The government signals the companies hold work of contract may export non-domestic processing and refining minerals. It can be carried out during the transition of status from mining license to special mining license (IUPK).

The regulation stipulated that only the companies holding IUPK can export non-domestic processing and refining minerals.

“It takes times to hold the permanent IUPK. It is impossible to have it within three or six months. If the companies do not export, it would disrupt its local economy and generate a mass unemployment,” said Energy and Mineral Resources Minister Ignasius Jonan amid his work meeting with Commission VII of House Representatives, Monday (1/30), in Jakarta.

Within the Governmental Regulation (PP) Number 1 Year 2017 as the fourth amendment of PP Number 23 Year 2010 on coal mining business activity, IUP and IUPK holders can sell its non-domestically processed refining minerals. Therefore, the work of contract holders cannot export its processed concentrates or minerals.

Numbers of Commission VII, in the meeting, questioned the governmental policy about the permission of crude concentrates and minerals export which is considered violate the agreement of crude mineral export ban.

A member of Commission VII from Gerindra party Harry Poernomo said that the policy infringed the mineral domestic downstream initiative. It indicated the government powerlessness.

“Because the crude mineral export policy already launched, all we can do now is monitoring it. Let’s oversee the implementation tightly. Involve the Commission VII to monitor, if needed,” said Harry.

The government allowed crude minerals export due to the hiccup of domestic smelter construction, processing and refineries facilities. (Dds/Pas)

Source: Kompas