The Importance of Environmental Impact Assessment (EIA) in Mining Management

Mar 1, 2023

EIA (Environmental Impact Analysis) is a document that records an assessment of the major and significant impacts of a planned business and/or activity on the environment which is necessary for the decision-making process regarding the implementation of the business and/or activity in Indonesia. According to article 22 of Law (UU) No. 32 of 2009 states that every business and/or activity that has a significant impact on the environment must have an EIA, including the mining industry.

Thus, the EIA document in the mining industry records an analysis of the impact of each stage of mining activities on the environment and must be able to answer two main objectives. First, ensure that environmental, social and health costs are considered when determining economic feasibility and determining alternative activities to be selected. Second, ensure that control, management, monitoring, and protective measures are integrated into the mine project design and implementation and the mine closure plans. The EIA in mining projects must be able to guarantee that a mining business and/or activity can utilize and manage natural resources efficiently, minimize negative impacts, and maximize positive impacts on the environment.

In mining projects, the EIA is very important and non-negotiable as stated in the Law Article 2 in Article 2 of Law Number 4 of 2009 concerning Mineral and Coal Mining which confirms that “mineral and/or coal mining is managed on the basis of benefit, fairness, and balance; partiality in the interests of the nation; participatory, transparency, accountability; sustainable and environmentally sound.” Which has now been updated to become Law No. 3 of 2020.

Based on PP 22 of 2021 concerning Implementation of Environmental Protection and Management, Article 4 states that: 

Every business plan and/or activity that has an impact towards the Environment must have

a. EIA;

b. UKL-UPL; or 

c. SPPL. 

One of the conditions above is as a requirement to obtain a Mining Business Permit (IUP), mining business actors are required to submit Amdaldocuments prepared by the company for further evaluation by the government as material for consideration of whether the company is eligible to be granted an environmental permit/approval which is one of the IUP requirements.

This EIA document will later become a reference and guideline in terms of regional development planning, decision making on the environmental feasibility of business and/or activity plans, preparation of detailed technical designs of business and/or activity plans, preparation of environmental management and monitoring plans, and provision of information to the public on the impact arising from a planned business and/or activity.

Thus, as a scientific and legal document, EIA has many benefits, including:

For Government

1. Prevent pollution and environmental damage;

2. avoid conflict with society;

3. carry out sustainable development;

4. implementation of government responsibility in environmental management.

For Initiators

1. Ensure business continuity;

2. can be used as a credit reference;

3. create mutually beneficial interactions with local communities by meeting regulatory compliance.

For Society

1. Know from the start the impact of an activity.

2. execute controls;

3. involve in the decision-making process.


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