Ada Pertanyaan? Hubungi Kami 
2026 Hak Cipta Milik Hukumonline.com
Produk Pilihan
Ada Pertanyaan? Hubungi Kami Fathan Qorib, Yanuar Pribadhie
Indonesia is still far from having an ideal oil and gas regulatory system. This can be seen in the significant changes to oil and gas related regulations from time to time. Prior to the issue of Law No. 22 of 2001 on Oil and Gas, the management of this sector was by Pertamina, a state-owned company (BUMN), which was responsible for the regulatory framework and production processes.
Pertamina’s role as a so-called regulatory agency for the oil and gas sector was then transferred to the Oil and Gas Upstream Business Activities Supervisory Agency (BP Migas). However, in 2012, the Constitutional Court granted a judicial review on the Oil and Gas Law, and BP Migas was consequently disbanded.
Currently, the management of the oil and gas sector is back to the Government, under the formation of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas), which replaced BP Migas. SKK Migas works under the supervision of the Minister of Energy and Mineral Resources (ESDM).
Even though oil and gas is now being managed by the Government, commentators are of the view that this could lead to mismanagement. One such view is coming from Marwan Batubara, Executive Director of the Institute for Resources Studies (IRESS). He beleives that the State does not really fully control the oil and gas sector.
“Even State-owned enterprises (BUMN) only pocess 17 percent of the total production of national oil and gas. This violates the Constitution. This reduces potential income for the country,” said Marwan in Jakarta on Wednesday.
Marwan argues that the Constitution mandates that the upstream oil and gas business sector should be arranged under the 5 functions of policy, organization, regulatory, management, and supervision. Accordingly, Marwan fully agrees with the plan to merge BUMNs which to date manage the upstream oil and gas sector. Merger, as Marwan says, will create integrated management, and consequently this will achieve the five functions more easily.
“Moreover, there should be an independent supervisor over that BUMN,” said Marwan.
Marwan regrest that currently oil and gas supervision is only carried out by the Government through the enactment of Presidential Regulation No. 9 of 2013 on Management of Upstream Oil and Gas Business. This results in the supervision of SKK Migas being conducted solely by the Government itself, without any external oversight.
In addition, the fact that state revenue from the oil and gas sector only reaches IDR 350 trillion troubles Marwan. He emphasizes that this amount requires the need for an independent external supervisor.
“If the management is performed by BUMN, there will be boards of commissioners from outside of the Ministry. While in SKK, all supervisors are Government,” said Marwan.
For the 2014 State Budget, the Government has estimated revenue from oil production at IDR 196.5 trillion, and IDR 142.9 trillion from the natural gas sector. However, Ucok Sky Khadafi, Investigation Coordinator at FITRA—an NGO focusing on budget transparency—is pessimistic that the Government can actually reach the estimated targets.
Ucok asserts that even though the targets may be achieved, this will not come from oil and gas production itself, but from exchange rate fluctuations when the Government sells the oil and gas overseas.
(hot/kc)
Indonesia is still far from having an ideal oil and gas regulatory system. This can be seen in the significant changes to oil and gas related regulations from time to time. Prior to the issue of Law No. 22 of 2001 on Oil and Gas, the management of this sector was by Pertamina, a state-owned company (BUMN), which was responsible for the regulatory framework and production processes.
Pertamina’s role as a so-called regulatory agency for the oil and gas sector was then transferred to the Oil and Gas Upstream Business Activities Supervisory Agency (BP Migas). However, in 2012, the Constitutional Court granted a judicial review on the Oil and Gas Law, and BP Migas was consequently disbanded.
Currently, the management of the oil and gas sector is back to the Government, under the formation of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas), which replaced BP Migas. SKK Migas works under the supervision of the Minister of Energy and Mineral Resources (ESDM).
Even though oil and gas is now being managed by the Government, commentators are of the view that this could lead to mismanagement. One such view is coming from Marwan Batubara, Executive Director of the Institute for Resources Studies (IRESS). He beleives that the State does not really fully control the oil and gas sector.
“Even State-owned enterprises (BUMN) only pocess 17 percent of the total production of national oil and gas. This violates the Constitution. This reduces potential income for the country,” said Marwan in Jakarta on Wednesday.
Marwan argues that the Constitution mandates that the upstream oil and gas business sector should be arranged under the 5 functions of policy, organization, regulatory, management, and supervision. Accordingly, Marwan fully agrees with the plan to merge BUMNs which to date manage the upstream oil and gas sector. Merger, as Marwan says, will create integrated management, and consequently this will achieve the five functions more easily.
“Moreover, there should be an independent supervisor over that BUMN,” said Marwan.
Marwan regrest that currently oil and gas supervision is only carried out by the Government through the enactment of Presidential Regulation No. 9 of 2013 on Management of Upstream Oil and Gas Business. This results in the supervision of SKK Migas being conducted solely by the Government itself, without any external oversight.
In addition, the fact that state revenue from the oil and gas sector only reaches IDR 350 trillion troubles Marwan. He emphasizes that this amount requires the need for an independent external supervisor.
“If the management is performed by BUMN, there will be boards of commissioners from outside of the Ministry. While in SKK, all supervisors are Government,” said Marwan.
For the 2014 State Budget, the Government has estimated revenue from oil production at IDR 196.5 trillion, and IDR 142.9 trillion from the natural gas sector. However, Ucok Sky Khadafi, Investigation Coordinator at FITRA—an NGO focusing on budget transparency—is pessimistic that the Government can actually reach the estimated targets.
Ucok asserts that even though the targets may be achieved, this will not come from oil and gas production itself, but from exchange rate fluctuations when the Government sells the oil and gas overseas.
