BY THE GRACE OF GOD ALMIGHTY MINISTER OF ENERGY AND MINERAL RESOURCES
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1 DEPARTMENT OF ENERGY AND MINERAL RESOURCES REPUBLIC OF INDONESIA REGULATION OF MINISTER OF ENERGY AND MINERAL RESOURCES NUMBER 02 YEAR 2009 CONCERNING GUIDANCE IN THE ASSIGNMENT OF GEOTHERMAL PRELIMINARY SURVEY BY THE GRACE OF GOD ALMIGHTY MINISTER OF ENERGY AND MINERAL RESOURCES Considering: a. that in order to provide comprehensive guidance in the assignment of Geothermal Preliminary Survey, to repeal and replace Regulation of the Minister of Energy and Mineral Resources Number 005 Year 2007 dated July 12, 2007 regarding Guidance in the Assignment of Geothermal Preliminary Survey; b. that based on the considerations as meant in letter a and in accordance with the provisions of Article 10 of Government Regulation Number 59 Year 2007 regarding Geothermal Business Activities, it is necessary to stipulate Regulation of the Minister of Energy and Mineral Resources concerning the Guidance in the Assignment of Geothermal Preliminary Survey; Given: 1. Law Number 27 Year 2003 regarding Geothermal (State Gazette Year 2003 Number 115,Supplement to State Gazette Number 4327); 2. Government Regulation Number 10 Year 2000 on Accuracy Rate Map for Spatial Planning Areas (State Gazette Year 2000 Number 20, Supplement to State Gazette Number 3934); 3. Government Regulation Number 59 Year 2007 regarding Geothermal Operations (State Gazette Year 2007 Number 132, Supplement to State Gazette Number 4777); 4. Presidential Decree Number 187 / M of 2004 dated October 20, 2004 as amended by Presidential Decree No. 77 / P Year 2007 dated August 28, 2007; 5. Regulation of the Minister of Energy and Mineral Resources No of 2005 dated July 20, 2005 regarding Organization and Working Procedure of Ministry of Energy and Mineral Resources; 6. Regulation of the Minister of Energy and Mineral Resources No. 11 of 2008 dated 21 April 2008 on Procedures Determination of Geothermal Mines Working Area; DECIDED: To Stipulate: REGULATION OF THE MINISTER OF ENERGY AND MINERAL RESOURCES CONCERNING THE GUIDANCE IN THE ASSIGNMENT OF GEOTHERMAL PRELIMINARY SURVEY.
2 CHAPTER I GENERAL PROVISIONS Article 1 In this regulation what is meant by: 1. Preliminary surveys are activities involving the collection, analysis and presentation of data related to the condition information of geology, geophysics and geochemistry to estimate the location and the presence of geothermal resources as well as working area. 2. Geothermal Mining Working Area, hereinafter referred to as the Working Area, is set in the Geothermal Mining Business Permit. 3. Open Area is part of jurisdiction of Indonesian Geothermal mining that has not been set as the Working Area. 4. Preliminary survey assignment is a task to carry out Preliminary Survey activities given by the Minister. 5. Preliminary Survey Assignment Areas are those assignment areas characterized by potential points and bounded by coordinates. 6. Business Entity is Other Party which is Indonesian legal entity and has the expertise and ability to perform the Preliminary Survey Assignment. 7. Working Area Information Systems, hereinafter referred to SIWK, is a working area database system that contains information on all points of potential, working areas, working areas that are returned or working area whose permit or cooperation contract has ended. 8. Preliminary Survey Assignment Areas map is a map containing a potential point, data and information as well as the Preliminary Survey Assignment boundary coordinates. 9. Director General is Director General whose the tasks and responsibilities include geothermal mining activities. 10. Directorate General is the Directorate General whose duties and authority includes geothermal mining business activities. 11. Geology Agency is the agency whose whose duties and authority includes the geological activity. CHAPTER II DETERMINATION OF PRELIMINARY SURVEY ASSIGNMENT AREA Article 2 (1) Preliminary Survey Assignment given in the framework of the implementation program to accelerate geothermal development in Open Area that have not been able to set the Working Area as referred to in the Minister of Energy and Mineral Resources Regulation which set procedures for determining the geothermal mining working areas.
