Jakarta, Indonesia Sentinel — Indonesia’s Attorney General’s Office (Kejagung) is currently investigating allegations of corruption within the Directorate General of Oil and Gas (Ditjen Migas) at the Ministry of Energy and Mineral Resources (ESDM).
The investigation focuses on suspected corruptions in the management of crude oil and refinery products involving state-owned oil company PT Pertamina (Persero), its subsidiaries, and private contractors between 2018 and 2023. As part of the investigations, Kejagung officials conducted a raid at the Ditjen Migas office.
The raid took place on Monday (February 10) at 11:00 a.m. local time at the Ditjen Migas office on Jalan Rasuna Said, South Jakarta. Attorney General’s Office spokesperson Harli Siregar confirmed that investigators searched three offices within the agency.
“The first was the directorate of upstream business development, the second was the directorate of downstream business development, and the third was the secretary of the Directorate General of Oil and Gas,” Harli said, as reported by Detik.
During the raid, authorities seized several pieces of evidence, including documents, mobile phones, and a laptop. “In the search of the three rooms, investigators from the Special Crimes Directorate (Jampidsus) found five boxes of documents, 15 mobile phones, a laptop, and an empty soft file,” Harli added.
Investigation Underway
Prior to the raid, Kejagung had questioned at least 70 individuals in connection with the alleged corruption case. The investigation aims to gather witness statements and evidence regarding the suspected mismanagement of Indonesia’s oil and gas resources.
“To date, investigators have collected testimony from 70 witnesses and have conducted examinations,” Harli stated during a press briefing on Monday, February 10 as reported by Tribunnews. “One expert specializing in state finances has also provided information,” he added.
The corruption case involving the Ministry of ESDM remains in the preliminary investigation phase, meaning further developments are possible. Authorities are working to identify those responsible for the alleged misconduct.
“This process is aimed at shedding light on the alleged crime and identifying the suspects or perpetrators,” Harli emphasized.
Allegations of Corruption
According to CNN Indonesia, the investigation stems from Ministerial Regulation No. 42 of 2018, which prioritizes the use of domestically produced crude oil to meet national demand. The regulation required Pertamina to purchase locally produced oil from private contractors, known as Cooperation Contract Contractors (KKKS), but this mandate was reportedly ignored.
“If Pertamina rejected the offer, that rejection could then be used to request an export recommendation, a prerequisite for obtaining an export permit,” Harli explained.
However, instead of adhering to the regulation, KKKS contractors and Pertamina’s Integrated Supply Chain (ISC) division allegedly bypassed the procurement process.
“This is where the alleged violation occurred,” Harli said. “Crude oil and condensate designated for domestic use were exported under the pretext of reduced refinery capacity due to the COVID-19 pandemic.”
Rather than prioritizing domestic refineries, Pertamina allegedly opted to import crude oil, while KKKS contractors exported Indonesian crude at the same time.
“At the same time, Pertamina continued to import crude oil to meet refinery intake needs. This practice of selling state-owned crude oil (MMKBN) led to a situation where crude oil that could have been processed domestically was replaced with imports,” Harli explained.
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Ministry Response
The Ministry of Energy and Mineral Resources (ESDM) has responded to the Kejagung raid at the Ditjen Migas, stating that it respects the legal process regarding the corruption investigations,.
“The Ministry of Energy and Mineral Resources respects all law enforcement processes conducted in accordance with applicable regulations,” said Chrisnawan Andity, Acting Head of the Ministry’s Public Communications, Information Services, and Cooperation Bureau (KLIK), in an official statement on Monday.
He confirmed that the Attorney General’s Office visit to the Directorate General of Oil and Gas was part of efforts to collect relevant data and documents. “We respect Kejagung actions and will fully cooperate, upholding the principle of presumption of innocence,” Chrisnawan added.
(Raidi/Agung)
