The Nickel Vale Indonesia Downstreaming Program Is Called Still Far From Expectations

Illustration (Photo: Doc. Antara)

Coordinating Minister for Maritime Affairs and Investment (Menko Marves) Luhut B. Pandjaitan said the downstream program of PT Vale Indonesia (INCO) is still far from expectations.

"The downstream program is far from the others," Luhut said in his remarks at the signing ceremony for the release of Vale's shares at the Pullman Hotel, Monday, February 26.

However, Luhut also acknowledged that Vale's Environmental, Social, and Governance (ESG) program has so far been going well.

Dikatakah Luhut, keberhasilan Vale dalam menjalankan program ini menjadi salah satu alasan pemerintah mengharangkan niat melakukan pencacocokan lahan atau relinquish.

"Why do we agree that there is no railquish from Vale, because we want to be a model in the world that the environmental arrangement at PT Vale Indonesia is very good," Luhut continued.

Luhut added that the Vale stock investment process is also an important sign in Indonesia's nickel downstream program in the future, especially to supply nickel needs to the European market in the United States.

Furthermore, Luhut said, the government has a downstream vision that is carried out in Indonesia not only limited to the manufacture of food utensils such as spoons and forks.

"So from iron steel we want to go down to kitchen officials who use this can be made by Indonesia, so that it really downstreams to the smallest things, I think it will create jobs," explained Luhut.

For this reason, Luhut also asked the relevant ministries to accelerate the process of all forms of licensing related to Vale, especially the extension of the KK to become IUPK Vale.

The acceleration of the extension process to IUPK is intended so that the acquisition process can be completed immediately.

"And I last asked the minister's friends, all permits that have not been released to be completed immediately. Especially the IUPK can be issued this week, so that the acquisition transaction process can be completed immediately," he explained.

Regarding Vale's slow downstream process, previously SOE Minister Erick Thohir said that although it was established 55 years ago, the downstream project was still running slowly.

"It's been slow, it's been 50 years. Just read the data," he said.