Enviro News Asia, West Sumatra — The Ministry of Energy and Mineral Resources (ESDM) has imposed new administrative fines for mining activities conducted unlawfully in forest areas for key mineral commodities. The policy is stipulated in Ministerial Decree (Kepmen) ESDM No. 391.K/MB.01/MEM.B/2025 on Administrative Fine Tariffs for Mining Violations in Forest Areas covering nickel, bauxite, tin, and coal.
The decree, signed by Minister of Energy and Mineral Resources Bahlil Lahadalia on 1 December 2025, follows Government Regulation No. 45/2025 concerning administrative sanctions and non-tax state revenue (PNBP) procedures arising from forestry-related violations. The measure reinforces the government’s commitment to restoring order in forest zones affected by illegal or non-compliant licensed mining operations.
The ministry states that the fine calculations are based on agreements reached by the Forest Area Enforcement Task Force (Satgas PKH), as outlined in a letter issued by the Deputy Attorney General for Special Crimes in his capacity as Head of the Task Force on 24 November 2025. The government designed the tariff system to strengthen transparency, uphold accountability in natural resource management, and mitigate state losses and environmental harm.
The highest administrative fine applies to nickel mining violations, reaching up to Rp6.5 billion per hectare. Bauxite violations incur fines of Rp1.7 billion per hectare, tin violations Rp1.2 billion per hectare, and coal violations Rp354 million per hectare. Satgas PKH will collect all fines and record them as non-tax state revenue in the energy and mineral resources sector. The regulation takes immediate effect and serves as an operational basis for enforcement actions in the field.
During a visit to hydrometeorological disaster victims in Agam Regency, West Sumatra, on 3 December, Minister Bahlil reaffirmed the government’s determination to clamp down on mining operators who disregard legal and technical standards. He stated that the government will not hesitate to impose sanctions, including permit revocation, if evaluations show that companies violate mining rules and harm local communities.
The government expects the new penalty structure to strengthen law enforcement in forest areas and prevent further environmental degradation caused by unlawful mining practices. (*)
