Regarding PI Transfer Of Bulu Oil And Gas Block To Canadian Company, LaNyala Asks Energy And Mineral Resources Ministry To Be Consistent In Rejecting

SURABAYA - Chairman of DPD RI, AA LaNyalla Mahmud Mattalitti, hopes that the Ministry of Energy and Mineral Resources (ESDM) will consistently reject the transfer of the Oil and Gas Participating Interest (PI) in the East Java Bulu Block.

This is because the transfer to the Canadian-based company, apart from violating the rules, was also carried out secretly.

"It is clear that our sovereignty has been mortgaged and energy security is increasingly fragile if foreigners are very powerful. Therefore, national energy politics must be fully and sovereignly controlled again by the government," said LaNyalla on the sidelines of the Sosdap MPR activities in Surabaya, Tuesday, March 28.

Energy Availability

The Senator from East Java emphasized that the Government, in this case, the Minister of Energy and Mineral Resources, is obliged to guarantee the availability of energy for domestic needs.

However, foreign domination and behavior that violates the rules in the oil and gas sector also threaten Indonesia's economic sovereignty.

As is well known, the Ministry of Energy and Mineral Resources (ESDM) has rejected the transfer of participating rights or PI that occurred in the oil and gas working area (WK) or the Bulu Block, off the coast of East Java.

This is because in the transfer process, the approval of the Minister of Energy and Mineral Resources has not been obtained and it has not been communicated to the Directorate General of Oil and Gas (Ditjen Migas) and the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas).

As stipulated in Articles 38 and 39 of Law Number 22 of 2001 concerning Oil and Gas, all PI transfer transactions, and changes in control, both directly and indirectly carried out during the application period of the additional time policy before the start of commercial production (onstream) are not can be done, before the party in question obtains approval from the Minister of Energy and Mineral Resources.