SKK Migas: Government Policy To Stop Gas Exports For Domestic Interest

Performance press conference for the first semester of 2023 SKK Migas, Tuesday 18 July 2023/ Photo: Maria Trisnawati

JAKARTA - The Special Task Force (Satker) for Upstream Oil and Gas Business Activities (SKK Migas) has opened its voice regarding the plan to stop gas exports issued by the Coordinating Minister for Maritime Affairs and Investment Luhut B Pandjaitan.

Deputy for Finance and Commercialization of SKK Migas Kurnia Chairi said the government's policy regarding gas is for the benefit of the country.

"Indeed, our policy is to use it for domestic purposes. So we need to continue to encourage domestic industries," said Kurnia, quoted on Saturday, July 22.

For this reason, Kurnia continued, his party will continue to encourage the use of domestic industries such as the methanol factory in Bojonegoro, blue ammonia. Thus, investors will take advantage of the gas supply in the regions.

"We also consider the balance of upstream oil and gas because the investment we are targeting must be pushed so that investment is quite attractive if the purchase is quite good," said Kurnia.

Kurnia further revealed that currently the portion of gas utilization for domestic has reached 65 percent, while for exports it is 35 percent.

"Overall, the use of 65 percent of gas for domestic is 35 percent of exports," Kurnia continued.

For this reason, he reiterated that the government's policy still prioritizes the use of gas for domestic purposes.

It is known that the realization of gas channel or gas lifting until the first semester of 2023 has been realized by 5.308 million MMSCFD or lower than the target in the first semester of 2023 of 5.322 million MMSCFD. Previously, gas lifting was targeted at 5326 by the end of 2023.