In a bid to reformulate a new threshold for the state?s share of any upstream oil-and-gas production, the Ministry of Finance has finally issued Regulation No. 158/PMK.02/2016 (?Regulation 158/2016?), which amends Ministry Regulation No. 218/PMK.02/2014 (?Regulation 218/2014?) on Procedures for the Reimbursement of Value-Added Tax or Value-Added Tax and Luxury-Goods Sales Tax for Taxable Goods and/or Services to Upstream Oil-and-Gas Contractors.

In order to ensure better compliance with the mandatory utilization of biodiesel fuel, the Ministry of Energy and Mineral Resources has just issued Regulation No. 26 of 2016 on the Procurement and Utilization of Biofuel in the Form of Biodiesel for the Purposes of Financing by the Palm-Oil Plantation Fund Management Agency. This new regulation is aiming to achieve its objectives by redefining a number of provisions which were originally set out under the now repealed and replaced Ministry Regulation No. 29 of 2015, including provisions relating to the stipulation of fuel producers and the appointment of biodiesel producers during procurement, as well as relating to the various documents which must be submitted when applying for any biodiesel financing fund disbursement.

In a bid to provide clarification to mining companies regarding the recent WIUP proposal, as well as the mining-area map, the Ministry of Energy and Mineral Resources has issued Regulation No. 25 of 2016, which amends Ministry Regulation No. 12 of 2011 on Procedures for Determining Mining-Business Areas and the Information System for Minerals and Coal-Mining Areas. In a nutshell, the amendment stipulates new content that should be included in any WIUP proposal, specifically the basis upon which WIUP data-compensation prices are calculated, as well as pushing for an overall improvement to the information system governing minerals and coal-mining areas.

The Ministry of Interior Affairs has finally issued Regulation No. 71 of 2016 on the Calculation and Stipulation of Drinking-Water Tariffs, which is of relevance to all regionally owned enterprises which are in the business of providing drinking-water, as well as to their customers. In essence, this regulation specifies the basis for the calculation of drinking-water tariffs and the procedures for the stipulation of such tariffs, the revenues for said enterprises, as well as various management and monitoring measures. This regulation repeals and replaces Ministry Regulation No. 23 of 2006 on Technical Guidelines and Procedures for the Determination of Drinking-Water Tariffs for Regional Drinking-Water Companies.

In a bid to optimize the development of mine-mouth power plants in Indonesia, the Ministry of Energy and Mineral Resources has just issued Regulation No. 24 of 2016, which amends Ministry Regulation No. 09 of 2016 on Procedures for the Provision and Stipulation of Coal Prices for Mine-Mouth Power Plants. In essence, the Amendment focuses on two things: (1) The calculation of coal prices to be used by mine-mouth power plants; and (2) The stipulation of basic coal prices

The technical provisions for the management of drinking-water supply systems are now regulated under Ministry of Public Works and Public Housing Regulation No. 27/PRT/M/2016 on the Management of Drinking-Water Supply Systems. The regulation is aiming to safeguard the rights of the public as regards access to clean drink-water at affordable prices and sets out an effective and efficient system for the management and supply of drinking water.

Despite the longstanding slump in global oil prices, the government is continuing in its efforts to stimulate domestic oil production and refineries, as well as to fulfill national demand. With these goals in mind, the Minister of Energy and Mineral Resources recently issued Regulation No. 22 of 2016 on the Construction of Small-Scale Domestic Oil Refineries, which sets out a series of flexible requirements and procedures whereby businesses and PT Pertamina may engage in the construction of small-scale refineries.

The government has finally set the amounts of production bonuses which are payable by geothermal businesses to regional governments through the issuance of Government Regulation No. 28 of 2016 on Amounts and Procedures for the Deposit of Geothermal Production Bonuses. This regulation also defines the procedure for the payment of production bonuses by geothermal businesses, as well as the eligibility of geothermal businesses for reimbursable by central government.

The 2016 Regulation aims to set out procedures for certain businesses as regards the purchase of natural gas at specific prices determined by the Minister, as mandated by Presidential Regulation No. 40 of 2016 on the Determination of Natural-Gas Prices.

The Minister of Energy and Natural Resources has issued Regulation No. 14 of 2016 on the Organizing Energy Conservation Business Services, which sets out guidelines for parties intending to establish and engage in the operation of energy conservation service businesses.