We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Tuesday, 19 January 10
COAL FOR DOMESTIC USERS
 While the government is already almost a year behind schedule in issuing regulations to implement the new mining law, mineral producers have been worried about the domestic market obligation (DMO) that the Energy and Mining Resources Ministry imposed through a ruling late last month.
Their concern is not so much about the requirement to allocate a portion of their output to domestic users, but the lack of clarity regarding how the volume of domestic needs for each mineral is set, how the obligation will be distributed among the producers and how the prices will be determined.
Mineral producers (other than oil and natural gas) are fully aware that they should fulfill domestic needs. That requirement is also by and large stipulated in their mining contracts. However, the DMO will create new uncertainty if this obligation is not based on clear-cut regulations.
Unfortunately, the Dec. 31, 2009 decree by the energy and mineral resources minister is mostly about repressive measures for companies failing to meet their DMO. It stipulates that producers who fail to realize their DMO are liable to a 50 percent cut of their output for the following year.
What is encouraging to note is that a similar penalty is also imposed on domestic users failing to take up their annual quota — their annual quota will also be cut by 50 percent. This enforcement is important because the volume of the DMO is based on the domestic market demand, which in turn is based on the annual needs of domestic industrial users each year.
The most affected by the DMO policy are certainly coal producers, who have made Indonesia the world’s largest seaborne exporter of thermal coal with an estimated output of 230 million tons last year, of which only about 50 million tons was used locally. However, the domestic demand for coal is estimated to almost double this year with the coming on stream of several power plants run by state electricity company PT PLN, all fired by coal. They are part of the government’s crash program to build 10,000 megawatts in additional capacity at PLN’s plants.
The government has strived to achieve the right balance between maximizing export revenues from coal and also securing supplies for domestic users. The challenge, though, is how to make producers accept domestic prices as fair compared what they get from exports.
Put another way, there should be an Indonesian coal reference price index that is acceptable to both producers and users, taking into account such factors as the coal’s calorific value, moisture content, etc. Such a reference price index is crucial because, unlike other minerals that have commodity exchanges of their own for price formation, coal doesn’t have any exchange of its own.
In the past, the domestic purchasing price of different grades of coal was often considered arbitrary, which acted as a disincentive for some producers to produce and sell higher-quality coal to PLN, the largest single domestic user.
Commercially, as long as the prices are right, producers will happily sell their output to the domestic market as this will cut the delivery time and freight costs.
The problem, though, is that the latest ministerial decree does not touch at all on a pricing mechanism for the implementation of the domestic market obligation, and this is creating a sense of uncertainty among producers.
Obviously the government needs to address this pricing issue immediately through another clear-cut regulation so as not to adversely affect new investment in the mining sector.
Source: Editorial, The Jakarta Post
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Friday, 15 January 10
ADARO INDONESIA STILL TOPS IN INDONESIAN COAL EXPORT RANKING
COALspot.com (Indonesia): PT. Adaro Indonesia, the world first Envirocoal producer and Indonesia's second largest thermal coal producer is top coal ...
Friday, 15 January 10
NTPC TO ADD 6,000 MW EACH YEAR IN 12TH PLAN
Will raise total generation capacity to 75,000 Mw by 2017, up from 30,644 Mw at present.
India's largest power generator NTPC, which will launch ...
Friday, 15 January 10
POSCO SAYS 2010 COKING COAL AGREEMENT MAY BE DELAYED - BLOOMBERG
Posco, South Korea’s biggest steelmaker, said an agreement on coking coal prices for this year may be delayed because major suppliers of the s ...
Friday, 15 January 10
CHINA POWER FIRMS SEEK COAL IMPORTS, SUPPLY SCARCE
China's coal-hungry power plants have turned to imported coal to cope with widespread shortages, but spot supply is scarce, traders said on Thursda ...
