There is SIMBARA, Luhut is confident about Corruption in the Minerba Sector Destroyed

Jakarta, IDN Times – The government has launched the Mineral and Coal Management Information System (SIMBARA). Through this system, the Coordinating Minister for Maritime Affairs and Investment (Marves), Luhut Binsar Pandjaitan, wants to eradicate the ‘rats’ that steal state revenues from the mineral and coal sector.

Moreover, said Luhut, currently the price of coal and nickel commodities is soaring. He asked that the increase in the price of mineral and coal commodities would also be accompanied by the optimization of state revenues.

“I am happy because with the high price of minerals such as nickel which has now reached an extraordinary 44 thousand (US dollars/ton), and I think there are lots of rats there, Minister of Finance. We have to eradicate that and we make it better,” said Luhut at the launch of the Mineral and Coal Management Information System which was held virtual, Tuesday (8/3/2022).

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1. Luhut said that preventing corruption is more profitable for the state than OTT

There is SIMBARA, Luhut Pede 'Rats' in the Minerba Sector can be eradicatedillustration of coal (ANTARA FOTO/Nova Wahyudi)

According to Luhut, SIMBARA can map things that are not normal in the recording of coal trade, both domestic and export sales. Thus, when something unusual or abnormal is found, it can be handled immediately, thereby preventing corruption in the coal trade.

Luhut considered that prevention was more profitable for the state than the sting operation (OTT) against corruptors which was usually carried out by the Corruption Eradication Commission (KPK).

“Prevention is better than our arrests. Catch small hands, we will be able to make trillions of rupiah and will discipline this nation,” said Luhut.

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2. SIMBARA is considered to be able to encourage the eradication of illegal coal mining

There is SIMBARA, Luhut Pede 'Rats' in the Minerba Sector can be eradicatedIllegal coal mining illustration (IDN Time/Ervan)

In more detail, Luhut explained that SIMBARA could help improve the discipline of coal entrepreneurs in fulfilling their domestic supply obligations or domestic market obligation (DMO), payment of coal export royalties, and eradicating unlicensed coal mining.

“The implementation of SIMBARA is also directly proportional to efforts to strengthen supervision and law enforcement on various obligations of business actors to fulfill DMO, royalty payments, and eradicating unlicensed miners or illegal mining,” he said.

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3. The government will also implement an integrated nickel trade information system

There is SIMBARA, Luhut Pede 'Rats' in the Minerba Sector can be eradicatedNickel mining illustration. ANTARAPHOTO/Jojojn

Not only coal, Luhut said SIMBARA will also record information on the movement of nickel supply to be traded in Indonesia or exported. Thus, optimizing state revenues not only from coal, but also nickel.

“As soon as we add coal today, other minerals such as nickel will also be added. And I think this will help the Finance Minister’s coffers,” said Luhut.

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