Govt Raises Coal Royalty Rates for Mining Business License Holders

By Editorial Team 11/08/2022
Summary

The government raised production fees or coal royalties for holders of Mining Business Permits (IUP), which apply progressively. The coal royalty rate rose four percent to 13.5 percent of the selling price per ton from 2-7 percent. The new regulation is stipulated in the revision of Government Regulation (PP) No. 81/2019 on Types and Tariffs for Non-Tax State Revenue (PNBP) Applicable to the Ministry of Energy and Mineral Resources (ESDM).

Currently, the Energy Ministry is waiting for approval from the Finance Ministry to increase the coal royalty rate for the IUP holder. "Later, the royalty rate will apply progressively, following the Reference Coal Price (HBA)," Director of Mineral and Coal Program Development Tri Winarno said on Wednesday.

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