PENGELOLAAN PARTICIPATING INTEREST 10% (SEPULUH PERSEN) DALAM RANGKA MENINGKATKAN KESEJAHTERAAN DI KABUPATEN SIAK

Abstract

One of the strategic issues in managing the upstream oil and gas sector in Indonesia is
the obligation to bid Participating interest of 10% (ten percent) by the KKKS managing an Oil
and Gas Working Area to the Regional Owned Enterprise (BUMD) at the operational location.
involvement of regional governments in the form of responsibility for giving appointments to
BUMDs or regional companies in order to obtain 10% PI management which is expected to
be able to provide profits or profits that will increase regional income for the welfare of local
communities. Apart from that, it is hoped that it will be able to provide knowledge and
experience of cooperation for BUMDs in managing oil and gas working areas as a contractor.
The type of research in this thesis uses sociological legal research, namely research on
the effectiveness of law in society. The nature of this thesis research is research descriptive
which systematically describes the facts and characteristics of the object being studied
accurately. The data collection technique in this research is the interview method and literature
review, then after the data is collected it is then analyzed to draw conclusions.
Management Participating Interest 10% (Ten Percent) in the context of improving
community welfare in accordance with the mandate in the Minister of Energy and Mineral
Resources Regulation (Permen) Number 37 of 2016 concerning Provisions for 10% (Ten
Percent) Participating Interest Offerings in Oil and Gas Working Areas. PT Riau Petroleum
manages four 10% PIs from four oil and gas blocks by forming subsidiaries, namely PT Riau
Petroleum Siak, PT Riau Petroleum Kampar, PT Riau Petroleum Mahato, and PT Riau
Petroleum Rokan, the Riau Provincial Government gets the largest share with a portion of
50%, while the remainder is divided among the five districts, according to the amount of oil
and gas reserves in each region which has been calculated by a third party professionally.
Utilization of Participating Interest 10% (Ten Percent) in the Context of Improving Welfare,
among others, Siak BUMD can use the profits from the 10% PI to increase Regional Original
Income. Siak BUMD can use some of the profits from the 10% PI to finance community
empowerment programs, such as skills training, business capital assistance, and village
infrastructure development. Improving the Quality of Education. Siak BUMD can use some of
the profits from the 10% PI to finance programs to improve the quality of education, such as
building schools, providing scholarships, and training teachers.

Keywords: Participating interest, Petroleum, Government