To Boost State Revenue, Bahlil Plans to Increase Nickel Reference Price

JAKARTA - The Minister of Energy and Mineral Resources, Bahlil Lahadalia, plans to increase the reference price for nickel minerals. This policy is aimed at boosting state revenues from the mineral sector.

Bahlil stated that the plan comes from instructions by President Prabowo Subianto. The government has been tasked with identifying new revenue sources in the mineral sector that have not been optimally utilised for the state.

“The President has instructed us to seek revenue sources in the mineral sector that have so far been unfair to the state. Most likely, I will raise the HPM for nickel,” he said in a statement uploaded to the Presidential Secretariat’s YouTube channel on Friday (27/3/2026).

He emphasised that policies in the energy and natural resources sector must prioritise the interests of the state. Natural resources are considered strategic national assets.

“The President has instructed me to pay attention to the interests of the state, with priorities above all else. And we must safeguard our natural resources; these natural resources are state assets,” Bahlil said.

As a result, royalty payments from companies to the state will increase. This policy will also help curb practices of setting excessively low selling prices.

On the other hand, the increase in the HPM has the potential to boost company revenues in line with higher transaction values.