RKAB Depleted, PT Timah Confirmed Able to Continue Production
The Indonesian Mining Industry Holding (MIND ID) has ensured that PT Timah Tbk can continue its activities in the production, processing, refining, and sale of tin commodities within its mining business permit (IUP) area on Belitung Island, even though the company’s 2026 Work Plan and Budget (RKAB) quota has been fully realised.
MIND ID President Director Maroef Sjamsoeddin explained that the continuation of these operational activities is legally grounded in Presidential Regulation (Perpres) Number 79 of 2026 concerning the Acceleration of Improvements in Tin Mining Governance in the Bangka Belitung Province area. The regulation, which was enacted and promulgated on 31 August 2026, specifically governs the acceleration of governance improvements in the region. One of its provisions regulates PT Timah’s activities in the Belitung area while the governance improvement process is underway.
Maroef explained that the issue originated from an incident involving the burning of PT Timah’s office in Belitung on 7 August 2026. According to him, one of the triggers for the incident was social unrest caused by the inability to process payments for mining services from PT Timah to the local community.
“This incident was partly triggered by social unrest due to the fact that payments for mining services from PT Timah (Persero) Tbk to the community could not be carried out,” Maroef stated during a hearing with Commission XII of the Indonesian House of Representatives (DPR RI), as reported on Wednesday (16/9/2026).
Maroef noted that these payments could not be processed because PT Timah’s RKAB quota in Belitung had been exhausted, while mining service activities were still ongoing. To address this issue, MIND ID and PT Timah coordinated with the government, the community, and various related stakeholders. Consequently, the government issued Presidential Regulation 79/2026 as the legal basis for accelerating the improvement of tin mining governance in Bangka Belitung.
“To resolve the unrest, MIND ID and PT Timah (Persero) Tbk, together with various elements including the government and the community, have seen the government issue Presidential Regulation Number 79 of 2026, which will serve as the legal basis for PT Timah (Persero) Tbk to implement improvements in tin mining governance in Belitung,” he said.
Key provisions within the regulation include the improvement of governance within PT Timah’s IUP areas, the acceleration of governance strengthening, provisions for purchasing tin commodities from outside PT Timah’s IUP areas, and the granting of approval for the production, processing, refining, and sale of tin above the RKAB quota, specifically in the Belitung area during the governance improvement process.
“Through these efforts, tin commodity operations will be conducted based on regulations and good governance, ensuring that business activities provide benefits that can be felt more widely,” he added.
Citing the regulation, the specific provision serving as the basis for the continuation of PT Timah’s operations is found in Article 11. Under this article, the minister responsible for mineral and coal mining affairs grants approval to PT Timah to conduct the production, mining, processing, refining, and sale of tin commodities originating from PT Timah’s IUP area on Belitung Island above the RKAB quota.