Mining authority now held by local governments

The authority to determine the areas for mining activities, size and border areas for mining permits is now held by the local governments according to judicial review conducted by the Constitution Court, Kompas reported on Friday.

In its ruling issued upon the judicial review on the mining law No. 4/2009 request filed by the regent of East Kutai, East Kalimantan, Isran Noor, the Court, however, said that the central government has the rights to cancel the local governments? decision if it is against the national spatial plan or overlaps with the existing permits.

?The autonomy should be given to the local governments to determine the mining areas. However, because Indonesia is a united country and it is related to natural resources, the final decision is on the hands of the central government,? the chief of the Constitution Court, Mahfud MD said after the issuance of the court?s verdict.

He said that the existing mining permits and contracts were not affected by the court?s ruling.

Previously, the mining areas (WP), mining operations (WUP) and border areas for mining permits (WIUO) are determined by the central government upon consultation with the local governments.

The court, however, rejected the request of East Kutai?s regent to review the article 1 no 29 and article 171, chapter (1) in the mining law on the definition of a mining area and the government?s decision on the holders of contract of works and work contract agreements on mining operations. (*)