The Role of the Management of Oil and Gas in Indonesian Borders

Abstract

The aim of this paper is to analysis the role of the State to secure the interests of the State in the management of oil and gas in the border of Indonesia. The applied methodology was literature study to collect some reading and reviewing written documents. The data then were analyzed through qualitative descriptive analysis. The result of the discussion indicates that in accordance with the mandate of the 1945 Constitution that the role and responsibility of the State in the management of oil and gas in the border of ​​Indonesia should be oriented to the prosperity of the people of Indonesia. However, it is not yet optimal because the Law No. 22 of 2001 concerning Oil and Gas is very liberal which is more profitable to foreign investors than the national interest of Indonesia. Therefore, it is important for the Indonesian government to revise the Law No. 22 of 2001 concerning Oil and Gas for the sake of Indonesian benefits as a state and for sake of the greatest possible prosperity of Indonesian people as stipulated by the 1945 Constitution of Indonesia.

Keywords: Role of State; Management of oil and gas; Indonesian border.