Jakarta, CNBC Indonesia – The Ministry of Investment/Investment Coordinating Agency (BKPM) has issued 180 letters of revocation of Mining Business Permits (IUP) which were signed directly by the Minister of Investment/Head of BKPM Bahlil Lahadalia.
The revoked IUPs consist of 112 mineral IUPs and 68 coal IUPs. This is a manifestation of President Joko Widodo’s directive that the government will take firm action against companies that do not take advantage of the permits granted properly.
IUP revocation is carried out for all companies that do not follow the applicable rules and are not only intended for certain groups. The revocation process has been carried out in stages since last January.
“So previously the Investment Minister/Head of BKPM signed 19 letters of revocation of IUPs, then increased to 161 so that we have officially revoked a total of 180 IUPs,” said Deputy for Investment Implementation Control Imam Soejoedi in an official statement quoted on Wednesday (16/2/2022). ).
According to him, the revocation of this permit is in accordance with the applicable rules.
“We are not selective. Our goal is to fix permits that are not used properly. We will continue to revoke this IUP gradually,” said Imam.
A total of 180 revoked IUPs are owned by 165 business actors, both business entities and individuals, consisting of 68 business actors holding coal IUPs and 97 business actors holding mineral IUPs.
The majority of coal IUP revocations were carried out in East Kalimantan province with 34 IUPs (50%) owned by 34 business actors, while the majority of mineral IUP revocations were located in the Riau Archipelago with 17 IUP (15.18%) owned by 8 business actors.
Meanwhile, throughout 2022, the government is targeting to revoke 2,343 mineral and coal IUPs, which include mining permits for gold, nickel, cobalt, coal, manganese, and mineral C.
In addition, 192 forestry sector permits will be revoked (IPPKH, HPH, HTI) with a total area of 3,126,439 hectares, and Plantation HGUs with a total area of 34,448 hectares.
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