Raja Ampat and Nickel Mining Uproar (1)
If there is something most confusing about Indonesia, it is almost certainly the complexity of regulations and the division of authority between the central Government and regional governments. In the past two weeks, this is what has caused a commotion. The source of the problem: there is nickel mining activity in Raja Ampat, a regency which was previously part of West Papua but has been part of a newly-established Southwest Papua since 2022.
#SaveRajaAmpat
Bahlil Lahadalia, Minister of Energy and Mineral Resources, ordered a temporary halt to the exploitative nickel mining activities in Raja Ampat, Southwest Papua province following the protest by environmental activists on June 3, 2025. People have been continuously sharing the #SaveRajaAmpat hashtag on social media platforms to show their concern about it ever since then, while Minister of Environment Hanif Faisol recently said the mining does not have serious impacts on the environment.
Mining acccident in Cirebon
The Ministry of Energy and Mineral Resources (ESDM) is currently investigating the cause of the landslide in Cirebon that killed 21 people last week (30/05). On the day of the accident, West Java Governor Dedi Mulyadi has immediately imposed a sanction in the form of permanent revocation of the mining business permits on Al-Azhariyah Islamic boarding school and the other two foundations. It is alleged that they have been doing bad mining practices since 2024.
Special treatment from Bahlil to Amran’s Tiran Group?
Approval for work and budget plan (RKAB) is the ‘hottest political commodity’ in the country even when nickel has fallen significantly from peak. Out of over 200 companies which secured approval, only few are allowed to mine more than 5 million tons per annum. Most players get below 1 million tons per annum.
Reality check on energy transition
Inconsistency is the only consistency in Indonesian policies, including on energy transition program. Three years ago, the government banned development of new coal-fired power plan beyond those included in the electricity procurement business plan (RUPTL) 2021-2030, but the newly issued RUPTL 2025-2034 pointed to 2,200 MW of additional capacity.
Shell retail under Citadel-Sefas
PT Shell Indonesia, a subsidiary of Shell plc, has agreed to sell ownership of its gas station business to a joint venture of Citadel Pacific and Sefas Group. Shell confirmed the sale of 200 gas stations, including 160 company-owned sites, expected to close the transaction next year.
Mining Journal
President Prabowo Subianto is set to kick off yet another coal-to-dimethyl ether (DME) project. Details yet to be provided, including planned participation of the newly sovereign wealth fund Danantara in the project, following departure of American technology partner Air Products Inc from similar project involving state miner Bukit Asam (PTBA) and state oil and gas company Pertamina.
Sodium-ion disruption
Indian government announced on Monday that its researchers have succeeded in developing a super-fast-charging sodium-ion battery (SIB). India, which seeks self-reliance in battery technology, claimed the finding a ‘major breakthrough’ in energy storage technology because it is capable of charging up to 80% in just six minutes and lasting over 3,000 charge cycles.
Positive sign from Anambas block
Indonesia clearly needs to revitalize its oil and gas industry to reduce the huge trade defict. In the first quarter of 2025, oil and gas trade deficit reached US$4.84 billion, down from US$5.1 billion in the corresponding period of 2024, but mainly due to lower average prices.
Solar power update
Vanda RE Pte Ltd, formed by Gurin Energy Pte Ltd and Gentari International Renewables Pte Ltd, has recently signed a major framework supply agreement with LONGi Green Energy Technology Co Ltd, a top-tier solar technology company. Under the agreement, LONGi will supply up to 1 GW solar PV modules, deploying in Vanda RE’s utility scale solar and storage project in Riau Islands.