Sabtu 14 Sep 2013 02:14 WIB

Govt considers to increase its royalty on coal mining

Rep: Muhammad Iqbal/Mutia Ramadhani / Red: Yeyen Rostiyani
Coal (illustration)
Foto: Antara/Asep Fathulrahman
Coal (illustration)

REPUBLIKA.CO.ID, JAKARTA - Government will not impose export duty on coal in 2014. Acting Head of Fiscal Policy Office, Bambang Permadi Soemantri Brodjonegoro said that government still reviewed to increase coal mining royalty.

"We haven' discussed it yet," Brodjonegoro said recently.

In a meeting between government and Commission XI of House of Representative few days ago, Deputy Minister of Energy and Mineral Resources, Susilo Siswoutomo said mining royalty would be increased from 3.5 percent to 7-13 percent in January 2014.

Special Staff of Minister of Energy and Mineral Resources, Thabrani Alwi explained that royalty of open coal mining was projected at 10 percent, especially for coal with calories less than 5,100 kilocalories (kcal) per kilograms (kg). Coal with calories of 5,100 to 6,100 kcal per kg will be charged a royalty of 12 percent, while more than 6,100 kcal per kg will be charged 13.5 percent.

But royalty of company holder of Work Agreement for Coal Mining Enterprises Contract (PKP2B) remains 13.5 percent of its selling price.

 

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