DMO's realization reaches 11,851 tons in Q1

By Hisky Darmayana

The government announced that coal miners have supplied some 11,851 tons in the first quarter ended March 31 as part of the coal companies? requirement under the Domestic market obligation (DMO).

Head of Coal Unit at the state electricity firm (PLN) Helmi Najamudin said that some 10,372 tons of the coal were from the holders of coal contract of works (PKP2B) with the remaining from mining business permits (IUP).

?It represents 20 percent from this year?s DMO target of 52,205 tons,? he said.

He said that among the biggest suppliers are PT Bukit Asam with 2,558 tons and Adaro Indonesia with 2,089 tons.

Under the DMO scheme, the coal miner is required to set aside certain percentage of its annual production to supply the domestic demand. The policy was made to prevent the shortage of energy sources supply in the country.

Editing by Adianto P. Simamora