By Cepi Setiadi
Indonesia’s coal production reached 357.60 million tons in the first half (H1) of 2025, equivalent to 48.3 percent of the government’s full-year target of 739.67 million tons, according to data from the Directorate General of Mineral and Coal (DGMC) at the Ministry of Energy and Mineral Resources (ESDM).
The figure was disclosed by Siti Sumilah Rita Susilawati, Secretary of DGMC, during the Kalimantan Edition Roadshow organized by the Indonesian Coal Mining Association (APBI-ICMA) in Samarinda on Wednesday (July 9).
Commenting on the performance, Acting Executive Director of the Indonesia Coal Mining Association (ICMA) Gita Mahyarani said the production figure is down by around 11 percent compared to the same period in 2024. "While the output has reached nearly 50 percent of this year’s target, we are facing significant challenges, especially with declining demand due to shifting domestic policies in key markets such as China and India," Gita told Petromindo on Thursday (July 10).
She added that the outlook for the remainder of the year remains uncertain. “It is difficult to project where the market is heading, considering ongoing global economic pressures and geopolitical tensions,” she said.
Kalimantan remains Indonesia’s coal backbone
During the same event, a discussion session titled "Kalimantan as the Driving Force of Sustainable Energy" explored both the challenges and opportunities faced by the coal industry.
Kalimantan continues to play a dominant role in the sector, contributing 688 million tons or about 82 percent of Indonesia’s total coal production in 2024. “Coal contributed 40.56 percent to the national energy mix last year,” said DGMC’s Siti Sumilah, adding that around 50–60 percent of Indonesia’s power generation still relies on coal—of which 70 percent is sourced from Kalimantan.
Read also: Indonesia targets flat coking coal output in 2025
She emphasized the strategic importance of coal mining in meeting global electricity demand, with Indonesia’s non-tax state revenue (PNBP) from the mineral and coal sector reaching Rp140.46 trillion in 2024—123.75 percent of the annual target, and equivalent to 52 percent of the ESDM Ministry’s total PNBP.
ICMA Chairman Priyadi highlighted that coal is not just a commodity, but an instrument of national development—enabling access, driving economic growth, and shaping modern civilization.
He said East Kalimantan stands as a vital contributor to Indonesia’s energy sector and a stronghold within APBI’s membership. Amid global market volatility—including price declines and geopolitical uncertainties—Priyadi urged stakeholders to remain adaptive, collaborative, and committed to sustainability. “The industry must stay resilient, but also socially and environmentally responsible,” he stressed.
Separately, Gita underscored that the industry roundtable also addressed pressing logistical issues that continue to hamper operations. These include limited port infrastructure and river congestion, particularly in Mahakam River, which still lacks an integrated traffic management system.
“Industry players made it clear that without efficient and integrated logistics, the coal supply chain—from production to export—cannot function optimally. Digitalization and adaptive logistics integration are critical to strengthening competitiveness amid rising costs and global competition,” Gita concluded.
Ediitng by Reiner Simanjuntak
