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Assisted by the Indonesian Attorney General's Office, PT Timah Implements New Mining Partnership Governance

PANGKALPINANG - PT TIMAH Tbk continues to strengthen its commitments in improving corporate governance through the transformation of a more transparent and accountable partnership system.

This was conveyed by PT Timah HR Director Hendra Kusuma Wardana in a Focus Group Discussion (FGD) entitled “Collaboration Towards Transparent and Accountable Mining Partnership Governance” at Graha Timah Pangkalpinang last weekend.

Hendra said that collaboration is important to accelerate improvements in mining governance, especially mining partnerships that are being promoted by the company.

“We are grateful for the participation of all parties in this FGD. We have also requested assistance from the Deputy Attorney General for Civil and State Administration (Jamdatun) to ensure better governance, because we want to work calmly and professionally,” said Hendra.

The transformation process also involved intensive discussions with the Attorney General's Office, the Ministry of Energy and Mineral Resources (ESDM), and relevant regulators.

“We are looking for the best precision in implementing this new rule for legal certainty and compliance in governance,” he added.

As a concrete step, PT Timah Tbk has implemented a new partnership scheme for alluvial tin mining and tin associated minerals designed with the principles of transparency, accountability and efficiency, so as to provide better governance. The main changes in this partnership scheme include clearer and more structured segregation, registration, processes, and monitoring.

According to him, this governance improvement includes changes in the business process mechanism at PT Timah. If previously the selection of partners began with an offer, now the mechanism starts with analysis and planning by PT Timah, then continues with the announcement process. This is done to improve accuracy in the selection of partners that truly meet the needs of the company.

As a form of transparency in the partner registration process, PT TIMAH Tbk collaborates with external parties through the Pengadaan.com platform. In addition, the company has also developed the MCOS application to support the efficiency of the mining partnership business, thus facilitating operational implementation with the principles of transparency and accountability.

“We hope that this new partnership program can strengthen the working relationship between PT TIMAH and external mining partners. With good synergy, we can achieve sustainable common goals and bring progress to the tin industry,” Hendra said.

In addition, PT TIMAH Tbk also emphasizes the importance of compliance with all applicable rules and guidelines, including legal, environmental, and operational aspects. Occupational Safety and Health (K3) is an important aspect in this new governance, to ensure better operational standards.

Meanwhile, the Head of the Sub Directorate of Legal Assistance and Audit of the Attorney General's Office, Hilman Azazi, SH, M.Mh, stated that the AGO's presence aims to assist PT Timah in improving governance in the form of legal consultation for PT Timah and business partners, not just law enforcement.

“Every time a legal problem occurs, we are always directed by the leadership to re-evaluate the applicable governance and governance. We make sure whether there are gaps that can cause irregularities. Therefore, our presence here is to assist PT Timah and all related parties so that no further irregularities occur in the future,” said Hilman.

He also emphasized the importance of compliance with applicable regulations, both for PT TIMAH and mining partners. With the implementation of better governance, it is hoped that mining results can provide benefits for all parties, including the state, PT TIMAH, and the communities involved in the mining industry.

“We want to work calmly, comfortably, and according to the rules. PT TIMAH has a Mining Business License (IUP), while the land used may belong to the community. However, the mining products still belong to PT TIMAH. If there is a sale to another party without permission, then it is an illegal act,” he explained.

In the discussion session, the Head of the Analysis Section at the Sub Directorate of Law Enforcement of the Indonesian Attorney General's Office, Haryono, also added that the legal assistance provided to PT Timah covers various aspects, including the procurement of goods and services and the selection of partners.

“In the initial stage, we identify issues that have the potential to cause discrepancies or irregularities. We also review the applicable regulations at PT Timah to ensure that all processes are in accordance with applicable norms,” said Haryono. (*)