ESDM Ministry yet to decide on 2026 nickel RKAB volume

Jakarta (ANTARA) - The Ministry of Energy and Mineral Resources (ESDM) has confirmed that no decision has been made regarding the total nickel Work Plan and Budget (RKAB) for 2026. Director General of Minerals and Coal (Minerba) Tri Winarno stated that the government is still discussing various proposed RKAB changes submitted by business actors and has not set a specific production figure. “Regarding the nickel RKAB, the government will continue to use the official evaluation mechanism before determining RKAB changes. It has not yet reached a decision on the numbers; it is still under discussion,” Tri said in Jakarta on Thursday. This was emphasised amidst growing speculation about possible changes to nickel production quotas ahead of the RKAB revision period. He stressed that the current process is an evaluation of industry needs, not a relaxation of production quotas. “There will still be an evaluation. So it cannot simply be a relaxation,” he stated. According to Tri, the government needs to ensure production remains aligned with market needs and the downstream industry. Thus, the supply of raw materials for smelters can be maintained, while market balance, commodity prices, and the sustainability of national mineral reserves remain considerations in every decision. The decision responds to developing market speculation regarding the possibility of changes to the total nickel RKAB after the revision period scheduled for next month. However, the government has emphasised that all incoming proposals must still undergo a review process before a decision is made. In accordance with Minister of ESDM Regulation Number 17 of 2025, business entities may indeed submit RKAB changes after submitting periodic reports up to the second quarter or no later than 31 July of the current year. However, the submission of RKAB changes is not automatically approved. “Every proposal is carefully evaluated based on production data, industry needs, market conditions, and the balance of the national supply chain,” Tri asserted. He added that the revision process is not solely aimed at increasing or decreasing production quotas, but rather ensuring that the figures set truly reflect real needs on the ground. The government continues to strive to maintain a balance between the interests of the upstream and downstream sectors. Miners need room to continue operating and running their investments, while the processing and refining industry requires an adequate supply of raw materials so that downstream activities can continue. At the same time, the government also needs to ensure production does not grow excessively. Overly high production risks depressing commodity prices, accelerating reserve depletion, and reducing the effectiveness of national mining governance.