Addin Anugrah Siwi, Celvin Moniaga Sipahutar, Jakarta – President Prabowo Subianto on Wednesday issued a stern ultimatum to government officials and regulators, demanding an overhaul of Indonesia's energy bureaucracy to fast-track investment and achieve energy self-sufficiency.
Speaking at the 49th Indonesian Petroleum Association (IPA) Convention and Exhibition, Prabowo pledged to simplify regulations and remove any officials who obstruct progress.
"I repeat: simplify the regulations. Those who refuse will be replaced," Prabowo told a packed audience at ICE BSD City. "We have to change the mindset that says: 'Why make it simple if we can make it difficult?' That has no place in this Republic."
Prabowo's fiery remarks come as Indonesia grapples with soaring energy import costs, which he said drain nearly $40 billion, or Rp 654 trillion, from the national budget annually. The president said these funds should instead support education, healthcare, and poverty alleviation.
"We're losing too much by relying on imports. Our money should be helping our people," he said. "Energy and food security are the foundation of true national sovereignty."
To accelerate domestic energy production, Prabowo touted the launch of two new oil and gas fields, Forel and Terubuk in Natun, run entirely by Indonesian workers. The sites currently yield 20,000 barrels of oil and 60 million standard cubic feet of gas per day, a step toward energy independence.
"Last week, I inaugurated production at these fields, and it's 100 percent driven by our people," he said. "It's not just a technical milestone, but a national one."
The president also introduced Daya Anagata Nusantara (Danantara), the country's newly minted sovereign investment fund, as a strategic vehicle to finance low-emission energy projects such as carbon capture and storage (CCS). Danantara will collaborate with global partners to back clean energy initiatives and drive Indonesia's energy transition.
"Danantara will invest productively with international partners to meet national energy needs," Prabowo said.
Energy and Mineral Resources Minister Bahlil Lahadalia echoed Prabowo's firm tone. He pledged to take action against both private and state-owned firms that fail to develop their oil and gas working areas, citing 27 underutilized blocks with massive untapped potential.
"Even state enterprises won't be spared if they're slowing us down," Bahlil said. "If fields go undeveloped for five years, the law allows us to revoke them, and we will."
To boost production, the government aims to raise national oil production to 1 million barrels per day by 2030. Indonesia currently imports about that amount, placing enormous pressure on its trade balance.
As part of a medium-term strategy, the government plans to auction 60 new working areas over the next two to three years in an effort to attract more foreign and domestic investment.
With this aggressive push, Prabowo hopes to turn Indonesia from a heavy energy importer into a competitive, self-reliant producer, if the bureaucracy doesn't stand in the way.
"We need quick results for the people," Prabowo said. "If old mindsets resist, there are many young professionals ready to take over."