Jakarta: Coordinating Minister for Maritime and Investment Luhut Binsar Pandjaitan is optimistic PT Tuban Petrochemical Industries can become a state-owned enterprise in the near future.
The company is currently managed by state energy giant PT Pertamina. It is a holding company of Trans Pacific Petrochemical Indotama (TPPI), Petro Oxo Nusantara (PON) and Polytama Propindo.
"We have submitted the proposal so it can be a state-owned enterprise," the former presidential chief of staff said here on Wednesday, October 30, 2019.
According to Luhut, the company can help support the development of B30 and B100 biodiesel products. In addition, it also can help reduce the country's oil and gas imports.
"The products produced by the company can replace similar products imported from other countries," he explained.
Tuban Petro was established by the Indonesian Bank Restructuring Agency (BPPN). The government recently increase its share in the company from 70 percent to 95.9 percent.