INDONESIA AIMS TO TIGHTEN REGULATION OF COAL INDUSTRY

10/20/2014

The government of Indonesia, currently the world’s top exporter of thermal coal, has launched an effort to tighten regulation and enforcement of the industry. The country’s coal industry, which tripled production in the last decade, has been plagued by corruption, illegal mining and exports, and conflicts with local and indigenous communities, and has caused severe environmental and health impacts. In order to bring the sector under stricter government control and reign in these abuses, the government passed new trade rules aimed at targeting illegal coal exports and has initiated a sweeping review of mining permits by the nation’s Anti-Corruption Commission. Coal is a major source of tax revenue for Indonesia, and increased production is seen by the government as essential for maintaining the country’s energy security as its oil production declines. The increased regulation is intended to allow the government to better manage the industry’s growth. For the full story, see http://news.mongabay.com/2014/1016-gfrn-fogarty-indonesia-coal-1.html#ROatrE7qDOgrUej5.99