SKK Migas Discusses Licensing Acceleration To Increase Production

JAKARTA - Head of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) Djoko Siswanto conveyed that the 2025 SKK Migas Business Support Coordination Meeting (Rakor Dukbis) discussed two main focuses, namely accelerating licensing and strengthening supply chains to increase national oil and gas production.

"The acceleration of licensing is very decisive, because administrative delays can shift the drilling schedule and onstream time of strategic projects," said Djoko Siswanto as quoted by ANTARA, Wednesday, December 3.

To answer the procurement challenges, SKK Migas optimizes the Centralized Integrated Vendor Database (CIVD) system which concentrates qualifying data on goods and services providers in all contractors of cooperation contracts (KKKS).

Through this platform, he said again, vendors obtain a more efficient and transparent procurement process, as well as a greater opportunity for national companies and MSMEs to be involved in upstream oil and gas projects according to the national capacity increase target.

He added that SKK Migas together with the technical ministries and KKKS continued to look for breakthroughs to overcome major obstacles, including overlapping regulations, slow environmental approval, land problems, and regional management.

The Dukbis 2025 coordination meeting has four agendas that are divided into four discussion panels. The first panel discussed the harmonization of licensing policies, including the implementation of new regulations such as PP 28/2025, Permen ATR/BPN No. 1/2024, and Kepmen LH 1637/2025.

The panel assessed that overlapping rules, slow environmental approval, and uncertainty in forest areas still hampered a number of strategic projects such as the North-ENI, Tangkulo-Mubadala, and Abadi LNG-INPEX gangs.

The second panel reviewed the challenges of supply chains that often interfere with the realization of WP&B, ranging from delays in procurement to dependence on imported goods.

"The supply chain efficiency strategy includes more transparent material management, joint procurement, and possible sharing rigs," said SKK Secretary Migas Luky A Yusgiantoro.

Digitalization and integration of cross-institutional procurement data are considered important to accelerate the provision of critical goods.

The third panel discussed the implementation of Permenperin No. 35/2025 regarding the new mechanism for certification of the Domestic Component Level (TKDN) and the Company Benefit Weight (BMP), which changes the tender process and determines the feasibility of vendors. Integration between TKDN and Masterlist systems is key to accelerating import approval for components that have not been produced domestically.

The fourth panel highlighted the integration of the Community Development Program (PPM), operating security, and TKDN to strengthen social license to operate.

Pendekatan keamanan didorong lebih kolaboratif, dengan kemitraan masyarakat, penciptaan kerja lokal, serta penguatan UMKM melalui dukungan Himpunan Bank Milik Negara (Himbara).

Pendekatan terpadu ini diharapkan memicu multiplier effect bagi daerah operasi dan menjaga stabilitas sosial bagi kelancaran kegiatan hulu migas.

Rakor ini diharapkan menghasilkan langkah konkret untuk menyelesaikan berbagai isu tersebut.

The security approach is encouraged to be more collaborative, with community partnerships, local work creation, and strengthening MSMEs through the support of the Association of State-Owned Banks (Himbara).

This integrated approach is expected to trigger a multiplier effect for the area of operation and maintain social stability for smooth upstream oil and gas activities.

This coordination meeting is expected to produce concrete steps to resolve these various issues.