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ESDM Ministry Drafts Mining Divestment Regulation

29 September 2015 13:30 WIB

Ilustrasi tambang batubara. ANTARA/Muhammad Adimaja

TEMPO.CO, Jakarta-The Energy and Mineral Resources (ESDM) Ministry is drafting a ministerial decree that contains divestment obligation for private companies that work in mineral and coal businesses. The decree will be more detailed and contain some restrictions.

“We will not equalize divestment,” said mineral and coal director general Bambang Gatot Ariyono on Monday, September 28.

Divestment regulation is previously stipulated in Government Regulation No. 77/2014 article 97 about divestment obligation for mining business permit (IUP) holder and special mining license (IUPK) holder up to 51 percent within five to ten years of operation period.

Bambang said the divestment obligation will not apply for all mineral and coal business agreements. There are some differentiating factors, such as the type of commodity, business time period and mining area.

Divestment recipient will also be regulated in a separate chapter. The Government Regulation No. 77/2014 only contains the types of stock recipients, which are BUMN, BUMD and public through stock market.

ESDM secretary-general Teguh Pamudji said the divestment obligation must be specifically regulated in ministerial decree. He ensured that the new regulation will be more complete and have stronger legal certainty.

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