Bahlil Explains Jokowi's Reason For Permitting Religious Organizations To Manage Mining: Having Contribution To The State

JAKARTA - Investment Minister/Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia opened up the reasons for giving coal mining concessions to religious community organizations (ormas). Bahlil said religious organizations had a contribution in Indonesia's struggle to achieve independence.

"In our view and targeting the direction of the President, we cannot argue the contribution of these figures and organizations," he said at a press conference at the BKPM Office, Jakarta, Friday, June 7.

Bahlil also said that during the Dutch military aggression in 1948 religious organizations also had an important role in fighting the invaders. At that time, according to Bahlil, scholars, especially from NU and Muhammadiyah, issued a fatwa of jihad.

Not only that, he continued, in the process of Indonesian independence, many problems occurred at the central and regional levels, such as the Ambon and Poso conflicts. Including the disaster that hit Aceh a few years ago, it was religious organizations that intervened to help not entrepreneurs.

"Emang, when the country before independence was independent, when the country (has experienced) a disaster, (there are) problems, I'm sorry, are these investors, these entrepreneurs who take care of our people?" he said.

On this basis, Bahlil views that religious organizations are very important as a manifestation of the presence and firmness of the nation.

"In that perspective, we are then of the view that this religious organization is also part of the state's assets and they take care of the people," he explained.

In addition, Bahlil also emphasized that the decision to give mining concessions to religious organizations was already based on the right rules.

"So this is not a joke. What does it mean? The President's order is redistribution, not to be controlled by only certain groups," said Bahlil.

As previously reported, President Joko Widodo officially signed a Government Regulation that allows religious community organizations (ormas) to manage the Special Mining Business Permit Area (WIUPK).

This provision is stated in PP number 25 of 2024 regarding amendments to Government Regulation (PP) Number 96 of 2021 concerning the Implementation of Mineral and Coal Mining Business Activities which were signed on May 30.

The rules related to the management of WIUPK by mass organizations are listed in Article 83A which states, (1) in order to improve community welfare, WIUPK can be made a priority offer to Business Entities owned by religious community organizations.

The WIUPK as referred to in paragraph (1) is an area of the former Coal Mining Concession Work Agreement (PKP2B).

"The IUPK and/or share ownership of religious community organizations in Business Entities as referred to in paragraph (1) cannot be transferred and/or transferred without the Minister's approval," reads Article (3) quoted on Friday, May 31.