TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
Popular Reads
Top Results
No results found. Please check your search term and try again
Can't find what you're looking for?
View all search results
Popular Reads
Top Results
No results found. Please check your search term and try again
Can't find what you're looking for?
View all search resultsGovt eases coal and mineral pricing rules after market backlash
However, royalties and taxes will still be calculated using the government’s coal benchmark price (HPB) and mineral benchmark price (HPM).
Change text size
Gift Premium Articles
to Anyone
Share the best of The Jakarta Post with friends, family, or colleagues. As a subscriber, you can gift 3 to 5 articles each month that anyone can read—no subscription needed!
In operation: The Suralaya coal-fired power plant in Cilegon, Banten, releases steam on Oct. 31, 2023.
(AFP/Ronald Siagian )
T
he Energy and Mineral Resources Ministry has relaxed its pricing policy for coal and mineral sales, allowing companies to sell below government-set benchmarks in a move aimed at reversing a sharp decline in exports and appeasing global buyers.
The policy shift, formalized in Ministerial Decree No. 268.K/MB.01/MEM.B/2025, is intended to counter a steep export slump after buyers, particularly from China, rejected the previous pricing system.
Under the new rule, which was signed on Aug. 8, companies may negotiate lower prices with buyers. However, royalties and taxes will still be calculated using the government’s coal benchmark price (HPB) and mineral benchmark price (HPM).
The previous regulation, enforced in March, required miners to peg export sales to HPB and HPM, which were typically higher than widely used indexes such as the Indonesia Coal Index (ICI). This immediately triggered resistance from key overseas markets.
“Yes, we heard objections from buyers regarding the plan to implement HBA (Harga Batubara Acuan). I happened to attend the 2nd China Coal Import International Summit in Guangzhou on February 27, and there were many questions from buyers about it,” said Hendra Sinadia, Executive Director of the Indonesian Mining Association (IMA), as quoted by Bisnis.com on March 4.
Read also: Coal cash dip: PNBP and stabilization strategies
Aside from coal, PT Aneka Tambang (Antam) also reported halting washed bauxite sales on April 1 after failing to find buyers willing to pay HPM prices.
