IUP Is Better Managed By BUMD Than Ormas
Mining illustration (Photo; Antara)

IUP Is Better Managed By BUMDes Than Mass Organizations

Mining observer and researcher at Alpha Research Database Ferdy Hasiman opened his voice regarding the plan of the Minister of Investment/Head of the Investment Coordinating Board (BKPM), Bahlil Lahadalia to distribute mining business permits (IUP) to religious community organizations (ormas).

Ferdy said, rather than being given to mass organizations, IUP should be managed by Regional Milim Business Entities (BUMD) or State-Owned Enterprises (BUMN) that have the capability to manage mining.

"If you want to manage it, you should be with a private company or a state-owned company or BUMD. So that the results are enjoyed by regions and countries, not distributed to mass organizations. That's what I want to make mass organizations not have the power to face power," he said when contacted by VOI, Tuesday, April 30.

Ferdy considered the decision to be a'sawur' decision. According to him, IUP should be managed professionally including having an Environmental Impact Problem Analysis (Amdal) and having various procedures that must be passed through both the Ministry of Energy and Mineral Resources and the Ministry of Environment and Forestry (KLHK).

"So the one who manages it is the business entity that has PT. It is managed professionally because we know that this mining has extraordinary destructive power," continued Ferdy.

Ferdy said that mining can only damage the environment but also public health around the IUP so that it must be managed properly by competent parties.

He further said that the decision to give IUP to mass organizations was contradictory to the government's downstream program. On the one hand, the government wants to downstream by building a purification factory, but on the other hand, the government actually provides IUP to mass organizations

"That's the division of office cakes. So it's not true that it has to be fought because it violates the law. So there must be power to be able to regulate one of them managing the mining sector," explained Ferdy.

Regarding Bahlil's statement that said that the IUP to be given to mass organizations was an IUP that was previously ordered to be revoked by Jokowi, Ferdy assessed that the IUP should have been put in order and not given to mass organizations. According to him, this decision is more inclined towards the interests of the government which are related to the distribution of power 'cakes'.

In addition, the decision to give the IUP is also considered to be able to kill mass organizations which are important pillars in the life of democracy.

"So in my opinion, it is the duty of mass organizations to control power so that there is no abuse of power related to the misuse of natural resources. So instead of overturning it. Ormas even get power cakes from IUP. That's not true. It's really damaging. Even if it's in the village, it's better to get it to BUMDes," said Ferdy.

In three money with Ferdy, Energy Economy Expert from Gadjah Mada University (UGM) Fahmybulhi said the IUP should be handed over to Village-Owned Enterprises (BUMDes) so that it can provide benefits to the community around the IUP area which is usually affected by mining exploitation.

"So whether through BUMD or BUMDes is more appropriate and the results are for the affected people," Fahmy told VOI.

Fahmy reiterated that the decision to hand over IUP to mass organizations was not the right decision because religious organizations did not have capabilities in terms of adequate capabilities and capital.

Instead of being handed over to religious organizations, Fahmy advised the government to provide 2 percent profit from mining products to mass organizations.

"So if you want to help religious organizations, just give 2.5 percent of the funds from certain areas to mass organizations related to the people, not by giving rights because it is not the domain of the religious organizations," he concluded.

Previously, Bahlil said that the reason for the provision of this IUP was because religious organizations had services in releasing the Indonesian people. Therefore, according to Bahlil, mass organizations should be given appreciation for all their contributions to the state. One of them is by permission to work on mines.

"The logic is like this, you guys have a heart, NU Muhammadiyah, church leaders, Hindu temples. When Indonesia was not yet independent, who freed this nation?," he told reporters met at the Office of the Ministry of Investment, Jakarta, written Tuesday, April 30.


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