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Jakarta, CNBC Indonesia – President Joko Widodo (Jokowi) acknowledged that a number of obstacles still existed that hindered the development of the national coal industry.
This was revealed when Jokowi chaired a limited meeting (rats) on the subject of discussing accelerating the increase in the value added of coal through video conference at the Presidential Palace in Bogor, West Java.
“I received a report that the development of this derivatives industry is still limited by issues related to the economy and it is also limited by technological factors,” Jokowi said on Friday (10/23/2020).
Jokowi believes that this problem can be solved if companies in the mining and mining sectors can cooperate with state-owned companies.
Furthermore, currently only a few companies have Special Permits for Mining Businesses (IUPK).
“This can be resolved if the company or BUMN has a partner and in 2019 we have only done 5 IUPK OP holders carbon enhancement and only 2 IUPK / OP holders are producing coal briquettes, “explained the former DKI governor.
Jokowi asked his staff to find solutions to overcome the slow development of the national coal industry. According to him, this problem should be solved immediately.
“Since we’ve been exporting raw coal for a long time, I really need to finish it right away so if there are multiple extensions with the obligation to start this,” he said.
Earlier, Jokowi asked coal producers to stop exporting raw coal. To increase the value of exports, Jokowi orders to accelerate the increase in the value added of coal products.
In front of the ranks of ministers, Jokowi reminded his staff that it must shift Indonesia from a country that exports raw materials to finished materials that can increase the value added to the economy.
“We all have to change raw material exporting countries and one of them is coal to become an industrial country capable of processing raw materials into finished or semi-finished products,” Jokowi said.
[Gambas:Video CNBC](bag of bag)
