The Position Of Deputy Minister Is Evidence Of Weak Governance Of State Companies

The placement of deputy ministers (wamens) in the board of commissioners of State-Owned Enterprises (BUMN) is actually increasingly showing the weakness of the governance of state companies. Trends like this, said observers, should be understood, will only increase the risk of conflicts of interest and corruption.

President Prabowo Subianto has not even been in office for one year, but his leadership continues to be in the spotlight. Recently, the issue of anomalies in strengthening SOEs. The appointment of commissioners in SOEs has even made an impression as division of positions, instead of placing people who do have the capacity and integrity in the position they occupy.

The recapitulation of the position of deputy minister in BUMN is considered problematic, because it has the potential to cause a conflict of interest. The deputy minister's position is simply an assistant to the president who is tasked with supervising the ministry, while the position of commissioner of BUMN demands independence in supervising company management.

But the trend of this dual position is increasingly mushrooming. Former journalist Ratu Isyana Bagoes Oka, who now serves as Deputy Minister of Population and Family Development, was recently appointed as Commissioner of PT Dayamitra Telekomunikasi Tbk. There is also Stella Christie, Deputy Minister of Higher Education, Science and Technology as Commissioner of PT Pertamina Hulu Energi.

Deputy Minister of Culture Giring Ganesha was also appointed as Commissioner of PT Garuda Maintenance Facility Aero Asia, as well as former badminton player Taufik Hidayat who concurrently served as Deputy Minister of Youth and Sports as well as Commissioner of PT PLN Energi Primary Indonesia.

Economist Governance Transparency International Indonesia (TII) researcher Asri Widayati said the placement of public officials and politicians as SOE administrators actually increased the risk of conflict.

The phenomenon of commissioners from political channels to repeated mistakes, this is part of a conflict of interest, strategic functions attached to commissioners such as supervision will eventually be paralyzed. Will the strengthening of SOEs that are filled with concurrent positions and share positions like this is what the president wants? " said Asri Widayati.

Recently, the Constitutional Court (MK) stated that it could not accept the request for judicial review of Law Number 39 of 2008 concerning the Ministry of State (UU of State Ministries) submitted by the Executive Director of Indonesia Law & Democracy Studies (ILDES) Juhady Rizaldy Ruringkon, because the applicant had died on June 22, 2025.

Previously, Juhady Rizaldy Ruringkon tested the constitutionality of Article 23 of the State Ministry Law which reads, "Ministers are prohibited from holding concurrent positions as: a. other state officials are in accordance with statutory regulations; b. commissioners or directors of state companies or private companies; or c. heads of organizations financed from the State Expenditure Revenue Budget and/or the Regional Revenue and Expenditure Budget'.

According to the Petitioner, the article contradicts Article 1 Paragraph 3, Article 17, Article 27 Paragraph (1), and Article 28D Paragraph (3) of the 1945 Constitution of the Republic of Indonesia. The applicant feels aggrieved because there is no prohibition for deputy ministers to hold concurrent positions. For this reason, the applicant asked the Constitutional Court to state the phrase Minister in Article 23 of the Ministry of State to become Minister and Deputy Minister'.

If traced to the reinforcements, the Ombudsman once found data on the practice of multiple positions of 397 in BUMN in 2019. In these findings, the Ombudsman said that the majority of commissioners were placed in underprivileged subsidiaries, and even lost money.

Five years later, the president again made the same mistake. The practice of concurrent positions is increasingly mushrooming, even being carried out in the circle of one presidential power, namely the deputy minister.

President Prabowo Subianto's leadership has been in the spotlight since the beginning, for placing 56 deputy ministers, including the Presidential Communication Office or PCO who also has representatives. According to Transparency International Indonesia (TII) monitoring, more than half of the deputy ministers occupy positions as commissioners in BUMN, including their subsidiaries.

The details are 33 deputy ministers and one PCO representative concurrently as commissioners in state-owned companies in various fields, ranging from banking, energy, telecommunications, natural resources, aviation, to retail.

TII Secretary General Danang Widoyoko questioned the placement of deputy ministers in a number of SOEs. According to Danang, this happened could not be separated from political intervention

BUMN has always been difficult to escape from political intervention, for example in the placement of certain figures, for example at the commissioner level. The trend in the future seems like this kind of intervention will reach the level of directors. This is certainly a burden for SOEs. Including in the formation of Danantara, where the management is also part of the political elite," said Danang Widoyoko.

In addition to the matter of concurrent positions, Danang also highlighted the relevance of the duties of the deputy minister and BUMN where they served. "What is the task of Deputy Minister of Human Rights Mugiyanto with InJourney Aviation Services?" he said.

The placement of deputy ministers in the ranks of BUMN commissioners has actually shown the weakness of state company governance, rather than wanting to strengthen it. The placement of public officials and politicians as SOE administrators should be understood that it will only increase the risk of conflicts of interest and corruption.

The phenomenon of commissioners from political channels to repeated mistakes, this is part of a conflict of interest, strategic functions that are attached to commissioners such as supervision will eventually be paralyzed. Will the strengthening of SOEs that are filled with concurrent positions and share positions like this is what the President wants? said Asri Widayati, an Economist Government TII researcher, replied.

Asri felt the need to remind President Prabowo that the governance reform contained in Asta Cita clearly mentions the question of Strengthening the management of SOEs that are professional and with integrity and free from practical political interests'.

However, according to Asri, the placement of deputy ministers and political kronis in the board of commissioners and directors of SOEs is very clear about Reluctant to Asta Cita.

"Political courage from the President is of course very much needed, political promises to strengthen SOEs will certainly be difficult to realize if political nuances are more dominant in SOE management," he said indicating.