3 (2) The criteria to determine an Open Area to become a Preliminary survey Area as referred to in section (1) is: a. the said area has a great potential for geothermal and / or electricity demand in that area is high; b. geothermal potential areas that already have infrastructure and adequate national transmission network; or c. frontier / remote areas that are potentially and technically if geothermal potential is developed in the area then it will bring a significant multiplier effect. Article 3 (1) The Minister shall determine Preliminary Survey Assignment Areas based on the provisions referred to in Article 2. (2) The Director-General prepare a Preliminary Survey Assignment Areas. (3) The Governor, regent / mayor or Business Entity may propose to the Minister a specific area to do the Preliminary Survey Assignment. (4) In the case of governors, regents / mayors or business entities as referred to in section (3) intends to propose a particular area to conduct the Preliminary Survey Assignment he/she must apply to the Minister through the Director-General. (5) The Director General proposed a Preliminary Survey Assignment Areas as referred to in section (2), section (3) and section (4) to be determined as the Preliminary Survey Area by the Minister after coordinating with the Agency of Geology. Article 4 (1) To support the preparation of the working area, the Minister may assign the Business Entity to conduct Preliminary Surveys. (2) Business Entities which can perform Preliminary survey as referred to in section (1) can be in the form of State-Owned Enterprises, Regionally Owned Enterprises, cooperatives, or private. Article 5 (1) The implementation of Preliminary Survey Assignment is done through Preliminary Survey Assignment Areas Offer to the Business Entity. (2) The implementation of Preliminary Survey Assignment Areas Offer as referred to in section (I) conducted by the Director-General by way of: a. Preliminary Survey Assignment Areas announcements through print media, electronic media and other media; or
4 b. Preliminary Survey Assignment Areas promotion in various forums both nationally and internationally. (3) Preliminary Survey Assignment Areas as referred to in section (2) to be integrated in SIWK. CHAPTER Ill. APPLICATION PROCEDURES FOR ASSIGNMENT OF PRELIMINARY SURVEY Article 6 (1) Business Entity which are interested in doing Preliminary survey must submit a written application to the Director-General to get Area Map on Assignment of Preliminary Survey. (2) Business Entities which have received the Area Map on Assignment of Preliminary Survey as referred to in section (1) within a period no later than 5 (five) working days shall submit an application for Preliminary Survey Assignment to the Minister cq Director-General with a copy to the Agency of Geology, governors and regents / mayors. (3) Business Entity which filed the application as referred to in section (2) must attach a Area Map on Assignment of Preliminary Survey, requirements of administrative, technical, and financial. (4) administrative requirements as referred to in section (3) include: a. identity of the applicant / certificate of incorporation; b. corporate profits, and c. Taxpayer Identification Number. (5) The technical requirements as referred to in section (3) include: a. technical plan activities during the Preliminary Survey; b. operational technical skills by demonstrating experience in the field of geothermal and / or c. have experts in the field of Geothermal. (6) the financial requirement as referred to in section (3) include: a. work plan and budget; b. proof of ownership of the funds which will be used for Preliminary Survey for a period of Preliminary Survey Assignment in the form of bank guarantee, deposits or standby loan to use. (7) Each Business Entity can only do the Preliminary Survey Assignment on 1 (one) Preliminary Survey Assignment Areas. Article 7
5 (1) Preliminary Survey Assignment Area Map as referred to in Article 6 section (3) becomes the basis for issuance of the Assignment Survey Preliminary processing. (2) Processing of application for Preliminary Surveys Assignment to apply first application systems that have got Preliminary Survey Assignment Areas Map as referred to in section (I), and meet the requirements of administrative, technical and financial gain first priority to get the Preliminary Survey Assignment (first come first served). CHAPTER IV PRELIMINARY SURVEY ASSIGNMENT AREA MAP Article 8 (1) Implementation of Map Printing application for Preliminary Survey Assignment Areas as referred to in Article 6 section (2) performed in the work unit management of SIWK determined by the Director General. (2) Business Entity must complete the form for printing of Preliminary Survey Assignment Areas Map and follow the procedures applicable maps printing in work unit of SIWK management. (3) The cost of printing services Preliminary Survey Assignment Areas Map determined in accordance