Mining activities will certainly have an impact on the environment, both positive and negative impacts. The negative impacts that occur during or after mining operation will surely lead to conflicts. The negative impacts occur due to lack of environmental awareness and weak law enforcement. This study describes the concept of economic instrument in environmental policy, as an alternative solution to prevent environmental damage and conflicts in the mining sector. Legal issues that were examined are how the environmental economic instrument was regulated in the context of ius contitutum and ius c approach. The legal materials were collected through the study of literature and were analyzed qualitatively. The results of the analysis were described in the descriptive-prescriptive format. Based on the results of the study, it can be stated that the regulation of economic instruments in the positive law (ius constitutum) has been stated in the UUPPLH and Mining Laws, while in the Oil and Gas Law, the Law on Geothermal, and Energy Law, the economic instruments are not regulated. The Perspective of regulating the environmental economic instrument in the region (ius constituendum) through local legislation is possible, even a necessity in accordance with the characteristics of each region. Some concepts related to the economic instruments that can be made their regulations are environmental mitigation regulations, deposit or security deposit, environmental insurance, incentives and disincentives, as well as the concept of paying destroyer (destroyer pays principle). Regulating theset.