< Back to situations

Monitor this situation.

[SITUATION] · [ACTIVE] · [BUSINESS]

2 clusters · 20 sources · 7 days · First seen · Last updated

Indonesia mining service regulation changes

Overview

The Indonesian Ministry of Energy and Mineral Resources (ESDM) issued Decree No. 365/2026, mandating that holders of Mining Business Licenses (IUP) and Special Mining Business Licenses (IUPK) prioritize local mining service companies located within the regencies or cities surrounding their operations.

The decree generally prohibits mining companies from using their own subsidiaries or affiliates for these services without explicit ministerial approval, though exceptions may apply to national strategic projects or mineral processing facility developments. While the Institut Rakyat Indonesia (IRI) suggested the move would promote regional growth and prevent monopolies, analysts from Stockbit Sekuritas noted it could create policy uncertainty for large mining groups with integrated operations.

Following this, the Indonesian Coal Mining Association (APBI) began reviewing these regulations regarding the prioritization of local service contractors. Additionally, Indonesia Resources Studies (IRESS) has called for the government to separate private smelter coal supplies from Domestic Market Obligation (DMO) calculations to protect public electricity supplies.

Entities

Indonesia · Ministry of Energy and Mineral Resources · Indonesian Coal Mining Association · Muhammad Sarmuji · Jaringan Advokasi Tambang

Claims

What the coverage asserts, and how many sources carry each claim.

Timeline

  1. [BUSINESS] 10 sources
    Indonesia implements new industrial protections and tax regulations

    Indonesia is implementing new economic policies, including selective import restrictions to protect local industry, new marketplace tax collection, and proposed changes to coal DMO and mortgage subsidies.

  2. [BUSINESS] 14 sources
    Indonesia mandates local mining services via new ESDM decree

    Indonesia's Ministry of Energy and Mineral Resources has issued Decree 365/2026, requiring mining companies to prioritize local service providers and restricting the use of internal subsidiaries.

Sources

antaranews.com · cnbcindonesia.com · dunia-energi.com · en.antaranews.com · halosemarang.id · harianjogja.com · industry.co.id · inews.id · insight.kontan.co.id · jpnn.com · katadata.co.id · keuangan.kontan.co.id · m.jpnn.com · niaga.asia · okezone.com · ruangenergi.com · senggang.republika.co.id · sultrakini.com · tambang.co.id · viva.co.id