The analysis of the implementation of the program of development of community empowerment around the coal mining sites

Abstract

Along with the significant increase of world coal price reaching US$ 100.69/ton, it can be affects the increase of coal production in Indonesia. On the other hand, coal mining activities cause a number of social and environmental conflicts.. This study examines the implementation of community-based environmental development and empowerment programs and synergies between the Central Government, Regional Governments, Entrepreneurs, and Communities around the mine and and also Community Development costs. The results of interviews and analysis of primary data, the implementation of Community Development carried out by the Company is guided by the Mineral and Coal Law and its implementing regulations such as Government Regulation Number 23 of 2010 concerning the Implementation of Mineral and Coal Mining Business Activities. The results regression statistic showed relationship between variable (R2=67%), and also equation formula Community Development Costs = 979.296.927,41 + 0 (Operational Costs) + 858,95 (Coal Productions). Coal Production influences the Community Development Cost variable and the effect is positive. Because the regression coefficient on coal production is positive, which means that if the coal production increases, the Community Development costs will increase.The implementation model of community empowerment programs includes increasing infrastructure and infrastructure, Increased real income, and increased economic independence.