Minister Of Energy And Mineral Resources Expressed State Losses Due To Illegal Mining Reaching IDR 1.6 Trillion

JAKARTA - Minister of Energy and Mineral Resources (ESDM) Arifin Tasrif revealed that the potential loss to the state due to unlicensed mining (Peti) in 2019 reached IDR 1.6 trillion.

"What we identified was Rp1.6 trillion, but we must handle this and it is important is the impact of environmental damage," said Arifin in the Management Synchronization of Mining Governance, Main Mineral for Political, Legal and Security Perspective, at the Coordinating Ministry for Political, Legal, and Security Affairs Office, Tuesday, March 21.

Arifin also revealed that the estimated loss in 2022 due to the Pet is IDR 3.5 trillion.

"Illegal mining activities in the area have many problems that we have to deal with, not only the issue of law enforcement but also the impact of social problems that must be followed up," continued Arifin.

He added that the management of this illegal mine had indeed been regulated in Law Number 3 of 2020 concerning Mineral and Coal Mining (Minerba). He said that in the law there was a clause stating that the People's Mining Permit (IPR) was extended from IPR 25 hectares to 100 hectares.

"And the regional head is asked to provide recommendations regarding the People's Mining Area (WPR) and then the WPR will be fostered on how they manage the mine properly and the top managerial needs to be completed," said Arifin.

He said there were at least 2,741 illegal mining locations, with details of 1,092 locations already included in the WPR and 1,600 locations still needed to be completed.

"From this management there is refraction, through law enforcement, and of course it must go through a law enforcement task force, of course those that have been legalized will be implemented a digitalization system, the path of formalization is carried out through the issuance of people's mining permits as well as regarding the development of supervision," concluded Arifin.