Bahlil Says Government Gives Permit To Manage Mines To Religious Organizations Without Auction Process

Minister of Investment/Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia. (Photo: Doc. ANTARA)

JAKARTA - Investment Minister Bahlil Lahadalia revealed that the government can directly grant Special Mining Business Permits (IUPK) to community organizations or religious organizations without going through the auction process.

For your information, religious organizations can get IUPK from the former Coal Mining Concession Work Agreement (PKP2B). This provision is contained in Government Regulation Number 25 of 2024.

The regulation has been signed by President Joko Widodo (Jokowi) on May 30, 2024.

"Yes, it was appointed directly. The first priority is the former PKP2B, if the former PKP2B is the result of the relinquish rather than the contract of the work," Bahlil said in a press conference at the BKPM Office, Jakarta, Friday, June 7.

Bahlil said the process was to shorten the stages for religious organizations to get coal mining concessions.

"So we're short, because if we tell them to tender this religious organization, until the chicken grows teeth that's not finished. Because it's definitely a big cost, the process must be this. This is an affirmative of the state," he said.

Furthermore, Bahlil said that the mining management offer targets religious organizations on a large scale and already has a business entity.

"So we offer first to the parents of large religious organizations such as NU, Muhammadiyah, then churches, the parent of Protestants, the parent of Catholicism, then Buddhism and Hinduism. This used to be a top priority," he said.

"After this, we will coordinate with them to provide an explanation. The mechanism will be that our team will communicate, the first stage of socialization power first," continued Bahlil.

Currently, religious organizations that have processed permits first are Nahdlatul Ulama (NU).

At the latest, this mining governance permit will be issued next week.

"NU has finished, it has been processed, I will use the principle because this is for the afterlife savings, the sooner the better. God willing (next week)," he said.

Bahlil said the permit was granted through the establishment of a business entity.

Later, said Bahlil, after the IUPK was given, the government would find a contractor in its operation.

"Some of these IUP holders are done by contractors. Our job is the government after we give this IUP to community organizations, so we look for partners," he said.