Nurul Fitri Ramadhani, Jakarta – The Indonesian Military (TNI) has finished a major part of an initial project to construct the 4,325 kilometer trans-Papua highway in the country's easternmost region.

TNI spokesman Col. Berlin Germany said on Monday that the Army's Engineering Directorate (Zeni) had been opening up areas to construct a 278.6-kilometer road that would link Wamena in Jayawijaya regency to Mumugu in Asmat regency.

The military has been assigned to help the Public Works and Public Housing Ministry to start the government's grand road project by clearing land, in which the ministry and state-run construction firm PT Wijaya Karya (WIKA) are on duty to apply asphalt for the road's construction.

The engineering battalion has deployed 394 officers, including from its combat engineering detachment (Denzipur), Engineering Construction Battalion (Yon Zikon), with a target of assisting 278.6 kilometers of the road's construction by the end of year.

As of December last year, they have completed 169 kilometers. "We target to finish the work by 2018," Berlin said, as he went on to say that the 278,6-kilometer project would pass through 40 rivers, 32 of which had yet to have bridges.

In addition to the road project, the military also plan to build two piers in Mumugu and Batas Batu, which can accommodate ships with a capacity of 300 tons and 150 tons, respectively.

"[The piers] are expected to open access to Wamena, Mbua, Paro, Batas Batu and Mumugu toward the southern coast of Papua, thus improving the Papuans' welfare," Berlin said.

The road project, estimated to cost Rp 1.5 trillion (US$154 million), is part of the Presidential Unit to Accelerate the Development of Papua and West Papua (UP4B). Most of the roads will be constructed in alpine, swamp and jungle areas, is expected to open up the provinces from isolation that has long hampered its development.

The TNI's involvement aims to speed up the process at a relatively low cost, as it had been estimated that using the TNI would be 80 percent cheaper than private contractors.

Berlin said in doing the work, the army faced no significant obstacles with local communities, adding that the locals were welcoming because they knew the road's benefits.

Indonesian Institute of Sciences (LIPI) researcher Adriana Elisabeth said there was no need to question the TNI's capability in construction, but which military branch being assigned to the project was a more pressing matter.

"Papuans are still sensitive to the presence of military and police due to their pasca-conflict trauma," Adriana said, adding that the locals were usually more sensitive to Army Special Forces (Kopassus).

Thus, she said, the military should communicate effectively with the locals or else there would be resistance to the project.

"Although the project has good aims, it doesn't mean the locals will accept it just like that. There should be a difference in treating people here than in Java, for example. If there is resistance when the project finishes, there will be many objections, such as protests, from locals," Adriana said.

Source: http://www.thejakartapost.com/news/2016/03/31/tni-halfway-through-first-phase-papua-highway-project.html

Papua will continue to use none voting system: KPU

Jakarta Post – March 31, 2016

Nethy Dharma Somba, Jayapura, Papua – The noken voting system will be still used in regional elections in Papua, as the social custom of the Papuan people, which has been passed across generations, has many good values, an election official has said.

General Elections Commission (KPU) chairman Husni Kamil Manik said that as a gauge of public opinion in Papuan culture, noken could not be totally removed from either regional head elections or general elections.

"Several values in the noken system are in line with general election principles, but some other values are not yet in accordance with election principles, so we need to alter how they are implemented," he said in Jayapura on Tuesday.

Giving an example, Kamil said the noken system adopted Indonesia's widespread "musyawarah untuk mufakat" (deliberation for consensus) style of decision-making. In a general election under the noken system, there is also a campaign period, during which a candidate conveys his or her vision and mission to all constituents. The constituents are also be given time to analyze the candidate and deliberate until consensus is reached, he added.

However, Kamil further said, that the noken system did not protect voters' right to confidentiality, which was not in line with Indonesia's principle of direct, public and free elections. Under the noken system, the choices of voters can be seen by all people present at a voting station.

"This could potentially trigger political resentment because a candidate will be fully aware who chose him or her and who did not support him or her," said Kamil.

Under such conditions, the KPU chairman said, the Provincial General Elections Commission (KPUD) must alter the practice so that it maintained voter confidentiality.

"Until now, [voting takes place via] a noken [traditional Papuan bag] with the name of a chosen candidate attached to it. As the result, everybody knows 'who chooses who'," said Kamil.

"There should be a new method. We can still use a noken but we put it in a booth so that the confidentiality of our choice is maintained. The noken will be put into a ballot box before they are counted," he said.

To adjust the noken system so that it complies with Indonesia's direct, public and free election principles, Kamil said, all KPUD officials in areas still using the noken system must start a dialogue with the public about the positives and negatives of the noken voting system.

"One thing that they must tell the public is that it is important for a voter to be able to cast his or her vote directly. Although there has been an agreement that they must choose a certain candidate, they should still be allowed to participate in the voting process directly, and not be represented by others as has happened under the noken system until now" said Kamil.

KPUD Papua chairman Adam Arisoi said 11 regencies and municipalities would participate in regional elections in Papua in 2017. Of the total, six regencies, namely Dogiyai, Nduga, Lanny Jaya, Puncak, Puncak Jaya and Tolikara, would still use the noken system.

"However, not all polling stations in the six regencies will apply the noken system. Only some of them will use it and the remainder will allow for vote-casting in line with nationally-adopted direct, public and free election principles," said Adam.

He further said that in the 2017 regional elections, tribal chiefs would no longer represent their tribes in casting votes. All voters will cast their votes directly.

KPUD Puncak Jaya chairman Jennifer Darling Tabuni said the noken system would be used at only eight locations. "Voters in other areas of the regency will cast their vote in line with the direct, public and free election principles," he said. (ebf)

Source: http://www.thejakartapost.com/news/2016/03/31/papua-will-continue-use-noken-voting-system-kpu.html

Papua bans alcohol consumption

Jakarta Post – March 31, 2016

Nethy Dharma Somba, Jayapura – Alcohol distribution and production are officially prohibited in Papua province starting Thursday to save Papuans from the disastrous effects of alcohol consumption, the Papua governor has said.

The prohibition came into effect with the signing of an integrity pact on Thursday. The document was signed by Governor Lukas Enembe, regents and mayors in Papua, the Papua Provincial Council (DPRD), Papua Police, military command and district court chiefs during a coordinating meeting.

The integrity pact would support the existing 2013 Provincial Regulations on alcohol prohibition to prevent alcohol distribution in Indonesia's easternmost province, Enembe said.

Several regional leaders expressed their support of the integrity pact, saying that alcohol had only brought issues such as domestic violence to Papua. "Alcohol destroys Papuans. It could be the cause of their extinction," Enembe said on Thursday.

The integrity pact consists of several points, including prohibition of the production, distribution and sale of alcohol, cooperation with relevant offices in monitoring alcohol prohibition and implementation the 2013 Provincial Regulations.

Fien Yarangga, an activist from group Papuan Women (Perempuan Papua), applauded the provincial administration's move, saying that it showed that local officials cared about the issues. "Women are most often the victims of alcohol consumption. They fall victim to domestic violence triggered by alcohol," Fien said.

The group is currently assisting three victims of alcohol-related violence. One of them is the wife of a Jayapura public official who was tortured by her drunk husband. The two other women were raped by drunk men. The group urged the provincial administration to promote the regulation and integrity pact among the public to raise awareness.

According to Papua Police data, 86 people have died, 264 have been heavily injured and 839 suffered light injuries since 2013 in alcohol-related cases. (rin)

Source: http://www.thejakartapost.com/news/2016/03/31/papua-bans-alcohol-consumption.html

Luhut says military operation is last resort

Tabloid JUBI - March 31, 2016

Jayapura, Jubi – Coordinating Minister for Political, Legal and Security Affairs Luhut Binsar Pandjaitan said a military operation was a last resort for to overcome the insurgency in Papua.

"We can have military operation at any time, but it is a last option," said the minister in Jayapura on Tuesday (29/3/2016).

Besides, he added, President Joko Widodo was unlikely to approve the option, because he wanted the government to take a welfare approach. "President isn't comfortable with the option. He emphasized the welfare approach is still the best option," he said.

The welfare approach, said the minister, is considered the most effective because people were prosperous the security would be more improved. Therefore, he appealed to the opposite parties to come down and join the government to build Papua.

"To those in the highland who are still making trouble, please come down, let us build Papua together. Because the president wanted a welfare approach to resolve the problem in Papua," he said.

In addition, he also refused perceptions of unsecured Papua spreading in some countries. Therefore he asked to both religious and customary leaders to call the opposite parties to come down to build Papua.

"There are rumors abroad saying Papua is a savage region. I think it's not true. We want telling them if they come safely they would go home safely as well. Therefore we also never want to affiliate with military alliance," he said. (Alexander Loen/rom)

Source: http://tabloidjubi.com/eng/luhut-says-military-operation-is-last-resort/

RI mulls appointing envoy to South Pacific

Jakarta Post – March 31, 2016

Tama Salim, Suva – Coordinating Political, Legal and Security Affairs Minister Luhut Pandjaitan on Wednesday said he would propose assigning an official from the Foreign Ministry to engage with the easterly neighbors and underscore Indonesia's commitment to resolving complicated issues surrounding Papua.

Luhut said Jakarta's eastward gaze was part of its wider efforts to counter the separatist narrative that had thus far prevented the government from developing Indonesia's easternmost province.