Thursday, 14 January 10
INDONESIA POWER REDUCES COAL SUPPLY
PT Indonesia Power will reduce coal supplies from PT Tambang Batu Bara Bukit Asam to its Suralaya Power Plant. "The coal supply for the plant s ...
|
|
|
Showing 6086 to 6090 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Carbofer General Trading SA - India
- Metalloyd Limited - United Kingdom
- Posco Energy - South Korea
- Gujarat Mineral Development Corp Ltd - India
- Therma Luzon, Inc, Philippines
- Directorate Of Revenue Intelligence - India
- Kepco SPC Power Corporation, Philippines
- GMR Energy Limited - India
- Xindia Steels Limited - India
- Thai Mozambique Logistica
- Kartika Selabumi Mining - Indonesia
- PNOC Exploration Corporation - Philippines
- Sindya Power Generating Company Private Ltd
- Planning Commission, India
- Bangladesh Power Developement Board
- Semirara Mining Corp, Philippines
- Simpson Spence & Young - Indonesia
- Kumho Petrochemical, South Korea
- Ministry of Finance - Indonesia
- Larsen & Toubro Limited - India
- International Coal Ventures Pvt Ltd - India
- Indika Energy - Indonesia
- CNBM International Corporation - China
- Antam Resourcindo - Indonesia
- Mjunction Services Limited - India
- Indian Energy Exchange, India
- Ministry of Mines - Canada
- Asia Pacific Energy Resources Ventures Inc, Philippines
- GAC Shipping (India) Pvt Ltd
- Barasentosa Lestari - Indonesia
- Bulk Trading Sa - Switzerland
- VISA Power Limited - India
- Jorong Barutama Greston.PT - Indonesia
- SMC Global Power, Philippines
- Asmin Koalindo Tuhup - Indonesia
- Petron Corporation, Philippines
- PetroVietnam Power Coal Import and Supply Company
- Orica Australia Pty. Ltd.
- White Energy Company Limited
- Salva Resources Pvt Ltd - India
- SMG Consultants - Indonesia
- Australian Commodity Traders Exchange
- Meenaskhi Energy Private Limited - India
- Interocean Group of Companies - India
- AsiaOL BioFuels Corp., Philippines
- Essar Steel Hazira Ltd - India
- Grasim Industreis Ltd - India
- Price Waterhouse Coopers - Russia
- Parliament of New Zealand
- Binh Thuan Hamico - Vietnam
- IEA Clean Coal Centre - UK
- Indian Oil Corporation Limited
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- ASAPP Information Group - India
- Meralco Power Generation, Philippines
- India Bulls Power Limited - India
- Altura Mining Limited, Indonesia
- Miang Besar Coal Terminal - Indonesia
- Global Green Power PLC Corporation, Philippines
- Globalindo Alam Lestari - Indonesia
- Sakthi Sugars Limited - India
- Gujarat Sidhee Cement - India
- Toyota Tsusho Corporation, Japan
- Wilmar Investment Holdings
- Jindal Steel & Power Ltd - India
- Australian Coal Association
- Kalimantan Lumbung Energi - Indonesia
- The State Trading Corporation of India Ltd
- Vizag Seaport Private Limited - India
- Ceylon Electricity Board - Sri Lanka
- Deloitte Consulting - India
- Indogreen Group - Indonesia
- Rio Tinto Coal - Australia
- MS Steel International - UAE
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Singapore Mercantile Exchange
- Minerals Council of Australia
- Ministry of Transport, Egypt
- Kohat Cement Company Ltd. - Pakistan
- Coastal Gujarat Power Limited - India
- Mercuria Energy - Indonesia
- Economic Council, Georgia
- Goldman Sachs - Singapore
- Coal and Oil Company - UAE
- Global Business Power Corporation, Philippines
- Straits Asia Resources Limited - Singapore
- Pipit Mutiara Jaya. PT, Indonesia
- IHS Mccloskey Coal Group - USA
- Edison Trading Spa - Italy
- Independent Power Producers Association of India
- Pendopo Energi Batubara - Indonesia
- Cement Manufacturers Association - India
- Makarim & Taira - Indonesia
- Maharashtra Electricity Regulatory Commission - India
- Bhushan Steel Limited - India
- Petrochimia International Co. Ltd.- Taiwan
- Renaissance Capital - South Africa
- Port Waratah Coal Services - Australia
- Tata Chemicals Ltd - India
- Standard Chartered Bank - UAE
- London Commodity Brokers - England
- Kideco Jaya Agung - Indonesia
- Indo Tambangraya Megah - Indonesia
- Neyveli Lignite Corporation Ltd, - India
- Central Java Power - Indonesia
