Criticism of Mining Concessions for Universities Continues

JAKARTA, KOMPAS - The proposal for prioritizing the granting of mining rights to universities initiated by the DPR in the Draft Law on Mineral and Coal Mining is still causing controversy. Several non-governmental organizations are criticizing it while also providing alternatives.

The Draft Law (RUU) on the Fourth Amendment to Law Number 4 of 2009 concerning Mineral and Coal Mining (Minerba) is currently being deliberated by the government. On Wednesday (12/2/2025), the Legislative Body of the House of Representatives scheduled a working committee meeting on the Minerba Draft Law, aiming to meet the ratification target by the plenary session on February 18, 2025.

However, several new regulations in the Mineral and Coal Mining Bill remain controversial. One of them is the regulation of granting priority mining business permit areas for universities to enhance and develop the quality of national education.

This regulation is contained in Article 51 (a) which states that the granting of general mining permit areas for metallic minerals to universities is done on a priority basis, considering the area of the metallic mineral mining business permit, the accreditation of the university, and to improve access and educational services for the community.

The executive director of the Center for Energy and Mining Law Studies (Pushep), Bisman Bakhtiar, believes that there is a better alternative if the country aims to maximize mining profits for the advancement of education, particularly higher education. That alternative is to provide funding through a "Mining Fund".

"So, there is an allocation of a certain percentage of mining revenue for education. This is much better and safer, not damaging higher education institutions," he said to Kompas, Wednesday (12/2/2025).

The "Mining Fund" referred to is different from corporate social responsibility (CSR) funds or special mining business funds. It is also not a Community Empowerment Program (PPM) for empowering communities around the mining site.

"This Mining Fund is money that must be deposited to the state. It can become part of non-tax state revenue. However, a certain percentage is specifically allocated for education and sustainable mining programs," he said.

According to him, this idea is something new and can be a reference in future discussions on the Minerba Bill.

Separately, Executive Director of the Center of Economic and Law Studies (Celios) Bhima Yudhistira, saw that funding from mining for universities was questioned by many countries, especially in developed countries such as the United States and Europe. This is because mining activities are not environmentally or economically sustainable.

"College endowments in the US and Europe are even shying away from mining because it is environmentally risky and morally questionable," he said when contacted Tuesday (11/2).

The rules made by the government, Bhima continued, are also irrelevant considering the absence of clear studies related to these rules. "Universities like those in the United States and Europe are only given the authority to create innovation and skills training, not to manage mines," he said.

Minister of Law Supratman Andi Agtas, to reporters after attending a working meeting to discuss the Minerba Bill with related ministries, the DPR Baleg, and the DPR, at the Parliament Complex, Tuesday (11/2), said that the government proposed other alternatives related to the regulation on granting mining to universities.

"One way, instead of giving directly to universities, is that the government will appoint a BUMN or a third party. The results are divided by how much can be donated to universities, so that it can be evenly distributed. That is what makes DIM necessary for us to align," he said.

The proposal is being coordinated with related ministries and institutions in order to create a Problem Inventory List (DIM) that will be submitted to the DPR for the maturation of the Minerba Bill. The government's DIM related to the Minerba Bill is targeted to be completed before the end of the third week of February.

In addition to the Minister of Law, the Ministry of Energy and Mineral Resources (ESDM) and the Ministry of State Secretary have been appointed by the President to finalize the Minerba Bill.