with the provisions of the legislation. Article 9 (1) Preliminary Survey Assignment Areas described in the map with a plano scale situation in F4 size paper and describe: a. geothermal potential point; b. boundary coordinates; c. location and administrative boundaries; d. land status information; e. description and a map legend; f. line scale; g. geographical element names; h. the source map; and i. Printing time of Preliminary Survey Assignment Area Map. (2) coordinate system mapping Preliminary Survey Assignment Areas using the National Geodetic Datum 1995 (DGN '95) which has a parameter value equal to the parameterof ellipsoid World Geodetic System 1984 (EWGS84). (3) Determination Basic for Preliminary Survey Assignment Area granted to business entities based on the geothermal potential distribution maps issued by the Geological Agency or the governor's
6 proposal, Regent / mayor or business entities that have been approved by the Directorate General of Geology after coordinating with the Geology Agency. (4) Preliminary Survey Assignment Area Map is described in the form and coordinates as contained in Annex I and II of this Ministerial Regulation. CHAPTER V DETERMINATION OF PRELIMINARY SURVEY ASSIGNMENT Article 10 (1) If within a period of 5 (five) working days after the issuance of the Preliminary Survey Assignment Area Map, the Business Entity referred to in Article 6 section (2) does not apply to the Minister or apply for and does not meet the requirements referred to in Article 6 section (4), section (5) and section (6) 'the area is expressed as Open areas and offered to following Business Entity applicants who meet the requirements. (2) The Director General gave his evaluation on the application filed by business entities as referred to in Article 6 section (2) and section (3). (3) Before the Director-General make an evaluarion as referred to in section (2), Business Entity shall make a presentation on the Action Plan, Work Plan and Budget in accordance technical and financial requirements as set forth in Article 6 section (5) and section (6). (4) If the result of an evaluation of the application referred to in section (2) and section (3) has met the requirements, the Director-General proposes to the Minister to give Preliminary Survey Assignment approval to the Business Entity including preliminary survey assignment area map. (5) If the results of an assessment of the application referred to in section (2) does not meet the requirements, the Director-General gives rejection to the Preliminary Survey Assignment to the Business Entity. (6) The Director General shall complete the evaluation as referred to in section (2) and section (3) within a maximum period of 15 (fifteen) days after the Business Entity apply for Preliminary Survey assignment. Article 11 Flowchart of Application for Preliminary Survey Assignment as contained in Annex III of this Ministerial regulation. CHAPTER VI IMPLEMENTATION OF PRELIMINARY SURVEY ASSIGNMENT Article I2
7 (1) In the event that the Minister gave approval for Preliminary Survey Assignment as referred to in Article 10 section (4), business entities which have Preliminary Survey Assignment shall conduct a survey based on the technical guidelines set by the Director-General. (2) The Implementation of Preliminary survey by the Business Entity held at the Open Area and at the expense and own risk. (3) Preliminary Survey Assignment as referred to in section (1) at least contain: a. Business Entity's name; b. Taxpayer Identification Number; c. person in charge; d. address; e. Preliminary Survey Assignment period; f. Preliminary Survey Assignment Areas Map, and g. rights and obligations of business entities. (4) Preliminary Survey Assignment as referred to in section (1) granted for a period not longer than 1 (one) year. Article 13 (I) Business Entitys which have received Preliminary Survey Assignment as referred to in Article 12 shall conduct the survey activities according to Action Plan, Work Plan and Budget which have been evaluated by the Director-General as referred to in Article 10. (2) In the case of business entities receiving Preliminary Survey Assignment referred to in section (1) will change the Action Plan, Work Plan and Budget for Preliminary Survey Assignment shall receive approval of the Director General. (3) In the case of business entities receiving Preliminary Survey Assignment referred to in section (1) will change the Preliminary Survey Assignment Areas must receive approval of the Director General. (4) The Director-General give approval as referred to in section (3) after coordinating with the Agency of Geology. Article 14 (1) Business Entities which conduct the Preliminary Survey Assignment shall: a. storing and securing the data Preliminary Survey Assignment results until the end of the assignment; and b. keep the data obtained in secret and submit all data to the Minister cq Director-General after the end of the assignment.
