Pertamina Completes Streamlining of 31 Entities, Strengthens Core Business and Energy Security

PT Pertamina (Persero) has completed a streamlining programme for 31 entities by the end of the first half of 2026. The move is part of the company’s ongoing transformation to strengthen its focus on core business, improve governance, and support national energy security. The subsidiary restructuring programme was carried out through various corporate actions, ranging from mergers and divestment of non-core businesses to the liquidation of inactive entities. Pertamina believes that simplifying the group structure will accelerate decision-making, increase efficiency, and strengthen the company’s competitiveness. Agung Wicaksono, Director of Transformation and Business Sustainability at PT Pertamina, said the streamlining programme is one of the company’s strategic priorities, in line with the transformation of state-owned enterprises and the government’s aspirations. “This streamlining is part of Pertamina’s ongoing transformation, which is also aligned with the aspirations of the government and Danantara. The ultimate goal is to strengthen national energy security, provide better services to the public, and deliver greater added value to the national economy,” Agung said in a statement in Jakarta. He explained that the entity restructuring is intended to allow Pertamina to focus more on its core business and build sustainable advantages. Simplifying the corporate structure is also expected to enhance the effectiveness of business management across all lines of operation. According to Agung, one of the steps taken was the liquidation of several dormant upstream oil and gas entities. This policy was implemented as part of efforts to tidy up the Pertamina Group structure, even though these entities no longer incurred operational or other costs for the company. “Although these dormant upstream oil and gas entities had no expenditure, whether for operations or salaries for directors or commissioners, we still liquidated them as part of the effort to tidy up the Pertamina Group structure,” he said. Agung stated that the streamlining achievements in the first half of 2026 have strengthened the national energy supply chain, increased efficiency, and bolstered business resilience. The move is also in line with the directive of President Prabowo Subianto through Presidential Instruction Number 7 of 2026 concerning the Acceleration of the Restructuring Programme for State-Owned Enterprises and/or Subsidiaries. He added that Pertamina’s transformation does not stop at corporate actions alone. The programme is also directed at improving the quality of corporate governance as well as services to the public. “The streamlining programme does not stop at corporate actions, but also includes transformation to enhance excellence, strengthen governance quality, and improve the quality of our services to the public,” Agung concluded.