By: Gani Puteri Nasution*
The government’s efforts to reorganize more than 45,000 community oil wells in various regions constitute a strategic and historic step in realizing national energy independence and self-sufficiency. This step is not merely an administrative policy, but a symbol of the state’s commitment to the common people, who have long been an integral part of the national energy chain. Through Ministerial Regulation of Energy and Mineral Resources (ESDM) Number 14 of 2025, the government ensures that all community mining activities have a clear, safe, and sustainable legal basis.
ESDM Minister Bahlil Lahadalia emphasized that this policy follows up on President Prabowo Subianto’s directive to make community energy a key pillar of national development. With legalization and reorganization, people can now work with a sense of security, no longer haunted by fear of illegal activities, and at the same time, preserve the environment. This step demonstrates that the state is not here to stifle community initiative, but rather to regulate and empower them so that productivity increases and community welfare can be directly felt in oil-producing regions.
A total of 45,095 community-owned oil wells across Aceh, North Sumatra, Jambi, South Sumatra, Central Java, and East Java are now officially included in the national management system. The government is prioritizing management by Regionally-Owned Enterprises (BUMD), cooperatives, and Micro, Small, and Medium Enterprises (MSMEs). This mechanism ensures that economic gains are no longer concentrated in the hands of a select group but instead benefit the local community. Regional heads are also involved in the recommendation process to ensure that management is carried out by local residents who understand the characteristics of their areas.
Director General of Oil and Gas, Laode Sulaeman, explained that all exploration and production activities will be assisted by state-owned energy companies such as Pertamina and national companies such as Medco. This assistance aims to ensure that mining activities comply with occupational safety standards and good governance principles. Over the four-year management period, the government will assess the feasibility of each well to ensure energy productivity is maintained while minimizing the risk of accidents and environmental pollution.
The public response to this policy has been very positive. In various regions, community-owned oil miners have welcomed it with great hope. Those who previously operated clandestinely can now work with a sense of security due to legal recognition. The government’s commitment to the common people is clear evidence that national energy development is not solely oriented toward large corporations, but also relies on the power of the people as the foundation of the nation’s economy.
South Sumatra Governor Herman Deru believes this step reflects the state’s commitment to the grassroots. He emphasized that the development of community wells creates a space for social justice in the energy sector, where people are no longer objects but subjects of development. This view aligns with the Prabowo-Gibran administration’s vision of positioning energy as an instrument of national sovereignty.
In addition to the development of active community wells, the government is also addressing 1,400 old wells drilled before 1970. These wells still have the potential to produce around 1,600 barrels per day. Optimizing old wells will support the ambitious target of achieving one million barrels per day by 2029. According to the Upstream Oil and Gas Regulatory Special Task Force (SKK Migas), national oil production as of September 2025 had reached 619,000 barrels per day, approaching the 2025 State Budget target. This increase demonstrates a marked improvement in governance in the energy sector.
This restructuring policy not only increased oil lifting but also strengthened national economic resilience. With the involvement of MSMEs and cooperatives, regional economic turnover increased significantly. Each well-managed well became a source of livelihood for hundreds of families. This empowerment model shifted the old paradigm: from the people as spectators to becoming key actors in maintaining the nation’s energy security.
Subhkan Agung Sulistio, an energy expert from the Gerilya Institute, assessed that this policy aligns with President Prabowo’s Asta Cita (Asta Cita), which emphasizes economic sovereignty based on national resources. He described the legalization and management of community wells as a form of policy innovation that favors the community without sacrificing production efficiency. By utilizing new technologies such as Enhanced Oil Recovery (EOR) and Chemical EOR (CEOR), the government is promoting efficiency and sustainability in the oil and gas sector without neglecting the principles of safety and environmental sustainability.
This transformation of the national energy sector is also inseparable from Pertamina’s role as the backbone of energy security. Under the leadership ofUnder the leadership of President Director Simon Aloysius Mantiri, Pertamina is implementing a Dual Growth Strategy to increase upstream oil and gas production while simultaneously expanding the development of low-carbon energy. Pertamina is now focused not only on traditional oil and gas businesses but also on renewable energy such as geothermal, biofuel, and green fuel. With this move, Pertamina strives to ensure national energy availability remains secure amidst global challenges and the transition to clean energy.
Komaidi Notonegoro of the Reforminer Institute assessed Pertamina’s transformation as clear evidence of the company’s ability to adapt to global industry dynamics. He stated that Pertamina has successfully balanced its focus between oil and gas and renewable energy while maintaining the company’s financial health. With increased oil and gas production reaching more than one million barrels of oil equivalent per day, Pertamina has demonstrated its vital role as a key driver of national energy self-sufficiency.
From an academic perspective, Adib Miftahul of Syekh Yusuf University believes that the policy of re-managing community wells reflects Prabowo Subianto’s “economic reset” philosophy, which seeks to return management of national resources to the people. According to him, this is not merely a technical policy, but an ideological movement to ensure that natural resources truly belong to the nation.
With this restructuring, the government is building a new foundation for a more inclusive, equitable, and sustainable energy sector. Every drop of oil from the people’s wells is not only a symbol of production, but also evidence of collaboration between the state and the people in achieving energy sovereignty. Going forward, this policy is expected to become a model for effective people’s energy governance and a significant milestone toward national energy self-sufficiency and the ideals of Indonesia Emas 2045.
*The author is an energy policy analyst