Indonesia is Opec’s only member in the Asia-Pacific region, as well as its only net importer of crude. The country has failed to tap new fields fast enough, and so has been unable to offset declining production at its older wells.

BPMigas oversees oil and gas companies operating in Indonesia, including foreign-based players such as France's Total , Britain's BP and Chevron.

Some foreign companies, including oil companies, say Indonesia needs to cut bureaucracy and graft in order to attract much-needed investment in its energy sector and infrastructure.

"If we want to boost production that is related to how the administration process is. I will cut the long process to help quick development in the production," Priyono told reporters after he was sworn in as the new head of BPMigas.

Priyono, 51, has replaced Kardaya Warnika, who was appointed in 2005 and who has been criticised by members of parliament because of the oil sector's poor performance.

Mines and Energy Minister Purnomo Yusgiantoro also urged Priyono to tackle bureaucracy at the agency and reverse a decline in oil production.

"We do not have much time. The main duty of the new BPMigas chief is to boost Indonesia's oil production, although it is not easy," Purnomo said at the swearing-in ceremony.

"I don't want to hear again about the slow process in future."

Indonesia's oil production has fallen since the 1990s when it produced 1.3 million barrels per day. The country has been offering new exploration rights and financial incentives for oilfields in a bid to stem a steady decline in production.

Indonesia is expected to produce 981,000 barrels per day of crude oil and condensate in April, compared with 986,000 bpd in March, Reuters reported.

Published: 29 April 2008 06:54 GMT  | Last updated: 29 April 2008 06:54 GMT