"I will propose this to the President [Joko "Jokowi" Widodo] and the Foreign Minister [Retno LP Marsudi]. It is important that there is an envoy who can deliver our message to the Pacific island countries," he told The Jakarta Post aboard an Indonesian Air Force aircraft en route to New Caledonia.

Luhut is in the region to consolidate support from member states of the Melanesian Spearhead Group (MSG), which have struggled to balance their growing ties with Jakarta with ongoing support for regional grassroot movements dedicated to protecting the rights of indigenous people of Papua and West Papua during decades of separatism.

The MSG is a sub-regional grouping in the Pacific, comprising Papua New Guinea, the Solomon Islands, Vanuatu, Fiji and New Caledonia. Indonesia is an associate member.

Luhut said it was crucial that the government start to "aggressively" inform the international community on its many undertakings in Papua, with support from MSG members a crucial factor of success.

To this end, Luhut invited a number of Papuan regional heads and representatives of other provinces with a large Melanesian presence - Maluku, North Maluku, East Nusa Tenggara and West Papua. "We have to thoroughly explain what's being done = and we're doing a lot," he said.

According to him, the government is supporting Papua on a number of fronts, starting with increased regional funds, a renewed focus on health and education initiatives, the promise to resolve past human rights abuses and plans for more infrastructure and logistics projects.

Kicking off a three-day tour to countries in the region, Luhut will be in Fiji for bilateral meetings with Prime Minister Voreqe Bainimarama, Foreign Minister Ratu Inoke Kubuabola, and Agriculture, Maritime Development and Disaster Mitigation Minister Inia Seruiratu.

Meanwhile Luhut's advisor Djauhari Oratmangun said the visit aimed to strengthen Indonesian ties with Fiji, consolidating the Pacific Island country's continued support of Indonesia in the MSG forum.

Fiji, along with Papua New Guinea, has supported Indonesia's role in the sub-regional forum as the country with the largest population of Melanesians.

Djauhari said the trip also had humanitarian goals, with Indonesia providing Fiji with US$5 million in disaster relief as well as a container of supplies from the Indonesian Army's engineering directorate.

Meanwhile, General Elections Commission (KPU) chairman Husni Kamil Manik is set to sign a memorandum of understanding with the Fijian government on the transfer of knowledge on election organizing.

After Fiji, Luhut and his entourage plan to visit Papua New Guinea before returning to Jakarta.

Source: http://www.thejakartapost.com/news/2016/03/31/ri-mulls-appointing-envoy-south-pacific.html

Prior going to Fiji, Luhut visits tomb of Papua leader Theys Eluay

CNN Indonesia - March 30, 2016

Antara & Yuliawati, Jakarta, Indonesia CNN – Coordinating Minister for Political, Legal and Security Affairs, Luhut Binsar Pandjaitan, took a pilgrimage to the tomb of Papuan leader Theys Eluay located next to the football field Sentani, Jayapura district, this morning.

Luhut declared deceased Theys Eluay as a friend. When Luhut still the Minister of Industry and Trade, he had several times invited Theys Eluay participate in hs delegation, including during a meeting with Iraqi President Saddam Hussein.

"I'm sad to lose my best friend," said Luhut, as reported by Antara, Wednesday (30/3).

Source: http://www.cnnindonesia.com/nasional/20160330075510-20-120413/sebelum-ke-fiji-luhut-kunjungi-makam-tokoh-papua-theys-eluay/

Police should authorise students' rally on Minister Luhut Panjaitan's planned visit

Tabloid JUBI - March 25, 2016

Jayapura, Jubi – Papua councilor Laurenzus Kadepa criticized the Jayapura Municipal Police for not allowing the students of Cenderawasih University to conduct a peaceful rally against a minister's plan to visit Papua at the end of the month. He said police made up excuses for banning the protest.

"If the Police said the students did not attach the identity of protest coordinator or not confirm the route of rally or not explain the content of banner, and not give the obvious time as using the term of Papua time instead of WIB, WITA and WIT which is used to indicate time differences in Indonesia, those reasons are certainly ridiculous," said Kadepa to Jubi by phone on Thursday (24/3/2016).

Therefore he regretted it and asked the Police to not consider the students' rally from a negative point of view. "Police must stop judging the students' rally from a negative point of view. The reason to not give authorization on the rally is not obvious. It indicates the Police still close the space of democracy in Papua," he said.

Kadepa who always criticized the minister's statement about Papua said he personally supported the students. "I support the students and Papuan people to protest the minister's plan to visit Papua. We do not need a person like Luhut Panjaitan. He hurt our heart as Papuans for many times," he said.

Other politician and councilor Emus Gwijangge similarly thought the Police should not suppress the democracy in Papua. "As long as the rally is not anarchies and destructive, I think it is just fine. Why should it be banned? Let the students express their aspiration," he said.

According to him, to express the aspiration in public is guaranteed by Law. Therefore he expected the Police could be wise in dealing with peace rally all the time. (Arjuna Pademme/rom)

Source: http://tabloidjubi.com/eng/police-should-authorize-students-rally-on-minister-luhut-panjaitans-plan-visit/

Human rights activists criticise military operation in Papua Central Highland

Tabloid JUBI - March 25, 2016

Wamena, Jubi – Human rights activists criticized law enforcement operation plans in 'red triangle' regions of Puncak, Puncak Jaya and Lanny Jaya regencies by security forces.

The chairman of the Papua Human Rights and Law Enforcement Advocacy, Theo Hesegem, said law enforcement operations in Papua central highlands are not a solution to resolve the problems.

"I think it is exaggerated, what is needed in Papua is a dialogue with people, not military or law enforcement operations," he said in Wamena, Jayawijaya on Wednesday (23/3/2016).

According to him, there is no major terrorist threat in Papua, because the OPM (Papua Free Movement) is an organized group established for years and its ideology is certainly different from religiousy-motivated terrorists. So, it is not proper to link the OPM with the terrorist.

He eventually thought the law enforcement or military operation is an evidence of the Central Government's inability to resolve the problem in Papua for decades.

"Central Government must observe the problem in Papua carefully. The economic, health and educational approaches are not enough, thus, a political approach is needed. And the law enforcement would trigger the human right violations that would degrade the Indonesian image upon the international community," he said.

In addition, the law enforcement operation will not guarantee on conflict resolution in Papua, on contrary it is concerned to cause many fatalities among civilians and have potency of human rights violations.

Yap Thiam Hien Award 2009 winner Pastor John Jonga said the law enforment or military operation is exaggerated effort in responding the shooting incident occurred in Sinak Sub-district of Puncak Regency, Papua Province.

"If the consideration is non-conducive atmosphere, both Police and Military must have self-reflection because I see a disappointment on law enforcement that misconducted by Military and Police," he said.

I am eventually fear if the law enforcement would sacrifice the civilians. "Better the Police and Military to initiate an approach to such groups who opposed the Republic of Indonesia. Because by using the military approach, would they guarantee to not wrongly arrest or shot the people; moreover if they go to the forest for hunting people randomly because they don't know who perpetrators are," he said. (Islami/rom)

Source: http://tabloidjubi.com/eng/human-rights-activists-criticize-military-operation-in-papua-central-highland/

Aceh

Moral bylaws thrive, get in the way of tourism in Aceh

Jakarta Post - March 28, 2016

Hotli Simanjuntak, Banda Aceh – A group of women were paraded onto a waiting truck that would carry them to the nearby sharia police office. They would likely be charged for not wearing a hijab, which has been made mandatory in the only province that has adopted Islamic law.

The recent street raid on people who failed to follow the Islamic dress code was part of implementing jinayat, or the criminal law within the sharia perspective, which went into effect on Oct. 23 last year despite strong criticism from human rights activists.

Under the new law, police have up to 20 days to hold suspects and to decide whether they will be detained or released. Additionally, the jinayat also allows police to seize the belongings of suspects as material evidence.

Samsuddin, the provincial sharia police chief, says a perpetrator would be arrested if someone had been caught violating the law more than once, or is deemed "hard to reform"."Then they will be taken to the sharia court of justice," he says.

Women rights activists in Aceh and elsewhere have called for the central government to exercise its prerogative and amend the jinayat that they say has been used to repress civil rights, especially women's rights.

Jinayat brands any "un-Islamic" criminal offense punishable by public caning, imprisonment and/or fines. A convict may receive up to 200 lashes or a fine that has to be paid in the form of up to 2 kilograms of pure gold.

Serious offenses include objects or acts related to liquor, gambling, adultery, a show of romance in public, sexual harassment, rape, accusing people of adultery and homosexuality.

Morality police conducting street raids is a routine occurrence in Aceh, which was granted the sharia status as part of the 2005 Finnish-brokered peace deal between Aceh secessionists and the Indonesian government. Among their targets are women wearing body-hugging clothes, lovebirds displaying affection, couples living together outside wedlock and women walking alone at night.

In urban centers, the authorities have drawn up their own derivative regulations banning women from venturing out at night without the companion of their husbands or male relatives.

In Lhokseumawe, women who straddle motorbikes behind drivers will land in legal trouble after the city government issued a morality bylaw in 2013. In major cities like Banda Aceh, New Year celebrations are banned on the grounds the festivity is not an Islamic tradition.

Particularly troubling is that the Islamic laws also apply to non-Muslims, no matter if they are only unsuspecting visitors. However, if the crime a guest commits is covered by the national laws, they will be dealt with under the conventional criminal code.

