JAKARTA: The government requested to be more transparent and faster in deciding a contract extension before the oil and gas contract expires. President of Indonesian Petroleum Association (IPA) Jim W. Taylor said that with the increasing number of oil and gas contracts that are approaching their end dates, contract renewal process should be clear and transparent.
Indonesia Petroleum Association (IPA) considers the petroleum fund plan has the potential to create bigger risk to the state’s financial condition. Moreover, the fund would be taken from the State Budget, said the association. The petroleum fund managed by government’s special institution means the government is fully involved in the national oil and gas business.
On Wednesday, September 28, 2011 the Ministry of Energy and Mineral Resources held an event to commemorate the 66th Anniversary of Mines and Energy at the Gawitra Oil and Gas Museum and the Electricity Museum, Taman Mini Indonesia Indah (TMII). The Gawitra Oil and Gas Museum, which was built in 1987, was created as a result of an agreement reached at the 14th IPA Annual Convention and Exhibition on October 14, 1985 and is still actively supported by member companies of the IPA. At the 35th IPA Annual Convention and Exhibition which was held recently in May 2011, the IPA also donated an "Energy edutainment" movie to the Gawitra Oil and Gas Museum to add to the existing collection of educational movies at the Museum with regard to the origins and use of energy.
Dear IPA Members, we are pleased to convey to you EITI second quarterly report for 2011.
The Indonesian Petroleum Association says there are differing opinions between the Tax Directorate and oil and gas contractors regarding the statement that 13 contractors have underpaid their taxes. The Vice President of the IPA, Sammy Hamzah, stated that this difference of opinion has occurred due to the interpretation of the usage of tax tariffs according to pre-existing treaties as well as the findings of an unfinished audit regarding cost recovery.
Jakarta – With effect from 28th July 2011, Jim Taylor, General Manager of ConocoPhillips Indonesia and previously Vice President of the IPA, will replace Ron Aston and assume his position as the new President of the Indonesian Petroleum Association (IPA). Ron Aston is leaving the country for his new assignment as the new General Manager of Talisman Malaysia Limited.
On July 28, 2011 a gathering was held at the Bimasena Lounge to bid farewell to Pak Ron Aston, the President of the Indonesian Petroleum Association (IPA) who is leaving the country for his new assignment as the General Manager of Talisman Malaysia Limited.
The Executive Agency for Upstream Oil and Gas (BP Migas) stated that the issue of Rp 1.6 trillion in tax arrears of three oil and gas companies from 1991-2008 is caused by the tax treaty and royalties for transfer of ownership of oil and gas working areas.
The Energy sector, particularly oil and gas, is in a dire condition due to the mismanagement of natural resources, when actually as a nation we should be grateful to have such abundant resources. Due to overcomplicated management, crude oil production has consistently missed targets for the last couple of years while in the downstream sector,consumption keeps increasing uncontrollably.
The Executive Agency for Upstream Oil and Gas (BPMIGAS) have requested that the Government Regulation no. 79 of 2010 on Recoverable Operating Costs and Income Tax Treatment in the Oil and Gas Upstream Sector (GR Cost Recovery) should not be applied to existing contracts in order not to disturb the contracts that have been running for a long time, says the BPMIGAS Chairman. The implementation of the policy will affect the return on investment and the legal security of investors.