BKF formulating additional fiscal incentives for explorations

By Febry Silaban

The Fiscal Policy Agency (BKF) at the Ministry of Finance said it is formulating additional fiscal incentives, including income tax and property tax incentives, to increase investment in exploration.

Deputy Director for Tax and Non Tax Revenue Policy II at BKF Gunawan Pribadi said at the Conference on Indonesian Oil & Gas 2014 Outlook in Jakarta on Thursday that the fiscal incentives are considered necessary amid the government?s concern over the decrease in the national oil production and decresing investment in exploration activities to find new reserves.

Besides, Gunawan said, President has instructed all ministries to remove bureaucratic obstacles for the issuance of licenses in the oil and gas industry.

Editing by Johannes Simbolon