[SMM Nickel Flash] Indonesia ESDM: RKAB Quota System Is Core Tool for Mineral Output Control and Downstream Push

Published: Jun 4, 2026 11:24

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At SMM Indonesia Critical Mineral Conference & Expo 2026, Totoh Abdul Fatah, Secretary-General of the Directorate General of Minerals and Coal, described RKAB as the government's primary tool for regulating mineral output and aligning extraction with downstream industrialization. Future smelter approvals will be evaluated across four dimensions: sustainable resource development, supply-demand balance, ESG compliance, and national value-added creation. Indonesia remains open to quality foreign investment enabling technology transfer and job creation, but the policy direction is clear: downstream development will continue with stronger regulatory enforcement. The RKAB system and mineral allocation controls are positioned as the structural foundation for a more resilient industrial ecosystem.

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