Rabu, Maret 29, 2023

SKK Migas Updates Guidelines for Insurance Management Working Procedures

In a bid to optimize the role of state-owned insurance companies that are supporting upstream oil-and-gas business activities ("Activities"), the Chairman of the Special Task Force for Upstream Oil and Gas ("SKK Migas") has decided to improve working procedural guidelines for the management of insurance that supports Activities ("Guidelines") through the issuance of Decree No. KEP-0025/SKKIA0000/2023/S9 ("Decree 25/2023"), which has been in force since 14 February 2023.
At its core, Decree 25/2023 amends a total of five books contained within the Guidelines by either replacing them and/or through the addition of new provisions, as comprehensively outlined under the Appendix to Decree 25/2023. The five books in question break down as follows: 1) First book: General Provisions - Revision 02; 2) Second Book: Guidelines for the Implementation of Insurance Procurements - Revision 02; 3) Third Book: Guidelines for Insurance Declarations - Revision 01; 4) Fourth Book: Guidelines for Insurance Claims; and 5) Fifth Book: Guidelines for Insurance Surveys.
The amendments introduced under the Guidelines include the following: 1) Various provisions that addressed non-industrial assets (including their insurance), which have now been removed; 2) Cooperation-contract contractors ("Contractors") are now required to immediately report any losses that relate to objects that are under SKK Migas jurisdiction (previously, Contractors were given a 3 x 24 hours window in which to file said reports); 3) Various provisions that addressed Contractor’s liability in relation to insurance declarations, which have now been removed; 4) Contractors with gross-split contracts are still allowed to use the closing insurance package facilities that are managed by SKK Migas ("Package"); and 5) Contractors that in a transition phase from cost recovery to gross split and that are currently using a Package must remain under said Package until the relevant expiration period has elapsed.
It should be noted that the above-listed revisions to the Guidelines are inseparable from the Guidelines that apply to cooperation-contract contractors operating within the Activities sector. Moreover, Decree 25/2023 also states that any provisions that are set out under the Guidelines that have not been amended will remain valid, provided that said provisions do not contradict the Guidelines.

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In a bid to optimize the role of state-owned insurance companies that are supporting upstream oil-and-gas business activities ("Activities"), the Chairman of the Special Task Force for Upstream Oil and Gas ("SKK Migas") has decided to improve working procedural guidelines for the management of insurance that supports Activities ("Guidelines") through the issuance of Decree No. KEP-0025/SKKIA0000/2023/S9 ("Decree 25/2023"), which has been in force since 14 February 2023.
At its core, Decree 25/2023 amends a total of five books contained within the Guidelines by either replacing them and/or through the addition of new provisions, as comprehensively outlined under the Appendix to Decree 25/2023. The five books in question break down as follows: 1) First book: General Provisions - Revision 02; 2) Second Book: Guidelines for the Implementation of Insurance Procurements - Revision 02; 3) Third Book: Guidelines for Insurance Declarations - Revision 01; 4) Fourth Book: Guidelines for Insurance Claims; and 5) Fifth Book: Guidelines for Insurance Surveys.
The amendments introduced under the Guidelines include the following: 1) Various provisions that addressed non-industrial assets (including their insurance), which have now been removed; 2) Cooperation-contract contractors ("Contractors") are now required to immediately report any losses that relate to objects that are under SKK Migas jurisdiction (previously, Contractors were given a 3 x 24 hours window in which to file said reports); 3) Various provisions that addressed Contractor’s liability in relation to insurance declarations, which have now been removed; 4) Contractors with gross-split contracts are still allowed to use the closing insurance package facilities that are managed by SKK Migas ("Package"); and 5) Contractors that in a transition phase from cost recovery to gross split and that are currently using a Package must remain under said Package until the relevant expiration period has elapsed.
It should be noted that the above-listed revisions to the Guidelines are inseparable from the Guidelines that apply to cooperation-contract contractors operating within the Activities sector. Moreover, Decree 25/2023 also states that any provisions that are set out under the Guidelines that have not been amended will remain valid, provided that said provisions do not contradict the Guidelines.

......