Community organizations / religious organizations are explained in PP 25/2024 to be able to carry out mining business activities.
Meanwhile, what is meant by a religious mass organization is a religious community organization whose organs carry out economic activities and aim at economic empowerment of members and the welfare of the community/ummah . The explanation of Article 83A paragraph (1) PP 25/2024 states that the reason for granting mining concessions to religious organizations is based on the provisions of Article 6 paragraph (1) letter j of Law 3/2020 which explains that the central government is in the management of mineral mining and has the authority to carry out bids. WIUPK on a priority basis. The priority WIUPK offer is intended to provide equal and fair opportunities in managing natural resources. Apart from that, it is also aimed at empowering business entities owned by religious mass organizations. In PP 96/2021, priority offers are only given by the minister to BUMN and BUMD.[3] However, after the implementation of PP 25/2024, the priority WIUPK offer was increased for religious mass organizations.
WIUPK is a special mining business permit area within WUPK, which is an area given to IUPK holders. WUPK or special mining business area is an area that has available data, potential and/or geological information that can be exploited for national strategic interests. Meanwhile, IUPK or special mining business permit is a permit to carry out mining business in a special mining business permit area. The WIUPK granted to religious organizations is a former PKP2B area or coal mining business work agreement, namely an agreement between the government and an Indonesian legal entity company to carry out coal mining business activities. Important rules to pay attention to regarding mining business permits for religious organizations include the following:
- IUPK and/or share ownership of religious mass organizations in business entities cannot be transferred and/or transferred without the minister’s approval.
- Share ownership of religious mass organizations in business entities must be majority and controlling.
- Business entities are prohibited from collaborating with previous PKP2B holders and/or their affiliates.
The offer of WIUPK to business entities owned by religious mass organizations is valid for a period of 5 years after PP 25/2024 comes into force, namely until 30 May 2029. Further provisions regarding the offer of WIUPK on a priority basis to business entities owned by religious mass organizations are regulated in a presidential regulation.
Legal basis:
- Law Number 4 of 2009 concerning Mineral and Coal Mining as amended by Law Number 3 of 2020 concerning Amendments to Law Number 4 of 2009 concerning Mineral and Coal Mining ;
- Government Regulation in Lieu of Law Number 2 of 2022 concerning Job Creation which has been stipulated as law by Law Number 6 of 2023 ;
- Government Regulation Number 96 of 2021 concerning the Implementation of Mineral and Coal Mining Business Activities as amended by Government Regulation Number 25 of 2024 concerning Amendments to Government Regulation Number 96 of 2021 concerning the Implementation of Mineral and Coal Mining Business Activities .
Reference:
Hukumonline.com