Rachmat to be sworn in as Balak chief on Monday

Minister of Energy and Mineral Resources Purnomo Yusgiantoro will on Monday swear in Rachmat Soedibjo as chief of the newly formed Implementing Body which holds the highest authority over the country?s oil and gas sector, a source told Petromindo.Com on Thursday.

President Megawati Sukarnoputri formally appointed Rachmat chief of the Implementing Body, better known by the acronym Balak, in mid-July after consulting the House of Representatives. Rachmat was then oil and gas director general. The President also in July issued a decree on the establishment of the body in accordance with Oil and Gas Law which became effective late last year.

The oil and gas law stipulates that the President has the authority to appoint Balak chief and that he/she is directly accountable to the President.

The law also entails that Balak has authority to award oil and gas concessions, sign contracts with oil and gas contractors, supervise their operation, and regulate the oil and gas industry. State oil and gas firm Pertamina had held the authority for so many years. (godang)