Facts Behind BPK Findings Highlighted by PB HMI on Reclamation and Post-Mining in Southeast Sulawesi

The Executive Board of the Islamic Students’ Association (PB HMI), through its Energy and Mineral Resources (ESDM) division, is pushing for strengthened governance of reclamation and post-mining activities in Southeast Sulawesi Province. The organisation believes that mining sector management must be continuously improved to comply with statutory regulations and support environmental protection.

Munawir, Deputy Secretary of the ESDM Division at PB HMI, stated that this concern refers to the 2023 findings of the Supreme Audit Agency (BPK) Representative Office in Southeast Sulawesi regarding the implementation of reclamation and post-mining obligations. According to him, the audit results indicate a number of discrepancies in the preparation of reclamation plans, post-mining plans, and the fulfilment of reclamation obligations by companies holding Mining Business Permits (IUP).

“The findings show that there are still exploration-stage IUPs that have not placed reclamation guarantees, production operation IUPs that have not placed reclamation guarantees, and production operation IUPs that have not placed post-mining guarantees as required by laws and regulations,” Munawir said.

Munawir considers these findings a serious concern as they relate to aspects of supervision and regulatory compliance in the mining sector. Consequently, PB HMI’s ESDM Division is urging a comprehensive investigation into these various findings, including the process of issuing and supervising Mining Business Permits. He stated that this step is crucial to ensure that all provisions in mining management are carried out in accordance with applicable rules.

According to Munawir, a number of IUP holders are suspected of not complying with the provisions stipulated in the Minister of Energy and Mineral Resources Regulation Number 7 of 2014 concerning the Implementation of Reclamation and Post-Mining in Mineral and Coal Mining Business Activities, as well as Minister of Energy and Mineral Resources Regulation Number 26 of 2018 concerning the Implementation of Good Mining Practices and Mineral and Coal Mining Supervision.

Citing data from the 2023 BPK Representative Office of Southeast Sulawesi audit, PB HMI highlighted that there are 165 exploration-stage IUPs that have not been equipped with reclamation plan documents and 166 exploration-stage IUPs that lack environmental documents. Additionally, a number of production-operation stage IUPs were found to be without reclamation plan documents, updated reclamation plan documents for the period up to 2023, feasibility study documents, and environmental documents.