Rp3.8 Trillion of Unpaid Non-Tax Revenue

The non-tax revenue from coal mining companies valued Rp3.8 trillion is unpaid. Most of the delinquent corporations leave no traces, and the others are bankrupt and out of business.

In the future, the government should put first the precautionary principle before granting the mining permits because of the state would encounter high losses if they are in arrears.

The statement was airing in a discussion themed To Salvage Forest from Bad Management of Coal Mining in North Sumatra, in Medan, Monday (10/30). The Head of Study, Defense, and Environment Law for Walhi (The Indonesian Forum for Environment); Zenzi Suhadi and The Corruption Eradication Commission (KPK) Head for Prevention of Natural Resources Corruption Team; Dian Patria, participated in the event. Along with them are the Head of Energy and Mineral Resources of North Sumatra; Zubaidi Ahmad, and Executive Director of Walhi of Sumut; Dana Tarigan.

The transfer of authority from the regency to province administration in issuing the mining permit should be a momentum to improve the regulation of mining in Indonesia. “Almost all the defaulter companies hold the mining license issued by the regional government,” Zenzi Suhadi said

Several Regents/Mayors have been issuing the permits due to the political proximity and nepotism. Even worse, the licenses frequently granted in the forest.

Dian Patria said the unpaid non-tax revenue (PNPB) until September 2017 valued of Rp3.8 trillion; came from both IUP holders and Work of Contracts. The outstanding debt consist of land rent, royalty, and profit sharing. On average, 40 percent of 10,432 issued-IUP (or 4,279) are troubled.

Zenzi stated that there are two mining companies are in arrears in the past four years. (Dds)

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