The upstream oil and gas regulatory task force (SKK Migas), together with oil and gas contractors (KKKS), have reaffirmed their commitment to supporting the government’s vision of achieving national energy self-sufficiency as can be seen in a new initiative to reassess and rehabilitate community-managed oil wells and optimize the utilization of aging or idle wells across the archipelago.

The move is part of the implementation of the newly issued Energy and Mineral Resources Ministerial Regulation (Permen ESDM) No. 14/2025, which governs cooperative management of oil and gas blocks to increase national production.

“This regulation is a significant breakthrough aimed at accelerating our national oil and gas lifting,” Taufan Marhaendrajana, Deputy for Exploitation at SKK Migas, told a press conference on Friday, July 4, 2025.

“We will soon hold dissemination sessions, including technical implementation guidelines, with all KKKS,” Taufan added.

The program will adopt a collaborative approach, involving local governments, regional-owned enterprises (ROEs), cooperatives, and micro, small and medium enterprises (MSMEs). This synergy is expected to not only boost production but also deliver a positive multiplier effect for local economies.

The momentum aligns with the government's broader push to tap into untapped resources. Earlier this week on Monday, July 1, 2025, Deputy Energy Minister Yuliot Tanjung expressed optimism about community well operations.

”Existing wells managed by local groups can continue operating as long as improvements are made in accordance with sound engineering standards,” he said.

SKK Migas emphasized that operations will uphold good engineering practices, especially for wells traditionally managed by communities. “Sustainability and community welfare are key pillars of this initiative,” Taufan cited.

However, the government expects clear progress. If no significant improvements are made within a four-year transitional period, the Energy Ministry reserves the right to enforce regulatory measures.

To accelerate implementation, the Energy Ministry will also establish a Joint Task Force, with the Minister of Energy serving as Chair of the Downstreaming and Energy Security Acceleration Task Force. The task force will spearhead coordination among stakeholders and monitor execution on the ground.

Further provisions under Permen ESDM No. 14/2025 include operational cooperation and technology transfer schemes. SKK Migas and KKKS are expected to evaluate and adopt appropriate technologies to boost production, especially in underperforming or idle wells.