Borneo unit seeks exemption from L/C requirement
Saturday, April 4 2015 - 07:01 AM WIB
Sudjatmiko, Director for Coal and Mineral Management Program at the Ministry of Energy and Mineral Resources, said that Asmin Koalindo was so far the only mining firm which has made an official request for exemption from the L/C requirement.
Borneo through subsidiary PT Asmin Coalindo Tuhup operates a concession located in Murung Raya, Central Kalimantan.
Sudjatmiko said that his office would help faciliate other miners in making request to the Ministry of Trade for en exemption from the L/C requirement.
The Ministry of Trade has issued a new regulation, effective April 1, requiring miners, oil palm plantations, and oil and gas firms to use the L/C payment system in making export to help ensure the government obtains proper export proceeds data. The government, however, then exempted oil and gas firms from the requirement following protest.
Director General of Mineral and Coal R. Sukhyar said Wednesday that as many as 10 mineral mining firms and 23 coal miners have requested for exemption from the L/C requirement.
Bisnis Indonesia quoted Sukhyar as saying that the mining firms are concerned that the switch to the L/C system will increase cost, and affect export amid the current downturn in global coal and mineral markets.
Daisy Primayanti, spokesperson of PT Freeport Indonesia, was quoted by Kontan as saying that the company has requested to be extempted from the new L/C requirement because it has properly reported its export activities to the government.
Meanwhile, Leksono Poeranto, Director of coal miner PT Indo Tambangraya Megah, appealed to the government to be allowed to use the current telegrapher transfer system for tis export to Hawai until 2016. ?We still coal trade contract with a volume of less than 1 million tons. We don?t want to kill their business if they?re forced to use the L/C system. (*)