Launching Center for Oil and Natural Gas Law Study and Law Faculty of Brawijaya University and National Seminar of “Institutional Governance of Oil and Gas Management in Indonesia”

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Faculty of Law, UB formed a study group of Oil and Gas Law and Mining Law which is Special Unit for Upstream Oil and Gas Business Activity (SKK Migas) by positioning as Head of Formality Working Group in Division of Legal and Formal Consideration. Then at once held a National Seminar themed “Management of Institutional Management of Oil and Gas in Indonesia” which was attended by the three speakers Didik S. Setyadi S.H., M.H. (Head of Formalities Division of SKK Migas), Roxy Mawardijaya, S.H. (Public Relations Division of Exxon Mobil Bonnjonegoro); Rachmad Safa’at, S.H., M.SI. (Dean of the Faculty of Law, UB) in his explanation explains many of the findings of information on the complexity of oil and natural resource exploitation issues throughout the archipelago, namely the complexity of the management aspects of State Administration Law from Upstream Business Activities of Oil and Gas like a:

  1. Use of Governmental Authority in the exploitation of natural oil and gas resources.
  2. Use of authority among government agencies in conducting sectoral and cross-sectoral oversight within and across their authorities,
  3. including the use of governmental administrative instruments in exercising their respective authorities.
  4. Implementation of Regional Autonomy.
  5. Management of Regional Finance.

In understanding the upstream oil and gas business activities of the Legal Aspects of the Administration will enrich and complement our discourse and paradigm that at least the PSC Contract for Upstream Oil and Gas Business Activities shall not be viewed solely as a Covenant (Contract) because one of the contracting parties is the State Public Institution with the object of the agreement which is the State asset and the supervision of the various State institutions, the logical consequence of the Principles of the Law of State Administration shall automatically apply to it.

There are various analyzes, views and statements or conclusions that can be presented in this presentation and the institutional attitude (SKK Migas) of stakeholders working in the company.

Simply put in the field of Oil and Gas based on the type of business activities can be divided into two namely:

  1. Upstream Business Activities and
  2. Downstream Business Activity

Exploration and Exploitation Activities shall be Upstream Business Activities, while Processing, Storage, Storage or Commerce is a Downstream Business Activity. In Upstream Oil and Gas Business Activities in Indonesia, where oil and gas has been the main beneficiary of the recipient of the country so that Upstream Oil and Gas Business Activities in the past has always been a development priority. The situation is much different from the current conditions.

Indonesia’s petroleum output is currently around 800 thousand barrels/day, while the needs of the community reach 1.6 million barrels/day, meaning that Indonesia is no longer a State Supplier of Rich Oil and Gas. In view of such facts, in the atmosphere of a more democratic country, the knowledge of the society must be enhanced to the oil and gas industry as one of the vital industries of the state should be improved in order to create a better awareness to participate positively in managing, utilizing and supervising the oil and gas industry as well as possible, considering oil and gas on the one hand is a source of energy or vital needs, on the other hand is a source of natural wealth that can not be renewable (non-revewable) which will someday be exhausted.

In order for the public to participate optimally in the management, utilization and control of oil and gas, a good rule of thumb is required, namely a regulation that provides sufficient access to the community to carry out its participation in a rational and proportional manner.

So formed Group of Oil and Gas Law Study and Law of Mining from Faculty of Law, Universitas Brawijaya by forming team:

Prof. Dr. I Nyoman Nurjaya, S.H., M.H. (Expert Council)
Dr. Rachmad Safa’at, S.H., M.Si. (Expert Council)
Dr. Iwan Permadi, S.H., M.Hum. (Expert Council)
Dr. Imam Kuswahyono, S.H., M.H. (Expert Council)
Dr. Dwi Indah Qurbani, S.H., M.H. (Chair of the Study Group)

Vision:

Become a Study Group Active Participation in the Development of Oil and Gas Law and Equitable Mining Law.

Mission:

Increasing Human Resource Capacity in Oil and Gas Field and Mining Law.
Participate in the Formation of Local Law Products and the Development of National Law in the Field of Oil and Gas Law and Mining Law.

Thus, legal reviews relating to research studies on policies and regulations on the management of oil and gas law and mining law may be included as a study of Administrative Law. [Fhm / Humas]