- Annual RKAB from 2026; revisions mandatory
- Production limited to 25% until March-end 2026
Mysteel Global: Indonesia has issued a new guidance on how coal and other mining companies can operate this year as the government eyes tightening production.
In a circular signed on December 31, 2025, the Ministry of Energy and Mineral Resources (ESDM) said companies with previously approved 2026 work and budget plans (RKAB) will need to revise and resubmit them under the new regulation. However, companies that have already applied for adjustments but are still waiting for approval may continue to rely on their earlier plans through March 31, 2026.
To prevent disruptions at the start of the year, producers whose 2026 plans form part of approved three-year programs (either 2024-26 or 2025-27) are allowed to keep operating, so long as they have submitted the required adjustment requests, posted their 2025 land reclamation guarantees, and obtained forest-use permits where needed.
During this interim period, eligible miners can produce up to 25% of their approved 2026 output until the end of March. Once the revised plans are cleared by the authorities, those approvals will serve as the new operating basis for the rest of the year.
In early July last year, the ESDM decided to shorten the RKAB’s validity from three years to one year, starting from 2026, in a bid to strengthen its control over domestic supply to combat falling prices of raw materials, including coal, in the global market, as reported.
The RKAB, an essential document for the normal operations of Indonesian mining companies, outlines a company’s intended production and sales volumes, as well as infrastructure development and community programs, Mysteel Global learned.
The ESDM reiterated its plan to cut coal production in 2026 in a bid to boost prices that had softened since 2024, as reported.
Note: This article has been written in accordance with a content exchange agreement between Mysteel Global and BigMint.
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