South Kalimantan will request coal miners to build industries

The provincial administration of South Kalimantan is considering requiring coal mine operators in the province to build industries so that the local community will receive a bigger benefit from their operations, Banjarmasin Post reported on Tuesday.

South Kalimantan Governor Sjachriel Darham said in Banjarmasin on Monday that requiring the coal mine operators to build industries was needed because the royalties paid by mine companies such as PT Adaro and PT Arutmin were still to small to stimulate the economy of the people living near mining projects.

According to him, the mine operators would be allowed to freely choose the kinds of industries they will build. ?It could be in the form of an animal feed industry or other industries. The most important thing is that the industrial project is built near the company?s mining site,? he said.

With such a cooperation scheme, within the next five years, there would be a major industrial development in most of the province?s coal mining sites, the governor said. (*)