Azriana, a right activist, says the "night curfew" bylaw that the authorities insist are needed to protect females' dignity are especially discriminative against women.

"Not only does the bylaw curtail women's liberty but it even gives impunity to those committing crime against women because they [perpetrators] can roam freely," she says in an interview with The Jakarta Post.

"If they [authorities] mean to genuinely protect women, they should give us greater freedom not restrictions. The women's 'night curfew' bylaw has adverse impact on the economy as many women also have to work night shifts."

Despite the morality bylaws, which in fact started as early as 2003 with the introduction of khalwat that criminalizes non-marital romantic relations between men and women, sexual crimes remain a problem in Aceh, Azriana says.

She points at a 2014 rape case in Langsa, East Aceh, in which a 25 year-old woman who became a gang rape victim ended up in being caned after the local sharia court found her guilty of being with a man who was not her husband when a mob was breaking into her house. Her alleged rapists are still on trial.

The indiscriminate enforcement of Islamic bylaws has also created a negative image for Aceh, which proudly calls itself "the porch of Mecca".

Vitta Dewi from Medan, North Sumatra, was among the women apprehended last year by sharia police while she was on a holiday to Sabang – Aceh's western-most resort island – for not wearing a hijab. "I used to hope that Aceh would be more open to the outside world after the [2005] peace deal. I was wrong. The bylaws have made Aceh increasingly reclusive," she says.

Some travel operators also fret about the strict morality bylaws. They have a hard time selling tour packages to not only foreign tourists but also to potential holidaymakers from other provinces.

Maryoto, a tour operator, hopes the provincial administration would make a policy that can attract foreign visitors, such as earmarking certain beaches for foreign tourists only. "Our main tourist attractions are beaches and it's rather difficult to make it obligatory for tourists to swim fully clothed," says Maryoto.

Source: http://www.thejakartapost.com/news/2016/03/28/moral-bylaws-thrive-get-way-tourism-aceh.html

Aceh woman passes out during caning

Jakarta Post - March 26, 2016

Banda Aceh – A young woman collapsed while being publicly caned in Banda Aceh on Thursday for violating sharia.

Sakdiah, 22, who was sentenced to receiving 20 lashes with a cane for going on dates with her boyfriend, Budiman, was carried away on a stretcher by a medical team for treatment, Antara news agency reported on Thursday.

While being watched by hundreds of residents, Sakdiah wept and walked unsteadily when she was escorted onto the stage at the At Taqwa Mosque, Lhong Raya village, Banda Raya district. She fainted before getting the full 20 lashes. Budiman was sentenced too and received the same punishment.

Other offenders against sharia, including Umar Yusuf, 52, of West Aceh, Baili, 42, of Aceh Besar, Bustamam Hasan, 32, of Aceh Besar and Rusli, 49, of East Aceh, each received nine lashes of the cane for gambling. Source: http://www.thejakartapost.com/news/2016/03/26/islands-focus-aceh-woman-passes-out-during-caning.html

Human rights & justice

Government remains indecisive over resolving historic rights abuses

Jakarta Post - March 30, 2016

Haeril Halim, Ina Parlina and Stefani Ribka, Jakarta – The government said on Tuesday that it had yet to decide on what actions to take to resolve historic human rights abuses as several mechanisms were still being considered.

Presidential Chief of Staff Teten Masduki said that the government was still discussing what would be the best format for the solutions, whether it will take judicial or non-judicial measures.

He said that the discussion was also seeking to find out whether the government needed to set up a special body tasked to solve historic human rights abuse cases, or if they would be solved by existing law enforcement institutions.

One of the challenges the government is facing in solving the cases was that some of the perpetrators had already died, making it hard for a judicial body to collect evidence to confirm their offenses, Teten added.

"Probably a better format for the solution is reconciliation, but if we talk about reconciliation there will be demands to bring out the truth about the cases before agreeing on a reconciliation. Whether we need an ad hoc team to handle the reconciliation is still being discussed, but the point is there must be a solution to the matter," Teten said.

He said that it would take a while for the government to solve the abuse cases because President Joko "Jokowi" Widodo's administration was currently focused on repairing the economy.

"I think all will agree that hungry stomachs can lead to turmoil; more human rights problems will emerge. I believe the President is indeed heavy on the economy because the President perceives if the economy gets better and people's welfare gets better, we can handle such problems even better," he said.

The slow progress at the State Palace, as well as in the Attorney General's Office (AGO) and other relevant ministries has made activists, victims and families come to the Presidential Advisory Board (Wantimpres) to urge Jokowi to form an independent commission directly under him to reveal the truth of the historic abuses and help the victims and families.

Setara Institute for Democracy and Peace chairman Hendardi said that he hoped that the board could channel the aspirations directly to the President to have the commission formed faster.

"We demand the President form a presidential task force, consisting of intellectuals and not government people, including Komnas HAM [state commission for human rights], nor the military, intelligence or the police, all of which were part of the problems themselves," he told reporters after meeting with Wantimpres.

They demand the team and government meet and question witnesses, many of whom are still alive. "We reject the government's reason for dragging out the progress saying there is not enough evidence because many of them are still alive," Hendardi said.

Setara, victims and families cited former president BJ Habibie, former Indonesian Military (TNI) commander Gen. (ret) Wiranto and Maj. Gen. (ret) Kivlan Zein, a former military officer who admits to knowing the locations of the persons who went missing during the 1997/1998 tragedies, as examples of witnesses.

The team will then conclude whether the solution should go through a judicial or non-judicial process; either way will have to include revelations of the truth and the perpetrators behind the incidents.

Setara and others are worried that the government will only apologize as a way to solve everything without revealing the truth as the government keeps saying its lacks evidence.

The dossiers of seven major cases were completed by the state commission of human rights (Komnas HAM) in 2002, but the AGO always returns them because of a lack of evidence.

The cases include the 1989 Talangsari incident in Central Lampung, the 2001 and 2003 Wamena and Wasior incidents in Papua, various kidnappings and unresolved shootings in the 1980s, the 1965 communist purge and the 1998 May riots.

Source: http://www.thejakartapost.com/news/2016/03/30/govt-remains-indecisive-over-resolving-historic-rights-abuses.html

Activists call on wise men to solve historic human rights abuses

Jakarta Post - March 30, 2016

Liza Yosephine, Jakarta – Activists are urging the government to form an independent commission made up of civilian "wise men" to push for a legal settlement of Indonesia's historic human rights abuses to bring justice to the victims and their families.

The commission's members must be representatives of the public and not public officials from institutions involved in the violations, the human rights advocacy group Setara Institute suggested.

Setara and family members of victims of past human rights abuses held a closed door meeting with the Presidential Advisory Board (Wantimpres) to convey to it the proposed formation of a Presidential Commission on the Disclosure of Truth and the Recuperation of Victims on Tuesday.

"It's impossible for governmental elements or officials to be part of this commission because in this case the state itself is subject to law that holds it responsible for historic human rights abuses, even though the current government is not the actual offender," Setara's deputy chairman, Bonar Tigor Naipospos said.

Together the activists met with Wantimpres chairwoman Sri Adiningsih and member Sidarto Dabusubroto to create a commission consisting of well-informed civilians, and not government officials, in the pursuit of a judicial resolution of seven main cases of violations.

The commission's duties would be to validate data that has been investigated by the National Commission of Human Rights (Komnas HAM) to see what can be taken to court and handled judicially, or alternatively, for the government to issue a formal apology by way of reconciliation.

The ad-hoc committee would be under President Joko "Jokowi" Widodo with the authority to produce binding presidential decrees, Bonar said.

Jokowi has repeatedly reiterated his commitment to settling historic rights abuses that have been declared gross human rights violations by Komnas HAM.

The formation of the commission comes in response to a long-delayed bill on truth and reconciliation that is before the House of Representatives, which is apparently an alternative way in case government officials fail to find a better solution for all.

The selection of the committee members itself would be the prerogative of the President, Bonar said, adding that the backgrounds of the members would be important.

Coordinating Political, Legal and Security Affairs Minister Luhut Binsar Pandjaitan said that the government aimed to settle all human rights violations cases by early May through reconciliation only and not through judicial processes because there was a lack of evidence. Such a deadline was "absurd", Bonar said.

Setara chairman Hendardi also derided Luhut's statement, calling it overly ambitious, hasty and unrealistic, as well as unacceptable to the families of the victims who sought for justice. "There would be no reconciliation without the revelation of the truth," Hendardi said.

Human rights groups and families of the victims are pushing for the resolution of the cases judicially as stipulated in the 2000 law on human rights courts.

Hendardi admitted that with the case of the 1965 communist purge, a judicial settlement would be difficult because of a scarcity of proof and witnesses. However, he underlined other newer cases must be resolved at court with transparent legal procedures.

Maria Katarina Sumarsih, member of the the Victims Solidarity Network for Justice (JSKK), said her community, along with the Commission for Missing Persons and Victims of Violence (Kontras), recently held its 436th Kamisan (a silent protest held every Thursday) across from the State Palace. The protesters will continue to do so until the government takes concrete steps.

Maria, whose son Bernardus Realino Norma Irawan died in the First Semanggi tragedy in 1998, said the solving of the Semanggi cases could set a precedent as a step forward toward a positive future when the government would be proactive in addressing issues to clear the history.

