The government is ready to renegotiate all mining contracts in response to the developing in society, Energy and Mineral Resources Minister Purnomo Yusgiantoro said.
"We are ready to renegotiate the mining work contracts again and adjust them to the dynamics developing in society," the ministers told a parliamentary hearing here on Thursday.
The minister was holding a working meeting with the House Commission VII which deals with energy affairs.
He said the government would observe four conditions before it could proceed to renegotiating the contracts.
The minister said it would take five years for the government before it could renegotiate the contracts. The substance of the contracts should be decided based on their individual contents.
Besides that, Purnomo said, the changes in the contracts should be in line with existing laws.
In case a change is to be made in an on-going contract, the parties involved must have another agreement to change it.
The change in the contract should not abolish the rights of parties involved in it, he said.
"So, the four conditions must exist before the contracts are to be changed," Minister Purnomo said.
During the hearing, members of the House's Commission VII on mining affairs debated the question whether or not the change of contracts were to be covered by the transitional article of the Law on Minerals and Coal.(**)