Minister issues new regulation on speedy permitting procedure
Friday, July 22 2016 - 05:29 AM WIB
Minister of Energy and Mineral Resources Sudirman Said had on June 15 issued Ministerial Regulation No 15/2016 on speedy permitting procedure for infrastructure investment in the energy and resources sector.
The Directorate General of Oil and Gas at the ministry said in a statement obtained Friday that the regulation ensures permitting procedure to be completed within three hours.
According to the regulation, which has been effective since June 30, the speedy permitting procedure is given to entities engaged in the development of geothermal energy, power plant, electricity transmission, oil and gas downstream (temporary business permit).
The ministry has authorized the Investment Coordinating Board (BKPM) to issue the permit as long as the businesses have fulfilled the entire requirements.
The statement said that the temporary business permit for oil and gas downstream sector does not include permit for oil refinery with capacity of below 20,000 bpd.
For companies requesting for temporary business permit crude oil, fuel products, or LPG storage facilities, they must fulfill administration requirements, and agree to accept assignment from the ministry to supply fuel at home and contribute to national fuel reserves.
Editing by Reiner Simanjuntak