BAHLIL LAHADALIA, NEW MINISTER OF ESDM

President Joko Widodo inaugurated Bahlil Lahadalia as Minister of Energy and Mineral Resources, at an inauguration ceremony for ministers and heads of agencies, at the Istana Negara, Jakarta, several days ago. Bahlil's inauguration is based on Presidential Decree Number 92P in 2024. (Ant)

REVISION OF PR NUMBER 112/2022

The Minister of Energy and Mineral Resources, Bahlil Lahadalia, must accelerate the number of coal SPPs being retired, including SPPs operated by industrial players (Captive), as well as revise Presidential Regulation Number 112/2022 regarding to the Acceleration of Renewable Energy Development for the Supply of Electric Power. That is stated by the observer. (Ant)

REDUCABLE COAL DMO TO 100 MILLION TONS

Executive Director of the Center of Economic and Law Studies, Bhima Yudhistira, said that coal DMO could be reduced to 100 million tons per year. This figure decreases by almost half of realization value of domestic market fulfillment on an annual basis (year on year/yoy) in 2023 at 177 million tons. Realization of DMO in 2023 was recorded to exceed the Ministry of Energy and Mineral Resources' prognosis, at 120 percent of target at 177 million tons. (Ant)

DECREASING HBA

Reference Prices for Coal (HBA) also decreased. The Ministry of Energy and Mineral Resources set the RPC for August at US$115.29 per ton. It decreased from the July RPC which reached at US$130.44 per ton. The August HBA has coal commodity specifications with calories at 6,322 kcal/kg GAR, total moisture at 12.26%, total sulphur at 0.66%, and ash at 7.94%. (Kontan)

INCREASING PRICES FOR COAL

Coal prices have increased again amid concerns about gas supplies in Europe. The decreasing supply for coal on the Blue Continent also contributed to the increase in prices. Supply concerns are the result of the increasing heat situation in Ukraine. That was stated by the analyst. (CNBCInd)

DECREASING SUPPLY FOR COAL

Coal supplies in major European ports are running low. Quoted from Montel, coal stocks at the Port of Amsterdam, Rotterdam or Antwerp (ARA) decreased at 1.3 million tons compared to last year at 4.59 million tons, which was the lowest level in three weeks. (CNBCInd)

NEWCASTLE COAL PRICES

Newcastle coal prices for August 2024 weakened at US$0.5 to US$146 per ton. Meanwhile, in September 2024 it will decrease at US$2 to US$149.25 per ton. Meanwhile, in October 2024, it will be corrected at US$1.95 to US$150.75 per ton. That was stated by the analyst. (Investor.id)

ROTTERDAM COAL PRICES

Rotterdam coal prices for August 2024 decreased at US$1 to US$121.5. Meanwhile, September 2024 will decrease at US$2.8 to US$119.95. Meanwhile, in October 2024, it will be cut at US$3.3 to US$122. This was reported by the press. (Investor)

DECREASING PERFORMANCE OF COAL EXPORT

According to the data from the Statistics Indonesia (SI), coal export performance has decreased both monthly and annually. The value of coal exports was recorded at US$2.49 billion. It decreased at 0.07% from the previous month (month to month) and it decreased at 2.49% compared to the same period last year (year on year). (Kontan.co.id)

ELECTRICITY COAL SUPPLY IN 2024-2026 FULFILLED

The supply of coal for general electricity in 2024 - 2026 has been fulfilled through assignments to mining sources in accordance with the Letter of the Directorate General of Mineral and Coal ESDM Number: B- 1839/MB.05/DBB.OP/2023, dated on December 2nd, 2023. Various activities have also been carried out. contract renewal, from short term to long term with direct miners. That was reported by the press. (Kompas)

INDONESIAN COAL DEMAND REMAINING STRONG

Acting as Executive Director of Indonesian Coal Mining Association (APBI- ICMA), Gita Mahyarani, stated that even though the selling price of Indonesian coal had decreased, demand from China and India remained strong. Even though the export value decreased, the tonnage/quantity of Indonesian exported coal did not experience a significant decrease. (Kontan)

PRODUCTION-SALES IN THE FIRST SEMESTER OF 2024

Until the first semester of 2024, PT Bukit Asam, Tbk reported that the company reached at 18.76 million tons with total sales at 20.05 million tons. It increased approximately at 15% (year on year). However, the average index of ICI-3 coal price decreased approximately at 19% (year on year) to US$75.89 per ton. Meanwhile, the Newcastle coal price index decreased approximately at 36% (year on year) to US$130.66 per ton. (Kontan)

IMPACT OF HIGH STOCK

Director and Corporate Secretary of PT Bumi Resources, Tbk, Dileep Srivastava, said that Indonesian coal exports were impacted by high stocks and increasing production in China, India and Indonesia. (Kontan)

FOCUSING ON OPERATIONS AND COST EFFICIENCY

Head of Corporate Communication for PT Adaro Energy Indonesia Tbk, Febriati Nadira, said that in the midst of coal prices which fluctuate to follow its cycles, Adaro will focus, among other things, on operational management and cost efficiency, developing and diversifying the business to increase contributions from the non-thermal coal sector. (Kontan)

HIGHLY INCREASING PRICES AT 8.91%

Over the past month, coal prices still highly increased at 8.91%. However, it seems that profit taking is the cause of decreasing coal prices. In addition, high rainfall in China means hydroelectric power plants have an adequate energy source, and this can reduce coal demand. (Bloomberg Technoz)

INCREASING PRODUCTION FOR COAL

According to data published on August 15th by the Statistic Indonesia, China's coal production increased at 2.8% in July 2024 compared to July 2023, reaching at 390.37 million tons. (CNBCInd)

COAL PRODUCTION HAVING THE INCREASING TREND

Analysts predict China's coal production to continue increasing into the third quarter due to hotter weather and a recovery in production after a decrease earlier this year due to safety inspections. As coal prices also weakened in line with the drop in gas. (Bloomberg Technoz)

COAL STOCK OF POWER PLANT

Power plants in the Java-Madura-Bali region have an average coal stock at 25.7 operating days (OD), power plants in the Sumatra-Kalimantan region are at 19.6 OD, and power plants in the Sulawesi-Maluku-Papua-Nusa Tenggara region are at 32.4 OD. That is informed by the PLN Energi Primer Indonesia. (Kompas)

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