Video: Coal Production Quota Revised, Will Contractors Also Benefit?

The government, through the Ministry of Energy and Mineral Resources (ESDM), plans to increase nickel and coal production via a revision of the 2026 Work Plan and Budget (RKAB). Executive Director of the Indonesian Mining Services Association (ASPINDO), Bambang Tjahjono, stated that changes to mining production quotas will affect the mining services business. When coal and nickel production in the 2025 RKAB was lowered, mining contractors became one of the most impacted sectors, considering that approximately 90% of mining work is carried out by contractors. When the 2026 coal RKAB was reduced by 190 million tonnes from the previous year, small and medium mining contractors had to park their equipment and lay off workers. However, with the revision of the 2026 RKAB, production can increase, but unfortunately, the process of catching up on production cannot be done immediately due to the availability of mining equipment and human resources. To avoid issues with the availability of human resources and mining equipment, contractors hope the 2027 RKAB can be finalised quickly to provide investment and business certainty for both mine owners and contractors.