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View all search resultsResearch funding gap hampers Indonesia’s rare earth ambition
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Stop and go: Heavy equipment is parked at a nickel mining site on Gag Island in Raja Ampat, Southwest Papua, on June 7, 2025 after the government ordered a halt to its operations over alleged violations of environmental law. (Antara/Putu Indah Savitri)
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lack of research and development spending complicates a government push to develop the economic potential of Indonesia’s rare earth elements, a member of the National Energy Council (DEN) has said.
The recent establishment of the Mineral Industry Agency underscores the nation's ambition to harness critical minerals that are essential for high-tech industries, renewable energy technologies and defense systems.
However, this ambition is immediately constrained by a persistent lack of investment in research, according to DEN member Agus Puji Prasetyono.
“The development of rare earth metal research has progressed quite well, indicating that the mastery of science and technology in this field is sufficient,” Agus said on Monday, as reported by Kontan.
“But Indonesia's research budget is still quite small compared to those of neighboring countries. Currently, it is still below 1 percent of the state budget.”
Read also: New agency to assert state control over minerals vital for defense
This funding gap, he argued, impeded the crucial first step: comprehensive data mapping.