8 (2) Data as referred to in section (1) letter b shall be evaluated by the Directorate-General. Article 15 (1) The delivery of the Preliminary Survey Assignment activities results as referred to in Article 14 section (1) letter b shall be implemented after an evaluation and set forth in an official minutes signed by the Business Entity and the Directorate-General. (2) The evaluation referred to in section (1) is implemented in accordance with the provisions stipulated in the Ministerial Regulation governing the procedures for determining the working area. (3) The Preliminary Survey Assignment activities result as referred to in section (I) was used as a consideration in the planning of the Working Area determination in accordance with the provisions of laws and regulations. Article 16 Director-General submit the results of the Preliminary Survey Assignment as referred to in Article 15 section (1) in the form of physical and digital data to the Agency of Geology and Center for Data and Information of Energy and Mineral Resources. Article 17 (1) In case there are 2 (two) or more Preliminary Survey Assignments by different business entities and proved to be one (1) geothermal system, these two business entities have to resolve unanimously in accordance with business ethics and facilitated by the Director-General. (2) In the event no agreement is reached in the resolution of problems as referred to in section (I), the Director General's decision to establish the settlement issue and the decision is final. Article 18 Director-General to guide and supervise the implementation of the Preliminary Survey Assignment. CHAPTER VII ADMINISTRATIVE PENALTIES Article 19 Preliminary survey assignment may be revoked by the Minister if the business entities which have Preliminary Survey Assignment: a. violate the provisions set forth in the Preliminary Survey Assignment and provisions of legislation; or b. does not comply with the technical guidelines set by the Director General as referred to in Article 12 section (I).
9 Article 20 Before the minister do the Preliminary Survey Assignment revocation, the Director General on behalf of the Minister gives a written warning prior to the Business Entity which violates the provisions or failing to comply with the instructions referred to in Article 19 letter a or the letter b. Article 21 Any loss incurred as a result of the revocation of the Preliminary Survey Assignment,to be borne of business entities concerned. CHAPTER VI l l OTHER PROVISIONS Article 22 (1) Business Entities which have Preliminary Survey Assignment does not directly get the Workig Area. (2) Business Entities which have Preliminary Survey Assignment shall follow the auction of working area, in accordance with the provisions of legislation in the field of offer for Work Area auctions. (3) Any Business Entity which have Preliminary Survey Assignment before and after the regulation is published, is subject to payment of the basic price data in accordance with the provisions of the legislation. CHAPTER IX TRANSITIONAL PROVISIONS Article 23 (1) At the time this regulation came into force: a. As to the Preliminary Survey Assignment which is given before the entry of this Ministerial regulation into force, shall remain in force until the expiration of the Preliminary Survey Assignment and shall comply with the provisions of this regulation. b. As to Preliminary Survey Assignment application which has been filed before the enactment of this Ministerial regulation, and has fulfilled the requirements are processed in accordance with the provisions of Regulation of the Minister of Energy and Mineral Resources No. 005 of 2007 on Guidelines for Geothermal Preliminary Survey Assignment.
