Highly Committed to Move Domestic Industry, Pertamina is the Only State-Owned Enterprise to Receive TKDN Award from BPPT
Jakarta, August 19, 2021 - PT Pertamina (Persero)'s commitment to driving the national industry through involving domestic entrepreneurs is gaining the Government's trust. It was marked by the award given by the Agency for the Assessment and Application of Technology (BPPT) to Pertamina for its commitment to implementing the Domestic Component Level (TKDN) for the SOE category.
Pertamina's TKDN commitment in the next 5 (five) years since 2020, through an investment plan worth USD92 billion spread across all business lines, is projected to absorb TKDN reaching 50 percent by 2024. The optimism of the TKDN projection refers to the realization that has been achieved in 2020, which is more than 55 percent, and Semester 1 2021 reaching more than 57 percent.
The high projection and realization are due to the implementation of TKDN, which is applied in the entire procurement process starting from the planning stage, then monitoring and evaluation are carried out.
The award was announced virtually at the BPPT Technology Service Center (Pusyantek) Business Gathering event on Wednesday, August 18, 2021, was received by the Director of Logistics & Infrastructure of Pertamina, Mulyono.
Mulyono said that Pertamina embraced this award as a blessing, a mandate, as well as a responsibility.
"This is a trust and a responsibility. Hopefully, this award will advance, motivate, encourage Pertamina to increase TKDN in all projects. As a state-owned enterprise, Pertamina continues to increase the use of domestic products following applicable regulations to become a driving force for the national economy," he said.
To ensure the implementation of TKDN, Pertamina establishes STK (Governance System) that must be carried out in all Subholdings. Pertamina also has a Roadmap and Key Performance Indicators for the Board of Directors. Furthermore, Pertamina also guides providers of goods and services accompanied by BPPT. Implementation monitoring is also carried out consistently, and at the end of the project, verification is carried out by an independent surveyor.
"From the beginning of the planning, the TKDN content has been set at least 30 percent. We hope that in the future, of course, we can increase the domestic component," he added.
For example, the implementation of TKDN in the Balikpapan RDMP project, continued Mulyono, the value of the domestic component is more than 34 percent or around IDR 7.11 trillion of the total IDR 20 trillion. In addition, the number of workers as many as 8,227 people or 98% are domestic workers. Similarly, the refinery's routine maintenance (turn around) is carried out entirely by Indonesian contractors. Although some goods are still imported, in the future, Pertamina will coordinate with the Coordinating Ministry for Maritime Affairs, the Ministry of Industry, BPPT, BKPM, Krakatau Steel, and industry associations to assist so that products can be produced in Indonesia. Thus, the domestic industry can grow and develop together with the company.
"Hopefully, Pertamina can become a role model, can be an example of BUMN that consistently applies TKDN in all its activities," said Mulyono.
During the event, the Head of BPPT, Hamman Riza, explained that BPPT was actively involved in the National Team for Increasing the Use of Domestic Products (P3DN), especially in the Monitoring Working Group (Pojka). This Working Group is tasked with monitoring national strategic projects and coordinating between Ministries/Agencies and Business Entities regarding the implementation of P3DN.
"The role of BPPT in increasing TKDN for the strategic oil and gas sector includes collaborating with Pertamina in the study and application of technology to support Pertamina's transformation into the energy industry," said Hamman.
This award is a form of appreciation for all BPPT partners highly committed to implementing the TKDN program consisting of private partners, SOE, and Government Agencies.**