Upstream Oil & Gas Industry continues to commit to empower local entrepreneurs. One concrete example to its commitment is SKK Migas and PSC Contractors of region Java, Bali and Nusa Tenggara (Jabanusa) held an event named Vendor’s Day on 27-28 July 2017 at Batu-Malang, East Java.

In his opening speech, Deputy of Procurement Control of SKK Migas, Djoko Siswanto said that SKK Migas and PSC Contractors are committed to using domestic goods products. On the other hand, he expects the active cooperation of partners in creating quality domestic products, competitive in price, and the ability to deliver on schedule. “This effort will optimize the multiplier effects to Upstream Oil & Gas Industry on the national economy,” Said Djoko on Friday (28/7).

He explained that the whole upstream oil & gas industry is in condition that has a severe challenge; the price of crude oil is not yet stable. This still affects the upstream oil and gas operations. To get around the challenge, goods and services procurement activities are required to increase the level of domestic content (TKDN), and change the pattern of utilization of goods or services from import into local.

VP Supply Chain Management of Kangean Energy Indonesia (KEI), Didi Basuki said this event is very important to share information and maintain relationship with local vendor. “KEI strongly support this event, to be a forum for communication and appreciation of PSC’s to local vendors,” he said.

Vendor’s Day event conducted routinely every year to provide new knowledge to partners of PSC Contractors in the upstream oil and gas goods and services procurement. The outline of the event is divided into two agendas. The first day is for Regulation Sharing Information Forum and Appreciation, and the second day is for Partners Capacity Building Training. This year, partners are given a general presentation regarding the New Regulation of Procurement of Goods and Services Working Guidelines PTK-007 2nd Book Revision 4, Local Content (TKDN) policy, as well as Customs of Petroleum Operations Goods, and Bonded Logistic Center. Subsequently, the partners were given centralized integrated vendor database (CIVD) registration workshop and participated in e-procurement.

The event was attended by approximately 250 local companies from East Java who became partners of eight PSC Contractors in Jabanusa Area namely, Kangean Energy Indonesia, JOB Pertamina-Petrochina East Java, Pertamina EP Cepu, Pertamina Hulu Energi WMO, Petronas Carigali, Santos, Husky-CNOOC Madura Limited, and Lapindo Brantas.

Head of Procurement Management Division of SKK Migas, Erwin Suryadi explained, the basic concept of amendment in PTK 007 revision 4 is to speed-up the tender process, supply chain efficiency and domestic product usage obligation. His side encourages the perpetrators of procurement of goods and services to be more efficient and competitive in order to survive in the current condition of upstream oil and gas industry.

“The joint synergy between supporting industries, PSC Contractors and SKK Migas are needed to answer the Upstream Oil & Gas Industry challenges,” Erwin said.
Manager of National Capacity Empowerment of SKK Migas, Bayu Murbandono re-emphasized the programs together with SKK Migas and PSC Contractors to support domestic product usage obligations. Among them are joint assessment and product test so that PSC Contrantors and supporting industries are confident in the ability of domestic products to support upstream oil and gas operations. According to him, not only in Jabanusa region, similar event to Vendor’s Day will be developed in other upstream oil and gas working areas. “The goal is to achieve and maintain efficiency and benefits in the procurement of goods and services of upstream oil and gas industry,” said Bayu.