Anne Aprina Priskila, Kartini L Makmur

Despite a series of judicial reviews and being prioritized in the National Legislation Program for the lastfive years,the prompt revision ofthe
Oil and Gas Law will still require some luck before it materializes.
One need go no further than asking Satya Yudha, a member of Commission VII of the House of Representative, for acknowledgment of the stumbling blocks. Mr. Yudha explainedthat the oil and gas sector is currently one of the most pressingissues,but at the same time astrategic issue closely related to common interests, meaning many considerations have to be weighed up.
"The oil and gas sector is not only a source of state revenue, the growth of the national economy needs to be considered," said Mr. Yudha on Tuesday.
Mr. Yudhaalso raises liberalism as another important consideration impacting on current discussions. A common sentiment is that the oil and gas sector is excessively open to foreign investmentresulting in the national interest being at risk. Stemming from that position is a view that urgent actions need to taken to ensure benefits flow to the Indonesian people.
Along the same lines, Agus Salim, Head of Legal Assistance Division at the Ministry of Energy and Mineral Resources, points out the importance of giving dueconsideration toArticle 33 of the 1945 Constitution as the basis for managing the oil and gas industry. In other words, the State must take control of the oil and gas sector and generate profits from it without jeopardizing foreign investment.
Due to the complexities involved, Mr. Salimbelieves thatgood governance is the key to maintaining and nurturing the oil and gas sector. Moreover, a comprehensive understanding and technical knowledge of thebusiness is necessity.
Mr. Salim further sees thatonefactor causing the current chaos in oil and gas management is human resource competency. In his view, the Oil and Gas Law should aim to increase production and focus on core substantial issues rather than administrative matters.
"TheOil and Gas Lawmay covermatters related to forestry, environment, shipping, taxation, decentralization-centralization, and investment issues," concluded Mr. Salim.
(hot/kc)