President Prabowo Firmly Eradicates Oil and Gas Mafia for Energy Sovereignty

By: Khaylila Nafisah )*
Indonesia has faced major challenges in the oil and gas sector for years, ranging from corruption scandals, monopolistic practices, to non-transparent governance, which not only harm state finances but also hamper efforts towards energy independence. However, under the leadership of President Prabowo Subianto, the commitment to eradicate the oil and gas mafia is increasingly evident.
The government’s seriousness in enforcing transparency in the energy sector is evident from its full support for the investigation into alleged corruption in the management of crude oil and refinery products at PT Pertamina (Persero) for the 2018-2023 period. The government supports the efforts of Commission VI of the Indonesian House of Representatives (DPR RI) which encourages the formation of a Working Committee (Panja) to investigate further corrupt practices that are detrimental to the state.
Efforts to eradicate the oil mafia have received support from the Deputy Chairman of Commission VI of the DPR, Adisatrya Suryo Sulisto. According to him, many members of Commission VI want a Working Committee to be formed immediately to oversee this case until it is resolved. He himself agreed to the proposal and emphasized that the final decision is still awaiting further discussion in Commission VI.
In addition to support from the DPR, the Attorney General’s Office has also taken concrete steps by naming nine suspects in the fuel adulteration case. One of the main suspects is the President Director of PT Pertamina Patra Niaga, Riva Siahaan, who is suspected of being involved in mixing Pertalite with other materials and selling it as Pertamax. This scandal shows how the oil mafia practices not only harm the state financially, but also have the potential to harm consumers who depend on the quality of fuel sold on the market.
The government is not only focused on eradicating corruption, but also trying to improve the governance of the oil and gas industry to be more transparent and efficient. President Director of PT Pertamina (Persero), Simon Aloysius Mantiri, explained that Pertamina is now committed to absorbing all crude oil production that is part of the government to be processed in domestic refineries. This step is taken to reduce dependence on crude oil exports and ensure that domestic production is utilized optimally.
On the other hand, Pertamina’s Deputy President Director, Wiko Migantoro, highlighted the challenges still faced in negotiations with the Cooperation Contract Contractors (KKKS). According to him, last year Indonesia still exported around 70 thousand barrels of crude oil per day, but with the support of the government, the production portion that is the government’s right has now been fully allocated for domestic refinery needs. However, further efforts are still needed to encourage other KKKS to prioritize their crude oil supply for domestic needs rather than selling it abroad.
The alleged corruption scandal in the management of crude oil has become a momentum for President Prabowo’s government to carry out major reforms in the oil and gas sector. With the support of the DPR to form a Working Committee and the government’s firm steps in increasing transparency, it is hoped that similar cases will not recur in the future.
President Prabowo understands that energy independence is key to national economic resilience. Therefore, reforms in the oil and gas sector are not only aimed at prosecuting corruptors, but also ensuring that the industry is managed with the principles of accountability and sustainability. This step is also in line with the government’s vision to reduce dependence on fuel imports and increase domestic production efficiency.
Success in eradicating the oil mafia not only has an impact on improving industrial governance, but also on people’s welfare. With a more transparent and clean system, fuel prices are expected to be more stable and affordable for the community. In addition, optimizing the use of domestic energy resources will strengthen national energy security, so that Indonesia is no longer dependent on supplies from abroad.
Stronger energy security will create long-term economic stability, reduce the risk of inflation due to global oil price fluctuations, and provide certainty for businesses and investors in the industrial and transportation sectors. On the other hand, oil and gas sector reform also has the potential to open up new investment opportunities in the development of alternative energy, which can accelerate Indonesia’s transition to a more sustainable and environmentally friendly energy system.
President Prabowo’s commitment to eradicating the oil mafia shows the government’s seriousness in creating a more transparent and accountable energy sector. With support from the DPR, the Attorney General’s Office, and Pertamina, various concrete steps have been taken to uncover corruption scandals and improve oil and gas governance.
Although still facing challenges, this step is an important foothold for Indonesia in realizing a cleaner and more independent oil and gas industry. This reform will not only have an impact on the economic sector, but also on the welfare of society as a whole. With better governance, Indonesia can ensure that national energy resources are truly used for the benefit of the people, not for the benefit of a handful of elites who play behind the scenes of the oil and gas mafia.
)* The author is an anti-corruption activist