Utilization and Selling Price of Gas Flaring in Upstream Oil and Gas Business Activities

Last updated: 14 July 2022

The document establishes rules that aim to increase the utilization of gas flaring, reduce the volume of gas flared as well as reduce greenhouse gas emissions resulting from upstream business activities. 

The special task force for upstream oil and gas, SKK Migas, is authorized to sell gas that would otherwise be flared through a bidding mechanism. SKK Migas shall form a Gas Flaring Potential Offering Team consisting of experts in technical, economic, financial, and legal fields. This group evaluates and proposes candidate to SKK Migas. The Minister of Energy and Mineral Resources shall determine the buyer and selling price. 

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