Indonesian Petroleum Industry and Development: A Centennial Survey and Future Prospects (original) (raw)
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NEW NORMAL FOR OIL AND GAS AND ENERGY INDUSTRY IN INDONESIA: PRELIMINARY STUDY
The pandemic of Covid 19 has bring huge global impacts for almost all industries including oil and gas. Lockdowns from countries around the world is decreasing energy demand and create oversupply of oil and gas products. The oversupply condition has forced oil and gas companies to either slow down or even stop their production which has impacted both the production in both upstream and downstream operation. The objective of this paper is to share a prediction of new normal post Covid 19 for oil and gas industry in Indonesia. The price crash of oil and gas products during the global pandemic also push oil and gas companies to change their line of business from traditional hydrocarbon-based company into integrated energy company. The government from countries around the world including Indonesia is attentively focused on managing the COVID-19 pandemic and reducing its impact thus temporarily leave behind the subject of energy transition. Nonetheless, the climate and environment debate is unlikely to go away. Innovations that have lowered wind, solar and battery costs will continue and decarbonization will remain a necessity for the industry. The research methodology in this paper using literatur review and the sector that being analyze such as power generation, industry, transport and building sector. As result of study, it is predicted that energy transitions and decarbonization can even be accelerated by the current crisis.
2019
Indonesia is a country that is rich in natural resources, such as oil, gas, and coal. The three sectors of that mining are also highly demanded in this country. It is the reason why there are many companies want to do mining activities. Law of The Republic of Indonesia No.4/2009 concerning Mineral and Coal Mining has stipulated that natural resource wealth must be optimized for the greatest benefit of the people's prosperity, in line with the substance of Article 33 of the 1945 Constitution. Related to this, Islam also regulates everything aspects of human life, one of which is how our ethics towards the environment such as maintaining resources to remain sustainable by utilizing effectively and efficiently and not causing damage on this earth. Although the government has the right to regulate the company to do Environmental Impact Assessment (AMDAL) and Corporate Social Responsibility (CSR), the control is not strict enough for the mining companies to do the activities. Therefo...
Oil price and Indonesian economic growth
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Oil prices and economic growth are important indicators to see the success of Indonesia’s development performance. The use of oil as the world’s main energy source in general and Indonesia in particular is driven by industrialization. The more industries, the greater the energy resources needed. In the same context, economic growth will also increase oil demand. The purpose of this study is to examine and create empirical evidence of the relationship between world oil prices and economic growth towards domestic oil prices. Furthermore, to test and create empirical evidence on the relationship of domestic oil prices, agriculture, trade, investment, inflation, interest rates, industry, labor, exchange rates and balance of payments to economic growth. The expected output of this research will be to provide information on the policy of the transmission mechanism of oil prices and economic growth in Indonesia. The method used is descriptive and econometric approach to the analysis of sim...
CERN European Organization for Nuclear Research - Zenodo, 2022
The paper aims to investigate the relationship between oil consumption and economic growth by including several variables namely capital, population and export in Indonesia using annual data for the period 1965-2021. Granger causality employed to determine the direction of causal relationship between the variables where the result can illustrate the ability of the country in reducing the energy consumption and the impact on economic growth. The study note the variable are stationer at first difference and two cointegration exists between the variables. In the short-run, capital has positive influence oil consumption for one and two lag. GDP and export negatively influence to oil consumption with maximum 2 lag period. In the long-run, capital and export oppositely influence oil consumption. The result of Granger causality supports the presence of conservation hypothesis between GDP and oil, GDP and export as well as GDP and capital. Feedback hypothesis confirms between oil consumption and export and oil consumption and population. The neutrality hypothesis exists between capital and oil consumption. Therefore, it can be concluded that the economic growth of Indonesia does not depend on the level of oil consumption. It implies that Indonesia government may impose energy conservation policy particularly oil without fear of negatively affecting economic growth.
International Journal of Scientific & Technology Research, 2016
Oil and gas production in Indonesia has been declined since 1995 up to now, the effort to increase the production has been done but it does not result yet. In contrast, day by day the investment is getting increased and huge; on the other hands, it becomes a problem and a challenge for Indonesia to meet oil needs as raw material for refined fuel oil either for transportation or industries. Day by day the needs of refined fuel oil is getting increased and huge as it is correlated to the increasing of the number of motorcycles either two-wheeled or four-wheeled as well as the increasing of oil and gas or non-oil and gas industries. Oil and natural industry (Resource Base) has specific characteristics those are internal factor that uses resource such as high technology, huge investment/ cost, as well as competent human resources. Besides, the external factor those are good regulations either in the central and regional levels as well as the sector which is very important toward the pro...