The President summoned several ministers, including Energy and Mineral Resources Minister Bahlil Lahadalia, Finance Minister Sri Mulyani Indrawati, and Economic Affairs Coordinating Minister Airlangga Hartarto to the Presidential Palace, Jakarta, on Thursday to discuss regulations related to the goal.
"Apart from that, we are also considering exploring various other derivative products from our minerals that so far have not been part of state revenue," Lahadalia told the press after the meeting.
He said that to achieve this end, the government is currently preparing a draft to amend Government Regulation Number 15 of 2022 on Taxation and Non-Tax State Revenue in the Coal Mining Business Sector.
"The changes are almost final for royalties, be it from raw materials and finished products. This is also aimed at supporting the downstreaming process," he explained.
According to him, the increase is intended to balance the market as currently, the prices of gold and nickel are relatively high.
"Nickel and gold prices are currently good so it is not fair if the state does not get additional revenue," he said.
He added that the increase will vary from 1.5 percent to 3 percent, adjusted to the price of each commodity.
"If the price is rising, we will increase it to the highest, however, if the price is dropping, we should not impose heavy taxes on the businesspeople because we also need them to develop," he said.
The minister emphasized that once it is applied, the royalty increase policy will apply to all players, including Freeport Indonesia.
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Translator: Genta T, Fathur R, Raka Adji
Editor: Primayanti
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