Coal director supports Adaro in dispute with regent

The Ministry of Mines and Energy's coal directorate has turned down the request of the Hulu Sungai Utara regency in South Kalimantan for a permission to impose a coal fee of Rp 500 per ton on coal mining company PT Adaro Indonesia, Kompas daily reported.

The directorate cited that the planned coal fee was in contravention with the contract of work signed by the government and the company, Adaro's manager Edy Suwignyo said in the provincial capital of Banjarmasin on Wednesday.

Hulu Sungai Utara regent Suhailin Mochtar confirmed the directorate's decision. (*)