Indonesian Political, Business & Finance News

DPR Appreciates MIND ID Group's Performance as Contributions Continue to Rise

| Source: CNBC Translated from Indonesian | Mining
DPR Appreciates MIND ID Group's Performance as Contributions Continue to Rise
Image: CNBC

Jakarta, CNBC Indonesia – Commission XII of the House of Representatives (DPR RI) has praised the contribution of PT Freeport Indonesia (PTFI), a member of the MIND ID Mining Industry Holding, which plays a role in driving social and economic development in Papua through various social and environmental responsibility (TJSL) programmes.

Legislators believe that Freeport Indonesia’s presence over several decades has delivered tangible benefits, both to the state and to communities living around the mine’s operational areas.

Arif Riyanto Uopdana, a member of Commission XII, said Freeport has demonstrated a long-term commitment to Indonesia through continued investment and the sustainability of its operations.

“I appreciate the fact that a follow-on investment agreement of 12 per cent has been reached with the Indonesian government. This represents a new breakthrough for the business continuity of PT Freeport Indonesia, with its business licence extended in line with reserve life,” Arif said during a hearing with PT Freeport Indonesia, quoted on Friday (17 July 2026).

He assessed that the sustainability of the investment would provide certainty of economic benefits while opening up room to improve the welfare of the Papuan people.

Similarly, Alfons Manibui, a Commission XII member from the Golkar Party faction, said Freeport has brought significant benefits to regional governments and the people of Papua.

“We would like to thank Freeport for its performance, which to this day continues to deliver benefits to the state. We must also acknowledge that Freeport has brought many benefits to regional governments and, above all, to communities living around the company’s operational areas,” Alfons said.

According to him, Freeport must continue to serve as a national asset capable of sustaining development in the Land of Papua.

Appreciation was also expressed by Irsan Sosiawan Gading, a Commission XII member from the Nasdem Party faction. He said improvements in the company’s performance must continue to be accompanied by strengthened community empowerment programmes.

“I commend PT Freeport’s performance, which has contributed to the state and state revenue. What is equally important is attention to communities around the mine so that the benefits of the company’s presence are genuinely felt by local people,” he said.

PT Freeport Indonesia is one of the largest contributors to state revenue through taxes, dividends, royalties and non-tax state revenue (PNBP).

In 2026 the company’s contribution to the state is estimated to reach around US$2.6 billion, rising to approximately US$4.7 billion in 2027, comprising roughly US$1.9 billion in tax receipts, US$1.9 billion in dividends to the government via MIND ID, and around US$800 million in non-tax state revenue, including royalties. Once mining operations return to normal, the company’s contribution is projected to exceed US$7 billion, or around Rp120 trillion, per year.

Beyond its fiscal contribution, Freeport also consistently carries out social investment in Papua, allocating around US$100 million each year for community development programmes. These programmes cover education, health, economic empowerment, basic infrastructure development, capacity building for indigenous communities, and improved public services in areas surrounding its operations.

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