Commission VII On The Status Of SKK Migas: Not Disbanded, But Enhanced

Illustration (Photo: Doc. Antara)

JAKARTA - Deputy Chairperson of Commission VII DPR RI, Maman Abdurahman, confirmed the institutional status of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas).

"There are still many pros and cons (related to the status of SKK Migas) and there is still debate, but one thing I want to convey is that it is not dissolved but refined," he said in Jakarta, Tuesday, July 26.

Meanwhile, the SKK Migas institution is one of the points in the revision of the Oil and Gas Law which is expected to encourage investment in the upstream oil and gas sector which continues to experience a decline in lifting from year to year.

According to Maman, the existence of SKK Migas can maintain the investment climate.

"Under SKK Migas, there are not only employees, but there are hundreds of Cooperation Contract Contractors (KKKS) engaged in the oil and gas sector. I emphasize once again, we as lawmakers, do not dissolve, but we will perfect it," said Maman.

As a refinement step, Maman explained that there are three options offered to determine the status of SKK Migas.

"The first option, SKK Migas remains as it is now, we don't reduce or we don't increase. But if that's the case, there will be no breakthrough," he said.

The second option is that the DPR will update and refine the structure of SKK Migas with a much more optimal body so that it can reach spaces that have not been reached by SKK Migas so far.

"Finally, there is a discourse that SKK Migas will be taken over by Pertamina. However, this option is much debated," he said.

According to Maman, most parties think that Pertamina should continue to act as a player and the control, regulator and supervisory functions should still be carried out by SKK Migas.

"There are several options but what I want to convey is that SKK Migas will not be dissolved," he concluded.

For information, the institutional status of SKK Migas is only regulated through Presidential Decree No. 9 of 2013 concerning the Management of Upstream Oil and Gas Business Activities.

The SKK Migas institution will be further regulated in the Revised Oil and Gas Law (UU) which will be discussed by the DPR after the recess.