The unresolved cases consist of a 1989 massacre in Talangsari, Lampung, the forced disappearance of anti-Soeharto activists in 1997 and 1998, the 1998 Trisakti University shootings, the Semanggi I and Semanggi II student shootings in 1998 and 1999, the mysterious killings of alleged criminals in the 1980s, the communist purges of 1965 and various abuses that took place in Wasior and Wamena in Papua in 2001 and 2003, respectively. (+)

Source: http://www.thejakartapost.com/news/2016/03/30/activists-call-wise-men-solve-historic-human-rights-abuses.html

Kontras alleges police violations in death of Siyono

Jakarta Post - March 28, 2016

Jakarta – The Commission for Missing Persons and Victims of Violence (Kontras) said on Saturday that the National Police's counter-terrorism unit, Densus 88, had committed a number of human rights violations in relation to the death of Siyono, a terrorist suspect.

On March 8, Siyono was apprehended by three men, suspected to be Densus 88 members, after he had performed Maghrib prayers in a mosque close to his home in Klaten, Central Java. After a four-day interval, his body, showing signs of physical abuse, was sent home from Bhayangkara Police Hospital in Jakarta.

"After Siyono's death, Kontras conducted a string of investigations, by interviewing his family, and examining the Densus 88 operation against a number of regulations, including KUHAP [the Criminal Law Procedures Code], Indonesian human rights law and a National Police regulation on Densus 88," said Kontras civil and political rights division member, Satrio Wirataru.

The investigation, Satrio said, found that the counterterrorism unit had neither processed an arrest warrant prior to Siyono's arrest nor a police dossier afterward.

Satrio said that Densus 88 was obliged to produce those documents, as stipulated by Article 18 of KUHAP and Article 9 of the 2011 National Police Chief Regulation on counterterrorism law procedures. "It is very inappropriate that the Densus 88, as a special unit under the National Police, breached its own regulations by failing to create the dossier," Satrio said.

The Kontras investigation also revealed that it was not the first time the counterterrorism unit had failed to process dossiers when conducting an operation. "This has happened before, when Densus 88 interrogated two men for alleged involvement in terrorism in Solo in December last year," Satrio, who conducted the investigation, said.

Kontras also found that Siyono's father, Marso, was asked by the police to sign a letter that prohibited Siyono's family from challenging anything related to his death in court. This violated Article 17 of the 1999 Law on human rights, which stipulates that everybody has the right to seek justice in criminal, civil or maladministration cases in court, Satrio said

Kontras also accused the police of torturing the suspect during the interrogation. "This was revealed when Kontras interviewed Siyono's family about the state of his body after it was returned by the National Police," Satrio said.

The family said Siyono's body had bruising to the face and legs, the nose was broken and the head was covered in blood.

Earlier, National Police spokesman Insp. Gen. Anton Charliyan said that an autopsy on Siyono's body, conducted by the Bhayangkara hospital, showed that Siyono died from a brain hemorrhage as a result of being hit by a blunt instrument, after he became embroiled in a fight with a Densus 88 officer.

Anton said that Siyono was in a car with a driver and only one Densus 88 officer guarding him. "It is hard to believe that Siyono died from a blow by a blunt object, given the fact that Siyono's body was covered in wounds when it was received by his family," Satrio said.

Siyono was arrested by Densus 88 on suspicion of being the leader of Neo Jamaah Islamiyah (Neo JI). Police said he knew the location of Neo JI arms caches, which mainly contain weapons inherited from groups involved in the Bali bombing. (mos)

Source: http://www.thejakartapost.com/news/2016/03/28/kontras-alleges-police-violations-death-siyono.html

Labour & migrant workers

Protesters indicted for disobeying police orders

Jakarta Post - March 29, 2016

Jakarta – The Central Jakarta District Court held its first hearing implicating two Jakarta Legal Aid Institute (LBH Jakarta) lawyers on Monday who were arrested during a labor protest in front of the State Palace in October.

A team of prosecutors indicted them for disobeying a police order as the police, on three occasions, urged the protesters to retreat from the front of the palace and continue their rally the next day. The demand from the police was ignored, resulting in the arrest of 23 protesters, as well as the two lawyers and a university student.

The lawyers, Tigor Gempita Hutapea and Obed Sakti Andre Dominika, and university student Hasyim Trias Ruchiat, have been charged with Article 55 of the Criminal Code (KUHP) on provoking and committing criminal acts, as well as article 216 and 218 for disobeying police orders.

The defendants expressed their objection to the charges. "Why are we charged with Article 55? What kind of criminal act have we committed?" Tigor said during the hearing.

Tigor said after the hearing that he was disappointed by the threadbare explanations given to his objections. "We have never been named suspects. The police arrested me and Obed as witnesses but then suddenly we became defendants. That breaks legal procedure," Tigor said, adding that there were also inconsistencies in the letters of summons.

"We both got the letters last week. One letter stated that we were charged with Article 216 of the Criminal Code, and one letter stated that we were charged with crimes against decency," Tigor said.

He criticized the prosecutors, who he labeled incompetent. The prosecutors clarified in the hearing that the mistaken letter was a indeed a mistake on their part. The defendants, along with their lawyers, will propose a demurrer in the proceedings.

Concerning the prosecutors, one of the lawyers for the defendants, Maruli Tua Rajagukguk, said that the prosecutors should be sacked from their jobs for being unprofessional. "They have to be fired so that there will not be any more prosecutors like them in the future," Maruli said.

Tigor and Obed were assisting the labor protesters and were collecting the names of the arrested protestors. They were later apprehended by the police and taken to the Jakarta Police headquarters.

The labor workers at the rally demanded the revocation of a newly issued government regulation stipulating that the calculation of the minimum wage increase must take into account the current fiscal year's inflation rate and gross domestic product growth. (wnd)

Source: http://www.thejakartapost.com/news/2016/03/29/protesters-indicted-disobeying-police-orders.html

Freedom of speech & expression

Monologue about Tan Malaka performed under police guard

Jakarta Post - March 26, 2016

Arya Dipa, Bandung – After failing to be staged a day earlier because of pressure from a hardline group, a monologue performance about national hero Tan Malaka was eventually presented on Thursday under tight police guard.

Entitled Saya Rusa Berbulu Merah (I Am A Red-furred Fox), the performance was held twice, at 4 p.m. and 8 p.m., in the auditorium of the Institut Francais Indonesia (IFI), the French cultural center, in Bandung, West Java. Performances were previously scheduled for Wednesday and Thursday.

Bandung Police chief Sr. Comr. Angesta Romano Yoyol said 200 police personnel were detailed to secure the production. "We also took security measures yesterday, but it was conducted tightly," Angesta said, Thursday.

The police personnel were seen on guard in the yard, cafe and along the lobby heading to the performance venue. No members of the hardline group that previously objected to the performance were seen at the venue.

Bandung Mayor Ridwan Kamil was praised for reportedly supporting the show and guaranteeing that it would go on, although he did not go see it himself.

On Wednesday, representatives of the Islam Defenders Front (FPI) went to IFI at 2 p.m., demanding the organizers cancel the performance over fears that the show would help spread communism.

Tan Malaka was a controversial leftist figure who fought for the country's independence against Dutch colonialists. President Sukarno's administration named him a national hero in 1963, but the New Order regime under the late authoritarian leader Soeharto decided to minimize Tan's role, given his ties to the communist movement.

Dedi Subu from the West Java FPI said on Wednesday that the group opposed the monologue because it spread communist teachings, and as communism had been banned by law, such an event had to be canceled.

Despite having protested against the show, Dedi admitted that he had not read the script provided by the organizers. "Why would I read it? We all know that Tan Malaka was a communist," he said on Wednesday.

The Mainteater group decided to put on a show about Tan Malaka to pay respect to the forgotten hero. The group believed Tan's ideology is still relevant to Indonesia's current situation. "We need to learn by example: how Tan Malaka put the country's interest above his personal and party interests," Ahda said.

The producer of the performance, Heliana Sinaga, said that although not all the seats were occupied during Thursday's first performance, all the tickets were sold out. The organizing committee sold 180 tickets for each of the performances.

Joind Bayuwinanda, who played the character of Tan Malaka, did not seem to be affected by the off-stage tension. For 67 minutes the audience was taken on the journey of the national hero who had to repeatedly adopt different disguises after being arrested by the Dutch colonial administration in 1922.

Director Wawan Sofwan set Tan Malaka as the narrator. "The original script by Ahda Imran has been cut from 35 pages to 20 for the performance," Wawan said.

Permata, a member of the audience, said that the performance was rich in dialogue but lacked body language. "The [actor's] body was less explored. It's maybe because the dialogue was too long," she said.

She added that the body language of Tan Malaka as an activist who was close to the people could not be seen in the monologue. "The messages through the words were too powerful," she said.

In the show the audience were able to discover Tan's thoughts about using revolution to get independence, which was not possible through diplomacy, as well as his idealism about getting 100 percent independence.

The fear expressed by those who protested the performance, that it was propaganda for communist ideology, was not borne out by what was presented on stage. "We will bring the show to various other regions in Indonesia," Heliana said.

Source: http://www.thejakartapost.com/news/2016/03/26/monologue-about-tan-malaka-performed-under-police-guard.html

Graft & corruption

Files show suspect financed PDI-P campaign

Jakarta Post - March 30, 2016

Jakarta – Graft suspect Abdul Khoir, who was allegedly caught red-handed by the Corruption Eradication Commission (KPK) in January bribing Indonesian Democratic Party of Struggle (PDI-P) lawmaker Damayanti Wisnu Putranti, has testified that he financed the party's campaign in Semarang, Central Java, before his arrest.

