Purbaya on Coal Export Duty Regulation: There Are Objections

Finance Minister Purbaya Yudhi Sadewa has revealed the reasons why coal export duty regulations have yet to be enforced. The Ministry of Finance had previously targeted implementation of the regulation from 1 January 2026.

“There are still some objections,” Purbaya told journalists at the Ministry of Finance office in Jakarta on Friday, 13 March 2026. He stated that the ministry would swiftly resolve the matter so that coal export duties could be implemented shortly.

Previously, the Director General of Economic Strategy and Fiscal Policy at the Ministry of Finance, Febrio Nathan Kacaribu, stated that coal export duty regulations were still under discussion and finalisation. He said details of the regulation would be announced once completed.

Febrio also noted that commodity prices are currently surging, in line with rising crude oil prices due to Middle Eastern conflicts. “The government certainly has concerns and urgency in seeing how we can take advantage of price increases, and of course state revenue must also increase accordingly,” Febrio said at a Budget Statement press conference at the Ministry of Finance office on Wednesday, 11 March 2025.

Purbaya previously highlighted the low state revenue from the coal industry. He assessed that the Job Creation Law changed the status of coal from a non-taxable good to a taxable good.

“As a result, the coal industry can request VAT (Value Added Tax) restitution from the government. That is approximately Rp 25 trillion per year,” Purbaya said at the DPR Complex on Monday, 8 December 2025. The state treasury is targeting that the implementation of coal export duties can contribute Rp 20 trillion to state revenue.