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Market Brief

Indonesian Government Proposes Higher Coal-Mining Royalties, an Industrial Info Market Brief

Indonesia's Energy and Mineral Resources Ministry has proposed revising the country's coal-mining regulations and royalties in order to increase the government's share of coal-mining revenue to 79%.

Released Thursday, June 27, 2019

Indonesian Government Proposes Higher Coal-Mining Royalties, an Industrial Info Market Brief

Indonesia's Energy and Mineral Resources Ministry has proposed revising the country's coal-mining regulations and royalties in order to increase the government's share of coal-mining revenue to 79%.

The proposed royalty rate modifications, presently awaiting the approval of the energy minister, would occur when contracts-of-work permits for coal mining operations are changed to special mining permits, which are required under a 2009 mining law. The proposal comes when demand for Indonesia's coal is in decline due to China and India limiting coal imports. Industrial Info is tracking 44 coal-mining projects worth $4.24 billion in Indonesia. Click here for the list of projects.

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