Indonesia has launched the SIMBARA online system to track the movement of nickel and tin from mines to domestic processing facilities, aiming to enhance accountability and government revenue. The system, initially introduced in 2022 for coal, is now being extended to other minerals.
Finance Minister Sri Mulyani Indrawati highlighted that SIMBARA has already improved governance in the coal sector by enforcing state liabilities and ensuring compliance with mining documentation, and she expects similar results for nickel and tin.
For coal, SIMBARA monitors everything from mining quotas (RKAB) to export documentation, financial flows, logistics, and involved personnel. The new system will similarly track the transportation of tin and nickel, including interisland shipments, and be integrated with RKAB.
“SIMBARA will help us manage processes consistently and authoritatively without imposing excessive burdens on companies,” said Sri Mulyani.
The improved compliance is anticipated to increase royalty payments from tin and nickel miners by between 5 trillion and 10 trillion rupiah ($308 million to $616 million) annually, according to Coordinating Minister of Maritime and Investment Affairs Luhut Pandjaitan.
The nickel miner group APNI hopes SIMBARA will curb illegal mining and prevent issues like oversupply. The system will alert authorities if a smelter produces more nickel metal than expected based on ore purchases, requiring smelters to account for any discrepancies.
Mining Minister Arifin Tasrif announced plans to expand SIMBARA’s tracking capabilities to gold, copper, bauxite, manganese, and other resources. Additionally, the system will eventually monitor compliance with labor and environmental regulations, with the capability to block sales from miners found in violation of the rules.
