Coalindo EnergyNews Issue 017 - 2025

COAL EXPORT DUTY POLICY 

Coal export duty policy, according to the Minister of Energy and Mineral Resources, Bahlil Lahadalia, will be applied by the government when coal prices are experiencing an upward trend. For its execution, the Ministry of Energy and Mineral Resources will release rules on the collection of coal export duty that are likely to be published this year. (Liputan6)


NATIONAL COAL PRODUCTION REACHING AT 48.34% 

The Ministry of Energy and Mineral Resources recorded that national coal production in the first Semester of 2025 reached at 357.6 million tons, or 48.34% of this year's production target set at 739.7 million tons. (Akurat.co)

 

238 MILLION TONS OF COAL EXPORTED 

238 million tons of Indonesian coal were exported in the first Semester of 2025. Meanwhile, 104.6 million tons are allocated for Domestic Market Obligation (DMO) and 15 million tons are in stock. This is reported by the data of the Ministry of Energy and Mineral Resources. (Akurat)


POSSIBLE & PROVEN RESERVES 

Based on data from the Balance of Resources and Reserves of National Mineral and coal in 2025, the total Indonesian coal reserves per December 2024 reached at 31.95 billion tons, consisting of possible reserves at 14.418 billion tons and proven reserves at 17.536 billion tons. (CNBCInd)

 

HAVING NO EXPLORATION BUDGET 

Director General of Mineral and Coal, Ministry of Energy and Mineral Resources, Tri Winarno, said that this far there has been no exploration budget allocated specifically in Indonesia. Whereas the Mining Exploration Fund is quite important to increase the reserves of National mineral and coal resources. (CNBCInd)


EXPLORATION FUNDS INCREASING THE HUMAN RESOURCES WEALTH 

Ministry of Energy and Mineral Resources reported that Egypt with the intensified exploration Fund program has succeeded in increasing its natural resource wealth from US$1.5 billion to US$3.5 billion. This is evidence that exploration activities play an important role in strengthening a country's resource reserves. (CNBCInd)


REDUCING STOCKS OF COKING COAL

China's total coking coal stock decreased approximately at 350 million tons at the start of the year to less than 300 million tons in July. On the other hand, according to BigMint data, the price of low vol PCI (CNF Jingtang) increased from approximately at US$103/ton in July 2025 to an average at US$113/ton in August. (CNBCInd)


TRIGGERING THE HIGH PRICE FOR COAL 

In addition to demand, the high price for coal was triggered by the move of National Energy Administration (NEA) to launch a tight audit of coal mines in eight major producing provinces, including Shanxi, Mongolia Dalam and Xinjiang. This was stated by the analysts. (CNBCInd)


ANNUAL REVISIONS OF RKAB 

The Minister of Energy and Mineral Resources, Bahlil Lahadalia, confirmed that he would revise the mechanism of the Work Plan and Budget (RKAB) for coal mining from the original three years to annual. This step is done to maintain the stability of commodity prices which are now decreasing. (Tirto.id)


TOTAL THERMAL COAL IMPORTS 

Asia's Total imports of thermal coal by sea generally used for power plants reached at 70.66 million metric tons in July 2025. It dropped at 7.8% year-on-year (yoy). It was reported by the press. (CNBCInd)


ELECTRICITY PRODUCTION FROM HARD COAL INCREASING 

From Germany, reported that electricity production from hard coal increased at 23.3% in January-June 2025 compared to the same period the previous year. This high increase occurred despite the overall use of imported coal remained stable. (CNBCInd)

 

ENCORAGING THE CALANG AS A COAL PORT 

The Aceh Jaya regency government held a discussion forum titled Kuphi Bengoh at Calang Port, recently, in an effort to encourage the transformation of port into a center of export-import activities, especially coal commodities. The Forum was led by the Vice Regent of Aceh Jaya, Muslem D. (Infopublik.com)


THERMAL COAL PRICES REMAINING STRONG 

Thermal coal prices in China are expected by analysts to remain strong in the short term, with a bullish trend due to limited supply and production disruptions in some areas due to weather disturbances (rain) as well as limited availability of coal in northern ports. (CNBCInd)


DIVERSIFICATION OF EXPORT MARKETS 

Association of Indonesian Energy, Mineral and coal suppliers (Aspebindo) opens opportunities to diversify export markets due to the decreasing demand for coal from China and India. Market opportunities outside of China such as ASEAN including Vietnam, the Philippines, and Malaysia are a priority. (CNBCInd)

 

COUNTRIES INCREASING THE COAL CONSUMPTION 

Vietnam is expected to increase coal imports at 5-7 percents per year until 2030 to support industrialization. While Bangladesh and Pakistan have the potential to consume the medium to low calorie coal for power plants. Bangladesh needs an additional at 10 million tons a year to patch up its electricity supply deficit. This is stated by AIEMCS. (CNBCInd)


BANK LOANS REACHING THE TRILLION 

Throughout 2021-2024, the National Bank, reported by the press, has disbursed loans up to US$7.2 billion to coal companies. Along with that, the government continues to encourage the addition of Steam Power Plant capacity up to 6.3 GW throughout 2025-2034 based on PLN's latest Electricity Supply Business Plan (RUPTL). (Liputan6.com)


Disclaimer: 

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Posted in blog on Aug 15, 2025.

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