General Concept Legal Aspect

3.3. Method

In order to develop reclamation bond computerized base system is need to breaking down problem into its component parts, examining those parts, and reconstituting them into a more efficient, effective whole. The systems analysis reclamation bond phase examines and documents the existing processing environment, examines the opportunities and alternatives, and develops the requirements for change.

3.3.1. General Concept

The general concept of Reclamation Bond determination can be figure out as seen on Figure 3.2. In principle, a mining company has to consider and compliance technical, economical, and environmental aspects in conducting activities. Therefore any steps of exploitation especially related to the spatial management are warranted to reclaim by saving a Reclamation Bond, which has been agreed by the government both of amount and the Bank. Figure 3.2 The general concept flowchart of Reclamation Bond mechanism The process to determine Reclamation Bond has closed relationship with exploitation activities as well, since almost of anything that have been built and 32 opened over on mining concession have to be demolished and reclaimed. The mining operation will be started when the bond is saved, as the recommendation, and it would be liquidated for area of reclamation when the company stopped the operation. Based on Figure 3.2 above, the process of mining operation consists of two major planning for their whole activities, i.e. exploitation planning and reclamation planning. Both planning needs cost calculation, this to accomplish feasibility study and fulfilling the government’s agreement. As described before, the saved Reclamation Bond will be released soon after memorandum of exploitation activity agreed and followed by reclamation plan.

3.3.2. Legal Aspect

Legal aspects related to Reclamation Bond are: • Act of the Republic of Indonesia Number 11, Year 1967 concerning The Basic Provision of Mining. • Government Regulation Number 75, Year 2001 concerning Second Change of PP. Number 32, Year 1969 concerning Implementation of Act No. 11, Year 1967 concerning The Basic Provision of Mining. • Decree of Minister of Energy and Mineral Resources Number 1453.K29MEM2000 date 3 November 2000 concerning Technical Guidance of Government Duty in General Mining. • Government Regulation of the Republic of Indonesia Number 1211.K008M.PE1995 concerning Prevention and Management of Environmental Contamination and Damage of General Mine Activities. • Decree of Director General of Geological and Mineral Resources Number 336.K271DDJP1996 concerning Reclamation Bond. 3.3.3. Decision Support System DSS Analysis 3.3.3.1. Conceptual