JAKARTA. The Ministry of Energy and Mineral Resources (ESDM) had set the coal reference price for September 2021 to USD 150.03 per ton. Compared to the previous month, the coal reference price is USD 19.04 higher, increasing 14.5%.
Agung Pribadi, Head of Communication Bureau of the Ministry of ESDM, reveals that the factor that triggers the increment in the coal reference price is the high demand from China. Moreover, the coal demands from South Korea and Europe are also heightened as the natural gas price increases.
“It is quite a phenomenal number within the last decade,” Pribadi states in the official announcement received by idnfinancials.com.
According to the Ministry of ESDM data, the coal reference price once saw depletion in February and April 2021. However, by the next months, the price got back even higher, reaching USD 115.35 per ton in July 2021.
For the record, the reference price is determined after calculating the average price posted in Indonesia Coal Index (ICI), Newcastle Export Index (NEX), Globalcoal Newcastle Index (GCNC), and Platt’s 5900. The reference price in September would be applied for the coal price fixing in Free-on-Board in shipping vessels. (KR/ZH)