KUTAI KARTANEGARA - PT Multi Harapan Utama (MHU), part of the MMS Group Indonesia (MMSGI), hosted the visit of the international delegation of the International Climate Initiative Just Energy Transition (IKIJET) which was initiated by Deutsche Gesellschaft för Internationale Zusammenarbeit (GIZ) on Wednesday, October 15, in Loa Kulu, Kutai Kartanegara, East Kalimantan.
This activity presents more than 40 participants from nine countries, including Chile, Colombia, Mongolia, South Africa, Thailand, Vietnam, India, Kazakhstan, and Indonesia, as well as representatives from the Ministry of Energy and Mineral Resources (ESDM), the Coordinating Ministry for the Economy, and Bappenas. This visit is part of the International Capacity Development Program for the Coal Regions in Transition, which aims to strengthen knowledge exchange related to the practice of equitable energy transition in coal-producing areas.
Delegation directly inspected the post-mining MHU area in Jonggon Jaya Village, Kutai Kartanegara. The area, which used to be a mining area, has now transformed into an agro-industry, educational, and innovation center for local communities. Through various initiatives, MHU shows how the energy transition can run fairly for humans and the environment.
"The fair energy transition is not only about moving from fossil to new energy, but also about maintaining life and empowering society. The success of the transition is measured by how much life we can rebuild throughout the process," said Aris Subagyo, Head of MHU Mining Engineering, quoted Monday, October 20.
MHU understands that a fair energy transition cannot be separated from the local economic impact due to the end of mining activities (economic placement). Therefore, the company runs various Corporate Social Responsibility (CSR) programs and Community Empowerment Programs (PPM) which are prepared based on social mapping, so that they are in accordance with the potential of the local community.
These programs involve various stakeholders ranging from the community, MSMEs, cooperatives, BUMDes, educational institutions, to local governments to ensure their impact sustainability.
MHU's success in in integrating sustainability practices in post-mining areas is considered as a real example of how mining companies in Indonesia can contribute directly to the agenda of a just energy transition.
"The post-mining MHU program offers valuable lessons about one example of the coal mining company's initiative to rehabilitate its land and empower local communities and indigenous peoples, as well as help diversify their economy outside of coal inclusively," said Ade Cahyat, a representative of GIZ Indonesia/ASEAN.
One example of its success is the BUMDes Sungai Payang, which is now growing into BUMDes with a turnover of IDR 19 billion in 2024, and has succeeded in creating more than 200 jobs including single parents' and underprivileged women. This BUMDes has developed into a B2B business entity in the logistics, catering and construction sectors, and has started to have an independent CSR program since 2020.
It doesn't stop there, MHU also empowers traditional Dayak Kenyah women in Lung Anai Village. Managed by 12 traditional women, they developed downstream cocoa beans with guidance from BUMDes Ba Waqna, producing processed chocolate products through the Lung Anai Chocolate House. This program is one of the first business models in Indonesia where chocolate products are branded and produced directly by indigenous peoples.
Through a collaboration between MMSGI, PT Bramasta Sakti, and the Samarinda State Agriculture Polytechnic (Politani Samarinda), an academic study and the preparation of a white paper on post-mining land transformation has been carried out into agroindustri based on local potential.
This study includes research in agriculture and the economy, including market analysis and community involvement. One of the results is the development of organic fertilizers Biomasta, which is able to increase the fertility parameters of former mine soils.
Currently, MMSGI and Politani Samarinda are conducting research related to the impact of Biomasta' organic fertilizer made from cow impurities in Jayatama Miniranch to be used in citronella cultivation in the post-mining MHU land in the PT Bramasta Sakti area. This initiative is part of an effort to encourage the creation of a circular economy in the post-mining region.
Through Jayatama Miniranch and the horticultural demoplot, Bramasta collaborated with SMK El Fhaluy Al Faizin and SMKN 3 Tenggarong in the Field Work Practice (PKL) program. This collaboration is a forum for students to gain real work experience and strengthen modern agricultural and livestock competencies in post-mining areas.
The transformation of the post-mining MHU area is a real example that sustainable mining practices can go hand in hand with the social and economic empowerment of the community. From the former mining land, new life has now grown, creating added value, opening up job opportunities, and strengthening local economic resilience.
We believe that true transformation originated from humans. Therefore, every program we have is oriented towards empowerment and cross-sectoral collaboration, so that the community around the mine continues to grow and be independent," Aris concluded.
This effort is proof that from mining, new life is born, and from the land that has been reclamationd, new hope grows for a green, inclusive and just future.
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