Pertamina sets new 'CD guidelines'
Pertamina sets new 'CD guidelines'
JAKARTA (JP): State oil and gas company Pertamina has issued a
new ruling ordering its oil and gas contractors to focus their
community development (CD) programs on the people living around
their operating sites.
The new ruling, signed on March 31 by acting head of
Pertamina's foreign contractors management body (BPPKA) Herucokro
T.M, states communities living within five kilometers of oil and
gas operations, including production fields, refineries, depots,
terminals, special ports, housing complexes and office buildings,
should be the contractors' top priority.
The second priority is to the people living in the same
regencies as the operations and the third to the people in the
same province.
Oil and gas companies have often been criticized for their
social programs. While they are run for the purpose of creating a
good corporate image, nearby communities have often not directly
benefited from them.
The new ruling underlines the importance of CD programs as a
way to avoid cultural conflicts; bridge social and economic gaps
between the oil and gas companies and the local people; and to
create a sense that local people belong to the companies.
"Community development is the realization of the social
responsibility of companies for the development of the
communities living around their operating areas," mines and
energy web site Petromindo.Com quoted the new ruling as saying.
The ruling categorizes the oil and gas companies based on
their areas of responsibility in the implementation of the CD
programs.
CD programs in Aceh have been designated to Mobil Oil, Gulf
Indonesia Resources, Lasmo Oil, Talisman and Inpex.
The Riau archipelago, including the Natuna islands, has been
assigned to Conoco Indonesia, Gulf Indonesia Resources and
Premier Oil. Caltex, Kondur, Santos and Petronusa Bhumibakti are
responsible for inland Riau.
CD activities in South Sumatra have been designated to Amerada
Hess, Gulf, Golden Spike, Exspan, Talisman (OK), while the East
Kalimantan area is the responsibility of Total Indonesie, Vico,
Unocal, Exspan, Shell and Lasmo.
Irian Jaya has been designated to Santa Fe, Arco, British Gas,
IGO, Lasmo, Coparex and KNOC, while the Maluku area has been
assigned to Kufpec, Kalrez, Canadian Oxy.
Jakarta and West Java have been assigned to YPF Maxus, Arco,
Greka and British Gas, while East Java to Arco, Kodeco, Lapindo
Brantas, Santa Fe Tuban, Santos, Gulf, Premier and Mobil Oil.
The new ruling also increases the cash aid that can be
immediately disbursed by the companies in case of emergencies
without prior approval from Pertamina to Rp 100 million from Rp
10 million.
CD programs should be implemented in cooperation with
government institutions, universities, nongovernmental
organizations and the local people, with the companies mainly
serving as facilitators. (jsk)