SKK Migas Boss Denies Oil and Gas Industry Entering Sunset Phase

JAKARTA – Special Task Force for Upstream Oil and Gas Business Activities ( SKK Oil and Gas ) denied the statement that said that upstream oil and gas industry starting to sink or enter the sunset phase. This is because currently there is a widespread campaign for renewable energy which is considered much cleaner than oil and natural gas.

“But all of that is just talking about energy. Meanwhile, oil and gas are not only for energy, but also petrochemicals. So I believe there is no sunset for oil and gas industry “said Head of SKK Migas Dwi Sotjipt at the 22nd Anniversary of Upstream Oil and Gas which was monitored online in Jakarta, Tuesday (16/7/2024).

Dwi added that the upstream oil and gas sector is also able to provide a multiplier effect for other sectors. One of them is inseparable from the implementation of the Domestic Component Level (TKDN) in its operations.

“TKDN will reach IDR 76.5 trillion in 2023, to provide jobs for 150,000 workers,” explained Dwi.

However, Dwi reminded upstream oil and gas industry players not to be arrogant with the achievement. Because, according to Dwi, there are more difficult challenges awaiting the upstream oil and gas industry in the future.

Dwi also hopes that the need for oil and natural gas can continue to increase in volume. Not only for energy sources, but also for raw materials for the petrochemical industry.

“This increase is mainly because oil and gas are still very much needed not only for energy, but also as raw materials or feedstock for the petrochemical industry,” concluded Dwi.

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