Six mining companies claim to have fulfilled their supply obligations coal for domestic (Domestic Market Bonds/DMO). The six companies are PT Adaro Energy Indonesia, PT Berau Coal, PT Kaltim Prima Coal, PT Arutmin Indonesia, PT Kideco Jaya Agung and PT Bukit Asam.
Director of PT Adaro Energy Indonesia Lie Luckman said he had supplied 4.1 million tons of coal domestically. Even though coal obligations are only 3.5 million tons or 25% from total production of 14.1 million tons from January to April 2018.
The coal is supplied to eight Steam Power Plants, including Cirebon Electric Power, General Energi Bali, PJB, Indonesia Power and Jawa Power. "We convey here that there are around eight PLTUs that are supplied from Adaro coal," he said in the RDP at the Jakarta DPR, Thursday (24/5).
Meanwhile, this year, Adaro plans to produce 50 million tons of coal. Referring to that, the DMO obligation is 12.5 million tons.
Meanwhile, PT Berau Coal's total coal production as of May reached 11.2 million tons. Of that amount, around 2.7 million tons are supplied domestically. Meanwhile, by the end of the year, the company plans to produce 33 million tons of coal.
PT Kaltim Prima Coal (KPC) has supplied 4.6 million tons domestically from total production of 17.5 million tons. This coal is supplied to State Electricity Company/PLN (Persero), PT Freeport Indonesia and PT Pupuk Kaltim.
Meanwhile, the remaining 12.9 million tons of coal were exported. "For DMO we have 25 percent from what we can say, exports are 74 percent and domestic 26 percent. So it's in." said KPC Commissioner, Sri Damayanti.
PT Arutmin Indonesia until April 2018 had supplied 3.25 million tons of coal to the country, out of total production of 13 million tons. This year, the company targets to produce 28.8 million tons of coal.
Meanwhile, PT Kideco Jaya Agung until April 2018 had supplied 32% of coal domestically. This company will produce 32 million tons of coal throughout 2018.
PTBA Commercial Director Adib Ubaidillah said his company had supplied coal to the country in excess of or as much as 175%. This is because PTBA's contract with PLN is quite large.
Until April, PTBA's domestic supply realization was recorded at 3.5 million tons. Even though its obligations in the first four months were 2,043,000 tons. "That is above the DMO," said Adib.
Director General of Mineral and Coal at the Ministry of Energy and Mineral Resources, Bambang Gatot Ariyono, said that efforts to fulfill this obligation have been optimal. For the electricity sector, DMO realization has reached 32.6 million tons as of May 22 2018.
The details of the coal supply come from the Coal Mining Concession Work Agreement (PKP2B) amounting to 16.9 million tonnes, BUMN Mining Business Permits (IUP) amounting to 4.2 million tonnes, Foreign Investor IUPs (PMA) amounting to 117.2 thousand tonnes, as well as other IUPs of 11.4 million tons.
Bambang said the target for coal to be supplied to the electricity sector this year was 121.8 million tonnes. This consists of PKP2B of 75.5 million tonnes, BUMN IUP of 6.1 million tonnes, PMA IUP of 6 million tonnes and other IUP of 34.1 million tonnes.
(Read: The income of these two mining companies has decreased due to the DMO policy)
According to Bambang, if the company does not supply coal domestically, its production will be reduced. "Next year's budget work plan will be reduced according to obligations," he said.
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