Indonesian Political, Business & Finance News

ESDM to Strengthen Mining Sector Permits and Oversight, All Requirements to Be Evaluated

| Source: VIVA Translated from Indonesian | Mining
ESDM to Strengthen Mining Sector Permits and Oversight, All Requirements to Be Evaluated
Image: VIVA

The Director General of Minerals and Coal at the Ministry of Energy and Mineral Resources (ESDM), Tri Winarno, has confirmed that the ministry will strengthen mining governance by ensuring that the entire licensing process and supervision of mining activities operate through a standardised, measurable, and digitalised system. He stated that every mining activity must have a legal basis, clear planning, and comply with all applicable provisions.

“Therefore, the government is conducting a comprehensive evaluation of the various requirements that form part of mining governance,” Tri said in a statement on Friday, 12 June 2026.

He stressed that mining activities cannot be carried out solely by possessing a Mining Business Licence (IUP). Every company is also required to prepare a clear activity plan, fulfil technical, environmental, and safety aspects, as well as state revenue obligations before obtaining approval to commence operations.

In accordance with Article 111 of Law Number 3 of 2020 on Mineral and Coal Mining, the RKAB is a mandatory document for holders of Mining Business Licences (IUP) and Special Mining Business Licences (IUPK). It contains the mining business activity plan, covering aspects of exploitation, technical matters, finance, and the environment. The RKAB document serves as a reference for companies in carrying out mining activities during the exploration, production operation, processing and/or refining, and post-mining stages. Therefore, every RKAB submission must undergo an evaluation process before receiving government approval.

During this evaluation process, the Directorate General of Minerals and Coal examines various aspects, including administrative completeness and licensing legality, and the conformity of the mining plan with good mining practice principles. Other aspects include the fulfilment of environmental obligations, including reclamation guarantees, mining safety, and the company’s ability to meet state revenue obligations.

“We continuously make corrections and evaluate the submitted documents so that mining activities proceed according to plan and adhere to the principles of good mining governance. Every approval is granted after all required aspects are declared to have met the provisions,” Tri stated.

The regulation regarding the RKAB is reinforced through Government Regulation Number 25 of 2024 and Minister of Energy and Mineral Resources Regulation Number 17 of 2025. All RKAB submissions are also conducted electronically through the integrated e-RKAB information system as part of the digital transformation of mineral and coal governance.

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