Ganjar Pranowo Vows Nickel Smelter Moratorium If Elected President

TEMPO.CO, Jakarta - Presidential and vice presidential candidate number 3 Ganjar Pranowo-Mahfud MD pledged to impose a moratorium on nickel smelters if elected in the 2024 election. This measure is aimed at maintaining the sustainability of the country's nickel reserves.

“We don't want the nickel reserves to run out when the industry for its derivatives is ready,” said a spokesman for the Ganjar-Mahfud campaign team, Edi Sutrisno, in Jakarta, on Tuesday, January 9.

Edi also said that Ganjar-Mahfud would develop the local economy and support the growth of national industry. Not only will nickel be utilized in electric car batteries, but it will also be used in other products such as air conditioners.

“We are not only thinking about developing the nickel industry but also other industries,” he added.

He did not deny the fact that Ganjar-Mahfud will rely on nickel and bauxite as candidate number 3 agreed that nickel is an important commodity nowadays. 

“Under the Ganjar-Mahfud government, Indonesia will become a major player in the industry. We will use these two commodities to advance in global trade,” Edi said, emphasizing the need to create the ecosystem.

At present, the government is encouraging investment in High-Pressure Acid Leaching (HPAL) smelters, instead of smelters with Rotary Kiln Electric Furnace (RKEF) technology because of the large number of NPI producers in the country.

HAPL is a smelter that can use limonite, which is a low-grade nickel ore, as a feedstock. HPAL's technology can produce Mixed Hydroxide Precipitate (MHP), with derivatives in the form of nickel sulfate (NiSO4) and cobalt sulfate (CoSO4) which can be used as battery raw materials. 

Meanwhile, RKEF is a smelting method using a rotary furnace and electric furnace to convert high-grade nickel ore or saprolite into nickel pig iron (NPI).

Hasyim Daeng, the Director of Mineral and Coal Downstreaming at the Investment Ministry, said the government is committed to rolling out the red carpet for companies willing to invest in HPAL. “We will facilitate them if there are licensing problems,” Hasyim said.

RIRI RAHAYU

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