Coal is more than just a mining commodity; it plays a key role in supporting the economy and industry, particularly in Indonesia. Despite global efforts to shift toward renewable energy, coal remains essential, especially in electricity generation. Around 60% of Indonesia’s electricity supply still comes from coal-fired power plants (PLTU), ensuring energy availability for households, industries, and infrastructure. Coal also supports heavy industries such as steel (using coking coal), cement, fertilizer, and mineral smelting that require steady and affordable energy. Without coal, production costs would rise sharply, affecting national competitiveness.
Coal is also a major source of state revenue and employment. In 2024, Indonesia exported over 500 million tons of coal to countries like China, India, Japan, and South Korea, contributing trillions of IDR in royalties, taxes, and foreign exchange. These funds support infrastructure, education, and social programs. Additionally, the coal industry provides jobs for millions—ranging from miners and technicians to transport and logistics workers. In remote regions, coal mining boosts local economies by improving roads, schools, and public facilities. With abundant reserves, coal remains a strategic asset for national energy security during the transition to renewable sources.

Source:
https://www.metrotvnews.com/read/bVDCjM6Y-peran-penting-batu-bara-dalam-perekonomian-dan-industri-nasional