Curbing illegal coal mining bears fruits

The government's efforts to curb illegal coal mining activities have born fruits. That could be seen from the awarding of coal mining contracts (PKP2B) to three coal contractors that would contribute Rp 2.01 billion and US$315,267 or a total of Rp 4.54 billion to the government coffers.

The coal director at the Ministry of Energy and Mineral Resources, Suyartono, said that the three companies - namely PT Kadya Caraka Mulya (KCM), PT Baramulti Sukses Sarana (BSS), and PT Tanjung Alam Jaya (TAJ) - had paid about half of their obligations to the government. Currently they still owe Rp 2.56 billion tot he government.

The three company's contributions to the government comprise of sales of coals that belong to the government and production levies that have to be paid to the government. PT KCM's obligations to the government totals Rp 4.57 billion, PT BSS US$ 228,977 and PT TAJ US$ 87,289.

PT BSS and PT TAJ, Suyartono said, had paid all their obligation. While PT KCM paid only part of their obligation.

"We have given a deadline for PT KCM to pay all of its obligation, that is the first week of September," he said.

He noted that the awarding of coal contracts to the three companies was a follow up effort from the government to curb illegal coal mining activities. The government had rejected the extension of a number of contracts held by village-level cooperatives (KUD), and even revoked some contracts given to those which could not upheld mining rules. (*)