House of Representatives Passes Key Revisions to Mining Law
- DPR RI
Jakarta, VIVA – The Indonesian House of Representatives has passed the Bill on the Fourth Amendment to Law Number 4 of 2009 concerning Mineral and Coal Mining (Minerba), officially into law during the 13th Plenary Meeting of the Second Session for the 2024-2025 term in Jakarta on Tuesday (Feb 18).
Chairman of the Special Committee on the Minerba Bill, Martin Manurung, stated that the approval was granted following the completion of the List of Problems Inventory (DIM) for the Minerba Bill, which was discussed during closed-door meetings from February 12 to 15, 2025.
On February 17, 2025, during the Plenary Session, the Minerba Bill was finalized, and the House's Legislative Body decided to proceed to the second level of deliberation.
Wakil Ketua Komisi VI DPR RI, Martin Manurung
- DPR RI
"On February 17, 2025, the Drafting and Synchronization Teams completed editorial refinements and submitted the revised draft of the Fourth Amendment to Law Number 4 of 2009 on Mineral and Coal Mining to the Special Committee," said Manurung.
Below are the key highlights of the amendments and new provisions in the revised Minerba Law:
Improvements to articles addressing Constitutional Court rulings, specifically Articles 17A, 22A, 31A, and 169A.
Revision of Article 1 Paragraph 16 to redefine the term "Feasibility Study."
Amendments to Article 5, requiring holders of mining permits (IUP or IUPK) at the production operation stage to prioritize meeting domestic needs before exporting and to prioritize fulfilling the needs of state-owned enterprises critical to public welfare.
Adjustments to Article 35 Paragraph 5, Article 51 Paragraphs 4 and 5, and Article 60 Paragraphs 4 and 5, emphasizing business licensing for mineral and coal mining through an integrated electronic licensing system managed by the central government.
Modifications to Article 100 Paragraph 2, mandating that the central government involves regional governments in post-mining reclamation and community impact protection.
Enhancements to Article 108 to strengthen community development and empowerment programs for local and indigenous communities in mining areas, including:
a. Corporate Social Responsibility (CSR) and Environmental Responsibility Programs,
b. Involvement of local and indigenous communities in mining activities, and
c. Business partnership programs and community-based economic empowerment.
Inclusion of environmental audit provisions in Article 169A.
Revisions to Article 171B, stipulating that IUPs issued before this law takes effect and found to overlap partially or entirely with other mining areas based on central government evaluations will be revoked and returned to the state.
Addition of Article 174A concerning the monitoring and review of the law.
Adjustments to Article 176B regarding overlapping IUPs issued prior to the enactment of this law.
Inclusion of Articles 51A and 60A, prioritizing the granting of mining areas (WIUP) for metal minerals and coal to state-owned enterprises (BUMN), regional-owned enterprises (BUMD), and private entities for educational purposes.
Addition of Articles 51B and 61B, prioritizing the granting of WIUPs for metal minerals and coal to BUMN and private entities to support downstream industrialization.
Revision of Article 60, allowing WIUPs for coal to be granted to businesses, cooperatives, sole proprietorships, small and medium enterprises, or religious organizations through auctions with priority mechanisms.