IAW Highlights Allegations Of Errors In Implementing Nickel PNBP Tariffs To Cause Potential Trillions Of Losses

Illustration of nickel ore (ANTARA)

JAKARTA Secretary of Founder of Indonesian Audit Watch (IAW) Iskandar Sitorus highlighted seriously the alleged error in the application of PNBP rates in the nickel sector which he assessed had caused potential state losses of up to trillions of rupiah.

He emphasized that this issue was not merely a difference in numbers, but a failure in governance that threatened the legitimacy of government policies.

Iskandar conveyed that the problem started with a letter from the Directorate of Supervision of BPKP number PE.04.02/S-30/D102/2/2025 dated January 20, 2025. The letter confirms that the sale of nickel ore to the HPAL smelter is entitled to a PNBP rate of 2 percent, as long as all conditions are met.

However, in the tripartite forum in early February 2025, new calculations emerged at a rate of 10 percent without a THP revision procedure and without a formal response opportunity for taxpayers.

"This is where the procedure jumps occur. The tariffs suddenly change from 2 percent to 10 percent without a valid basis. This is not just an administrative error, but a dangerous tariff error," said Iskandar, Wednesday, November 26.

According to him, changes in numbers without document revisions and without following applicable regulations including PP No. 1 of 2021, Permenkeu No. 12 of 2022, PP No. 26 of 2022, and Presidential Decree No. 55 of 2019 "has caused chaos in the collection process. He emphasized that the regulation should be the legal basis for determining tariffs.

"When the tariff is applied incorrectly, the impact will be direct to the state. Two of the 16 companies alone have overpaid more than Rp186 billion due to misimplementation of tariffs," he said.

IAW noted that similar findings have been repeated for a decade, with the potential for wrong collection and mispayment of PNBP nickel sector reaching IDR 5 to IDR 12 trillion per year. Iskandar assessed that this situation signifies the weak discipline of procedures and the lack of consistency in the application of regulations.

He added that the 2 percent versus 10 percent tariff chaos was only the peak of deeper problems, namely violations of the rule of law.

Procedures are stepped in, substance is changed halfway, and decisions are forced. That's what we call a deadly leap," he said.

IAW encourages settlement through mediation and independent comparison, and asks BPK to review the methodology and findings of BPKP. If there is no common ground, legal channels such as lawsuits to the Administrative Court are the last option to test the legality of government administrative decisions.

Iskandar emphasized that before the government publishes the achievement of PNBP which is high, transparency and correctness of the process must first be improved.

"Legitimization does not come from a large number, but from the application of correct rates and an honest process. Fix the process first, the results will stand firm," he concluded.