Minister urges regional governments to form business units
Monday, February 5 2001 - 05:00 AM WIB
Minister of Energy and Mineral Resources Purnomo Yusgiantoro called on regional governments to establish business units to tap business opportunities in oil and gas sector in the future.
Purnomo said the government has proposed a bill to replace the current Pertamina Law No. 8/1971. The proposed bill will provide opportunities for the regional administrations, through their business units, to involve in the oil and gas sector, especially in the downstream sector.
"The Law No. 8/1971 is being reviewed. We hope (the review) will provide business opportunities (for the regions)," Purnomo said in a discussion with the South Sumatra Journalist Forum, on Thursday in the South Sumatra province's capital of Palembang.
"Through their business units, regional governments can lure investors into their respective areas and strike deals with investors, especially in developing natural resources," Purnomo added.
Purnomo was accompanied by Jambi governor Zulkifli Nurdin and South Sumatra's vice governor Thobrono Hs in the discussion.
Purnomo praised Jambi as a province, which has managed to tap business opportunities in the autonomy era.
He said Jambi had signed a memorandum of understanding with a Norwegian investor on the contract to develop a hydropower plant in Merangin area of the province.
"Once the Meranging power plant is completed, Jambi will be able to solve power problems and also gain profits as a shareholder," Purnomo said. (*)