Government cuts down non-tax revenue target from mining sector

The government has proposed to cut down by 59.5 percent the so-called non-tax revenue target from the mining sector (coal and minerals) for this year to Rp 16.53 trillion from Rp 40.82 trillion as originally planned, Bisnis Indonesia reported on Friday.

This can be seen from the proposed revision of the 2016 State Budget. The paper quoted Director General of Mineral and Coal Bambang Gatot Ariyono as saying that the proposed downward revision of the non-tax revenue target from the mining sector has yet to be discussed with the House of Representatives.

He said that the main reason to cut down the non-tax revenue target from the mining sector was the lingering drop in commodity prices, particularly coal, which accounts for about 80 percent of the mining sector non-tax revenue target.

He added that the government has also been facing difficulties in collecting the revenue from recalcitrant miners. (*)