Blora Regency Government Continues to Fight for Justice for Cepu Block Oil and Gas DBH

INFOKU, BLORA –continues to make effortsto fight for justice in the distribution of Oil and Gas (Migas) Revenue Sharing Funds (DBH) for the Cepu Block, Wednesday (2/10/2024). 

Acting Regent of Blora, Tri Yuli Setyowati, along with the ranks of the Blora district government attended an invitation to the Ministry of Home Affairs to discuss the proportion of DBH revenue sharing for Blora.

The meeting was led by the Director of Regional Debt Transfer and Financing Facilitation, Sumule Tumbo, and attended by representatives from the Ministry of Finance, the Ministry of Energy and Mineral Resources, and the Financial and Development Supervisory Agency (BPKP).

The discussion focused on the efforts of the Blora Regency Government to obtain justice in the distribution of DBH as pioneered by the Blora Regent by referring to the regulations regarding Financial Relations between the Central and Regional Governments (HKPD).

Also read: Blora Regent Djoko Nugroho Complains to the President,  Wants Justice for Cepu Block Oil and Gas DBH

The Blora Regency Government highlighted Blora's strategic position as a region directly bordering the oil and gas producing area in Bojonegoro, as well as the risk of negative externalities faced by Blora as a region close to oil and gas exploration locations.

This is the fifth time that the Blora Regency Government has held an audience and discussion with related ministries to find a solution regarding the distribution of DBH.

One of the bases is Article 12 of Government Regulation Number 37 of 2023 which states that the allocation for districts/cities directly bordering oil and gas producing areas is calculated based on the level of negative externalities experienced.

Closest Distance

Gunawan HS, an oil and gas practitioner from Blora, said that Blora Regency has the closest border distance to the oil and gas management area in Bojonegoro, compared to other areas in East Java such as Tuban, Lamongan, Nganjuk, Jombang, Madiun and Ngawi.

Also read: Disappointed at Not Getting DBH, Blora Regent Arief Rohman Visits the Ministry of Energy and Mineral Resources

"This risk is directly proportional to the length and proximity of the border to the wellhead, which of course has an impact on Blora in the form of negative externalities, such as air pollution and reduced water volume in the Bengawan Solo River," he said.

Meanwhile, Imam Djoko from the Ministry of Finance stated that regarding negative externalities, his party had conveyed this to Bappenas to be coordinated with the relevant ministries.

The Ministry of Finance will formulate the distribution, but technical data regarding distance and negative externalities will be handled by the relevant ministries," explained Imam.

"What we need to start with is who will take the lead in providing the data, then when this data is available it must be verified and validated by the ministry/institution," he added.

Also read: Blora Will Receive IDR 300 Billion, Starting with Submission of Oil and Gas DBH Calculation Letter

BPKP

The BPKP Director also added that calculations related to negative externalities require an active role from the Ministry of Environment in collecting and verifying relevant data.

"What we are concerned about is the calculation of negative externalities. Actually, this is directed at the Ministry of Environment. Also later for the determination of freer variables related to distance and others, it is important to involve the Ministry of Environment," he said.

Also read: Predictions Missed, 2023 Oil and Gas DBH for Blora Only IDR 160 Billion

In closing, Sumule Tumbo emphasized that further coordination meetings will be held with related ministries to ensure the data and variables used in determining the percentage of DBH Migas for Blora Regency. (Setyorini) 

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