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Thursday, 22 January 09
MINISTER: MINING LAW PROHIBITS RAW MATERIAL EXPORT - ESDM


The Coal and Mining Law, approved during the House of Representatives plenary meeting on December 16, 2008 seeks to domestically increase mining commodity value.  Mining companies are required to process their products domestically and at the same time prohibited from exporting raw material.  This is aimed at increasing state revenue, opening new job opportunities, and increase public welfare.

“The Mining Law prohibits the export of raw material.  This is a major change in our natural resources management, which is approved by the House of Representatives plenary meeting on December 16, 2008” explains the Minister of Energy and Mineral Resources, Purnomo Yusgiantoro during the explanation on “Mining Law: A New Era in Mining” in Jakarta on Wednesday (21/1).

The Minister further explains that for more than 30 years, we have been exporting raw mining products overseas, while at the same time importing processed products such as nickel, silver, and other products at a much higher price.  This Mining Law aims to change this condition for the benefit of the nation.

The minister further explains that this task will not be an easy one, “this will only be accomplished through commitment and hard work”.  The minister reminds that according to the 1945 Constitution, all natural reserves including mineral and coal as an un-renewable resource must be managed wisely to benefit the whole nation.

According to the minister, this Mining Law will provide a larger opportunity for Indonesia and its people to improve their natural resource management.  “There have been a lot of debates, discussions, and agreements that we have been through before this law was issued.  Of course not all ideas and opinions are accommodated in this law, but I am certain that several important and strategic aspects needed to carry out article 33 verse 3 of that 1945 Constitution is governed by this law.  One of these aspects includes keeping a good investment climate”.
Source:
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