Indonesia’s Coal Production Target in 2023 Reaches 694.5 Million Tons!

coal mine

Indonesia’s coal production will be further boosted. The Ministry of Energy and Mineral Resources (ESDM) targets coal production in 2023 to reach 694.5 million tones. This target far exceeds 2022 ago.

This was conveyed by the Director of Coal Business Development, Directorate General of Minerals and Coal, Ministry of Energy and Mineral Resources, Lana Saria. She said on Friday (20/1), the production target in 2023 was 694.5 million tones. This target is higher than the 2022 production target of 663 million tons.

Lana said that as much as 176.8 million tons were targeted for domestic consumption. Meanwhile, the remaining 517.7 million tonnes are targeted for export.

However, Lana said that the target for domestic consumption is higher than in 2022, which was 7%. He said this resulted in a lower coal export target compared to last year.

Meanwhile, she said that with the increase in this target, there were already 812 coal mining companies that had approved Work Plans and Budgets (RKAB). Lana said, as many as 65% of the companies proposed an increase in coal production.

Furthermore, until the end of 2022, Indonesia’s coal production has reached or even exceeded the target set by the government.

Based on Minerba One Data Indonesia (MODI) data from the Ministry of Energy and Mineral Resources (ESDM), Friday (30/12/2022), RI’s coal production was recorded to have reached 671.75 million tons or exceeded this year’s target which was set at 663 million tons.

Last year’s coal production even reached a record high in Indonesia’s history. Coal production in 2022 has exceeded the previous record for the highest coal production which occurred in 2019.

India Becomes Most Buyer of Indonesian Coal

Meanwhile, India will replace China as the largest market for Indonesian coal in 2022. Demand for coal from India has soared to 55.63%.

Indonesia is the largest exporter of coal, especially for the thermal type. Of the top 10 destinations for Indonesian coal exports in 2022, all are Asian countries.

India now ranks first in the list of Indonesian coal market. They imported 110.16 million tons of coal. This volume jumped 55.63% compared to 2021 which was recorded at 70.78 million tones.

In terms of value, coal exports to India will penetrate US$ 10.59 billion in 2022, or the equivalent of Rp. 159.78 trillion. This value also jumped 159.59% compared to that recorded in 2021 of US$ 4.08 billion.