Regulation Is the Fundamental Foundation for Indonesia's Oil and Gas Governance

The Chairman of the Indonesian Oil and Gas Association (Aspermigas), Elan Biantoro, stated that governance remains a shared challenge in managing Indonesia’s substantial oil and gas potential. He stressed that regulation is the fundamental basis for governance, and that derivative policies must be applied consistently without frequent changes. This is crucial to ensure that the management of natural resources, particularly oil and gas which remain the backbone of energy supply in Indonesia, does not fluctuate. Amid unavoidable disruptions and geopolitical issues, Elan asserted that governance and regulation are the top priorities that must be addressed. He explained that if governance can be synergised, bureaucracy shortened, and the supply chain simplified, certainty will be established for users, investors, and workers in the oil and gas industry. He added that investors, vendors, contractors, and traders within the association often face confusion during times of turbulence, making improved governance the key solution. Meanwhile, Didik Prasetiyono, Vice Chairman for Inter-Institutional Relations at the Indonesian Industrial Estates Association (HKI), also expressed hope for definitive governance and regulations, noting that uncertainty is something businesses cannot calculate. He stressed that creating sound investment requires certainty and collaboration between institutions to build a competitive ecosystem that attracts investors.