{
    "success": true,
    "data": {
        "id": 1919386,
        "msgid": "pertaminas-streamlining-strategy-strengthens-soe-efficiency-and-governance-1786693822",
        "date": "2026-08-14 13:23:00",
        "title": "Pertamina's Streamlining Strategy Strengthens SOE Efficiency and Governance",
        "author": "Basuki Eka Purnama",
        "source": "MEDIA_INDONESIA",
        "tags": "",
        "topic": "Business",
        "summary": "Pertamina's ongoing business streamlining is being hailed as a strategic move to enhance efficiency and governance within Indonesia's state-owned enterprises. The restructuring aims to refocus the energy giant on its core business, reduce potential losses, and improve decision-making. The initiative aligns with broader government efforts to reform SOEs, including President Prabowo's recent closure of 290 unproductive entities.",
        "content": "<p>PT Pertamina (Persero)\u2019s move to reorganise its subsidiaries, or\nbusiness streamlining, is considered a strategic step aligned with the\ntransformation of State-Owned Enterprises (SOEs). The programme aims to\nstrengthen efficiency, improve governance, and refocus the company on\nits core energy sector business.<\/p>\n<p>Economist from the Adidaya Institute, Bramastyo B Prastowo, explained\nthat streamlining is a crucial instrument to ensure SOEs optimally\nperform their two main functions: providing public services and\ngenerating dividends for the state. He noted that this step is not only\nbeing taken by Pertamina but is also a trend among other SOEs.<\/p>\n<p>\u201cThe point is that streamlining is based on two inherent aspects of\nSOEs, namely generating dividends for the state and providing public\nservices,\u201d said Bramastyo, as quoted on Friday (14\/8).<\/p>\n<p>Bramastyo added that Pertamina\u2019s position is highly strategic because\nthe energy sector requires special attention from the government. The\norganisational restructuring is expected to suppress potential losses\narising from ineffective institutional structures. From an institutional\neconomics perspective, reducing management layers and unnecessary\ndirector\/commissioner positions will make decision-making more rational\nand focused.<\/p>\n<p>By the end of the first half of 2026, Pertamina recorded significant\nprogress in its corporate structure arrangement programme. Pertamina\u2019s\nDirector of Business Transformation and Sustainability, Agung Wicaksono,\nconfirmed that the liquidation of entities, including dormant entities\nin the upstream oil and gas sector, continues even if they have no\noperational burden or director salaries. This is done for the sake of\ngroup structure tidiness and to accelerate decision-making.<\/p>\n<p>\u201cThe ultimate goal is to strengthen national energy resilience,\nprovide better services to the public, and deliver greater added value\nto the national economy,\u201d said Agung. He also mentioned that this step\nis in line with the aspirations of the government and Danantara.<\/p>\n<p>In its implementation, Pertamina ensures that the entire streamlining\nprocess complies with the principles of Good Corporate Governance and\nrisk management. Vice President of Corporate Communication at Pertamina,\nMuhammad Baron, stated that the process involves strict supervision from\nvarious external parties.<\/p>\n<p>\u201cThe arrangement process involves law enforcement officials,\nauditors, Danantara, BP BUMN, and other relevant agencies. This support\nis important to ensure the programme achieves the targeted value\ncreation without violating statutory provisions,\u201d concluded Baron.<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/pertaminas-streamlining-strategy-strengthens-soe-efficiency-and-governance-1786693822",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}