Indonesian Political, Business & Finance News

Danantara to Address Diesel Scarcity Reports in West Sumatra

| Source: ANTARA_ID Translated from Indonesian | Economy
Danantara to Address Diesel Scarcity Reports in West Sumatra
Image: ANTARA_ID

Jakarta (ANTARA) - The Chief Operating Officer (COO) of Danantara, Dony Oskaria, has ensured that his office will immediately follow up on reports from the Governor of West Sumatra, Mahyeldi Ansharullah, regarding the ongoing diesel scarcity in several areas of the province.

Danantara has requested that the distribution of fuel, particularly diesel, be rectified immediately to prevent disruptions to public activities. This commitment was conveyed by Dony during a meeting with Mahyelpend at Wisma Danantara, Jakarta, on Thursday.

According to a statement from Dony, the availability of fuel is a vital necessity for the community, and therefore, the smoothness of its distribution must be a priority. “I will immediately summon the President Director of Pertamina Patra Niaga,” said Dony.

During the hour-long meeting, Mahyeldi noted that the West Sumatra Provincial Government has not yet been granted access to fuel distribution data from Pertamina. This data is considered essential for monitoring diesel distribution and preventing potential misuse.

Dony, who also serves as the Head of the State-Owned Enterprises (SOE) Agency, emphasised that fuel distribution issues must not be allowed to persist, as they can directly impact the economic activities of the community.

In addition to discussing diesel issues, the meeting addressed several strategic development agendas in West Sumatra, ranging from the development of Community Mining Areas (WPR) and the handling of illegal mining (PETI), to renewable energy projects, the utilisation of Sinamar gas, toll road construction, and the expansion of Teluk Bayur Port.

Regarding the prevalence of illegal mining in West Sumatra, Dony proposed an approach that integrates community economic interests with environmental protection. He requested that the local government conduct accurate data collection on small-scale mining activities.

Dony stated that Danantara will encourage PT Antam to act as the core company, while licensed small-scale mining groups can become part of a more organised mining ecosystem. This scheme, he continued, must be accompanied by strict environmental management through the preparation of Environmental Impact Assessments (Amdal), land reclamation, and post-mining reforestation.

“Downstreaming, reclamation, and reforestation must proceed simultaneously so that economic benefits and environmental sustainability can be maintained,” he said.

On the same occasion, Mahyeldi also submitted proposals for five solar power plant (PLTS) and gas power plant (PLTG) projects, with an investment value reaching IDR 5.35 trillion for the 2027-2029 period. These five projects include the Singkarak Floating Solar Power Plant in Tanah Datar, as well as solar plants in Sijunjung, Mentawai, and Pesisir Selatan, alongside a gas power plant in Sijunjung that utilises gas potential from the Sinamar Block.

Dony assessed that the development of renewable energy and the use of domestic gas hold great potential to strengthen energy supplies while driving regional economic growth. However, he emphasised that all projects must be supported by ready documentation, certain licensing, and cross-agency coordination.

One project of particular interest is the utilisation of Sinamar gas in Sijunjung Regency. Gas reserves in the South West Bukit Barisan working area are estimated to reach 35 MMSCFD and have the potential to be used as a power plant energy source.

Beyond the energy sector, discussions also covered plans for toll road development and the expansion of the Teluk Bayur Port area. Dony noted that these projects play a vital role in strengthening connectivity and accelerating the movement of goods and investment in West Sumatra.

At the conclusion of the meeting, both parties agreed to follow up on all discussions through technical meetings involving ministries, SOEs, and relevant agencies to accelerate the realisation of various strategic programmes in West Sumatra.

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