Rabu, Januari 23, 2019

Provisions on General Commercial Fuel Activity Licensing Amended

On 11 December 2018, the Minister of Energy and Mineral Resources (“Minister”) officially amended Regulation of the Minister No. 29 of 2017 on Licensing for Oil-and-Gas Business Activities (“Regulation 29/2017”) through the issuance of Regulation of the Minister No. 52 of 2018 (“Regulation 52/2018”).
In essence, Regulation 52/2018 is aiming to improve the investment climate for commercial oil-and-gas business activities, particularly general commercial oil fuel activities, by amending several provisions specifically which address oil-and-gas processing, oil-and-gas commercial licenses, business license periods and so forth.
The business license period for commercial oil and gas is set at 20 years and may be extended for a further 20 years. Previously, under the framework of Regulation 29/2017, only 10-year extensions were available.
Moreover, holders of commercial oil-and-gas licenses are now obliged to own storage facilities capable of storing at least 1,500 kl of fuel. This obligation was not incorporated under the previous framework.
For more on this story, see Hukumonline: “Persyaratan Izin Usaha Niaga Umum BBM Diubah, Begini Isinya”.

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On 11 December 2018, the Minister of Energy and Mineral Resources (“Minister”) officially amended Regulation of the Minister No. 29 of 2017 on Licensing for Oil-and-Gas Business Activities (“Regulation 29/2017”) through the issuance of Regulation of the Minister No. 52 of 2018 (“Regulation 52/2018”).
In essence, Regulation 52/2018 is aiming to improve the investment climate for commercial oil-and-gas business activities, particularly general commercial oil fuel activities, by amending several provisions specifically which address oil-and-gas processing, oil-and-gas commercial licenses, business license periods and so forth.
The business license period for commercial oil and gas is set at 20 years and may be extended for a further 20 years. Previously, under the framework of Regulation 29/2017, only 10-year extensions were available.
Moreover, holders of commercial oil-and-gas licenses are now obliged to own storage facilities capable of storing at least 1,500 kl of fuel. This obligation was not incorporated under the previous framework.
For more on this story, see Hukumonline: “Persyaratan Izin Usaha Niaga Umum BBM Diubah, Begini Isinya”.

......