The annual Indonesian Petroleum Association (IPA) Convention and Exhibition (Convex) has returned with a strong appeal to enhance Indonesia’s competitiveness in the oil and gas industry to win back the investment of global oil and gas companies.

“Efforts to re-enhance our competitive edge in the upstream oil and gas sector at the global level is something that stakeholders in this sector have to do,” said the association in a press release. This has partly driven the IPA to address the theme, “Driving Indonesia’s Oil and Gas Global Competitiveness.”

The IPA’s 42nd Convex kicks off today at the Jakarta Convention Center and will run until May 4, 2018.

The condition of Indonesia’s upstream oil and gas sector, especially with the increasingly tight competition in global oil and gas investment is the major reason behind addressing the theme, according to IPA president Ronald Gunawan.

State-owned oil and gas company Pertamina former director Ari Soemarno previously warned that the minimal investment and the decline in the country’s oil and gas production volume could lead to Indonesia being trapped in a prolonged energy crisis.

“This has been considered an ‘investment emergency’, especially in the oil and gas sector. We have been a net oil importer since 2003. Domestic gas consumption continues to go up with an average growth of 9 percent per year. If investment does not increase and no additional oil and gas reserves are found, we will be an oil and gas importer in 2024,” he warned.

IPA Convex 2018 features three plenary sessions and one special session, with a number of speakers from both the home country and abroad expected to share their insights into the oil and gas-related issue from different perspectives.

Prior to the plenary session, IPA Convex 2018 will see several CEOs of oil and gas companies sharing their views in a CEO Forum, themed “The New Paradigm of Working in Oil and Gas”. They include Mubadala Petroleum CEO Dr. Bakheet Al Katheeri, KUFPEC CEO Shaikh Nawaf S. Sl-Sabah, MedcoEnergi CEO Roberto Lorato, Petronas EVP and upstream CEO Datuk M. Anuar Taib and Pertamina upstream director Samsyu Alam.

The first session of the first day will focus on a topic, “Mapping Global Oil and Gas Investment Competitiveness”. The discussion will refer to the results of the “Global Petroleum Survey 2017” conducted by the Fraser Institute, as well as Wood Mackenzie’s data. One of the critical points is how several oil producing countries have continued to be an investment magnet, while several others, including Indonesia, are becoming less attractive as an oil and gas exploration investment destination.

“Through this forum, we will discuss the challenges and opportunities that can make Indonesia become more competitive to attract investment from the global oil and gas industry,” the association says.

Energy and Mineral Resources Minister Ignatius Jonan is scheduled to give his keynote speech. Key points to be presented include efforts by the government to stimulate the investment climate.

Speakers will include Fred McMahon, walker chair of economic freedom research at the Fraser Institute, who will discuss the factors for investors to invest in a country; Raymond E. Jones, vice president for Asia-Pacific & established areas at ExxonMobil Production Company, who will also talk about the factors for investors to invest in a country.

Charles Taylor, an IPA directors, will highlight efforts that need to be improved in the national oil and gas industry from the business side.

Plenary Session 2 will address the topic, “How Countries Maintain and Improve their Global Oil and Gas Investment Competitiveness”. One of the critical points in this session is the importance of reform in the oil and gas sector and improvements in the governance of the sector in efforts to maintain the investment climate.

Speakers will include Deputy Energy and Mineral Resources Minister Arcandra Tahar, who will provide a view on fiscal reforms to improve or change the level of competitiveness of the oil and gas industry.

Eng. Tarek El-Molla, the Egyptian Minister of Petroleum and Mineral Resources will discuss History and Achievements of the Modernization of the Egyptian Oil and Gas Industry.

Muhammad Zamri Jusoh, vice president of Malaysia petroleum management at Petronas will talk about “Structure and Role of the Regulator in Increasing Investment through Technology, both in Conventional and Non-Conventional Oil and Gas Businesses” and Franco Polo, Eni’s executive vice president for Asia-Pacific & Iraq will focus on Geopolitics of Global Oil and Gas: ENI’s Strategy in Investing in Asia-Pacific.

Plenary session 3 will address the topic, “Aligning Policies to Achieve Indonesia’s Energy Plan”. The topic refers to a 2018 ReforMiner Institute study, which identifies three issues that have always remained and have yet to be resolved completely: (1) uncertainty of legal aspects/rules of the game, (2) uncertainty of fiscal matters relating to economic factors and (3) complex and complicated bureaucracy/permits/administration.

Through the forum, it is expected that a joint solution can be identified to stimulate the oil and gas sector in the country and bring back the global oil and gas companies to invest in Indonesia, according to the association.

Speakers will include Satya W. Yudha, deputy chairman of the House of Representatives’ Commission VII; Djoko Siswanto, oil and gas director general of the Energy and Mineral Resources Ministry; Amien Sunaryadi, chairman of the Upstream Oil and Gas Regulatory Special Task Force (SKKMigas) and Ronald Gunawan, IPA president.

Meanwhile, the special session will address the topic, “Improving Indonesia’s Gas Business from Upstream to Downstream”. The discussion refers to the finding that the discovery of oil and gas reserves in Indonesia is now shifting from crude oil to natural gas.

Speakers will include Parulian Sihotang, deputy chairman for finance and monetization at SKKMigas; Komaidi Notonegoro, executive director of Reforminer Institute; Jobi Triananda Hasjim, director of PT Perusahaan Gas Negara (PGN); Achmad Safiun, chairman of Forum Industri Pengguna Gas Bumi (FIPGB) and Kevin Moore, IPA board of directors.

IPA Convex 2018 chairperson Novie Hernawati said the optimism about the increase in the competitiveness in the upstream oil and gas industry in Indonesia had raised awareness among the industry’s players about the need to be more creative, innovative and competitive. “In this year’s IPA Convex event, we will try to reflect efforts by the industry to face the existing challenges in order to enhance Indonesia’s oil and gas competitiveness at the global level, by adopting a range of innovations and technology in the existing oil and gas exploration and production activities,” she said.

She said that this year’s IPA Convex would also feature a technology session in which four technology topics would be discussed: “Governments on Innovation of New Technology Improvement”; “Impact of Digital Internet of Things in Upstream Oil and Gas”; “New Business Model in Gross Split System” and “Technology for Decommissioning.”

IPA Convex 2018 is bringing together 1,800 convention delegates and 105 exhibiting companies. At least 25,000 visitors are expected to attend the three-day event.