TEMPO Interactive, Sumenep:Energy and Mineral Resources Office chief in Sumenep, Madura, Mohammad Fadilah, estimated that despite the many foreign oil and gas companies operating in the area, the profit sharing formula for oil and gas revenues was not balanced.
"We only receive funds for community development," Fadilah said yesterday,adding that this was due to the Home Affairs Minister Regulation no. 1/2006 on Oil and Gas. It cited that if the exploration area was located between six to four nautical miles that it should be included as part of the Sumenep regency. If the location was between four to 12 nautical miles, it should be included as part of the province.
By Fadilah’s measurement, two foreign companies, PT Santos Energi and Kangean Energi Indonesia, which manage Sumenep’s oil and gas,are located at more than a four-mile radius.