Jakarta. Indonesia will begin imposing export duties on coal starting 2026, Finance Minister Purbaya Yudhi Sadewa said on Wednesday, marking the first time in nearly two decades the commodity loses its long-standing exemption.

“We’re discussing it. Maybe next year,” Purbaya told reporters at the Coordinating Economic Affairs Ministry.

The minister acknowledged the policy could make Indonesian coal less competitive globally. If miners try to raise prices to offset the export tax, he warned, their shipments risk being rejected by the market.

Even if coal prices weaken, the government will push ahead. “Price drops don’t change the urgency,” he said, adding that industry resistance is expected but the profit impact should remain limited. “Their profit will fall a bit. If they raise prices, it won’t sell.”

Coal royalties, he added, contribute far less to state revenues than oil and gas, leaving room to increase income without undermining the sector’s viability. “Oil production sharing contracts in the past were 85:15. Coal is far below that,” he said.

Coal has enjoyed an export-duty exemption since 2006 to boost shipments and support the broader economy. The new tariff would end nearly twenty years of that privilege.

Purbaya has also confirmed that a 15 percent gold export tax will take effect in 2026, expected to generate Rp 2 trillion to Rp 6 trillion in additional revenue.

Coal-linked stocks traded mixed on Thursday as investors digested the government’s plan. Adaro (ADRO) slipped to Rp 1,825, down 20 points (1.08 percent), Bukit Asam (PTBA) eased 10 points (0.43 percent) to Rp 2,310, and Bayan Resources (BYAN) inched up 50 points (0.29 percent) to Rp 17,550.