Faisal Urges Govt to Reform Pertamina`s Board of Directors

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  • TEMPO.CO, Jakarta - Faisal Basri, the former chief of oil and gas governance reform team, said that Pertamina has yet conducted a full reform in its internal organization to create a transparent oil and gas management. Faisal suggested the government to reform Pertamina’s board of directors.

    “[Pertamina’s] board of directors should be reformed,” Faisal said in a discussion held in Jakarta on Sunday, May 17, 2015.

    Faisal added that Pertamina’s performance is yet satisfactory since the company increased the non-subsidized fuel on May 14, 2015 without consulting the Energy and Mineral Resources (ESDM) Ministry. Faisal viewed the plan as a blunder that would cause consumers to shift from non-subsidized fuel to subsidized one. Faisal added that consumers might turn to foreign gas stations, such as Total or Shell.

    Faisal revealed that he was not particularly satisfied with the fact that Pertamina’s Integrated Supply Chain (ISC) is still operating under Senior Vice President. Maintaining the ISC’s current status, Faisal said, means providing an access for rent seekers to oil imports.

    Faisal added that Pertamina has yet reformed the ISC officials who previously worked at Petral. Faisal also expressed disappointment when people who allegedly took advantage of Pertamina Energy Services are now working as internal supervisors of the company.

    Energy and Mineral Resources Minister Soedirman Said shortstopped to respond Faisal’s statement. Soedirman only highlighted Pertamina’s decision that was not in accordance with the Constitutional Court’s ruling banning the fuel price to be floated to market mechanisms.

    “In the future, Pertamina must report its plan to increase non-subsidized fuel prices to the Ministry,” Soedirman said.

    ROBBY IRFANY