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Friday, 13 February 09
INDONESIA IS EXPECTED TO PRODUCE 225 MILLION TONES OF COAL IN 2009 - ENERGY MINISTRY
Indonesia, the world's top thermal coal exporter, will allocate 68.3 million tonnes of coal out of expected forecast production of 225 million ton for domestic use in 2009, or about 30 percent of forecast production, a top energy ministry official said to reportes.
41.4 million tonnes would be for power plants, including those operated by state power firm PT Perusahaan Listrik Negara , Bambang Setiawan, director general of mineral, coal and geothermal at the ministry said. "Each producer has an allocation on how much they have to supply every semester ," Setiawan told reporters.
"Producers can't export until they fulfil domestic obligations," he added.
The ministry was in the process of drafting government regulations for domestic market obligations that will be based on annual demand from domestic users and the decree on the domestic market obligation is part of Indonesia's moves to ensure sufficient supplies for domestic users, said Mr. Bambang Setiawan
The ministry has said the government would fix every year the minimum amount of coal that producers must supply to the domestic market, based on estimated demand from the state power firm and other local coal users, such as cement firms.
The domestic market obligation appears in line with a figure of about 28 percent production mentioned by an official at the energy ministry last year. Bambang Gatot Ariyono, director of mineral and coal enterprises at the energy and mining ministry, said on Nov. 26 that the rule would apply to producers holding coal contracts of work.
Sources: Indonesian Coal Industry
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Tuesday, 30 November 99
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