ESDM temporarily halts coal exports to secure electricity system

The Ministry of Energy and Mineral Resources (ESDM) temporarily suspended certain coal exports to secure the availability of coal with the required calorific value for the primary energy needs of PT PLN (Persero) power plants. “This step was taken as part of the ESDM Ministry’s supervisory function as the regulator,” said ESDM Ministry Spokesperson Dwi Anggia in an official statement confirmed from Jakarta on Friday. To date, approximately 141 million metric tonnes (MT) of coal have been secured, out of a total annual requirement of 154 million MT. With the improvement in coal supply conditions for power plant operations, Anggia stated that coal export activities have now returned to normal. “Along with the improving domestic supply conditions, coal export activities are now running normally again,” said Anggia. Going forward, as part of efforts to strengthen stability and mitigate the risk of future electricity supply disruptions, the primary energy procurement process for PLN will be more strictly supervised. The supervision process will involve a team consisting of the Development Finance Comptroller (BPKP), the Inspectorate General of the Ministry of Energy and Mineral Resources, the Directorate General of Minerals and Coal, and PLN. Anggia stated that this supervision is a normal and necessary measure to ensure the proper implementation of the Domestic Market Obligation (DMO). “The supervisory measures to be carried out by the team from BPKP, the Ministry of ESDM, and PLN are being implemented to ensure that the DMO obligation is properly executed to guarantee the availability of coal supply for electricity,” said Anggia. Regarding this matter, there are no new rules to impose additional restrictions, as the necessary regulatory framework is already in place. The government is currently focusing on the implementation and enforcement of existing regulations to ensure they remain effective, including the provisions stipulated in Law Number 2 of 2025 concerning the Fourth Amendment to Law Number 4 of 2009 on Mineral and Coal Mining, which among other things regulates the implementation of the Domestic Market Obligation (DMO).