Govt to limit gas trading license

The government is planning to issue a regulation to allow only one gas trader to operate in one area due to the monopolistic nature of the commodity.

 

Directorate general of oil and gas at the Energy and Mineral Resources Ministry Luluk Sumiarso said in Jakarta on Saturday that the drafting of the gas trade ruling was expected to be completed shortly.

 

He said that the new ruling on gas trade would also regulate infrastructures needed for gas transmission and therefore, the regulation would be "under the same package" with the existing regulation on national gas balance.

 

The directorate general has been in talked with the downstream oil and gas regulatory body, BPH Migas, and the government's fuel committee on the matter. “The regulation will improve the existing one,” he said. (godang)