Proceedings of the 2nd International Conference on Law, Economic, Governance, ICOLEG 2021, 29-30 June 2021, Semarang, Indonesia

Research Article

Urgency of Changes in Structure and Governance in the Downstream Oil and Gas (BPH MIGAS) Regulatory Agency as an Independent Institution

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  • @INPROCEEDINGS{10.4108/eai.29-6-2021.2312644,
        author={Paramita  Prananingtyas and Irawati  Irawati and Normalita  Destyarini and Alifah Nur Fitriana Naridha},
        title={Urgency of Changes in Structure and Governance        in the Downstream Oil and Gas (BPH MIGAS) Regulatory Agency as an Independent Institution},
        proceedings={Proceedings of the 2nd International Conference on Law, Economic, Governance, ICOLEG 2021, 29-30 June 2021, Semarang, Indonesia},
        publisher={EAI},
        proceedings_a={ICOLEG},
        year={2021},
        month={10},
        keywords={bph migas independence downstream business},
        doi={10.4108/eai.29-6-2021.2312644}
    }
    
  • Paramita Prananingtyas
    Irawati Irawati
    Normalita Destyarini
    Alifah Nur Fitriana Naridha
    Year: 2021
    Urgency of Changes in Structure and Governance in the Downstream Oil and Gas (BPH MIGAS) Regulatory Agency as an Independent Institution
    ICOLEG
    EAI
    DOI: 10.4108/eai.29-6-2021.2312644
Paramita Prananingtyas1,*, Irawati Irawati1, Normalita Destyarini1, Alifah Nur Fitriana Naridha1
  • 1: Universitas Diponegoro
*Contact email: pptyas@live.undip.ac.id

Abstract

BPH Migas as the Agency that has the authority to regulate the downstream oil and gas business in Indonesia, in its implementation there are obstacles both in terms of conducting supervision and the internal organizational structure of BPH Migas. Obstacles in carrying out supervision in the form of technical and resources. As well as problems in the form of position as an independent institution in supervising downstream oil and gas business. This study aims to determine the independence of BPH Migas in regulating the downstream oil and gas agency and the governance of the BPH Migas organizational structure in regulating Indonesia's downstream businesses. Through an empirical juridical approach, this empirical legal research concludes that, The independence of BPH Migas has not been implemented as mandated by Law Number 21 of 2011 as an independent body, as emphasized in the provisions of Article 2 paragraph (2) of Government Regulation Number 67 of 2002 which states that the regulatory agency is formed to regulate and supervise the supply and distribution of Oil and Gas Fuel through pipelines in Downstream Business Activities which is a government institution that carries out its functions, duties and authorities independently and is not influenced or separated from the influence and power of the government as well as other parties.