Mineral-Coal Bill: New Restrictions for Permit Holders

Summary

The House of Representatives and the government on Thursday (2/13), have agreed to form a Working Committee on Mineral and Coal Mining Bill. Deputy Chairman of the Bill’s Working Group Sugeng Suparwoto said around 938 List of Inventory Problems (DIM) on the current mineral and coal bill and 13 strategic issues would be discussed with the government and the parliament. Among these issues is the restriction on land tenure for new mining business permit holders. The holders may only control land with a maximum area of ​​15,000 hectares.

Other strategic issues are the Contract of Work (KK) and the first generation Coal Contract of Work (PKP2B), which will expire soon. Referring to Law No. 4/2019 on mineral and coal, the KK and PKP2B will be changed into Mining Business License (IUP). Sugeng said there were automatic renewals twice for ten years, according to mineral and coal bills. However, the government will determine the control over the land area, in addition to conducting such matters.

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