Kotabaru DPRD urge clarity on oil and gas revenue sharing

Kotabaru, S Kalimantan (ANTARA) - Kotabaru Legislative Council (DPRD) urged clarity of profit sharing on the Sebuku Block's oil and gas exploitation on Larilarian Island before being included in the district 2021 draft of APBD (local budget) discussion.

Speaker of the DPRD Syairi Mukhlis said it was related to the effort to increase revenue in APBD, especially in the midst of the COVID-19 pandemic which resultedin limited regional financial capacity.

"There has been a meeting with the latest development regarding profit sharing. We are represented by Deputy Regent Burhanuddin and a provincial representative from South Kalimantan DPRD Syafruddin," said Syairi, Friday.

According to him, all terms and conditions in determining the profit-sharing with the concept of PI (participation interest)  have been fulfilled. Now it is in the process at the provincial government level, because it has to go through the provincial government-owned enterprise (BUMD).  

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The PDIP politician hoped, there has been clarity on the potential for profit sharing that Kotabaru will get, so it can be included in the joint discussion of legislative and executive on the preparation of the 2021 APBD.

"We hope it will be completed before the 2021 APBD discussion, so it can be included, at least in October 2020," Syairi pointed out.

But Syairi reminded, in order to avoid problems in the future, the decision to include the profit-sharing in the draft of APBD should wait for a decree from the Ministry of Finance to have a legal force.

"Don't be based on the assumption of the government working unit (SKPD), as has happened before, then it will become biased and cause the problems such as the imaginary APBD," Syairi concluded.