JAKARTA -- PT TIMAH Tbk has requested support from Commission XII of the Indonesian House of Representatives (DPR RI) to strengthen the governance of the national tin industry. This was conveyed by PT TIMAH Tbk President Director, Restu Widiyantoro, and Director of Production and Commercial Affairs, Ilhamsyah Mahendra, during a hearing with Commission XII DPR RI on Tuesday (November 11, 2025).
During the meeting, President Director Restu Widiyantoro presented the current condition of PT TIMAH Tbk and the company’s efforts to improve the governance of the national tin industry, which requires support from various stakeholders.
“In recent developments in Bangka Belitung, particularly within the tin industry, there have been some public concerns that we are gradually addressing,” said Restu.
Restu noted that one of the main challenges is the absence of a benchmark price for tin mineral commodities.
“The most prominent issue is the lack of a standardized reference price for tin, which affects governance. Since most prices are still determined by different parties with their own interests, there is wide variation in prices at the field level,” he explained.
However, Restu added that PT TIMAH Tbk has taken the initiative to collaborate with cooperatives in carrying out mining operations within the company’s Mining Business Permit (IUP) areas, replacing the previous partnership system.
To ensure sustainable tin governance, PT TIMAH Tbk specifically requested support from Commission XII DPR RI. Director of Production and Commercial Affairs, Ilhamsyah Mahendra, outlined three key steps through which such support could be implemented.
First, the issuance of derivative regulations that would grant stronger authority to state-owned enterprises (such as PT TIMAH) and law enforcement agencies to take action against illegal tin mining, and to regulate all tin ore extracted from illegal mining activities within PT TIMAH’s IUP areas. This would allow the ore to be returned to PT TIMAH Tbk through regulations that facilitate legalization and fair compensation for small-scale miners.
“This is crucial to stabilize and maintain consistency in our ore production, which directly impacts global demand and supply. Consistency in PT TIMAH’s production is essential,” he said.
Second, accelerating the issuance of a Government Regulation (PP) derived from the Mining Law to improve tin governance and trade mechanisms, support the designation of tin as a critical strategic mineral, and promote downstream industrialization.
Third, fostering and legalizing small-scale mining activities within PT TIMAH’s IUP areas in accordance with existing regulations, including through cooperative-based collaboration models.
Ilhamsyah also sought support for clear and transparent regulations governing post-mining reclamation responsibilities, particularly regarding environmental restoration in PT TIMAH’s IUP areas affected by illegal mining, both inside and outside forest zones. He also called for stronger coordination among ministries and agencies to simplify and expedite the permitting process.
“From a security standpoint, significant improvements have already been made. Once the reference mineral price is implemented and enforced in the field, I believe we can address social issues involving small-scale miners and achieve stability. Maintaining consistent PT TIMAH production is crucial to balancing global demand and supply, which in turn helps stabilize prices and maximize national revenue,” he said.
Meanwhile, Chairman of Commission XII DPR RI, Bambang Patijaya, stated that the meeting discussed several key issues aimed at improving national tin governance to ensure sustainability.
“One of our main concerns is the formula used to calculate the Tin Reference Price (HPM). We have asked the Directorate General of Minerals and Coal to establish a proper formula for HPM Tin,” he said.
Bambang expressed hope that the Ministry of Energy and Mineral Resources (ESDM) would finalize the HPM formula for tin commodities by the end of this year and implement it by January 1, 2026.
“Our target is to have a standardized HPM by January 1, 2026. This is a way for the government to play an active role in regulating the tin industry. The HPM will serve as a reference for all stakeholders. We are setting a firm deadline—by January 1, 2026, this must be completed, and the price must reflect the interests of PT TIMAH Tbk as well as the broader associations. This will become the rule of the game,” he said.
During the meeting, members of Commission XII DPR RI also provided input on improving national tin governance, emphasizing that Indonesia’s tin resources should be utilized optimally for the benefit of the nation and the welfare of its people, without neglecting environmental management. (*)
