Indonesia Could Get IDR 10 Trillion in Royalties from Nickel and Tin Imports into Simbara

Coordinating Minister for Maritime Affairs Luhut Binsar Pandjaitan (Photo: Antara)

JAKARTA - The government officially launched the Mineral and Coal Information System between Ministries and Institutions (Simbara) today, Monday, July 22.

In his remarks, Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan said that Indonesia has the potential to earn royalties of IDR 5 to IDR 10 trillion from the inclusion of nickel and tin into this system.

"Just from royalties, we can get IDR 5-10 trillion. Just royalties, not talking about taxes," said Luhut in his remarks at the "Launching and Socialization of the Implementation of Nickel and Tin Commodities through Simbara", Monday, July 22.

Luhut believes that by including other commodities in this system, Indonesia can become a great country. The reason is, entrepreneurs can be more orderly in doing business in the mineral sector and can prevent leakage of state revenues from illegal mining modes and avoidance of state revenue payments.

"If he doesn't comply, by Customs, he can't export. Whoever he is, he can't wear yellow, red, black clothes. He can't be backed by soldiers and police. This system will discipline this nation," continued Luhut.

Luhut admitted that the entry of nickel and tin into this system was quite late. This acceleration only occurred after the alleged corruption case of tin trading in the Mining Business Permit (IUP) area of ​​PT Timah Tbk in 2015–2022 which was handled by the Attorney General's Office.

"The incident of corruption in tin, pushed us to accelerate this process," concluded Luhut.