Govt to withdraw local regulations

Minister of Energy and Mineral Resources Purnomo Yusgiantoro warned local administrations to withdraw all mining regulations they produced that were against Government Regulation on mining.

"I have sent letters to a number of local administrations, such as Banyuwangi (East Java) in issuing mining license (KP), to withdraw regulations they have issued," Purnomo told journalists after speaking at RRI-Harvest International Business Forum.

Purnomo said even later after Jan. 1, 2001 when local autonomy law came into force, local administrations may not produce regulations that were against Government Regulations as Government Regulations were higher than regulations issued by local administrations.

Therefore, Purnomo said local administrations must revoke all regulations they produced that were against regulations produced in the higher level, including those issued by the central government.

"If they are not in accordance with (regulations issued by) the central government, we will give them warning. Local administration regulations must be in line with (regulations issued by) the central government," he said.

The chairman of the House of Representatives' Commission VIII on energy and mining, Irwan Prayitno, shared the minister's position.

However, he warned that the central government must pursue gradual approach in synchronizing all regulations. He noted that the euphoria of producing local regulations on mining would eventually die down.

He suggested that the central government socialize all of its regulations on contracts and licensing to all regents as most of them did not really understand all those regulations. (*)