Source: Adapted from BPMIGAS 2011a. Figure 3.10 Indonesia: Local Content Procurement of Goods and Services, 2006–11 ($ billion) 15.8
37%
11.8 10.8 9.0
8.0 65%
6.6
69%
Services
Goods
60%
63% 72%
2006
82%
28%
18%
2007
2008
40%
35%
31%
2009
2010
2011
Source: Adapted from BPMIGAS 2011a.
As per the classification used in the APDN, 10 segments of goods fall under the mandatory category where at least there exists one Indonesian supplier enjoying a local content plus BMP level of 40 percent. Only two segments of supplies fall under the maximized goods category and the 28 remaining segments fall under empowered goods. Table 3.14 lists the segments of goods by local content category. Table 3.14 Indonesia: APDN Distribution of Goods by Category Mandatory
Casing—Tubing
Wire, Cables, and Accessories
Tubular Goods
Marine and Offshore Installations
Wellhead and X-Mas Tree Accessories
Electric Power Sources
Chemicals
Pumps Centrifugal and Rotary
Valve Fittings
Oil and Oil Products
Maximized
Cementing Equipment and Liner Hanger Systems
Wellhead Equipment and Accessories
Empowered
Boilers and Accessories
Oil and Oil Products
Building Material and Hardware
Paints and Varnishes
Building Material, Metals, and Hardware (Bolts and Nuts)
Plant Elements and Parts
Building Structure and Tanks
Production Well Test and Monitoring Instruments
Casing, Tubing, and Accessories
Pumps, Centrifugal, and Rotary
Cementing Equipment and Liner Hanger Systems
Pumps, Reciprocating
Chemicals
Pumps, Other Types
Compressor and Vacuum Pumps
Switch, Control Gear, and Electrical Instruments
Drilling Tools and Retrievable Production Tools
Transportation
Drilling Machinery, Mud Equipment, and Accessories
Tubular Goods
Fire, Safety, and Environmental Conservation Equipment
Valve Fittings
Jointing (Gaskets), Insulating Materials
Wellhead Equipment and Accessories
Machinery Accessories and Transmissions
Wireline Tool Box and Unit Complete with Power Pack
Marine Offshore and Installations
Wire, Cables, and Accessories
Source: Based on data from DGOG 2011b.
Within each segment, the APDN lists the standards and available local suppliers with their respective characteristics (that is, local content levels, BMP rating) by subproduct type. A snapshot of compressors and vacuum pumps suppliers is provided in Table 3.15. Out of the 97 companies featured in the APDN book of 2011, only 18 companies seem to benefit from BMP appreciation. Of these companies, only one company took the maximum BMP appreciation of 15 percent while most of the remaining companies achieved BMP levels below 6 percent.
94