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BONSERNEWS.com – The Indonesian Energy, Mineral and Coal Supplier Association (Aspebindo) highlighted the impact of PT Freeport Indonesia’s (PTFI) copper export license extension until 2024 on investment and business in the mineral sector.

The General Secretary (Sekum) of Aspebindo, Muhammad Arif explained, the extension of this export license gave an unfavorable signal to investors who had already invested in mineral processing in Indonesia.

“This policy can create uncertainty in the investment climate in the mineral sector and reduce investor interest in building a domestic mineral processing industry,” said Arif in Jakarta, Tuesday, May 23, 2023.

He also highlighted the impact of this policy on companies that have invested in mineral processing in Indonesia.

Also Read: Want a Higher Salary? Take a peek at PT Freeport Indonesia’s latest 2023 employee income, check before registering

According to Arif, this policy should take into account the imposition of higher export taxes or export fees for PTFI compared to other companies.

“We need to create fair and competitive conditions for investors,” he added.

Arif warned that the extension of this export license could also have a negative impact on businesses in the mineral sector, especially for companies that have invested in mineral processing facilities.

Also Read: DPR Questions PT Freeport Instead Adds Shares in PT Smelting, When Smelter Construction Has Not Been Completed

“Companies that have invested in processing facilities will feel disadvantaged because they have to compete with companies that are still exporting raw minerals,” Arif explained.

In addition, Arif highlighted the problem of copper smelters that are not yet operating. With the extension of this export license, incentives for PTFI to operate the smelter can be reduced.

“We want to see this smelter operating and processing our own minerals. This is an important part of the downstream vision that we adhere to,” continued Arif.

Aspebindo invites the government and various related parties to review the policy of extending PT Freeport Indonesia’s copper export license.

According to them, this step is important to ensure policies that are fairer, more sustainable, and support investment and business in the mineral sector in Indonesia. ()

By Chavez

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