10 (2) Every Business Entity as referred to in section (1) that conduct more than 1 (one) Preliminary Survey Assignment Areas is required to establish a new business entity to participate in the the Work Area auction. CHAPTER X CLOSING Article 24 At the time this regulation comes into force, Regulation of the Minister of Energy and Mineral Resources No. 005 of 2007 dated July 12, 2007 regarding Guidelines for Geothermal Preliminary Survey Assignment is revoked and declared invalid. Article 25 This Ministerial Regulation shall come into force on the date of enactment. For public cognizance, it is ordered that this Ministerial Regulation by placing it in State Gazette of Republic of Indonesia. Stipulated in Jakarta On January 30, 2009 MINISTER OF ENERGY AND MINERAL RESOURCES Signed. Purnomo Yusgiantoro Promulgated in Jakarta on January 30, 2009 MINISTER OF JUSTICE AND HUMAN RIGHTS, Signed. Andi Matalatta STATE GAZETTE OF THE REPUBLIC OF INDONESIA NUMBER 11 OF 2009
11 APPENDIX I REGULATION OF MINISTER OF ENERGY AND MINERAL RESOURCES NUMBER : 02 YEAR 2009 DATE : 30 January 2009 PRELIMINARY SURVEY ASSIGNMENT MAP IN THE REGION coordinate PRELIMINARY SURVEY ASSIGNMENT MAP GEOTHERMAL IN THE REGION... REGION... PROVlNCE... Line Scale Scale 1 : Number / locationn information remarks Map drawing Geoscience survey rating Resousce potential/reserve. Remarks on Maps collection by Directorate General Legends and Remaks on Map Maps source : Index Maps Tima of Map Printing 1. Applicant :.. 2. Day and date of process :.. 3. Hour of process :.. 4. Operator :.. 5. Remarks :.. MINISTER OF ENERGY AND MINERAL RESOURCES signed. PURNOMO YUSGIANTORO
12 APPENDIX II REGULATION OF MINISTER OF ENERGY AND MINERAL RESOURCES NUMBER : 02 YEAR 2009 DATE : 30 January 2009 COORDINATE OF AREA OF PRELIMINARY SURVEY ASSIGNMENT ON GEOTHERMAL IN THE REGION. LOCATION - PROVlNCE :... - REGION :... - ENERGY POTENTIAL : GEOTHERMAL - AREA CODE :... - AREA WIDTH :... HECTARE POINT NUMBER LONGITUDE (EAST LONGITUDE) LATITUDE NORTH LATITUDE(NL) / SOUTH LATITUDE (SL) o o NL / SL MINISTER OF ENERGY AND MINERAL RESOURCES, signed. PURNOMO YUSGIANTORO
13 APPENDIX III REGULATION OF MINISTER OF ENERGY AND MINERAL RESOURCES NUMBER : 02 YEAR 2009 DATE : 30 January 2009 FLOW OF CHART OF PRELIMINARY SURVEY ASSIGNMENT APPLICATION BUSINESS ENTITY 1, Maps 2. Reguirements 3 1 MINISTER 2 4 c.q. DIRECTOR GENERAL Description: 1. Business entities that have received Preliminary Survey Area Map shall file an application for Preliminary Survey Assignment to the Minister cq Director-General within 5 (five) working days to complete the requirements on administrative, technical and finance. 2. Director-General provides an evaluation within 15 (fifteen) working days and submit the evaluation results to the Minister. 3. The Minister issues Preliminary Survey Assignment to the Business Entity. 4. If the evaluation does not meet the requirements, the Director-General to submit a rejection on Preliminary Survey Assignment to the Business Entity. MINISTER OF ENERGY AND MINERAL RESOURCES, signed. PURNOMO YUSGIANTORO
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