International Journal of Health, Engineering and Technology
Vol. 5 No. 2 (2026): Vol 5. No. 2 JULY 2026

Regulatory Disharmony In Mining Downstream Policies: Ensuring Investment Certainty And Environmental Protection In Indonesia

Arya Elang Anom (a:1:{s:5:"en_US"
s:26:"Islamic University of Riau"
})

Zulfikri Toguan (Unknown)
Azbi Arief Habibi (Unknown)



Article Info

Publish Date
16 Jul 2026

Abstract

Indonesia's mining downstream (hilirisasi) policy, grounded in Law Number 3 of 2020 on Mineral and Coal Mining and Law Number 11 of 2020 on Job Creation, faces serious challenges stemming from regulatory disharmony that threatens investment certainty and weakens environmental protection. This study aims to analyze three main dimensions of such disharmony: first, the normative conflict between centralization of mining authority and regional government authority under Law No. 23 of 2014; second, the "green economy" paradox between promoting nickel downstream for the global electric vehicle supply chain and tangible ecological damage on the ground; third, the fragmentation of environmental responsibility following the establishment of Danantara as a Sovereign Wealth Fund. This research employs a normative juridical method with statutory, conceptual, and comparative approaches. The findings indicate that regulatory disharmony creates normative vacuums in local-level environmental oversight, generates risks of greenwashing in Indonesia's green economic diplomacy, and obscures the locus of responsibility between parent companies and operating subsidiaries for environmental compliance. This study recommends the establishment of an integrative legal instrument mandating ESG (Environmental, Social, and Governance) internalization as a precondition for business certainty, supported by multi-level oversight mechanisms that preserve meaningful regional roles.

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Journal Info

Abbrev

ijhet

Publisher

Subject

Agriculture, Biological Sciences & Forestry Chemical Engineering, Chemistry & Bioengineering Dentistry Engineering Health Professions Immunology & microbiology Industrial & Manufacturing Engineering Mechanical Engineering Medicine & Pharmacology Nursing Public Health Veterinary

Description

International Journal of Health, Engineering and Technology (IJHET) is to provide research media and an important reference for the progress and dissemination of research results that support high-level research in the field of Health, Engineering and technology. Original theoretical work and ...