BPH Migas: Supplie Management Needs To Meet Fuel Operational Reserves

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JAKARTA - Head of the Downstream Oil and Gas Regulatory Agency (BPH Migas) Erika Retnowati revealed the need for "inventory" management (supply) to be able to meet the target of fuel oil operational reserves (BBM) which is expected to reach 23 days by 2024.

BBM operational reserves have been regulated in the Regulation of BPH Migas Number 9 of 2020 where in 2024, operational reserves of business entities will be set for 23 days.

"However, based on the evaluation of BPH Migas, there are still problems with business entities for their implementation. BBM inventory management is needed in terms of business entities which are implemented effectively and efficiently in providing fuel supply with cost considerations for business actors, but while still ensuring security of supply," he said in Bogor Regency, Saturday.

Erika revealed that the results of the evaluation were compiled in stakeholders gathering held by BPH Migas with oil and gas business entities.

Meanwhile, in the natural gas sector, the discussion forum concluded that the existence of existing natural gas infrastructure could still be developed optimally following the fact that natural gas is a bridge in the energy transition.

"It is necessary to provide policies that support the certainty of natural gas allocation for business actors and ensure the return of investment," he said.

Erika said, guaranteeing justice and energy security for the community is not an easy thing. Indonesia's geographical condition, which consists of islands that are difficult to reach, has not yet connected the natural gas pipeline infrastructure that connects supply and demand and has not evenly distributed fuel institutions that can reach the community, is the main obstacle in providing energy in Indonesia.

As of December 28, 2023, the realization of the distribution of certain types of fuel (JBT) for diesel oil reached 17.64 million KL or 102.69 percent of the total quota of 17 million KL.

Meanwhile, the realization of the distribution of JBT for kerosene amounted to 0.489 million KL or reached 97.89 percent of the quota of 0.500 million KL. Meanwhile, the realization of the Pertalite Special Assignment Type of Fuel (JBKP) was 29.77 million KL or 91.43 percent of the quota of 32.56 million KL.

In addition, in the development of natural gas infrastructure, currently it has reached 22,478.62 km or 103 percent of the target of 21,900 km which includes a transmission pipe length of 5,360.46 km; a distribution pipe of 6,241.03 km; and a jargas pipe of 10,877.13 km.