Lukman Mahfoedz chosen again to lead IPA for 2014
Wednesday, December 4 2013 - 12:56 PM WIB
The Indonesian Petroleum Association (IPA) elected its Board of Directors for 2014 in its recent 42nd Annual General Meeting with Lukman Mahfoedz of Medco Energi Internasional Tbk again chosen as the president of the organization which groups all upstream oil and gas industry players in the country.
Aside from electing its Board of Directors, the IPA also reported its activities throughout 2013 and discussed some major upstream industry issues.
During the annual general meeting, Lukman expressed his gratitude and appreciation to government, partners of the IPA and industry stakeholders for their cooperation and supports to the IPA throughout 2013.
He said the upstream oil and gas players put a high expectation on improvements in the oil & gas investment climate. The upstream players hope to see implementation of the 3C Principles (Clarity, Consistency and Certainty) in all regulations and policies to get fiscal incentives to attract more investment, in addition to settlement of fiscal and permits issues.
Those issues are some of the IPA?s main concerns. ?The IPA believes a sustainable upstream industry will bring the most benefit for Indonesia and produce a good return on investment and profit for investors,? Lukman Mahfoedz was quoted as saying in a press release from the organization.
Indonesia?s energy consumption will triple to 8.3 million barrels oil equivalent per day (mmboepd) in 2022. Citing data from the Boston Consulting Group, Lukman said the production and consumption gap will reach 3 mmboepd in 2030.
?The government is expected to soon take strategic action to improve performance of the upstream industry due to the long term and high risk investment nature of the upstream industry,? said Lukman, adding that as the representative of the upstream industry players, the IPA is willing to be a partner of the government in efforts to improve the upstream industry in Indonesia.
?The IPA really appreciates the high level of communication and partnership between the IPA and the government and other stakeholders that has been going on,? he said.
As for 2014, the IPA hopes Inpres No 2/2012 can be implemented properly to help achieve the target of 1 million barrels of oil production in 2014.
?Through Inpres 2/2012, President SBY has given clear instructions to 11 ministries, National Land Agency, Governors and Regents. Real actions must be taken according to their authority to solve the problems that have hampered the effort to increase oil production,? adds Lukman.
The IPA hopes for continuation of the good partnership and communications with all stakeholders in the upstream industry.
Editing by Johannes Simbolon