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Accelerating Oil and Gas Production Supports Energy Self-Sufficiency

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Jakarta: The government has emphasized that accelerating oil and gas production is a strategic step to strengthen resilience and achieve energy self-sufficiency. Through synchronized policies across ministries and agencies, this acceleration is aimed at closing supply gaps, reducing imports, and maintaining stable energy prices for industry and households.

Deputy Chairperson of Commission XII of the Indonesian House of Representatives, Putri Zulkifli Hasan, emphasized that Commission XII considers the challenges in the upstream oil and gas sector in 2023 and 2024 to have become valuable lessons, and now the government has succeeded in showing a significant recovery trend with positive achievements in 2025. Even so, the positive achievement in the first semester of 2025 with production of 602 thousand barrels of oil per day (BOPD) from the target of 605 thousand BOPD is considered a signal of optimism towards the ambitious target of 1 million BOPD in 2030.

“This achievement demonstrates that Indonesia’s potential to achieve oil production of 1 million barrels per day and gas production of 12 billion cubic feet per day by 2030 is not just a dream, but a very real possibility,” he said.

The government is currently focusing on increasing production from existing fields, accelerating Plans of Development (PoD) for new projects, and optimizing enhanced oil recovery (EOR) and digital subsurface. The government is also expediting permitting, reducing exploration lead times, and establishing fiscal and non-fiscal incentives to attract upstream investors.

Downstream, the government is promoting supply chain efficiency by strengthening storage infrastructure, pipelines, and regasification facilities, so that increased lifting can be quickly absorbed and distributed. Refinery modernization and co-processing of low-emission fuels are also being accelerated to ensure a cleaner national energy mix without compromising availability.

Devialina Puspita Dewi, VP of Development & Production, Technical Excellence & Coordination at Pertamina Hulu Energi (PHE), explained that PT Pertamina is committed to strengthening national energy security by increasing oil and gas production and developing low-carbon technologies. These efforts are part of the company’s contribution to achieving energy self-sufficiency and supporting the vision of Indonesia Emas 2045.

“PHE plays a crucial role in maintaining national energy sustainability. We are focused on optimizing oil and gas production, increasing reserves, and implementing environmentally friendly technological innovations to provide added value to the community,” he said.

In line with the energy transition, accelerating oil and gas development is positioned as a bridge fuel to ensure supply security while expanding investment in gas as a cleaner energy source. Domestic gas is prioritized for power generation, the fertilizer industry, petrochemicals, and transportation, creating a multiplier effect for regional economies.

Pertamina President Director Simon Aloysius Mantiri explained that to ensure accountability, an integrated performance dashboard has been created that monitors drilling targets, exploration success ratios, capital expenditure (CAPEX) realization, and project on-stream deadlines. This data serves as the basis for rapid decision-making in the event of field deviations.

“To ensure accountability, we’ve created an integrated performance dashboard that monitors drilling targets, exploration success ratios, realized capital expenditure (CAPEX), and project on-stream deadlines. This data serves as the basis for rapid decision-making if deviations occur in the field,” said Simon.

With measured steps from upstream to downstream, the government is optimistic that accelerating oil and gas production will strengthen energy security, reduce the oil and gas balance deficit, and lay the foundation for sovereign, sustainable, and pro-growth energy self-sufficiency.

“Energy is secure, the economy is strong, and public welfare is increasing,” he concluded.

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