Govt to Set Up Sanction Mechanism on B20 Implementation

The government is setting up a mechanism of sanctions for companies that fail to meet their commitment on implementing the expanded B20 mandatory program. There will be various sanctions from fine of Rp6.000 per liter to revocation of permits. The government enacted the sanction rule as derivative regulation of Presidential Regulation No 68 year 2018 that signed by President Joko Widodo. The mechanism of sanctions begins with an administrative verification measure followed by on-site inspection. The sanction will be imposed based on the result of the verification. “We are elaborating the mechanism. We will conduct administrative verification and also on-site inspection if needed,” Rida Mulyana, Director General of New Energy, Renewable & Energy Conservation said, Friday (28/9/2018) as quoted by Katadata. The sanction mechanism is set up by a team of officials from various institutions, including Djoko Siswanto, the Director General of Oil and Gas, representing Ministry of Energy and Mineral Resources; Montty Girianna, the Deputy Coordinating Minister for Energy Management, Natural Resources and Environment, representing Economic Coordinating Ministry. ***