Purbaya on Mining Royalties: We Will Follow Mr Bahlil's Formula

Finance Minister Purbaya Yudhi Sadewa stated that his ministry is prepared to follow the formulation prepared by the Ministry of Energy and Mineral Resources (ESDM) regarding plans to adjust royalty and export duty rates in the minerals and coal sector. The government has not yet made a final decision on the new scheme. Purbaya mentioned that his side is awaiting detailed calculations from the Ministry of ESDM before the policy is formalised in official regulations. The government is also still assessing the policy’s impact on state revenues and the sustainability of the mining industry. “Yes, we will follow the policy of the Minister of ESDM. Basically, there was a change after I spoke yesterday, right? The change didn’t take long. After talking for an hour or two, there was a change. Mr Bahlil called me, so we will follow,” said the Finance Minister when met by journalists at his office in Jakarta on Tuesday (12/5/2026). Purbaya revealed that the government remains optimistic that state revenues from the natural resources sector can increase even though the tariff adjustment scheme has not yet been decided. The new formula being discussed is said to have the potential to provide greater additional revenue compared to the previous scheme. He stated that initial calculations show that the increase in state income can be achieved without causing upheaval in the mining industry. The government is still awaiting the final formulation from the Ministry of ESDM to ensure that policy implementation does not disrupt the investment climate. “If the new figures are applied, my income will increase significantly without creating a fuss. But that depends on Mr Bahlil’s calculations later,” said Purbaya. When asked about the potential additional state revenue from the new scheme, Purbaya described the value as very large. He even indicated that the additional revenue could exceed Rp 200 trillion. “It’s said to be more,” he said.