the implementation will run on time.
According to Harry’s calculations, a smelter takes at least three years to construct, which makes it apparent that the implementation of the Mining Law implementation certainly be delayed.
(hot/kc)
Kartini L. Makmur, Andin Aditya Rahman
The Government is currently busy drafting the Terms of Reference (TOR) for the downstream mining program as the implementation of Law No. 4 of 2009 on Minerals and Coal (Mining Law).
Thamrin Sihite, Director General of Minerals and Coal at the Ministry of Energy and Mineral Resources, stated that this TOR will be a medium for uniting the considerations of various government institutions on this matter such as the Ministry of Industry, Ministry of Finance, Ministry of Trade and the Indonesian Investment Coordinating Board or BKPM.
“This TOR will determine our position so that we are of one voice,” stated Thamrin in Jakarta on Tuesday.
The salient points of the TOR relate to the obligation to process metal ores domestically and restrictions on ore exports starting in 2014. Under these requirements, from12 January 2014, metal concentrates can no longer be exported.
In addition, the TOR will also regulate coal processing with respect to increasing coal content levels and adjusting coal cleaning processes and the standardization of coal size.
Thamrin explained that either this week or next week, the four ministries will renegotiate the provisions on the purification of metal ores in the TOR.
“Domestic purification means up until the ore becomes a metal,” he further explained.
On the other hand, Harry Azhar Azis, Vice Chairman of Commission XI at the House of Representatives, is vocal in asserting that the implementation of the downstream mining program has failed to meet expectations.
He also emphasized that the implementation of the Mining Law is only four months away. Considering that the implementation involves the obligation of mining companies to construct smelters, it seems highly unlikely that the implementation will run on time.
According to Harry’s calculations, a smelter takes at least three years to construct, which makes it apparent that the implementation of the Mining Law implementation certainly be delayed.
(hot/kc)