Mining contracts to be singed by a special agency
Wednesday, September 27 2000 - 04:00 AM WIB
Director General of General Mining Surna T Djajadiningrat said mining contracts of works would not anymore be signed by the government but by a special agency when the general mining bill is passed into law.
"The establishment of this agency is similar with that in the oil and gas sector. The mechanism on the establishment of this agency has been spelled out in the mining draft bill," Surna said.
The drafting of bill has been completed and it will be soon be submitted to the Ministry of Law and Legislation for further review before being brought to the House of Representatives for deliberation.
Surna said that this special agency would have branches in provinces and regencies to expedite licensing processes.
The establishment of the branches in provinces and regencies would depend on the readiness of local administrations.
The role of the agency in the central government would center on coordination so that there would be no overlapping in policy, such as double taxation.
The government, in this case the ministry of energy and mineral resources, would still grant the mining contracts until the bill is passed into law. (alex)