In Abdul's investigation document, obtained by The Jakarta Post, Abdul said he bribed Damayanti to acquire several infrastructure projects in Maluku. Damayanti, a legislator on House of Representatives Commission V overseeing infrastructure development, told him that she wanted to get involved in the party's campaign in Semarang to rally support for the PDI-P's candidate in the 2015 simultaneous elections.

"After the Rp 1 billion was exchanged to US dollars, I asked my colleague Erwantoro to hand the money to Dessy [Damayanti's close friend]. Later, I met Damayanti and told her that I had given the 'donation' to Dessy and Damayanti said 'yes [I have received it]," Abdul said in the document.

Abdul's lawyer, Haeruddin Masaro, confirmed that his client had financed the PDI-P campaign in Semarang, saying that Abdul had no choice but to give the money to Damayanti.

Source: http://www.thejakartapost.com/news/2016/03/30/national-scene-files-show-suspect-financed-pdi-p-campaign.html

Lawmakers rigged tenders worth millions of dollars: KPK

Jakarta Post - March 28, 2016

Haeril Halim, Jakarta – A Corruption Eradication Commission (KPK) investigation document into a bribery case embroiling House of Representatives Commission V, which oversees infrastructure, reveals details of how political parties allegedly rigged infrastructure projects at the Public Works and Public Housing Ministry.

The case started when the KPK arrested ruling Indonesian Democratic Party of Struggle (PDI-P) politician Damayanti Wisnu Putranti, a Commission V member, for accepting a commitment fee from businessman Abdul Khoir on Jan. 13, after attending the birthday party of Guruh Soekarnoputra, the brother of PDI-P chairwoman and former president Megawati Soekarnoputri, in Jakarta.

The fee was in relation to an infrastructure project from the ministry worth Rp 41 billion (US$3.09 million) in Maluku.

In the 84-page document, obtained by The Jakarta Post on Sunday, Abdul told KPK investigators that Commission V member Musa Zainuddin of the pro-government National Awakening Party (PKB) had offered him construction projects in Maluku "earmarked" for the Islamic political party by Commission V worth a total of Rp 500 billion, but the businessman had to pay an 8 percent commitment fee to Musa in order for his company to win the project tenders.

"Musa controls Rp 250 billion of the total project, of which I would receive Rp 100 billion while another Rp 150 billion would be given to [other businessmen] Rino/Henok Setiawan and Carlos," Abdul said in the document.

Abdul added that he made the payment to Musa in several stages between November and December 2015 through a Commission V staff member identified as "Bang Jay", who informed Abdul that Rino had also paid his "obligatory" 8 percent commitment fee to Musa with regard to the Rp 150-billion projects.

Abdul said that he did not know with whom Musa shared the Rp 8 billion money but he told investigators that the Rp 100-billion project he acquired was jointly earmarked for Musa and other PKB politicians in Commission V including Alamudin Dimyati Rois and Fathan Subchi.

National Mandate Party (PAN) members offered a cheaper commitment fee of only 7 percent for infrastructure projects worth Rp 170 billion in Maluku, where Abdul's company is based.

The projects were earmarked for PAN member Andi Topan Tiro, who received Rp 6.7 billion from Abdul; of which Rp 4.2 billion was given to Topan through Bang Jay, while the remaining money was given directly to Topan in his office at the House.

Abdul said Public Works and Public Housing Ministry officials identified as Quraish Lutfhi and Imran helped Topan to persuade the ministry to award Topan's project to Abdul. "After handing over the money to Topan, he thanked me," Abdul said in the document.

The KPK investigation has so far named as suspects two Commission V members namely Damayanti and Budi Supriyanto of the Golkar Party. Budi is accused of receiving an 8 percent commitment fee, amounting to S$404,000, for his Rp 50 billion project in Maluku being awarded to Abdul. Budi gave S$99,000 to Damayanti for brokering the deal with Abdul.

The KPK has questioned Musa, Fathan, Dimyati and Topan in the case and their status remains as witnesses.

Meanwhile, Abdul's lawyer Haeruddin Masaro confirmed the authenticity of the KPK document, adding that Abdul also told KPK investigator during his questioning that other businessmen eyeing projects in Maluku also bribed other Commission V members. He declined to give any names. "Let the KPK work to unravel the names of the other lawmakers," Haeruddin told the Post on Sunday.

In the document Abdul told KPK investigators his colleague "Koh Aseng", who also sought projects in Maluku, paid unspecified commitment fees to Commission V member Yudi Widiana Adia of the Prosperous Justice Party (PKS).

Source: http://www.thejakartapost.com/news/2016/03/28/lawmakers-rigged-tenders-worth-millions-dollars-KPK.html

Freedom of religion & worship

Intolerance still rampant with one case every month

Jakarta Post - March 28, 2016

Bambang Muryanto, Yogyakarta – Religious intolerance is still rife in Yogyakarta, with three cases reported in the first three months of this year in a city once regarded as a paragon of tolerance.

"On average, a case occurs each month. This is a high figure. Human rights cases cannot be ignored," Yogyakarta National Alliance of Unity in Diversity (ANBTI) coordinator Agnes Dwi Rusjiati told The Jakarta Post recently.

The three cases of intolerance were the refusal by the Sleman regency administration to issue a building permit (IMB) for the Pos Palagan Indonesian Christian Church (GKI) in Sleman, the prevention by mass organizations of a lecture about Shia Islam held at the Sunan Kalijaga State Islamic University (UIN) and the closure of the Al Fatah transgender pesantren (Islamic school) in Kotagede, which was initiated by mass organizations and had been approved by the government.

Last year, ANBTI Yogyakarta also noted that at least 12 cases of religious intolerance had occurred in the city, one of the Indonesia's cultural melting pots. One such case involved the attempted burning down of the allegedly unlicensed Indonesian Baptist Church (GBI) building in Sewon, Bantul regency.

Yogyakarta used to be known as a pluralistic city and has been categorized as a miniature Indonesia. Lately, however, it has become a city rife with instances of intolerance. In 2014, the Wahid Institute described Yogyakarta as the second-most intolerant city in Indonesia, while in 2015 the Setara Institute ranked Yogyakarta fifth with 10 reported cases of intolerance.

The Yogyakarta Legal Aid Institute (LBH) issued a Freedom of Religion and Belief statement listing 13 complaints of intolerance it received between 2011 and 2015. The cases ranged from preventing the establishment of houses of worship to attacks on minorities, hate speech expressed in public places and the prevention of celebrations of religious holidays.

"Civil society groups must accompany the victims intensively from the start to minimize the number of intolerance cases," said Agnes.

She added that if the civil society groups stuck to the old way of just overseeing a case when it took place, it would not lead to positive results. "We believe intolerant groups always approach government officials and the police. We must also do the same thing by approaching policy makers," she added.

Meanwhile, National Commission on Human Rights (Komnas HAM) member Siti Noor Laila expressed concern over the ongoing acts of intolerance in Yogyakarta.

"Intolerance in Yogyakarta is not only in religious life but has entered institutions of higher learning. This is very alarming because there should be freedom of thought and expression in an academic environment," she said.

Siti criticized state institutions, such as the Yogyakarta municipality and police, which were weak in the face of intolerant groups who did not reflect teachings from the Pancasila state ideology.

"The state authorities and police should defend Pancasila, not side with the intolerant groups," she said.

Separately, a transgender student of Al Fatah, Yuni Sara, expressed the hope that intolerance could be eradicated in Yogyakarta. Yuni said she was saddened when her pesantren was closed by the village administration last month following protests from the Islamic Jihad Front (FJI).

"Why do members of the community in Yogyakarta, who are mostly Muslim, repress us? Whereas in, fact, we just wish to learn the Koran and perform joint prayers at the pesantren," said Yuni.

Source: http://www.thejakartapost.com/news/2016/03/28/intolerance-still-rampant-with-one-case-every-month.html

Indigenous rights

Pressure grows on Jakarta to tackle indigenous rights abuses

Reuters - March 26, 2016

Fidelis E. Satriastanti, Jakarta – Indonesia's government is under pressure to boost protection for indigenous peoples' rights, after a state-led inquiry identified 40 cases in which they were violated, prompting calls for the president to set up a task force to deal with the problem.

The National Commission on Human Rights (Komnas HAM) launched the inquiry in April 2014 after mounting reports of human rights abuses related to land in forest areas.

Of the thousands of cases reported to the commission, 40 were selected from seven regions – Sumatra, Java, Kalimantan, Sulawesi, Bali-Nusa Tenggara, Maluku and Papua – as test cases for investigation.

One was a long-running land conflict in Muara Tae village in East Kalimantan province's West Kutai district. Here the Dayak Benuaq indigenous people have struggled since the early 1970s to claim rights over their customary forests in the face of encroachment by logging and mining operations, and more recently oil palm plantations.

"Our ancestors have been protecting [our] customary forest for generations," said Masrani of the Dayak Benuaq, who came to Jakarta for the launch of the inquiry report in mid-March.

"We did all we could to protect the forests. We tried to seek help from local government but instead we were blamed, captured, criminalized for defending our own lands."

