Member Of Commission VII DPR RI Proposes SKK Migas To Become A Business Entity

Illustration. (Photo: Doc. Antara)

JAKARTA - Member of Commission VII DPR RI Ridwan Hisjam proposed that the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) become a special business entity. This proposal was given because Ridwan is pessimistic about the target of increasing oil production by 1 million barrels per day and natural gas by 12 billion standard cubic feet per day.

"This million target is still pessimistic if SKK Migas still has a lot of bureaucracy," said Hisjam in a virtual hearing with Commission VII DPR RI, Wednesday, February 2.

He also criticized the performance of the Head of SKK Migas Dwi Soetjipto, who has served half his term but has not made many changes in SKK Migas.

"There is too much bureaucracy even though it is halfway through the term of office but has not made many changes," he added.

He also encouraged the government to speed up the ratification of the Oil and Gas Bill. According to him, Indonesia currently needs an institution that regulates and supervises upstream oil and gas activities that are permanent and legal in the eyes of the law through laws.

"For too long there has been a legal vacuum in SKK Migas, which is under the Ministry of Energy and Mineral Resources," he said.

Previously, on November 13, 2012, the Constitutional Court canceled 18 provisions regarding the position, function, and duties of BP Migas. 36/PUU.X/2012. In the view of the Constitutional Court, BP Migas is against the constitution and must be dissolved. Then the government issued Presidential Regulation Number 9 of 2013 concerning the establishment of the Special Task Force for Upstream Oil and Gas (SKK Migas) which later became the basis for replacing the role of BP Migas by SKK Migas.