JAKARTA, KOMPAS – The people need a breakthrough in mining regulations and policies that will permit artisanal and small-scale mines (ASMs) to operate as legal entities. Without legality, unauthorized mining and illegal mining practices will continue, and the use of mercury, which is harmful to the environment, will become increasingly difficult to control.
There are currently 850 artisanal and small-scale gold mines (ASGMs) operating across 197 districts/cities in 32 provinces. The mines are all illegal, and most of them use mercury to extract gold.
"A breakthrough is needed in regional licensing, so that [artisanal miners] can be legalized in operating their gold mining businesses," Dadan Kusdiana, the public relations and cooperation head at the Energy and Mineral Resources Ministry, said on Wednesday (15/11) in Jakarta.
According to Dadan, the authority to issue mineral and coal mine licenses lies with the regional government. The central government has initiated a breakthrough in business relations by simplifying licensing procedures, as stipulated in the Energy and Mineral Resources Minister’s Regulation No. 34/2017 on mineral and coal mining licensing. He said regional governments needed to introduce a similar policy.
A breakthrough is needed in regional licensing, so that [artisanal miners] can be legalized in operating their gold mining businesses.
Simplifying the licensure includes the removal of the Principle Permit and a number of administrative and financial requirements for building a smelter. Several permits and recommendations have also been integrated into a single permit, such as the permit for changes in investment and financing sources as well as the permits for the construction of transport facilities, and the purchase and use of explosives.
Under Government Regulation No. 22/2010, processing mining permits must still undergo a lengthy procedure. The local government must first establish an ASM zone (WPR) that falls within the mining zone (WP). Establishing a WPR is possible only after the spatial plan for both regencies and provinces are revised. The local administrative head then issues a local regulation on WPR governance, after which the governor can submit a proposal on the issuance of an ASM permit.
The process does not stop there. The regent still has to hold an auction for the ASM mining area permit (WI-UPR). Only after a winner is selected can the governor issue a new permit. The process can take years.
Local governments are also tasked with enforcing reclamation requirements, feasibility studies, environmental impact assessments, and reclamation guarantees, as well as project cost plans, project budgets and work plans.
"Although the local government will enjoy non-taxable state revenues from the issuance of the ASM permits, the lengthiness and high cost of the process have caused delays in issuing the permits," said Poprianto, a member of the Jambi Regional Consultative Council (DPRD) in charge of the economy, forestry, plantations and the environment.
Therefore, he added, a breakthrough in licensing procedures was needed, along with the government’s support to simplify the issuance of ASM permits. If changes were not made, illegal mining operations would only increase and mercury usage would become increasingly difficult to control. This could impact underlying social problems and trigger social conflicts.
According to Kompas’s data, the operations of unlicensed ASMs have already triggered various conflicts. In Jambi, the local people set fire to the Rantau Panjang Police station to protest the operation of illegal mines.
Maryati Abdullah, the national coordinator of Publish What You Pay Indonesia, a civil society coalition that advocates transparency and accountability of extractive resources, said that in the context of reducing or eliminating mercury usage, legalizing ASMs could be a possible solution. However, ASM operations must adhere to guidelines and supervision, and be supported by the transfer of environmentally friendly technology and market access.
With regard to the legality of the mines, South Solok Regent Muzni Zakaria was embarrassed that he was unable to stop the illegal mining activities that only benefited big investors.
South Solok Police chief Adj. Sr. Comm. M Nurdin said illegal mining activities in the regency had been closed down.
Separately, with regard to the legality of the mines, South Solok Regent Muzni Zakaria was embarrassed that he was unable to stop the illegal mining activities that only benefited big investors.
North Sumatera Energy and Mineral Resources Office acting head Zubaidi Ahmad said the process of reorganizing the ASMs was currently under way. So far, only one WPR had been established in Dairi regency, but no permits had been issued for ASMs in the zone. The Mandailing Natal regency administration was still searching for locations to set up other WPRs.
The criteria for a WPR include that the area must have mineral or coal reserves with a maximum depth of 25 meters and a maximum area of 25 hectares, that it had been mined for at least 15 years and are rich in alluvial deposits.
The Aceh Police have also threatened to crack down on ASMs using mercury in its effort to eliminate mercury usage at all mines by 2018.
Maluku is a producer of raw materials for mercury. If distribution activities are stopped at its source, controlling the distribution of mercury would be easier.
Aceh Police Special Criminal Investigation director Comm. Erwin Zadma said local police had closed down illegal mines in the districts of Pidie and Beutong in Nagan Raya regency.
However, he said, the distribution of mercury must be stopped at its source. “Maluku is a producer of raw materials for mercury. If distribution activities are stopped at its source, controlling the distribution of mercury would be easier," Erwin said.
Aceh Governor Irwandi Yusuf has called on the police and related agencies to crack down on illegal miners using heavy equipment and mercury. "If people are panning for gold the traditional way, that\'s fine, as it does not damage the environment," he said.
Banten Police public relations head Adj. Comm. Zaenudin said illegal mines should not be tolerated. "We have already disseminated information on the ban on illegal mining and the dangers of using mercury," he said.
(AIN/NSA/ZAK/ITA/FRN/APO/BAY)
