Ministry again proposes royalty cut for low rank, underground coal

Ministry of energy and mineral resources (MEMR) will again propose to ministry of finance to cut royalty rates for coal miners operating under Coal Contract of Work (CCOW) for low rank `coal and coal produced from underground mines, a senior ministry official said.

Director General of Mineral and Coal Bambang Setiawan said that similar proposal has been submitted years ago to the ministry of finance but did not get response.

Bambang said MEMR has earlier proposed to cut down royalty rate to 9% for low rank coal and 7% for underground mine from 13.5% rate currently imposed of CCOW miners.

?MEMR may again propose similar rates,? he said. (denny)