SIPB is often referred to as "mining permit for rocks" and is often stopped there. However, there are three limitations that determine whether your business is legally operating: area size, the location where the permit can be applied, and the sequence that must be followed before the first equipment enters the site.
What is SIPB
SIPB stands for Surat Izin Penambangan Batuan (Letter of Rock Mining Permit). Government Regulation No. 39 of 2025, the second amendment to Government Regulation No. 96 of 2021, defines it as a permit for mining certain types of rocks or for specific purposes. It differs from IUP, as SIPB is specifically for rocks.
Area limitation: 50 hectares
Article 86C of Law No. 3 of 2020 states that SIPB holders can be granted an area of up to 50 hectares. This figure is an upper limit, not a lower limit. The legal description from hukumonline regarding the procedure for applying for SIPB concludes that even the smallest land requires a permit as long as the activity involves rock mining.
A note of caution: the quote above comes from the original text of Law No. 3/2020. Law No. 2 of 2025 (the fourth amendment to the Minerba Law, effective March 19, 2025) changes many articles, but Article 86C is not listed in the abstract. Before using this figure in official documents, verify it against the latest consolidated text.
Areas obtained by applying
Article 17 paragraph (6) of Government Regulation No. 96/2021 as amended by Government Regulation No. 39/2025 states that WIUP (Mining Business Area) for rocks is obtained by applying for the area. This means that for rocks, the applicant proposes the location. According to the legal description from hukumonline, applications are submitted to the minister in charge of mineral and coal mining and can only be submitted in the Mining Business Area (WUP).
Four groups of requirements
Article 131 of Government Regulation No. 96/2021 (original text) states that applicants must meet administrative, technical, environmental, and financial requirements. The details, according to the legal description of the text, are as follows:
| Group | Content according to the description |
|---|---|
| Administrative | Application letter, NIB, management structure, list of shareholders and beneficial owners |
| Technical | Statement letter not using explosives |
| Environmental | Statement letter willing to comply with environmental regulations |
| Financial | Financial report for the last year audited by a public accountant |
This list is sourced from the initial text of Government Regulation No. 96/2021. Since this regulation has been amended twice (Government Regulation No. 25/2024 and Government Regulation No. 39/2025), ensure the current content of Article 131 before preparing the documents.
Issuance of permit does not mean mining is allowed
This is the part that is often overlooked. Article 132 of Government Regulation No. 39/2025 regulates three things:
- SIPB holders must prepare and submit a mining plan to obtain ministerial approval.
- The plan must include technical aspects, at least reserve information, mining plans for the duration of the SIPB, environmental management plans including reclamation and post-mining, as well as mining safety management plans.
- SIPB holders are prohibited from mining before obtaining ministerial approval for the mining plan and environmental approval.
The sequence is clear: the area is applied for, the permit is issued, the plan is approved, environmental approval is granted, and then mining activities begin.
What cannot be confirmed from the opened sources
The duration of the SIPB is not written here. The part of Government Regulation No. 39/2025 that is readable states that the production operation period for rocks is a maximum of 5 years with two extensions of 5 years each, but the article does not explicitly mention SIPB. Attachments and other articles containing details are not fully readable, so check the official text at JDIH or peraturan.bpk.go.id.
This topic is also discussed in the Mining Law (HPN) class by Andi Hassanuddin. If you prefer to see the explanation directly, there is a clip available at taalenta.id/video/hpn-apa-itu-sipb-atau-surat-izin-penambangan-batuan-dan-berapa-luas.
Sources
- Government Regulation No. 39 of 2025 (text, JDIH West Java Province)
- Law No. 3 of 2020, Article 86C (pasal.id)
- Government Regulation No. 96 of 2021, Article 131 (pasal.id)
- Law No. 2 of 2025 (peraturan.bpk.go.id/Details/316682/uu-no-2-tahun-2025)
- Procedure for Applying for the Rock Mining Permit (SIPB), hukumonline