(hot/kc)
Fathan Qorib, Yanuar Pribadhie
Indonesia is still far from having an ideal oil and gas regulatory system. This can be seen in the significant changes to oil and gas related regulations from time to time. Prior to the issue of Law No. 22 of 2001 on Oil and Gas, the management of this sector was by Pertamina, a state-owned company (BUMN), which was responsible for the regulatory framework and production processes.
Pertamina’s role as a so-called regulatory agency for the oil and gas sector was then transferred to the Oil and Gas Upstream Business Activities Supervisory Agency (BP Migas). However, in 2012, the Constitutional Court granted a judicial review on the Oil and Gas Law, and BP Migas was consequently disbanded.
Currently, the management of the oil and gas sector is back to the Government, under the formation of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas), which replaced BP Migas. SKK Migas works under the supervision of the Minister of Energy and Mineral Resources (ESDM).
Even though oil and gas is now being managed by the Government, commentators are of the view that this could lead to mismanagement. One such view is coming from Marwan Batubara, Executive Director of the Institute for Resources Studies (IRESS). He beleives that the State does not really fully control the oil and gas sector.
“Even State-owned enterprises (BUMN) only pocess 17 percent of the total production of national oil and gas. This violates the Constitution. This reduces potential income for the country,” said Marwan in Jakarta on Wednesday.
Marwan argues that the Constitution mandates that the upstream oil and gas business sector should be arranged under the 5 functions of policy, organization, regulatory, management, and supervision. Accordingly, Marwan fully agrees with the plan to merge BUMNs which to date manage the upstream oil and gas sector. Merger, as Marwan says, will create integrated management, and consequently this will achieve the five functions more easily.
“Moreover, there should be an independent supervisor over that BUMN,” said Marwan.
Marwan regrest that currently oil and gas supervision is only carried out by the Government through the enactment of Presidential Regulation No. 9 of 2013 on Management of Upstream Oil and Gas Business. This results in the supervision of SKK Migas being conducted solely by the Government itself, without any external oversight.
In addition, the fact that state revenue from the oil and gas sector only reaches IDR 350 trillion troubles Marwan. He emphasizes that this amount requires the need for an independent external supervisor.
“If the management is performed by BUMN, there will be boards of commissioners from outside of the Ministry. While in SKK, all supervisors are Government,” said Marwan.
For the 2014 State Budget, the Government has estimated revenue from oil production at IDR 196.5 trillion, and IDR 142.9 trillion from the natural gas sector. However, Ucok Sky Khadafi, Investigation Coordinator at FITRA—an NGO focusing on budget transparency—is pessimistic that the Government can actually reach the estimated targets.
Ucok asserts that even though the targets may be achieved, this will not come from oil and gas production itself, but from exchange rate fluctuations when the Government sells the oil and gas overseas.
(hot/kc)
Indonesia is still far from having an ideal oil and gas regulatory system. This can be seen in the significant changes to oil and gas related regulations from time to time. Prior to the issue of Law No. 22 of 2001 on Oil and Gas, the management of this sector was by Pertamina, a state-owned company (BUMN), which was responsible for the regulatory framework and production processes.
Pertamina’s role as a so-called regulatory agency for the oil and gas sector was then transferred to the Oil and Gas Upstream Business Activities Supervisory Agency (BP Migas). However, in 2012, the Constitutional Court granted a judicial review on the Oil and Gas Law, and BP Migas was consequently disbanded.
Currently, the management of the oil and gas sector is back to the Government, under the formation of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas), which replaced BP Migas. SKK Migas works under the supervision of the Minister of Energy and Mineral Resources (ESDM).
Even though oil and gas is now being managed by the Government, commentators are of the view that this could lead to mismanagement. One such view is coming from Marwan Batubara, Executive Director of the Institute for Resources Studies (IRESS). He beleives that the State does not really fully control the oil and gas sector.
“Even State-owned enterprises (BUMN) only pocess 17 percent of the total production of national oil and gas. This violates the Constitution. This reduces potential income for the country,” said Marwan in Jakarta on Wednesday.
Marwan argues that the Constitution mandates that the upstream oil and gas business sector should be arranged under the 5 functions of policy, organization, regulatory, management, and supervision. Accordingly, Marwan fully agrees with the plan to merge BUMNs which to date manage the upstream oil and gas sector. Merger, as Marwan says, will create integrated management, and consequently this will achieve the five functions more easily.
“Moreover, there should be an independent supervisor over that BUMN,” said Marwan.
Marwan regrest that currently oil and gas supervision is only carried out by the Government through the enactment of Presidential Regulation No. 9 of 2013 on Management of Upstream Oil and Gas Business. This results in the supervision of SKK Migas being conducted solely by the Government itself, without any external oversight.
In addition, the fact that state revenue from the oil and gas sector only reaches IDR 350 trillion troubles Marwan. He emphasizes that this amount requires the need for an independent external supervisor.
“If the management is performed by BUMN, there will be boards of commissioners from outside of the Ministry. While in SKK, all supervisors are Government,” said Marwan.
For the 2014 State Budget, the Government has estimated revenue from oil production at IDR 196.5 trillion, and IDR 142.9 trillion from the natural gas sector. However, Ucok Sky Khadafi, Investigation Coordinator at FITRA—an NGO focusing on budget transparency—is pessimistic that the Government can actually reach the estimated targets.
Ucok asserts that even though the targets may be achieved, this will not come from oil and gas production itself, but from exchange rate fluctuations when the Government sells the oil and gas overseas.
(hot/kc)