Chaos Jokowi-Faisal Basri, Shri Mulyani’s subordinates open their voices

Jakarta, Klinik Farma – President Joko Widodo (Jokowi) and Senior Economist of the Institute for the Development of Economics and Finance (Indef) Faisal Basri are involved in a “hot” debate about the processing and processing of minerals, especially nickel, in Indonesia.

Faisal Basri criticizes Jokowi’s current nickel refining and marketing policy as it actually only benefits China. Jokowi also questioned the basis of Faisal Basri’s argument. Similarly, Faisal Basri questioned the IDR 510 trillion figure, which Jokowi said was a result enjoyed by downstream RI.

Controversy and controversy over the data followed.

And also attracted for comments the special headquarters (Stafsus) of the Minister of Finance (Minister of Finance) Shri Mulyani in the field of strategic communications Justinus Prastovo.

As Levan posted on his official Twitter account, Prastovo said that Faisal Basri’s claim of no fees was incorrect.

“Dear @/FaisalBasri, let me answer one question first: PNBP and royalties. You are mistaken when you say that there are no taxes, because in fact PP 26/2022 regulates the rates for PNBP Natural Resources and royalties on nickel and petroleum products,” he said. wrote, quotes Saturday (8.12.2023).

Where, he continued, under the mandate of Law 3 of 2020 regarding Minerba, the management of minerals is aimed at supporting downstream.

With regard to this policy, he added, the government is making efforts, including:

1. Nickel ore export ban in 2020
2. Providing different royalty rates between NIPs that only produce/sell nickel ore, compared to NMPs that also own a smelter. The royalty rate for nickel ore is 10% and the tariff for nickel or matte nickel ferry is 2%.

“Royalties are really fees that are imposed in the concept and rules on the exploitation of natural resources. This is generally accepted. For permits for industrial activities, the collection, of course, is not royalties, but export duties (for imports) and other taxes (PPh, VAT). , regional tax, etc.),” he said.

Loading Prastovo immediately received a response from Faisal Basri.

“Mas Pras, I don’t think I was wrong. I said that there are no duties on palm oil exports at all from the smelter,” he said.

“Royalties are levied on miners, who are mainly owned by the national private sector, at 10%. The fee for ferronickel owned by China is only 2%. they get tax holidays,” Faisal Basri wrote.

As you know, Downstream is one of the main projects of Jokowi, which he is often proud of both domestically and during state trips abroad.

Because of this, Jokowi reacted when Faisal Basri said that the development of smelters producing semi-finished nickel was considered beneficial only for Chinese industry. Where, as is known, as a result of nickel processing in Indonesia, nickel pig iron (NPI) and ferrosilicate are produced.

“If refining is only from nickel ore, it becomes NPI or becomes black nickel. 99% of NPI and black nickel are exported to China, so Indonesia’s refining is actually supporting industrialization in China, which is extraordinary,” Faisal said in an Indef discussion cited on Thursday (10/8/2023).

Here is Jokowi’s full answer

“What are the calculations? If I give an example of nickel, when it is exported as raw material, the raw material is only about 17 trillion rupees per year. After entering industrial processing, processing becomes Rs 510 trillion,” Jokowi explained in response. to Faisal Basri’s statement on nickel pumping at Dukuh Atas LRT station, Jakarta, cited Friday (November 8, 2023).

With the increase in the value of exports of refined nickel, Jokowi continued, tax revenues will be higher than before the nickel was sold downstream.

“Just imagine that our country collects only taxes, taxes 17 trillion rupees and taxes 510 trillion rupees, which one is more?” he said.

“Because from there, from the downstream, we can get VAT, PPH of corporations, PPH of employees, PPH of companies, export duties, non-tax government revenues, they are all there. Just try to count from 17 trillion rupees to rupees. 510 trillion, how much is that?” concluded Jokowi.

[Gambas:Video CNBC]