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Critical Minerals Subject to Strict Supervision by Ministry of Energy and Mineral Resources

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Critical Minerals Subject to Strict Supervision by Ministry of Energy and Mineral Resources

Jakarta, Timerilis.com – The Ministry of Energy and Mineral Resources (ESDM) has issued Ministerial Decree (Kepmen) Number 296.K / MB.01 / MEM.B / 2023 which regulates the decision of commodity types included in the classification of critical minerals.

This step was taken to ensure stricter supervision of mineral commodities that have an important role in the national industry and to ensure the stability of the mineral supply.

Minister of Energy and Mineral Resources, Arifin Tasrif, explained the importance of regulating critical minerals with clear regulations.

“Critical minerals must be regulated. If there are no regulations governing them, they can be traded illegally. We need to protect these mineral reserves because they are indispensable. In particular for the development of nuclear and radioactive energy in the future,” he said.

One example of a regulated critical mineral is Rare Earth Metals (LTJ). It has strategic value as they are used in nuclear and radioactive energy development.

“We must maintain and secure the supply of these minerals. Otherwise, we will be overly reliant on imports, which could affect the domestic industry,” he added.

The criteria for identifying critical minerals include considerations such as minerals that are the main raw materials in national strategic industries, have significant economic value, have high risks related to supply, and have no equivalent substitutes.

The determination of commodity types included in the critical mineral classification will be valid for three years and will be reviewed annually or at any time if necessary.

This step is expected to maintain the sustainability of mineral supplies that are crucial to the national interest.

In addition, stricter regulations can also prevent the illegal sale of critical minerals abroad, which can be detrimental to the authority of Indonesia’s mineral resources.