The expropriation of customary forest for timber concessions, mines, plantations and government-backed resettlement violated the Dayak Benuaq people's rights to a healthy and safe environment, property ownership, cultural activities, education, traditional knowledge and a life free of fear, the inquiry found.

Masrani testified to the inquiry that the loss of land had created tension between his community and neighboring villagers who had chosen to sell their territory to companies. He also recalled intimidation from "men with guns" who had attacked the village in 1998-99, forcing him and his family to take refuge in the forest.

Legal limbo

In the eastern province of Maluku, a tribe native to the Aru Islands was taken unawares by a plan to develop a sugarcane plantation in 2012. Local people later discovered that the head of Aru district had granted permits in 2010 for companies to use customary forest without the tribe's knowledge or consent.

Of the district's 600,000 hectares, the permits covered nearly 500,000 hectares, and 90 out of 117 villages were located in concession areas. "So where do you suppose we should live?" asked Mamado, an Aru traditional leader.

In 2014, after an intense social media campaign, Zulkifli Hasan, then forestry minister in the government of Susilo Bambang Yudhoyono, cancelled the plantation plan.

The inquiry report said the Aru tribe's rights to information and participation, and to be consulted under the principle of free, prior and informed consent (FPIC), had been violated.

Intimidation and abuse experienced by tribe members had also denied them the rights to feel safe, and to be free from fear, torture, inhuman or degrading treatment, it added.

Despite this, in mid-2015 the current agriculture minister, Amran Sulaiman, announced the development of 500,000 hectares of sugarcane plantation in three locations: Aru, Merauke and South Sulawesi.

This and other developments have fueled skepticism over President Joko "Jokowi" Widodo's election promise to protect the rights of indigenous peoples.

A draft bill to that end – which would recognize indigenous peoples' rights to their land and natural resources, and put their beliefs on an equal footing with those of other citizens – is in legal limbo, and has not been included in the national legislation program for 2015-19.

Women suffer

Saur Tumiur Situmorang, one of the report's authors and a member of the National Commission against Violence on Women (Komnas Perempuan), said the inquiry also revealed violations of the rights of indigenous women. When they cannot access their land, they must travel longer distances to collect food, she said.

In Papua, that left some women vulnerable to sexual and physical abuse while out on the road, as well as at home if they failed to find enough food, the inquiry found.

And as forests are converted to plantations, the herbs indigenous women use to stop bleeding during birth are becoming rarer, denying them the right to reproductive health.

Shrinking access to customary forest also restricts the farming and crafts activities of women, who are at greater risk of arrest for trespassing and encroachment without proper legal representation, Situmorang said.

Abdon Nababan, secretary general of AMAN (Indigenous Peoples' Alliance of the Archipelago), said indigenous peoples had waited "a rough two years" for the inquiry to be completed. Nababan had supported the process because in 2014, AMAN was reporting cases of rights abuses almost once a week, he said.

In 2013, Komnas HAM recorded 1,123 complaints over land use, which more than doubled to 2,483 complaints in 2014. That figure is likely to increase, as around 70 percent of Indonesia's nearly 32,000 villages are located in or near forest areas, experts say.

'Be patient'

Nababan blamed violations of the rights of indigenous peoples on the 1999 Law on Forest, which excluded them from secure legal tenure over customary forests. He urged the government to set up a task force to deal with indigenous peoples' grievances, while waiting for new legislation to be passed.

Presidential Chief of Staff Teten Masduki said at the report launch that Jokowi was deeply committed to indigenous people, but his administration had been up and running for only two years.

"Please be patient. We are looking into the best way to find the right solution for the issue," said Masduki. "The past must be cleared so it will no longer be a burden for the future."

He noted demands that the cabinet should not become too large, and said the government wanted to avoid overlapping agencies that would swell the state budget. But it would not neglect the need to set up a task force on indigenous issues, he added, without saying when that might happen.

Facebook: "Our ancestors have been protecting [our] customary forest for generations," said Masrani of the Dayak Benuaq, who came to Jakarta for the launch of the inquiry report in mid-March. "We did all we could to protect the forests. We tried to seek help from local government but instead we were blamed, captured, criminalized for defending our own lands."

Source: http://www.irrawaddy.com/asia/pressure-grows-jakarta-tackle-indigenous-rights-abuses.html

Regional autonomy & separatism

In the regions, autonomy simply means paying more tax

Jakarta Post - March 28, 2016

Pandaya, Jakarta – The 3,000 problematic bylaws that scare off investors, create economic distortions and cause legal uncertainty are the fruit of the overexploitation of autonomy laws giving sweeping self-governing powers to regency and city administrations – or so the cynical believe.

Such bylaws have mushroomed since the government overhauled a 1974 law on local administration in 1999, a year after the reformist forces toppled the New Order regime of president Soeharto, who had ruled the country with an iron fist for 32 years.

Regional autonomy is chiefly dealt with in the Regional Administration Law, which has been amended several times since 1999, and in a 2004 law that regulates the financial relations between the central and local governments.

But it is Law No. 5/1974 that provided the initial impetus for the decentralization of power, although it overly emphasized regional governments' obligations rather than genuinely allowing them greater rights to manage their domestic affairs. As such, regencies and cities remained heavily dependent on Jakarta.

During the post-Soeharto euphoria, the reformasi government under president BJ Habibie rewrote the law to give the regions real powers to improve public services, with Law No. 22/1999 being the first to truly strengthen local leaders' grip.

It was a broad and real autonomy that gave regions all government authorities other than foreign affairs, defense and security, justice, monetary and fiscal matters and religious affairs, which all remain under the central government's jurisdiction.

The real transfer of power, though, was that regions became entitled to a share of natural resources, which used to be wholly controlled by the central government.

The 1999 law also guarantees local people the freedom to participate in decision-making processes, with government heads directly elected by the people and answerable to regional councils.

Provinces have more limited autonomy than regencies and cities, acting more to coordinate regencies and cities in certain fields such as transportation, public works and forestry, which would all be less efficient if handled at a lower level.

But do not let those seemingly ideal goals set by the autonomy laws dazzle you. In reality, they have often been interpreted as a legal basis for local politicians to rule like kings.

The success of a regency or city is often – and wrongly – measured solely by the level of locally generated income, or PAD. This sole yardstick for success has driven many local regents and mayors to do everything they can to boost their PAD.

Bylaws are made with the main intention of maximizing local income rather than improving public services and bureaucracy is often changed with the chief intent of increasing the PAD.

To achieve a sufficient PAD may not be a problem for regions blessed with abundant natural resources, like Kalimantan, industrial centers like Greater Jakarta or world-class tourist destinations like Bali. But it is an acute headache for impoverished areas, such as those in the arid East Nusa Tenggara.

Many regions resort to the laziest way of increasing their PAD – raising their income from licensing and retribusi, fees local governments charge for the use of public facilities. In many cases, they mix up retribusi and tax, resulting in double taxation, especially in the mining and forestry sectors.

According to the SMERU Research Institute, local administrations have turned to retribusi because the funds provided by the central government are barely adequate to cover their routine spending, such as employees' salaries, while autonomy means they have had to expand their bureaucracy.

With questionable proficiency in legal drafting, local legislators issue volumes of bylaws that are in conflict or overlap with higher laws.

The so called "autonomy era" has given rise to the emergence of "little kings", powerful regents, mayors and councillors who benefit the most from the greater freedom to control local resources. Regents and mayors are now answerable to the legislative council, not to the provincial governor.

On their part, many councillors – who are supposed to supervise the local executive – prove unable to resist the temptation to conspire with them for the sake of greater PAD because the income determines their take-home pay, too.

As the "little kings" become more self-serving, public and NGO participation in decision-making is often disregarded.

Annulment of the problematic bylaws may put autonomy back on track, allowing local bureaucracy to better serve the public. However, equally important is to improve local lawmakers' legal drafting proficiency and skills.

Source: http://www.thejakartapost.com/news/2016/03/28/in-regions-autonomy-simply-

When scrapping bad bylaws, money comes first, then morality

Jakarta Post - March 28, 2016

Margareth S. Aritonang, Hotli Simanjuntak and Pandaya – President Joko "Jokowi" Widodo, has moved to annul about 3,000 problematic ordinances that local administrations drafted to boost local income and make their regions more "Islamic".

The Jakarta Post's Margareth S. Aritonang, Hotli Simanjuntak and Pandaya review the long-standing controversy and analyze why it is mission impossible to drop such morality bylaws.

Muslim-majority regions have ordinances to safeguard citizens' morality standards. Impoverished regencies have them to boost locally generated income. Deeply religious but poor areas are proud to have them to serve both purposes.

But, what do all of them have in common? The regulations have been so lousily drafted that their entanglement with higher laws is beyond repair. The best solution the central government can think of is to annul them.

After 15 years, the government is finally doing something about the thousands of dysfunctional bylaws that fuel tension between Jakarta and regions over powers that each are entitled to wield. This is because bad legislation at the local level has fueled fears of budding regionalism that could lead to state disintegration.

The laws on autonomy give the regions the authority to administer all but five fields, which remain the central government's domain: Foreign affairs, defense and security, the judiciary system, monetary and fiscal, and religious affairs.

The misconceived bylaws get in the way of economic development by scaring off investors, creating gender inequality and helping to give rise to religious conservatism.

In January, Jokowi ordered Home Minister Tjahjo Kumolo to annul the bylaws, which are in conflict with or overlap with higher laws, to help pave the way to reaching the 7 percent economic growth he promised during his election campaign.

