March 27, 2026 | 06:44 pm
TEMPO.CO, Jakarta - Indonesian Minister of Energy and Mineral Resources, Bahlil Lahadalia, has confirmed that the government has not issued a new policy regarding the Coal Work Plan and Budget (RKAB) for coal in 2026. However, he stated that coal production will be relaxed in a measured manner.
"What we will do is have a measured relaxation," said Bahlil when met at the office of the Coordinating Ministry for the Economy, on Friday, March 27, 2026. He said that this measured relaxation aims to prioritize domestic interests.
Bahlil explained that the relaxation would be carried out based on market demand and supply. If the price remains high, the production quota can be increased. However, if the price drops, the production quota will be adjusted to market demand.
In addition to coal, the government will also adjust the nickel production quota to be in balance with demand and supply. Bahlil believes that this adjustment can maintain nickel prices from falling. Furthermore, the Ministry of Energy and Mineral Resources will increase the reference price for nickel. "So, we will raise the standard reference price for nickel," he said.
At the beginning of 2026, Bahlil had mentioned plans to reduce coal production. From the realization of coal production of 790 million tons in 2025, the government plans to reduce it to about 600 million tons in 2026. This step was taken to maintain commodity price stability and support sustainability principles.
However, recently, Coordinating Minister for the Economy Airlangga Hartarto stated that President Prabowo Subianto is pushing for an increase in coal production volume amid the surge in commodity prices. He said the government will revise the RKAB. "Regarding the additional prices, then coal will also be calculated about export taxes," said Airlangga at the Presidential Palace Complex, Jakarta, on Thursday, March 19, 2026, as quoted from the Presidential Secretariat's YouTube channel.
Riri Rahayuningsih contributed to this article
Read: Indonesia to Increase Nickel Benchmark for State Revenue
Click here to get the latest news updates from Tempo on Google News
How Indonesian Gov't Keeps Budget Deficit Below 3%
7 hari lalu
The Indonesian government is implementing several measures to keep state budget deficit below 3% amidst rising global prices.
Today's Top 3 News: 50,000 Tons of Illegal Coal Stockpile Along Mahakam River
59 hari lalu
Here is the list of the top 3 news on Tempo English today.
Authorities Unveil 50,000 Tons of Illegal Coal Stockpile Along Mahakam River
21 Januari 2026
A significant illegal coal stockpile has been found in six different locations, scattered across special coal ports.
Indonesia to Cut 2026 Coal Output to 600 Million Tons
9 Januari 2026
Energy Minister Bahlil Lahadalia mentioned that the coal production reduction aims to stabilize the prices.
The High-Stakes Moment for the Commodities Business
8 Januari 2026
The outlook for commodities such as coal, nickel, and palm oil in 2026 is bleak, an alarm for small players.
Coal Dependence in the Energy Mix
7 Januari 2026
The government continues to rely on coal-fired power plants. The energy transition remains a pipe dream.
Coal Dependence in the Energy Mix
6 Januari 2026
The government continues to rely on coal-fired power plants. The energy transition remains a pipe dream.
Indonesia's Exports Drop 6.6% in November 2025
6 Januari 2026
From January to November of 2025, Indonesia's total exports reached US$256.56 billion.
Ministry Seizes 70,000 Tons of Illegal Coal in East Kalimantan
31 Desember 2025
The Ministry of Energy and Mineral Resources (ESDM) confiscated the coal during a three-day operation from December 28 to 30, 2025.
Indonesia to Scale Back Coal and Nickel Production in 2026
20 Desember 2025
Indonesia will cut back on coal and nickel production next year, confirmed Minister of Energy and Mineral Resources Bahlil Lahadalia.
