Sector
Mining
Indonesia, a country rich in natural resources, boasts a mining sector that is undeniably one of its leading sectors. With vast reserves of mineral and non-mineral mining resources, the country stands as a global powerhouse in the mining industry. As of 2022, Indonesia’s mining industry contributed Rp2.3 quadrillion to the national GDP, accounting for 12.22 percent.
View moreMining
Indonesia, a country rich in natural resources, boasts a mining sector that is undeniably one of its leading sectors. With vast reserves of mineral and non-mineral mining resources, the country stands as a global powerhouse in the mining industry. As of 2022, Indonesia’s mining industry contributed Rp2.3 quadrillion to the national GDP, accounting for 12.22 percent.
Mining flourishes across various regions of the country, each contributing to the nation’s economy. It is present in regions such as South Sumatra, Riau, Riau Islands, Bangka-Belitung, Central Kalimantan, East Kalimantan, South Kalimantan, and North Kalimantan. Additionally, mining is also prevalent in Southeast Sulawesi, Central Sulawesi, West Nusa Tenggara, North Maluku, Papua, and West Papua.
Indonesia’s wealth of mineral resources offers a wide variety of materials available for mining. From abundant reserves of gold, bauxite, tin, and copper concentrates to nickel ore, the country’s rich mineral resources signify significant potential for economic growth and development. In addition, Indonesia is also rich in coal mining, with its abundant coal reserves catering to the energy needs of both domestic and international markets.
The country's mining sector thrives on these resources. In 2023, mineral resources such as bauxite reached a production of 28 million tons, gold at 85 thousand kilograms, tin concentrate at 57 thousand metric tons, copper concentrate at 3 million metric tons, along with nickel ore at 98 million metric tons.3 Meanwhile, Indonesia’s coal production reached 775.2 million tons in 2023, almost double than ten years earlier when coal production stood at 421 million tons.
Additionally, Indonesia is home to oil and gas exploration and exploitation, although its output has been dwindling. Once an exporting country of oil and gas, Indonesia has transitioned into a net importer of these commodities since 2008 when consumption surpassed outputs, which stood at around 1 million barrels per day (bpd). In the first semester of 2023, Indonesia’s oil output stood at 615 bpd.
Subsequently, the government has worked hard to reverse the trend of falling oil output and has set a target to restore oil lifting to 1 million bpd in 2030, alongside a gas production target of 12 billion standard cubic feet per day (BSCFD). As of January 2023, Indonesia’s documented oil reserves were 2.41 billion barrels, and its natural gas reserves stood at 35.5 trillion cubic feet.
As for investments, Indonesia secured US$30.3 billion for the energy and mining sector in 2023, marking an 11 percent increase from the previous year. That same year, the oil and gas sector led the way,
achieving US$15.6 billion in investments, followed by mineral and coal at US$7.46 billion, electricity at US$5.8 billion, and renewable energy at US$1.5 billion.
Latest News
Indonesia has once again been forced to confront an uncomfortable question: What happens to the principle of equality before the law once the courtroom doors close?
The question has resurfaced with renewed urgency following a Sept. 23 inspection by the Indonesian Ombudsman at Cibinong Penitentiary in West Java, which uncovered what appeared to be a cluster of well-appointed private residences built directly inside the prison complex. Footage of the unannounced visit quickly went viral. The quarters were furnished with amenities far more typical of serviced apartments than correctional cells, featuring air conditioners, flat-screen televisions, refrigerators, plush sofas and formal dining tables. At one point, an individual was captured hurriedly shutting a door as investigators approached, evidently attempting to evade scrutiny.
According to the Ombudsman, the inspection team identified more than 10 house-like structures on the grounds, alongside luxury vehicles, a fully equipped gym and a golf simulator under construction. One occupant identified himself as an inmate, though correctional officers quickly intervened to block further questioning.
The revelations provoked swift public outcry, fueling demands to uncover how such accommodation could exist inside a state penitentiary and who authorized their use. To its credit, the government acted rapidly. On Sept. 25 and 26, the Immigration and Corrections Ministry questioned 52 inmates and more than 50 facility staff members. On Sept. 26, the ministry suspended Cibinong warden Wisnu Hani Putranto alongside four senior administrative officers pending a full inquiry. Yet subsequent disclosures revealed problems that run far deeper than unauthorized comforts.
During a Sept. 28 hearing before House of Representatives Commission XIII, Director General of Corrections Mashudi conceded that the Cibinong compound housed 16 residential units, 13 of which were never registered as state assets. Mashudi maintained that the buildings were intended as official staff residences and assimilation facilities rather than illicit cells. However, he also admitted that two inmates, Ahmad Albani and Hasan Tjhie, were present inside the facilities during the inspection. Both men were convicted in the high-profile PT Timah graft case, each handed 10-year sentences by the Jakarta High Court in 2025.
The Ombudsman laid out even more troubling details during a separate hearing before House Commission II the following day. Investigators revealed that corruption convict Jimmy Masrin, the former president commissioner of PT Petro Energy sentenced in March 2026 in the Indonesia Eximbank graft case, was suspected of occupying one of the luxury units. Furthermore, the team discovered CCTV equipment throughout the residential enclave, directly contradicting the warden’s earlier assertion that the area lacked surveillance, though investigators could not immediately confirm whether the cameras were operational.
Compounding the issue of preferential housing, the Ombudsman cited reports from inmates’ families alleging that prisoners were routinely subjected to illegal levies of Rp 150,000 (US$8.40) per week simply to secure basic treatment. The scandal has therefore moved well past the initial shock of opulent interiors. The pressing issues now center on administrative complicity: who authorized access, how these shadow assets operated outside state registers and to what extent wealth and connections continue to purchase an entirely different reality behind bars.
Cibinong is hardly an anomaly in Indonesia’s correctional history. In January 2010, the Judicial Mafia Eradication Task Force discovered corruption convict Artalyta Suryani, better known as Ayin, occupying an exclusive suite at East Jakarta’s Pondok Bambu Women’s Penitentiary complete with an air conditioner, television, refrigerator and private bathroom. Seven years later, the National Narcotics Agency seized unauthorized communication rigs and electronics from the cell of drug lord Harianto Chandra at Cipinang Penitentiary in East Jakarta.
By 2018, the Corruption Eradication Commission uncovered an extensive luxury-cell racket orchestrated by the warden at Sukamiskin Penitentiary in Bandung, West Java, catering to high-profile figures such as Fahmi Darmawansyah, Setya Novanto and Muhammad Nazaruddin.
Then came the defining image of correctional impunity: Gayus Tambunan. In 2010, the former tax official was photographed wearing a wig in the stands at an international tennis tournament in Bali while nominally in detention. His case demonstrated that behind Indonesian prison walls, privilege can secure not just creature comforts, but the freedom to bypass detention altogether.
As early as 2011, Indonesia Corruption Watch mapped out five systemic vectors of prison graft: preferential amenities, unauthorized leave, remission tampering, extortion of inmates' families and the use of substitute inmates to serve sentences on behalf of wealthy convicts. What the Ombudsman exposed in Cibinong mirrors those decade-old findings almost point for point.
The foundational question is no longer what is happening, but why the system remains incapable of preventing it, even after President Prabowo Subianto formed a ministry dedicated to deal with the issue in 2024. The law may appear egalitarian in the courtroom, but if money and influence continue to command VIP treatment behind prison walls, the constitutional promise of equality before the law remains elusive.
