BPH Migas Calls Local Governments An Important Role In Supervision Of Subsidized Fuel Distribution

Head of BPH Migas Erika Retnowati. (Photo: Doc. Antara)

JAKARTA - The Downstream Oil and Gas Regulatory Agency (BPH Migas) said that local governments have an important role in monitoring the distribution of subsidized fuel and compensation.

"Local governments have a very important role in helping BPH Migas supervise the distribution of subsidized fuel and compensation fuel, considering that local governments are most aware of the situation and conditions, as well as who are users who are in their area," said Head of BPH Migas Erika Retnowati in a statement in Jakarta, quoted from Antara, Friday, May 17.

According to him, local governments certainly want fuel needs for users to be well served, such as fishermen, farmers, public transportation, social services, as well as micro, small and medium enterprises (MSMEs).

"For this reason, BPH Migas needs to increase synergy with local governments," he said during the BPH Migas Cooperation Coordination Meeting (Rakor) with the Regional Government regarding Control, Development, and Supervision in the Distribution of Certain Types of Fuel Oil (BBM) (JBT/subsidy) and Types of Special Assignment Fuel (JBKP/compensation) in Bandung, West Java, Thursday (16/5/2024).

This activity aims to increase synergy, considering that local governments have an important role so that the distribution of subsidized fuel and fuel compensation is right on target and right on volume throughout the Unitary State of the Republic of Indonesia (NKRI).

The types of fuel that are consumed by the public are subsidized fuel (solar oil) and compensation fuel (Pertalite), so that BPH Migas requires support from various parties, including local governments so that fuel is enjoyed by the people who are entitled.

Erika continued in accordance with Article 21 of Presidential Regulation Number 191 of 2014 concerning the Provision, Distribution and Retail Selling Price of BBM, in supervising JBT and JBKP, BPH Migas can cooperate with relevant agencies and/or local governments.

The implementation of the cooperation can be in the form of a cooperation agreement between the Head of BPH Migas and the governor.

"In addition, this cooperation plan is a follow-up to the Cooperation Agreement between BPH Migas and the Directorate General of Regional Development of the Ministry of Home Affairs (Kemendagri) Number 3.Pj/KS.01/BPH/2022 and 119/12000/Bangda dated October 31, 2022 concerning Development and Supervision in Control of Consumers of JBT and JBKP in Provincial and Regency/City Regions," he explained.

The scope of the cooperation agreement (PKS) includes, among others, controlling the distribution of JBT and JBKP for user consumers, increasing coordination regarding the implementation of JBT and JBKP distribution, as well as guidance and supervision of the purchase of JBT and JBKP based on a recommendation letter issued by the head of regional apparatus / head of the fishery port / village head to consumer users.

Through a cooperation agreement, it is hoped that the provincial government can provide support in the issuance of recommendation letters in accordance with statutory regulations, as well as supervision of the issuance and distribution of JBT and/or JBKP given to users based on the issued recommendation letter.

"In addition, support in controlling the distribution of JBT and/or JBKP in accordance with the volume allocation of each region in its administrative area," added Erika. ), Minister of Energy and Mineral Resources (ESDM), Minister of Home Affairs, and Head of the Indonesian National Police on January 9, 2020 concerning Joint Supervision of the Supply and Distribution of BBM in the NKRI Region.

Furthermore, the Memorandum of Understanding between the Ministry of Home Affairs and the Ministry of Energy and Mineral Resources Number 193/3035.A/SJ and Number 1.PJ/03/MEM/2020 dated April 30, 2020 concerning Coordination of Tasks and Functions of the Ministry of Home Affairs and the Ministry of Energy and Mineral Resources.

"Another background is PKS between BPH Migas and the Directorate General of Regional Development of the Ministry of Home Affairs, KPK Recommendation Letter Number B/8757/LIT.05/10-15/11/2023 dated November 15, 2023 regarding Submission of Recommendations related to the Corruption Research on Management of Certain Types of Diesel Fuel (JBT), that in accordance with Article 21 of Presidential Regulation Number 191 of 2014, BPH Migas coordinates with the Minister of Home Affairs to establish an MoU and implements cooperation with local governments in monitoring the distribution of subsidized diesel in the regions, as well as the letter of the Head of BPH Migas T-108/KS.01/BPH/2024 concerning Cooperation Plans with Regional Governments in Supervision of JBT and JBKP Distribution in the Province on February 6, 2024," he explained.

On the same occasion, the Daily Executive of the Director of Main Synchronization of Regional Government I of the Directorate General of Regional Development of the Ministry of Home Affairs Gunawan Eko Movianto said monitoring the distribution of subsidized fuel and compensation requires cooperation with local governments.

"After we discussed with BPH Migas, there are many benefits obtained from this collaboration for local governments. So, apart from the central government being present regarding this fuel issue, local governments are also present to serve the community. Among other things, through the recommendation letter for purchasing subsidized fuel and compensation fuel intended for consumer users such as health services, MSMEs, and social services. This is one aspect of community service by local governments," he said.

To simplify the cooperation process, Gunawan suggested that in the next coordination meeting resource persons from one of the regions who have signed a cooperation agreement with BPH Migas, such as Riau Islands Province, Bengkulu, and Bangka Belitung Islands Province.

The coordination meeting was also attended by members of the BPH Migas Committee Basuki Trikora Putra, Eman Salman Arief, Harya Adityawarman, Iwan Prasetya Adhi, Yapit Sapta Putra, and BPH Migas BBM Director Sentot Harijady BTP. Also present were representatives of the Provincial Government of the Special Region of Jakarta, Banten, West Java, Central Java, and the Special Region of Yogyakarta.