Acceleration of Domestic Processing and Refining Instruction

• Author: William A. Sullivan/Christian Teo Purwono & Partners
• Profession: Licensed Foreign Advocate in Indonesia as well as a Solicitor of the Supreme Court of New South Wales
• Pages: 233-238

CHAPTER 20

Acceleration of Domestic Processing

and Refining Instruction

I. Executive Summary

1. Overview

The Acceleration of Increase of Value Added Minerals Through Domestic

Processing and Refining Instruction was issued with legal effect from Feb-

ruary 13, 2013 (hereinafter referred to as “PI 3/2013”).

2. Approach

2.1 The President has instructed the relevant Ministers, Governors, and

Regents/Mayors to take the necessary steps required, in a coordinated

and integrated manner, to facilitate the realization of domestic pro-

cessing and refining.

2.2 The required new policies and road map, for the realization of

domestic processing and refining, are to be available within six

months; that is, by not later than July 31, 2013.

3. Assessment

3.1 The good intentions of the GoI, in issuing PI 3/2013, may be

wholeheartedly acknowledged and no one could seriously doubt the

need for much greater policy co-ordination in the area of domestic

processing and refining. Notwithstanding these good intentions and

the undeniable policy coordination imperative, however, PI 3/2013 is

simply far too little, far too late in terms of making domestic proces-

sing and refining a reality in January 2014 or soon thereafter. In this

regard, any number of legitimate concerns re PI 3/2013 may be raised.

3.2 As domestic processing and refining, starting in January 2014, has

been contemplated since 2009 one must ask why it is that GoI

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