Consider the Coal - magz.tempo.co

Consider the Coal

Tuesday, August 7 2018 15:59 WIB

The ending of government regulation on coal producers’ obligation to sell coal domestically, known as the Domestic Market Obligation (DMO), is not the solution to the current account deficit. Instead of increasing exports, the ending of the DMO could bring about the collapse of PLN, the state electricity company.

Consider the Coal
The government’s plan to end miners’ obligation to sell coal on the domestic market was not based on properly thought-out considerations.

The ending of government regulation on coal producers’ obligation to sell coal domestically, known as the Domestic Market Obligation (DMO), is not the solution to the current account deficit. Instead of increasing exports, the ending of the DMO could bring about the collapse of PLN, the state electricity company.

Therefore, President Joko Widodo was right to cancel the plan to end the DMO following a cabinet meeting. If it had been pushed

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