Coal Mining Association Recommends Maintaining Current DMO Quota

Balancing National Needs and Industry Sustainability

The Indonesian Coal Mining Association (APBI) has expressed that revising the Domestic Market Obligation (DMO) quota for coal is not necessary at this time. Gita Mahyarani, Acting Executive Director of APBI, emphasized the importance of maintaining a balance between fulfilling national electricity needs and ensuring the sustainability of coal mining operations.

Key Considerations for DMO Quota

The association highlighted two primary concerns regarding potential DMO quota revisions:

1. Supply Readiness: Increasing the DMO quota could strain coal supply chains if production isn't adequately prepared.
2. Coal Specification Diversity: Different power plants require specific coal types, and a significant increase in DMO could complicate supply logistics.

Regulatory Context and Industry Implications

Recent government regulation PP No. 39/2025 provides the latest framework for mineral and coal mining operations. The new rules prioritize DMO fulfillment for State-Owned Enterprises (BUMN) in critical sectors like electricity generation. APBI supports this focus while cautioning against excessive quota increases that could disrupt industry operations.

Industry Position and Future Outlook

The coal mining industry remains committed to supporting national energy needs while maintaining operational viability. APBI's stance reflects a careful balancing act between government requirements and industry capabilities, setting the stage for continued dialogue between regulators and industry stakeholders.