The bylaws are a mockery of autonomy, which were awarded as a fruit of the political reforms that Indonesia has rigorously pursued since 1998. Many regions enforce their own regulations that in fact fall under the central government's authority, such as religious affairs.

Regents and mayors have, no doubt, worked hard to reform their bureaucracies but, unfortunately, all the reforms have largely aimed at stashing locally generated income, or PAD, rather than improving public services and citizenry access to economic resources, as autonomy is meant to be.

So, countless PAD-related ordinances have flopped, wreaked havoc on legal certainty, lead to high-cost economies and made people unduly pay more fees.

There is no way to know the actual number of problematic bylaws. While some have been rescinded, new ones go into effect and the central government has no means to control lawmaking in the regions.

In the early 2000s, it reached more than 9,000, according to one estimate. But one thing is for sure: The central government cannot stop regional administrations from exercising their autonomous rights to make ordinances.

The bulk of the bylaws have been adopted to maximize PAD, which regents and mayors badly need to prove their success. That is important for them because under Law No. 32/2004, a new autonomous regency that fails the central government's performance appraisal for three consecutive years are subject to reintegration with its administrative territory of origin.

Tjahjo has promised that all dubious ordinances on the economy will be scrapped by midyear but for morality related ordinances, the option has been kept open, obviously due to the religious and political complexity of the issue.

He will start with burying bylaws on local tax and retribusi, or fees people have to pay for using public facilities. In notices he sent to regional heads of government, he asked them for lists of the regulations.

"Our priority is to cut red tape and to woo investors to put their money into local businesses," he said. In setting an example, the Home Ministry is scrapping about 170 problematic ministerial decrees issued by Tjahjo's predecessors.

In case you wonder why the central government gives priority to the economic bylaws, well, it's because the political cost would be manageable, as Widodo Sigit Pudjianto, the Home Ministry's legal department chief, admits.

Determining if a morality bylaw is good for a particular region would involve an aimless debate with local religious and government leaders on things like whether it is "protective" for women as clerics claim or "discriminatory" as rights activists like to argue, Widodo says.

On the contrary, abolishing ordinances on morality and gender inequality will no doubt meet immense resistance from religious leaders and politicians banking on religious issues to win people's support. Even in urban centers, politicians often exploit religious sentiments to get elected.

Ironically, in many regencies and cities, the sharia bylaws have been introduced by politicians from nationalist parties, such as the Golkar Party and Indonesian Democratic Party of Struggle (PDI-P), who are supposed to keep Indonesia a secular state.

The number of regulations on decency usually soars after local elections, which is the time when the winning politicians have to honor their promises of making their city more Islamic.

"Political parties should make sure that their politicians at regional legislative councils have a good grasp and sensitivity to gender issues," PDI-P lawmaker Eva K. Sundari says.

Musdah Mulia, an Islamic feminist and scholar, does not buy politicians' rhetoric. "They try to sell religion like a commodity. They'd be better off improving education."

The National Commission on Violence against Women (Komnas Perempuan) has recorded 389 such ordinances being made across the country. In Aceh it is obligatory for women to wear a hijab in public, regardless of their faith.

Indramayu regency legally requires students to wear Islamic clothes and be proficient in Koran literacy. Most Muslim-majority regions have made it obligatory for female government employees to wear Islamic garbs during the month of Ramadhan.

However, the most common problematic bylaws are those barring prostitution. In Tangerang and Aceh regencies, local authorities have slapped "night curfews" on women, prohibiting them from venturing out at night without the companion of their husbands or male relatives – or they risk arrest on a prostitution charge.

Azriana of Komnas Perempuan claims the anti-prostitution ordinance takes a toll on women working night shifts, who risk public shaming by the morality police who treat them as prostitutes only because they are caught at night without male companions. "The bylaws target women, robbing them off their economic, social and cultural rights," she says.

Although West Java has the most bylaws discriminatory against women, Aceh is the worst in terms of severity of punishment, which includes public caning.

The lack of enthusiasm from businesspeople to invest in Aceh's tourist industry is partly blamed on the strict bylaws, which require Islamic dress code for women regardless of their religion, banning alcohol and forbidding nightlife.

It seems like the government has a long way to go before it can annul problematic regional ordinances, especially those on morality. Even senior officials in the central government quietly admit it will be an impossible mission.

Source: http://www.thejakartapost.com/news/2016/03/28/when-scrapping-bad-bylaws-money-comes-first-then-morality.html

Governance & administration

Paperwork hampers government housing program

Jakarta Post - March 29, 2016

Farida Susanty, Jakarta – Public Works and Public Housing Ministry still faces problems, ranging from land to regulatory issues, in its flagship one million houses program, hampering its housing development plans for low-income people.

The ministry's director general of housing recorded 7.6 percent budget disbursement as of March 28 from Rp 7.6 trillion (US$569.7 million), with a mere 0.43 percent progress in physical construction. The disbursement was slower than the expected 11 percent disbursement as of March.

The ministry's housing provision plan director, Deddy Permadi, said that most of the issues were sourced from the regional administration. "The biggest hurdle is land, that's the hardest," he told the press on Monday.

Deddy said that with a limited land bank, the regional government had also not set a clear regulation to allocate land in the provincial spatial planning (RTRW) for low-income housing (MBR), resulting in the land being used for other purposes.

Contradicting regulations have contributed to the slow realization of the housing program. The Regional Administration Law stipulates that the central government is in charge of low-income housing, while Law No. 1/2011 says that the central and regional governments are to share the role in building housing.

"We have suggested a revision of the law, or at least a detailed explanation of that particular regulation," he said.

Deddy also urged the regional government to ease the issuance of permits such as location and building permits, as well as housing provision business permits for developers.

The government's one million housing program, introduced last year, aims to reduce the country's housing backlog and provide housing for low-income people. It sets a very low down payment for houses under the program, subsidizes purchases and eases administrative requirements.

The government aims to build this year 112,992 houses with Rp 7.6 trillion in funding from the state budget, comprising 11,642 apartments and 6,350 specialized houses, among others. Last year, the government built around 99,455 housing units from its Rp 7.7 trillion allocation.

The final figure for the one million houses program last year stood at around 699,000 houses, of the total one million planned to be built by 2019, of which almost 40 percent are expected from private developers, while the government is responsible for 60 percent.

The ministry plans to reduce the housing ownership backlog to 6.8 million houses in 2019, from 13.5 million houses in 2014, according to Central Statistics Agency (BPS) data. However, the limited budget continues to hamper the government's effort to reach the goal.

"We can't dream too big considering current conditions and our capacity. But compared to the target, it's really big," he said.

Source: http://www.thejakartapost.com/news/2016/03/29/paperwork-hampers-govt-housing-program.html

MUI urged to provide financial reports to public

Jakarta Post - March 28, 2016

Jakarta – The Central Information Commission (KIP) has called on the Indonesian Ulema Council (MUI) to apply transparency and provide access to its financial reports as the organization receives funds from the government and the public, the commission chairman said on Monday.

The MUI is considered a public body, according to the 2008 Public Information Transparency Law, KIP chairman Abdulhamid Dipopramono said. Although it is not a government body, the MUI receives funds from the state budget and from several ministries for programs.

"The MUI also receives funds from the public for issuing halal certificates for varied products, not only food, beverages and cosmetics but also goods and services," Abdulhamid said on Monday as quoted by tribunnews.com.

Public bodies are not only executive, legislative and judicial bodies but also other agencies or non-governmental organizations whose funds come from the state budget, regional budgets and public or foreign donations.

"A public body must comply with the KIP Law, which includes an obligation to inform the public on its programs and financial reports as well as apply good governance management such as being transparent, effective, efficient and accountable," he said.

The commission noted that the MUI had never issued regular public reports on its programs and financial statements.

The public did not know about the MUI's financial condition, the funds it received or its expenses, Abdulhamid said. Therefore, he found it was normal that questions arose recently on the MUI as it planned to expand its certification to more fields.

There was no transparent information on the MUI's official website, he added, though it would be important if the mass organization wanted to issue certificates on all sectors of people's lives like food, beverages, cosmetics, medicine, clothes and shoes, he said.

When issuing halal certificates, the MUI charges goods producers and restaurants. The more items requiring certification, the more money the MUI could rake in, Abdulhamid said, without giving further details on the cost of halal certification.

"The money it receives must be accounted for in public. Because the money spent by the certified party is borne by consumers in the end," he said.

The KIP urged the public to be critical and ask for the financial reports of NGOs such as the MUI and other organizations. The commission would facilitate public reports if its inquires were not met with an adequate response.

The MUI is the sole organization that issues halal certificates for the Muslim-majority population of Indonesia. The MUI not only issues certificates for food, beverages and cosmetics sold at retail shops, but also for commercial restaurants and fast-food chains. The organization also issues fatwas declaring things considered haram in Islam. (rin)(+)

Source: http://www.thejakartapost.com/news/2016/03/28/mui-urged-provide-financial-reports-public.html

Amnesty 'done deal' with strings attached

Jakarta Post - March 28, 2016

Tama Salim, Jakarta – House of Representatives Speaker Ade Komarudin says legislators will be able to pass the tax amnesty bill shortly after they reconvene in early April, paving the way for the unprecedented repatriation of billions of dollars kept overseas by wealthy Indonesians.

