Millions Lose Job due to Mining Law

TEMPO.CO, Jakarta - Poltak Sitanggang, chairman of mineral Mining committee at the Chamber of Commerce and Industry (Kadin), said the government policy to create mineral downstream industry had disabled the miners to keep their workers due to the issuance of the Law Number 4/2009 regarding Mineral and Coal Mining.

"About 10 million people lost their jobs after the regulation was enforced," Poltak said in a discussion at Kadin yesterday.

Therefore, Poltak hopes president-elect Joko 'Jokowi' Widodo and deputy-elect Jusuf 'JK' Kalla would evaluate the regulation in their first 100 days of service term. In addition to causing millions of people to lose their job, Poltak said the bill was hampering the optimization of mining industry governance.

Poltak stated that Indonesia’s Mineral Entrepreneurs Association (Apemindo) and Kadin have provided the new government with recommendations including finalizing mining contracts for mineral (locally known as KK) and coal (PKP2B), and controlling mineral ores exports (particularly for nickel, bauxite and manganese).

The institutions suggested the new government to work with regional authorities, police and the army to address illegal mining issues, as well as with other governmental institutions to facilitate smelter constructions.

HUSSEIN ABRI YUSUF