Government Prepares Coal Public Service Agency Scheme

In addition to the gradual opening of coal exports, the government is also preparing a new scheme to meet domestic coal needs by establishing a public service agency or BLU for coal levies

The formation of the agency which is being finalized is expected to be able to overcome the problem of coal supply for domestic needs in the long term. The plan for the formation of the BLU was conveyed by the Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan in a press release, Monday (10/1/2022). If the BLU is formed, then PT Perusahaan Listrik Negara (Persero) buys coal according to the prevailing market price. If the coal price in the market is higher than the domestic market obligation (DMO) price of coal, which is set at 70 US dollars per tonne, the difference will be paid by BLU using funds collected from coal mining companies. However, there is no detailed description of the mechanism that will be carried out by the BLU. The discussion on the coal DMO policy and the formation of the BLU is still ongoing. "We are still waiting for further meetings with the Coordinating Minister for Maritime Affairs for a comprehensive discussion regarding this matter," said Director of Mineral and Coal Program Development, Directorate General of Mineral and Coal, Ministry of Energy and Mineral Resources (ESDM), Sunindyo Suryo Herdadi, when confirmed,

|•SOURCE•| Articles :JAKARTA POST | Image :OKE ZONE |

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