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JAKARTA - The House of Representatives' Commission VII targets the Revision of Law (RUU) number 22 of 2001 concerning Oil and Gas to be completed by the middle of next year. Meanwhile, one of the points that will be discussed is related to the definitive institution which will later play a role in replacing SKK Migas.

Chairman of Commission VII of the DPR Sugeng Suparwoto said in this revision of the Oil and Gas Law, the DPR is committed to strengthening the role of SKK Migas to become a special agency in charge of upstream oil and gas governance.

Currently, the establishment of SKK Migas is only based on a Presidential Regulation.

"Later, a special business entity will be created, it can be BUMN or a state agency that specifically manages the upstream sector," he said when met at JCC Senayan, Jakarta, Thursday, July 28.

Through the revision of the Oil and Gas Law, the special business entity will manage oil and gas funds collected from the upstream industry through a petroleum fund scheme. So, said Sugeng, this special agency can focus on exploring and managing national oil and gas reserves.

"What is meant by special business entities is to strengthen SKK Migas with certain strengthened functions, one of which is the petroleum fund," he said.

Sugeng explained that the existence of a petroleum fund would reduce dependence on the 2022 state budget (APBN) so that the burden on the state would also be reduced.

"So later the function of the state budget is as a stimulant. We want to be committed to the existence of petroleum funds, taxes, exports and oil and gas levies," he said.


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