- Eastern Coal Council - USA
- Merrill Lynch Commodities Europe
- Rashtriya Ispat Nigam Limited - India
- European Bulk Services B.V. - Netherlands
- Videocon Industries ltd - India
- Ind-Barath Power Infra Limited - India
- Uttam Galva Steels Limited - India
- Karbindo Abesyapradhi - Indoneisa
- Iligan Light & Power Inc, Philippines
- South Luzon Thermal Energy Corporation
- Cigading International Bulk Terminal - Indonesia
- Directorate General of MIneral and Coal - Indonesia
- Africa Commodities Group - South Africa
- New Zealand Coal & Carbon
- Anglo American - United Kingdom
- Riau Bara Harum - Indonesia
- Madhucon Powers Ltd - India
- Bukit Asam (Persero) Tbk - Indonesia
- Holcim Trading Pte Ltd - Singapore
- Trasteel International SA, Italy
- San Jose City I Power Corp, Philippines
- Sree Jayajothi Cements Limited - India
- Ambuja Cements Ltd - India
- Kapuas Tunggal Persada - Indonesia
- Orica Mining Services - Indonesia
- Bayan Resources Tbk. - Indonesia
- Baramulti Group, Indonesia
- GN Power Mariveles Coal Plant, Philippines
- Sinarmas Energy and Mining - Indonesia
- Alfred C Toepfer International GmbH - Germany
- Semirara Mining and Power Corporation, Philippines
- Jaiprakash Power Ventures ltd
- LBH Netherlands Bv - Netherlands
- Lanco Infratech Ltd - India
- Agrawal Coal Company - India
- TeaM Sual Corporation - Philippines
- Bank of Tokyo Mitsubishi UFJ Ltd
- Bukit Makmur.PT - Indonesia
- Central Electricity Authority - India
- TNB Fuel Sdn Bhd - Malaysia
- Power Finance Corporation Ltd., India
- The University of Queensland
- Latin American Coal - Colombia
- Indonesian Coal Mining Association
- Kobexindo Tractors - Indoneisa
- Aditya Birla Group - India
- Georgia Ports Authority, United States
- Formosa Plastics Group - Taiwan
- Kaltim Prima Coal - Indonesia
- Electricity Generating Authority of Thailand
- Manunggal Multi Energi - Indonesia
- Wood Mackenzie - Singapore
- Attock Cement Pakistan Limited
- Sical Logistics Limited - India
- Savvy Resources Ltd - HongKong
- Banpu Public Company Limited - Thailand
- PowerSource Philippines DevCo
- Thiess Contractors Indonesia
- Heidelberg Cement - Germany
- Energy Link Ltd, New Zealand
- The Treasury - Australian Government
- Samtan Co., Ltd - South Korea
- Gujarat Electricity Regulatory Commission - India
- Eastern Energy - Thailand
- Timah Investasi Mineral - Indoneisa
- Aboitiz Power Corporation - Philippines
- Billiton Holdings Pty Ltd - Australia
- Coalindo Energy - Indonesia
- Maheswari Brothers Coal Limited - India
- SN Aboitiz Power Inc, Philippines
- McConnell Dowell - Australia
- Tamil Nadu electricity Board
- Vedanta Resources Plc - India
- Offshore Bulk Terminal Pte Ltd, Singapore
- Sarangani Energy Corporation, Philippines
- ICICI Bank Limited - India
- Sojitz Corporation - Japan
- Bhoruka Overseas - Indonesia
- Siam City Cement PLC, Thailand
- Dalmia Cement Bharat India
- Intertek Mineral Services - Indonesia
- GVK Power & Infra Limited - India
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Oldendorff Carriers - Singapore
- Karaikal Port Pvt Ltd - India
- Commonwealth Bank - Australia
- Krishnapatnam Port Company Ltd. - India
- Mercator Lines Limited - India
- Parry Sugars Refinery, India
- CIMB Investment Bank - Malaysia
- PTC India Limited - India
- Leighton Contractors Pty Ltd - Australia
- Chamber of Mines of South Africa
- Bahari Cakrawala Sebuku - Indonesia
- Energy Development Corp, Philippines
- Bharathi Cement Corporation - India
- Bhatia International Limited - India
- Siam City Cement - Thailand
- Mintek Dendrill Indonesia
- Electricity Authority, New Zealand
- Malabar Cements Ltd - India
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Marubeni Corporation - India
- OPG Power Generation Pvt Ltd - India
- Romanian Commodities Exchange
- Chettinad Cement Corporation Ltd - India
- Global Coal Blending Company Limited - Australia
- Bukit Baiduri Energy - Indonesia
- Vijayanagar Sugar Pvt Ltd - India
- Star Paper Mills Limited - India
- Medco Energi Mining Internasional
- Borneo Indobara - Indonesia
|
| |
| |
|
