As part of its taxpayer supervision activities, the The Permanent Establishment and Expatriate Tax Office (KPP Badora) visited the Mempawah Smelter Grade Alumina Refinery (SGAR) project in Mempawah Regency, West Kalimantan.
“Our team's visit is to strengthen the synergy between the Directorate General of Taxes and taxpayers, particularly in ensuring tax compliance in the strategic infrastructure and downstreaming project sector,” said Head of the Permanent Establishment and Expatriate Tax Office, Natalius, in his office at KPP Badora, Jalan Taman Pahlawan Kalibata, Pancoran, Kalibata, South Jakarta (Wednesday, 11/19).
Natalius explained that the presence of the Permanent Establishment and Expatriate Tax Office reaffirms the government's commitment to maintaining state revenue amid massive foreign investment supporting Indonesia's downstreaming program for its main commodities.
KPP Badora visited the smelter site on June 11-13, 2025. China Aluminium International Engineering Corporation Limited, or CHALIECO, is the main contractor operating the smelter and is registered as a taxpayer with KPP Badora.
The team from KPP Badora, consisting of Account Representatives Andy Prabowo, Kusuma Indrajaya, Ade Muhammad Setiawan, and Kin Kin Lukina Hakim, met with company representatives and tax consultants, including Sun Wu as Project Manager, Zhang Guang Chan as Finance Manager, Toni as General Affairs, and Andrew as a tax consultant from EY4.
According to the Project Manager, Sun Wu, the construction of the 100-hectare SGAR Mempawah project has reached over 80% completion and is scheduled for handover in August 2025.
The SGAR project is a collaboration between PT Indonesia Asahan Aluminium (INALUM) (60%) and PT Aneka Tambang Tbk (ANTAM) (40%) through PT Borneo Alumina Indonesia (BAI) as the operator.
The purpose of this major project is to process bauxite commodities in Indonesia while utilizing its bauxite reserves, which rank sixth in the world. “The bauxite mining process will be carried out by PT ANTAM Tbk. and processed through the Bayer Process to produce alumina,” added Sun Wu.
The Account Representative team also conducted observations at the project site, identifying several areas already in commissioning, including the coal stock building, finished goods stock, calcination process, power plant, power control, and raw material stock.
The SGAR project is being carried out by the CHALIECO consortium as the main EPC (engineering, procurement & construction) contractor, in collaboration with PT Pembangunan Perumahan (PP) Tbk. In its implementation, the project received financial assistance from the holding company Aluminum Corporation of China Limited (CHINALCO).
| Pewarta: Aisyah `Afina Nurfatihah |
| Kontributor Foto: Ade Muhammad Setiawan |
| Editor: Riza Almanfaluthi |
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