PRESS RELEASE

Jakarta, Tuesday (December 5, 2023) – The Audit Board of the Republic of Indonesia (BPK) submitted the audit results outlined in the Summary of Audit Results of the First Semester of 2023 (IHPS I 2023). The IHPS I 2023 contains summary of 705 Audit Reports, consisting 681 Financial Audit Reports, 2 Performance Audit Reports, and 22 Special Purpose Audit Reports.

The audit reports disclosed 9.261 audit findings of Rp18,19 trillion, including weaknesses in the internal control system, non-compliance that might result in losses, potential losses and revenue shortages, as well as non-economic, inefficiencies, and ineffectiveness (3E) issues. Based on the audit results, entities have taken corrective actions throughout the auditing process by depositing money and/or handing over assets totalling Rp852,82 billion.

"Optimizing the Government’s follow-up to BPK audit results is a crucial part of maximizing the impact of audits for accountability and transparency mechanisms within the good governance- framework," explained BPK Chair Isma Yatun when handing the IHPS I 2023 in person to the Speaker of House of Representatives in Jakarta today (5/12).

The IHPS I 2023 contains 134 audit reports of the central government, including among others 81 Financial Statements of Line Ministries (LKKL) acquiring Unqualified Opinion and 1 Qualified Opinion, as well as 1 Financial Statement of State General Treasurer (LKBUN) acquiring Unqualified Opinion. Additionally, It also covers 40 financial statements on Foreign Loans and Grants with 33 Unqualified Opinions, 6 Qualified Opinions, and 1 Adverse Opinion. BPK has also audited 542 Financial Statements of Regional Government (LKPD) fiscal year 2022, as well as the financial audit reports for four other agencies fiscal year 2022, namely Bank Indonesia, the Indonesia Deposit Insurance Corporation, and the Hajj Financial Management Agency Audit.

The IHPS also includes two performance audit reports focusing on national priorities of strengthening economic resilience. These performance audits cover the management of coal, natural gas, and renewable energy in the development of electricity sector to ensure the availability, affordability, and sustainability of energy fiscal year 2020 to the first semester of 2022 at the Ministry of Energy and Mineral Resources (ESDM) and the Ministry of Environment and Forestry (LHK).

The audit results found that the Government has prepared a roadmap toward achieving Net Zero Emissions (NZE) by 2060 and has secured local supplies of coal and natural gas. However, there are still issues, such as incomplete mitigation risks associated with the energy transition scenario toward NZE in 2060 and slow progress in the National Electricity Supply Business Plan (RUPTL) project, posing a potential for supply shortages across the majority the national electricity system.

Related to the special purposed audit reports which cover audits on income, costs, and investments in 11 BUMNs or their subsidiaries, some significant issues found. These include the lack of proper risk mitigation and collateral support in the supply of down payments for gas sales and purchase agreements (PJBG). Additionally, according to Regulation of the Ministry of ESDM, PT PLN has not completely implemented special service rates for premium customers.

Public Relations and International Cooperation Bureau