Through the implementation of Good Mining Practice, KPC believes that coal mining can provide sustainable benefit for all stakeholders

Good Mining Practice (GMP) is being developed by KPC to become an applicative framework in pursuit of maximizing the positive impact our mining activities. GMP was developed by KPC as a framework and working parameters that is applicable according to  the basic concepts issued by the Ministry of Energy and Mineral Resources.

Fair and transparent goods and servicess procurement process needs to be conducted by KPC. In order to achieve it, we invite several contractors and suppliers to participate in selection and evaluation process. With this process, we expect to maintain credibility, properness, fairness, and trust of our suppliers. Selection and evaluation process were held based on our Standard Operation Procedures (SOP) which is organized by Supply Department. If, in case of urgency, end-users may directly appoint suppliers/contractors by submitting Waive To Tender Document that has been aprroved by KPC authorized management.

The nine aspects of the Good Mining Practice are being implemented by the related departments in the KPC. The nine aspects are:





Employees’ Competence 

Attention to the competence of the employees from the recruitment process including the following aspects:

  • Knowledge and understanding of the appropriate field
  • Expertise with experience of at least the specified period
  • Personal quality, which are the attitude and work ethic as well as moral responsibility to the assigned duties


Mine Design and Planning

Compliance to all process criteria in determining and implementing plan which include:

  • Planning and feasible mine designing in accordance with available resources
  • Safety factor and technical competence
  • Risk assessment for projects within medium to high risk category
  • Preparation of framework and long-term design plan


The selection of the right tools and good maintenance

Selection and maintainance of equipments in accordance with the function and condition of the mine area by taking into account:

  • Target and production capacity
  • Compliance measure between excavator and loading tool
  • Type of work performed
  • Material conditions in the mine area
  • Use of the latest technology


Work health and safety


Formation and selection of a special department that supervises KPC’s work health and safety to ensure strict adherence to this aspect really executed and obeyed.


Dimension and time frame


All processes ever since the early design planning phase up to the operational impact management phase are constantly executed in a proper manner. Thus, it helps to control and mitgate risk in a more effective and efficient ways. KPC categorizes this time-frame into short-term, medium term and long term.


Competitive production cost


Implementation of various approaches to improve the efficiency and cost savings to optimize cost and production output. Thus KPC is able to plan environmental management programs financing as well as enhancing the quality of life of surrounding communities.


Environment and ecosystem aspect


Continous implementation and development of environmental management approaches, which include risk assessment and preventive measures for any potential negative impacts on the environment, including pollution that might occur in the whole chain of our operations.


Social community aspect


Compliance towards law and regulation related to the operations of our mines, for instance:

  • Mining operation permits, such as: feasibility studies, environmental impact assessments, RKAB and RKTTL, UKL and UPL
  • Waste management permits, such as: B3 waste, liquid waste, etc.
  • Land permits: land clearing permits and Timber Utilization Permit (IPK)

Fulfillment of reclamation guarantee costs (Jamrek), etc.

Stakeholders play an important role in the business activities of KPC. We are working to establish transparent communication with the goal of creating and maintaining mutual trust. Together with our customers, business partners, local communities, and local government officials, shareholders and employees, KPC is on the path pursuing sustainability..


Fulfilling Customers’ Needs

KPC continue to interact and establish two-way communication with customers in various occasions and routines to ensure the satisfaction of our customers. We always accommodate complaints and suggestions from our customers and never stop to improve ourselves.


Maintaining Sustainable Partnership

KPC upholds transparent auction process, the process of appointment, performance review, and audit. We spread the company’s spirit on a sustainable business behavior to all business partners. We believe that the KPC, local communities and economic development of the region will benefit from the strong cooperation. The company provides support for the development of our business partners through training programs and business consulting.


Engagement with the Local Community

KPC is open to any input from various community groups that were around the area of our operations and information and input gathered from the community, including their hopes and fears related with the operations of the company. Furthermore, the entire input and feedback is analyzed and developed into social programs under the 7 pillars of KPC's Community Development. Through transparency and two-way communication, KPC aims to initiate a variety of programs, appropriate and well-targeted.


Listening to Employees’ Aspirations

KPC builds and establishes a good relationship with all employees with several approaches, notably: training programs and development, performance evaluation, dissemination forums for Good Corporate Governance (GCG), Environmental Management System (ISO 14001) communication, Occupational Health and Safety Management system (OHSAS 18001) communication, employees social activities (sport and health programs), and open consultation facilitated by the division of Human Resources through the Industrial Relations department. All employees of KPC can also convey their aspirations and consult with the union.