Jokowi: Mining Permits for Religious Organizations Granted with Strict Conditions

INDONESIAUPDATES.COM, News En – President Joko Widodo (Jokowi) has officially sanctioned religious community organizations (ormas) to manage special mining business permit (WIUPK) areas in Indonesia, albeit with stringent conditions.

Jokowi clarified that these mining permits are not directly issued to the mass organizations themselves but to the business entities associated with them. “The permits are given to business entities within these organizations,” he emphasized during an inspection at the IKN State Palace in East Kalimantan on Wednesday, June 5, 2024. He further elaborated that these business entities must meet rigorous requirements to qualify for a mining management permit. “The conditions are very strict, whether they are cooperatives within the organizations or PTs (limited liability companies) and so forth. The permits are issued to the business entities, not directly to the mass organizations,” Jokowi explained.

This policy allows religious organizations to manage mining activities through Government Regulation (PP) Number 25 of 2024, which amends PP Number 96 of 2021 regarding the Implementation of Mineral and Coal Mining Business Activities.

“In order to enhance community welfare, WIUPK can be prioritized for business entities owned by religious community organizations,” states Article 83a paragraph (1) of the regulation, which Jokowi enacted on Thursday, May 30, 2024. WIUPK refers to areas of former coal mining concession work agreements (PKP2B). The transfer of IUPK and/or share ownership of religious community organizations in these business entities requires ministerial approval.

Moreover, the share ownership of religious community organizations in these business entities must be both majority and controlling.


FAQ: Mining Permits for Religious Organizations


1. What has President Joko Widodo (Jokowi) announced regarding mining permits?

President Joko Widodo has announced that religious community organizations (ormas) in Indonesia can manage special mining business permit (WIUPK) areas. However, these permits come with strict conditions.

2. Are the mining permits granted directly to the religious organizations?

No, the permits are not granted directly to the mass organizations. Instead, they are issued to the business entities associated with these religious organizations.

3. What are the conditions for obtaining a mining management permit?

The business entities within the religious organizations must meet stringent requirements to qualify for a mining management permit. This can include cooperatives within the organizations or limited liability companies (PTs).

4. What is WIUPK?

WIUPK stands for special mining business permit areas. These areas include former coal mining concession work agreements (PKP2B).

5. What does Government Regulation (PP) Number 25 of 2024 entail?

Government Regulation (PP) Number 25 of 2024 amends PP Number 96 of 2021 concerning the Implementation of Mineral and Coal Mining Business Activities. It allows for the prioritization of WIUPK to business entities owned by religious community organizations to improve community welfare.

6. Can the share ownership of religious community organizations in business entities be transferred?

No, the transfer of IUPK and/or share ownership of religious community organizations in these business entities cannot be done without the approval of the minister.

7. What are the requirements for share ownership in business entities by religious organizations?

The religious community organizations must have majority and controlling share ownership in the business entities managing the mining permits.


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