MIND ID Boosts Mineral Management to Maximise State Revenue
The Indonesian Mining Industry Holding Company (MIND ID) is acting as an extension of the state in managing mineral natural resources to optimise state revenue and strengthen the governance of the national mining sector.
This role aligns with the mandate of the 1945 Constitution, Article 33, Clause (3), which asserts that the natural wealth contained within the earth is controlled by the state and utilised to the greatest extent for the prosperity of the people.
MIND ID President Director Maroef Sjamsoeddin stated that Indonesia’s mining sector possesses immense economic potential, which can be further leveraged to bolster state revenue contributions. As a company, MIND ID continues to strengthen its role in optimising national mineral resource management through production enhancement, downstreaming, improved governance, and the development of an integrated industrial ecosystem.
“The optimisation of state revenue will be most effective through the management of natural resources directly via state-owned entities. With policy support from all stakeholders, MIND ID is committed to strengthening its contribution to the state through increasingly integrated mineral resource management, enhanced downstreaming, and the development of value-added industries,” he explained during a hearing with Commission XII of the Indonesian House of Representatives (DPR RI).
According to the company’s 2025 Sustainability Report, MIND ID recorded a Generated Economic Value of IDR 185.16 trillion, with a Distributed Economic Value of IDR 180.30 trillion, demonstrating the significant flow of economic benefits to various stakeholders, including the state, partners, and the community. The contribution to the state is also reflected in total government obligation payments reaching IDR 32.82 trillion, comprising dividends, taxes, and other obligations.
Furthermore, Maroef emphasised that there remains significant room to strengthen MIND ID’s contribution to the management of national strategic commodities. Consequently, the MIND ID Group continues to expand production capacity while accelerating the development of downstream projects that serve as the foundation for national value creation.
The MIND ID Group is developing various strategic projects, ranging from an integrated bauxite-alumina-aluminium ecosystem and gold refining and minting, to an electric vehicle battery ecosystem. These developments are directed towards strengthening domestic value-add, expanding the national industrial base, and further increasing the economic contribution to the state.
In addition to contributing to state revenue, the MIND ID Group performs a strategic function in maintaining national energy security. Bukit Asam, a member of the MIND ID Group, consistently meets or even exceeds its Domestic Market Obligation (DMO), ensuring that the coal supply for national power plant needs remains stable. This role demonstrates that MIND ID contributes not only through state revenue but also by fulfilling its strategic mandate to maintain national energy security and ensure the public has access to reliable and affordable electricity.
Maroef asserted that MIND ID is prepared in terms of human resources, technology, operational experience, and industrial networks to strengthen the management of national natural resources. Therefore, strengthening the role of State-Owned Enterprises (SOEs) in the mineral sector is not merely aimed at improving corporate performance, but at ensuring more value-add, employment, technological mastery, and state revenue are created domestically.
“We are ready to undertake a larger mandate in managing national natural resources. With synergy between the government, the DPR, and MIND ID, we believe Indonesia’s mineral wealth can serve as an even stronger foundation for strengthening economic sovereignty and the prosperity of the people,” Maroef explained.
In the meeting’s conclusion, Commission XII of the DPR RI expressed support for the various efforts undertaken by MIND ID and its group members to strengthen national mining governance, accelerate downstreaming, increase value-add, and optimise the benefits of natural resources for the state. Commission XII also supports MIND ID in obtaining certainty regarding the implementation of the Domestic Market Obligation (DMO) and strengthening the trade of strategic commodities, such as gold, to ensure greater transparency, fairness, and increased state revenue.
This support serves as a vital foundation for MIND ID to continue strengthening its contribution to the national economy through increased production, downstream industry development, enhanced governance, and the optimisation of national mineral resource management.
Member of Commission XII of the DPR RI, Yulian Gunhar, emphasised that the formation of MIND ID was initially directed towards transforming mineral management from mere extraction activities into a national industrial force capable of creating value for Indonesia.
“The state controls natural resources, processes them itself, develops them into industries, creates value-add, until the ultimate goal of people’s prosperity is achieved,” said Gunhar.
According to Gunhar, MIND ID plays a strategic role as a state instrument to ensure that Indonesia’s natural resource wealth does not remain as raw commodities, but evolves into a foundation for industrialisation, value creation, and public prosperity, as mandated by Article 33 of the 1945 Constitution.