Advancing Indonesia’s Oil and Gas Sector: Pathways to Resilience and Sustainable Growth

Indonesia’s oil and gas industry stands at a critical juncture, as the nation sets two ambitions: energy self-sufficiency and downstream industrialization. Key leaders and investors face the task of transforming the sector into a competitive, investment-ready industry—despite operational challenges and the need for value chain revitalization. YCP’s latest white paper, “Advancing Indonesia’s Oil and Gas Sector: Pathways to Resilience and Sustainable Growth,” lays out a roadmap to addressing these barriers and unlocking transformative opportunities.

Indonesia’s oil and gas sector continues to grow at approximately 4%, even as GDP contribution declines from 2.76% to 2.38%. However, certain challenges remain: domestic crude production falls behind refinery demand, aging assets limit efficiency, and low-complexity refineries lead to less value capture. At the policy level, regulatory certainty and fiscal incentives need strengthening to build investor confidence. 

Drawing on data and case analysis, this white paper outlines how Indonesia can revitalize its oil and gas value chain through asset modernization, an attractive investment environment, and policy reforms that support growth.

Key insights from the report include:

• An overview of Indonesia’s oil and gas sector: A look at upstream, midstream, and downstream activities, including refinery capabilities and sector dynamics.
• Pathways to capital: Insights into global investor priorities, including business model flexibility and competitive fiscal frameworks.
• A framework for strengthening competitiveness across the sector: Strategies for tailored contracts, governance and procedural improvements, infrastructure resilience, and ESG alignment.

Download the full white paper to access detailed data, sector insights, and YCP’s blueprint for revitalizing Indonesia’s oil and gas industry.