PP Muhammadiyah Says There Has Been No Official Offer On Mining Management From The Government

General Secretary of the Muhammadiyah Central Executive (PP) Abdul Mu'ti (ANTARA)

JAKARTA - General Secretary of the Muhammadiyah Central Executive (PP) Abdul Mu'ti said that there had been no discussion between the Government and his party regarding the possibility of mining management regarding the granting of a Mining Business License (IUP) to religious community organizations (ormas).

"If there is an official government offering to Muhammadiyah, it will be discussed carefully," said Mu'ti in a statement quoted by ANTARA, Monday, June 3.

Mu'ti also emphasized that Muhammadiyah would not be in a hurry and measured its ability so that mining management would not cause problems for organizations, society, nation and state.

According to him, the possibility of religious organizations being able to manage mines is the government's authority. "The possibility of religious organizations managing mines is not automatic because they must meet the requirements," said Mu'ti.

It is known that President Joko Widodo, Thursday (30/5), has signed Government Regulation (PP) Number 25 of 2024 concerning amendments to Government Regulation Number 96 of 2021 concerning the Implementation of Mineral and Coal Mining Business Activities.

Article 83A paragraph (1) of PP Number 25 of 2024 states that the new regulation allows religious community organizations such as Nahdlatul Ulama and Muhammadiyah to manage special mining permit areas (WIUPK).

WIUPK is an area given to permit holders. Based on Article 83A paragraph (2), WIUPK which can be managed by religious mass organizations is a coal mining area that has already operated or has produced.

However, based on Article 83A paragraph (5), business entities of religious organizations that hold the region are prohibited from collaborating with holders of the Coal Mining Concession Work Agreement (PKP2B) or against companies or parties affiliated with the previous company.

WIUPK's offer to religious mass organizations business entities is limited, which is only five years since PP Number 25 of 2024 takes effect. Thus, WIUPK's offer to religious mass organizations business entities is only valid until May 30, 2029.

It is known, since 2022, the government has evaluated the mining business license given to the private sector. This is based on Law (UU) Number 3 of 2020 concerning Amendments to Law Number 4 of 2009 concerning Mineral and Coal Mining.

In 2022 it was found that as many as 2,078 IUPs were deemed not implementing the company's work plan and budget. The Ministry of Investment/Investment Coordinating Agency (BKPM) was then mandated to carry out the revocation from January to November 2022.