The Social Impact and Enviromental Risks of Public Oil Mining in Musi Banyuasin Regency South Sumatera Province

Sociology Study Program, Faculty of Social Political Sciences Universitas Sriwijaya

^* Corresponding author: marius_mulyanto@yahoo.co.id

Abstract

The oil mining was firstly performed in Musi Banyuasin Regency by the end of the 1990s as performed by the people on old wells of Standard Vacuum Oil Company which was no longer engaged in oil production activities. The crude oil is then refined into gasoline (premium), kerosene and gas oil (solar). Due to the increasing oil mining activities, the local government of Musi Banyuasin Regency stipulated a Local Regulation No.27 of 2006 concerning the sale of public oil mining products. In this local regulation, people are only paid for their work drawing out the crude oil, which is valued at a low price and is not suited with the workload. Since then, the people have not only performed mining for crude oil from old wells, but also by performing their own mining activities, especially for the mining field with a depth of 100 - 200 meters. The result is that the crude oil trade in the Musi Banyuasin Regency is increasingly widespread, either for the crude or distilled oil. This study aimed to describe, analyze and interpret social impact, environmental risks and multiplier effect of illegal public oil mining. This study used the paradigm of critical theory. The results showed there are some social impacts on people's lives in the mining and refinery sites. The positive impact is the shift of livelihood activities, from rubber farmers to oil miners, both as investors, traders, workers and oil takers, so that the multiplier effect of this activity is highly perceived by the community in their lives. The negative impact is the polarization in the life of society, such as gambling, drug distribution, red-light district and environmental degradation due to oil spills and distillation.