Illegal mining causes the state huge losses
Wednesday, May 31 2000 - 04:15 AM WIB
Rampant illegal mining activity has caused the state to suffer huge financial losses, according to Minister of Mines and Energy Susilo B. Yudhoyono.
Susilo was quoted by the Bisnis Indonesia daily as saying that the losses included a loss in state revenue from 30 tons of gold, four tons of coal and 2,800 carat of diamonds.
"These losses have not included the loss of tax, royalty and retribution revenues which if accumulated amount to trillions of rupiah per year," he said at a seminar held on Tuesday.
He added that illegal mining activity had also caused environmental damage.
Meanwhile, director general of mining Surna T. Djajadiningrat said that illegal mining activity this was recorded in 13 provinces with total number of illegal miners reaching 14,395 people.
Surna said that last year, illegal mining activity was found in 15 provinces.
He said that rampant illegal mining activity was mostly seen in the provinces of South Kalimantan, West Kalimantan, East Kalimantan, Central Kalimantan, North Sulawesi, West Sumatra, and West Java.
He said that many of the illegal miners were operating at the mining sites of huge mining companies.
He added that the number of illegal miners were increasing particularly in the coal and gold mining sector. (*)