DPR to pressure government on mining royalty payment

The House of Representatives (DPR) will use its power to pressure the government through the existing mechanism so that the mining companies could pay their royalties directly to the provincial administration, according to Husni Thamrin, a member of the House?s commission IX.

Husni said that for the first step the House would soon invite Minister of Finance to discuss the royalty payment problem.

Although the regional administration receives a bigger share from the mining royalty payment, the payment is still made through the finance ministry in Jakarta. The disbursement of the royalty to the provinces is, however, often delayed, causing a financial problem to the provincial administration.

Husni said that there should be a mechanism so that there would be no more delay in the disbursement of the royalty. If the delay continues, the provincial administration might turn to some unproductive measures to raise funds for their state budget. (*)