Judul: Institutional model for utilizing mining resources and it’s relation to regional development in Bone Bolango Regency in Gorontalo Province. (case study of governance guidelines of economy policy at mining sector after removing part of national park through revision of regional planning of Gorontalo Province)
Abstrak: Bone Bolango region located in Gorontalo Province covers an area of 188,006.43 Ha which consist of 142,664.38 Ha or 75,88% forest and 45,326,5 Ha or 24,22% is regional stated. The regency is endowed with rich mineral resources, yet it finds some difficulties in regional planning and developing in regional economics, based on existing land. The Government has already issued licenses for optimizing the mining resource called (Kontrak Karya) since 1971. In 2008 Minerals and Energy Resources Department calculated the deposit the value of mineral reached as much as $ 18,9 M, or equal with Rp 190 Trillion with price is 103,4/troy-once. Increased in mineral value and unclear land rights has created an un-fair competition and create conflicts over resources. This is impacted “institutional vacuum”. The Illegal Mining and social economy activities become informal institutional or shadow economy to fulfill the uncertainty of resources authority. The objectives of this study as follows: 1) provided historical perspective of changes in land ownership and to provide the map of identification, inventarization, occupied concession land using spatial analysis. 2) to analyze the economy feasibility of mining resources based on marketing structure and extraction aspects as well as at the ore, price and environmental fee and the effect for regional development using economics valuation and Hotelling model.3) developed an institutional framework for mining resources utilization for sustainable development using logistic regression analysis and institutional economic framewrok. Results are (1) the land use and land cover is dominated by forestry and agriculture is covered in Bulawa also Bone Raya sub districts. Property is covered in all sub districts. (2) sub district Bone Raya, Bulawa, Suwawa Timur, Bone and Bone Pantai sub district occupied in the land of consesion of this company. (3) the agriculture is covered in all sub districts, but Bone Raya and Bulawa is more much than the other sub districts. (4) Property also covered in all sub districts, such as Bone Raya, Bulawa and Bone sub districts. (5) illegal mining is more covered in Suwawa Timur sub district. Economic valuation showed that (1) IRR of investment is 21.3%, and NPV is $ 462.42 Billion, and payback period is 7,84 years, with the criteria of investment is evaluated by constant dollars. showed that production planning of gold, cooper, and silver of this company is feasible. (2) changed in discount rate of 5%, 8%, 10% and 15% will affect production on the first ten years only. The change of price from $ 900, $ 1200, $ 1600 to $ 2000 will tend to decrease extractio, yet it will not postpone the company for extraction planning. The change in environmental cost of 1%, 1,5%, and 5% will not change significantlt to the extraction. Variables that are significant to influence participation in mining sectors are age of respondent, education and socio-economics infrastructures. These will influence to reduce illegal mining and to form institutional framework. An institutional model is proposed to manage the mining revenues through multi stake holder institution.
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