Prioritizing Coal Supply for Domestic Use (Domestic Market Obligation, DMO) aims to meet national energy needs. The DMO policy is set to implement Presidential Decree 5/2006 concerning National Energy Policy in the form of realizing the 2025 (primary) energy mix with 33% sourced from coal.
Law 4/2009 concerning mineral and coal mining emphasizes alignment with the interests of the nation (article 2b); in order to support sustainable national development, guarantee the availability of mineral and coal as raw materials/energy sources for domestic needs (article 3c); determined in the national interest by the Government after consultation with the People's Representative Council of the Republic of Indonesia (article 5 paragraph 1).
The regulations implemented in support of the Mining and Coal Law establish a framework for determining the annual DMO for mining business entities, as the Indonesian Government seeks to ensure adequate resource supply to meet growing domestic demand in line with developments in infrastructure investment.
To find out more in depth, download the Policy Note at this link:
https://bit.ly/KewajibanPasokanBatubara
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