Social Impact and Sustainability Assessment of Coal Mining in North Sangatta, Indonesia

Coal mining activities has been accused as the generator of environmental hazards in many part of the globe. However, this non-renewable source of energy is still one of major sources of local revenue in Kalimantan (Burneo Island) Indonesia. To formulate the best policies regarding mining regulation in the future, it is important to identify the social impact of mining and to assess the level of social sustainability of the impacted area, i.e., impacted area of coal mining operated by the largest coal mining company in Indonesia, Kaltim Prima Coal (KPC). The social impact was analyzed by Social Impact Assessment (SIA) method while the social sustainability was assessed by Community Sustainability Assessment (CSA) method. The result shows that mining activities operated by KPC has created positive impacts on 3 social dimensions: social-institutional, social-economic, and social-environment. The activities has also increased social sustainability of the district from moderate (before mining activities) to high (on-going coal mining activities). The result indicates that KPC has practiced good coal mining activities that can be improved furthermore to become the benchmark of good coal mining practices in Indonesia and the government must refer best practices available into regulation.