Mineral, Coal Downstreaming Mandated by Law, Minister Says

Jakarta, InfoPublik - Energy and Mineral Resources Minister Arifin Tasrif said the downstreaming in the mineral and coal sector has been mandated by Law Number 3 of 2020 on Amendments to Law Number 4 of 2009 on Minerals and Coal Mining.

Downstreaming obligation to the mining industry aims to provide added value to mining products.

"Indeed, the obligation of the mining industry is to build a downstreaming process, so building a smelter is mandatory," Arifin said on Wednesday, 29 July.

The government decides that raw minerals have to be processed further to get its added value.

Currently, there are 48 nickel smelter projects targeted to be fully operational in 2024, Arifin said. The target is set by disregarding the obstacles experienced by investors, for instance COVID-19 pandemic.

The Energy and Mineral Resources Ministry continues to facilitate the investors to develop the planned smelter projects.

The downstreaming is also aimed to realize Indonesia's ideal in the mineral and coal sector. "Indonesia's goal is to build a downstreaming industry from upstream to downstream that provides high added value, absorbs labor, and provides other positive things for Indonesia," Arifin said.

Minister Arifin hoped that in the near future, the targets set can be achieved. (Photo: Energy and Mineral Resources Ministry, Writer: Eko Budiono, Translator: Erik Limantara, Editor: Untung S, Filmon Warouw)