RI economy gets expanded benefit from oil and gas
Thursday, March 7 2013 - 09:22 AM WIB
?Transactions of goods and services procurements in the upstream oil and gas industry through the national banks have been increasing during the last few years,? upstream authority SKK Migas Deputy Chairman J. Widjonarko said when opening the forum of managing the supply chain of the oil and gas industry in Bandung on Thursday, 7th March 2013.
He said that in 2009, the transactions of goods and services procurements through the national banks were only recorded at about US$ 4 billion (about Rp 38.5 trillion).
In 2012, such transactions were recorded at about US$ 9.4 billion (about Rp 91 trillion).
?Total transactions of such procurements since 2009 have amounted to US$ 24.3 billion or about Rp 235 trillion,? he said.
He said that the local contents (TKDN) had also shown a rising trend. In 2012, the commitment of goods and services procurement was realized at US$ 16.6 billion (about Rp 160 trillion), of which 60.1 percent or US$ 8.8 billion (about Rp 85 trillion) are local contents.
In 2011, the value of such commitment was recorded at US$ 11.81 billion, of which 60.6 percent were local contents.
Widjonarko said that it was not easy to increase the local contents, considering that the oil and gas industry is a capital intensive industry which is heavily reliant on high technology. ?But we?ve seen that the commitment of local contents have been maintained at about 60 percent,? he said.
He added that the local content achievement had been optimum. ?But we?ll continue to seek opportunities to further raise the local contents,? he said, adding that there has been an increasing demand among the upstream players to be more transparent, and giving more access to the national and regional firms.
?We have to accommodate their aspirations as based on the constitution, the exploration and exploitation of oil and gas are aimed at improving the welfare of Indonesian people,? he said.
Editing by Benget Besalicto Tnb.