Ministry loses no time preparing mining bill

The Ministry of Energy and Mineral Resources is determined to submit to the Secretariat of State the draft mining bill immediately after Sept 14 even if other government agencies have not given suggestions to improve the draft bill, a government official told Petromindo.Com on Wednesday.

Sept 14 is the deadline for agencies like the Ministry of Forestry and the Ministry of Justice and Human Rights to submit their views and comments concerning the contents of the draft mining bill to the inter-ministerial team which is tasked with preparing it, said the official who asked not to be identified.

According to the current procedures, the Ministry of Energy and Mineral Resources will submit the draft bill to the State Secretariat which will then pass it on to the President for approval. If approved, the President will then submit the bill to the House of Representatives (DPR) for deliberation.

The official said the ministries had been given one month to amend parts of the draft bill when necessary.

If passed by DPR, the law will replace the current mining law which was issued in 1967, Law No. 11/1967.

Unlike the 1967 law, the draft mining bill allows foreign investors to obtain both ?mining permit? and ?mining contract?, the two categories of mining stipulated in existing draft bill.

The draft bill obliges mining investors to incorporate community development into their programs, and gives particular attention to small-scale mining.

It stresses the authority of local administrations to issue mining concessions, while maintaining the central government?s rights to sanction mining contracts.

The government expects DPR to endorse the bill before the end of this year. (godang)