South Tangerang – BRIN Public Relations. In accordance with the mandate of Law Number 11 of 2019 concerning National System of Science and Technology, research and innovation must serve as the basis for formulating policies and national development planning. For this reason, the National Research and Innovation Agency (BRIN) through the Directorate of Environmental, Maritime, Natural Resources and Nuclear Energy Development Policy, Deputy for Development Policy has the task to prepare recommendations on direction, strategies and policy designs, one of which is in the energy, mineral and coal resources sector (Minerba).

Acting Director of Energy, Mineral and Mining Resources – Ministry of National Development Planning/Bappenas, Yahya Rachmana Hidayat said that the role of BRIN for background studies is greatly needed in supporting the preparation of the National Medium Term Development Plan (RPJMN) 2025-2029 and the National Long Term Development Plan (RPJPN) 2025-2029. 2045. According to him, various research and studies related to the condition of the mineral and coal sector in Indonesia carried out by BRIN can be used as the basis for formulating development policies.

Moreover, Yahya emphasized that the theme for the Government Work Plan (RKP) for 2023 is increasing productivity for an inclusive and sustainable economic transformation. “One of the policy directions is to revitalize the industry and strengthen applied research. This is where I think BRIN will play a very important role,” he said at the Focus Group Discussion (FGD) titled Policy of Development Direction and Strategies in the Mineral and Mining Resources Sector, Tuesday (29/3).

Minerba is an extractive sector for state revenues. The ups and downs depend on the world commodity prices. Rising price will increase contribution to state income, and vice versa. But in fact, some provinces that are rich in mining resources have poverty rates no better than other provinces. Management of natural resources has not been able to significantly lower the poverty rate in Indonesia. Meanwhile, the share of the mining sector to gross domestic product has decreased throughout 2012 to 2021. These should be one of the considerations in formulating policies in the mineral and coal sector.

Condition of Energy and Mineral Resources in Indonesia

In the 2000s, the economic rent from Indonesia’s natural resources (fossil energy, mining, minerals and forestry) was only worth around 10-16% of the GDP (down from about 20% during the 1970s). In the long term, this decline is expected to continue as production declines and costs increase. Therefore, we need to turn to conservation and value-added policies.

In order to meet domestic needs, production of energy and mineral raw materials must continue to increase in order to support the needs of society and industry, transition from fossil energy to renewable energy, and fulfil mineral raw materials for the upstream base metal industry with conservation policies. The added value of energy and mining resources must also be increased as the raw materials for domestic industry. In addition, this sector is also expected to play a role in regional development.

Yahya said that mineral downstreaming, for example coal, including technology development and regulatory intervention is still an issue that must be resolved. BRIN as an agency that carries out research, development, study, and application, as well as integrated inventions and innovations, needs to increase technology transfer in the downstream industry so that there will be more optimization of domestic human resources.

BRIN’s Acting Director of Environmental, Maritime, Natural Resources and Nuclear Energy Development Policy, Muhammad Abdul Kholiq said there are several research activities related to policy functions in the fields of energy resources, minerals, and mining. He mentioned, among others, the development of new renewable energy (EBT) and energy efficiency for Net Zero Emissions, development of green mining (environmental conservation and reduction/elimination of mercury in mining), and development of EBT and energy security for the National Capital City (IKN).

Downstreaming and commercialization of research results in the energy, mineral and mining sectors are still not optimal. In fact, many technologies and studies have been produced by BRIN researchers. For example, selective reduction technology for laterite nickel processing, cupola furnace hot blast technology, manufacture of ferromanganese from manganese ore, extraction of nickel, cobalt, and lanthanum compounds from industrial waste, and so on.

“Some of downstreaming challenges include a direct gap between the work unit and industry, inventions that are not oriented towards production, untested research results so that the industry is reluctant to follow up and sometimes  lack of government support in the form of protection, as well as regulations and incentives that are less attractive to industry.” explained Acting Head of the Geological Resources Research Center who concurrently serves as Acting Head of the Mining Technology Research Center, Anggoro Tri Mursito.

Therefore, Anggoro emphasized, policies and management/management are needed to encourage this condition. “That is why BRIN in this case is demanded to provide appropriate input and recommendations,” he concluded. (aps/ ed: drs)