In a recent interview with The Jakarta Post, Ade expressed optimism that technical deliberations on the bill would be concluded within two weeks or a month at the latest, despite the possibility of opposition from factions opposed to the controversial tax repatriation scheme.

The Golkar Party legislator asked the public to take his word for it that the bill would be ready before legislators and the government began to discuss proposals for the state budget revision (APBN-P) in June. "I can assure you, it's a done deal", Ade said, unwilling to reveal the political process behind the legislative enterprise.

"The political process behind this is like the manufacturing process in a tofu factory. There's no need to know how the inside works. It's dirty and disgusting. What you need to know is that once the tofu is done, it's good."

Deliberations of the tax amnesty bill, which will incentivize those Indonesians storing illicit cash overseas to repatriate their money, were delayed from the House's previous sitting, raising concerns over the ability of the government to collect enough revenue to deliver on its major infrastructure promises.

"We've already struck a deal with the government after talking to the finance minister," Ade said, hinting on the important role that Finance Minister Bambang Brodjonegoro played in securing the vote from House leaders.

Ade, a staunch ally of President Joko "Jokowi" Widodo and the strongest candidate to lead Golkar, lauded the finance minister as a "smart and humble" man capable of challenging the wits of legislators when it came to the tax amnesty scheme.

"Bambang knows how to communicate with the legislative body. He knows the ins and outs of our communication with the Cabinet," he said.

He acknowledged that political will remained a hindrance in the deliberation process, saying that it might come down to a majority vote in a plenary meeting to pass the bill into law. Ade, however, pledged that the deliberation process would remain open and transparent.

The tax amnesty plan, which is expected to be implemented later this year, will pardon tax evaders and hopefully lead to the fund repatriation.

The government will slap a penalty of between 1 and 6 percent on the repatriated assets and unreported domestic assets – far lower than the 30 percent income tax rate applied to certain individual taxpayers.

Revenues from the penalties are estimated to reach between Rp 100 trillion (US$7.51 billion) and Rp 200 trillion. It is thought that this figure will be almost sufficient to plug this year's estimated Rp 290 trillion budget deficit.

In the longer term, it is hoped that an estimated Rp 4.1 quadrillion ($307.5 billion) worth of assets hidden both overseas and domestically can be used to broaden tax base and boost tax revenues.

With the fate of the amnesty bill likely assured, Ade indicated that the House would be given leeway to propose an increased budget to fund a number of postponed legislative projects this year, including the ambitious plan to build Southeast Asia's largest public library within the House complex.

According to the Golkar politician, the new library will boast lots of space that, if needed, will also be able to accommodate legislators and their staff.

Center for Indonesia Taxation Analysis executive director Yustinus Prastowo said that, rather than seeking political interests, the government and legislators should seek an agreement based on reason, pointing out the positive impact that tax amnesty would give to the country.

"The policy exchange between the government and the House seems superficial. The House needs to understand that the tax amnesty draft bill will benefit the country," he said. If applied, the regulation will bring back money stored by Indonesians overseas in tax havens such as the British Virgin Islands and Singapore.

"I think the regulation will be effective in increasing the country's revenue. It is not only the wealthy, but medium enterprises too, that will be asked to pay taxes," Yustinus added. Meanwhile, Gadjah Mada University economist Tony Prasetiantono said that while tax amnesty was unfair to compliant taxpayers, the practice was commonly done in other countries.

"Other than being an additional source of income for the state budget, the repatriation of funds parked overseas could add to foreign exchange reserves that could stabilize the rupiah," he added. (adt/wny)

Source: http://www.thejakartapost.com/news/2016/03/28/amnesty-done-deal-with-strings-attached.html

Parliament & legislation

More political parties slam House's grand library construction plan

Jakarta Post - March 30, 2016

Erika Anindita Dewi, Jakarta – More political party factions at the House of Representatives are expressing opposition to the House speaker's costly new library construction plan, saying such a project is unnecessary in the country's current economic situation.

The ruling Indonesian Democratic Party of Struggle (PDI-P), the National Mandate Party (PAN) and the Golkar Party joined the Great Indonesia Movement Party (Gerindra), NasDem and the People's Conscience Party (Hanura) in rejecting the ambitious plan.

House Speaker Ade Komarudin revealed last week a plan to build Southeast Asia's biggest library using funds from the state budget.

The library plan, which would cost Rp 570 billion (US$42.69 million), could be postponed because of a state deficit of almost Rp 300 trillion, PDI-P faction deputy chairman Hendrawan Supratikno said.

"Both of the government and the House must focus on the spending priorities. The ones that are highly prioritized should come first," he told journalists on on Tuesday.

PAN faction secretary Yandri Susanto suggested that the money for the construction plan could be used instead for public facilities for the betterment of the people.

Speaker Ade pushed for the planning for the library to start the immediately, arguing it would be beneficial to meet the needs of intellectuals. The design would imitate that of the US Library of Congress and the funds would be taken from this year's budget, Ade said.

He insisted that it is of high importance for the House to build the biggest library in Southeast Asia that would accommodate up to 600,000 books to compete with the Singapore's National Library, which has 500,000 books.

The Gerindra, NasDem and Hanura factions expressed their disagreement with the plan on Monday, when they said they believed the House would be able to work without a new library, especially in the current unfavorable economic conditions. (rin)(+)

Source: http://www.thejakartapost.com/news/2016/03/30/more-political-parties-slam-houses-grand-library-construction-plan.html

House presses ahead to build ambitious library

Jakarta Post - March 29, 2016

Nurul Fitri Ramadhani, Jakarta – House of Representatives Speaker Ade Komarudin insisted on Monday that he would press ahead with his ambitious plan to build the largest library in Southeast Asia in the legislative complex in Senayan, Central Jakarta.

The Golkar Party politician said that he would immediately discuss the plan and seek support from House factions and deputy chairpersons after the recess period so that the construction of the new library could start soon.

The initiative to build the library originated with a number of intellectuals: Nirwan Dewanto, Nirwan Ahmad Arsuka and Nong Darol Mahmada, as well as Golkar politician Rizal Mallarangeng and Democratic Party executive Ulil Abshar Abdala.

The library is set to be a world-class one, like the Library of Congress in the US, which stores 36 million books, and will beat Singapore's National Library, currently the largest in Southeast Asia.

To be the largest in the region, Ade said that he would need to gather only 600,000 books to beat the total 500,000 books that Singapore's National Library has.

The aggressive plan to build the library has drawn criticism. People's Consultative Assembly (MPR) Deputy Speaker Hidayat Nur Wahid said he considered that the construction of the library was not urgently needed.

"The library should not become a priority. It's better for the lawmakers to focus on improving their legislative performances," Hidayat said. He also questioned how often the House members would go to the library. "Only God knows," said the Prosperous Justice Party (PKS) politician.

NasDem Party faction deputy chairman Jhonny G. Plate said that House leaders should delay the construction of the library because of the country's weak economic condition.

"The country has the potential to face a Rp 290 trillion (US$21.6 billion) budget deficit this year. The funds allocated for the library would better go to open more job opportunities for people," he said.

Furthermore, he added that physical books were antiquated and it was time to move to an e-library with e-books. "We have to run with the development of technology. The House now needs more Wi-Fi and stronger internet connection to access data," Johnny said.

The House Speaker said that he would pay no mind to any critic he considered as "knowing nothing about the plan"."It's a good idea for the country, aimed at educating the nation, particularly younger generations. Why do the public or other parties still criticize?" he asked.

Ade also still insisted that there was no problem with the budget as he planned use some of the Rp 570 billion allocated in this year's budget for new legislative buildings, adding the House could ask for more funds in the revised state budget (APBN-P).

The idea to construct the library also appears amid the government's pressure to pass a tax amnesty bill. Revision of the tax amnesty bill is at the initiative of the Golkar Party and is currently under deliberation by the House's Legislative Body (Baleg).

Ade said that he would immediately finish the deliberation of the bill so that the budget to build the library would be sufficient.

Source: http://www.thejakartapost.com/news/2016/03/29/house-presses-ahead-build-ambitious-library.html

Jakarta & urban life

Jakartans don't care about Ahok's race and religion, survey says

Jakarta Post - March 31, 2016

Jakarta – The chance of Jakarta Governor Basuki "Ahok" Tjahaja Purnama staying on in the capital's top post next year might be open wide as Jakartans are most likely to choose him despite his minority status and outspoken personality, according to a recent poll.

The survey indicates Jakarta's voters are more mature and discount the two things often used to attack Ahok as issues: the fact he is Christian and of Chinese descent.

In the survey conducted by Charta Politica with 400 respondents from March 15 to 20 after Ahok announced Heru Budi Hartono as his running mate, the head of the city's Financial Asset Management Board (BPKAD), the respondents did not even dispute Ahok's outspoken and often rude comments, tempo.co reported on Thursday.

Ahok's electability ranked at 44.5 percent, according to the survey released on Wednesday. The number far exceeded that of his rival, former Justice and Human Rights Miniser Yusril Ihza Mahendra, whose electability stood at 7.8 percent.

Other people who had declared their intentions to run as candidates in the 2017 race, such as businessman Sandiaga Uno, former Youth and Sports Minister Adhyaksa Dault also raked in small amounts in the survey.

"Ahok received benefits from the disobedience of political party members," Charta Politica executive director Yunarto Wijaya said as quoted by tempo.co.

Ahok had announced that he and Heru would run as independent candidates without political party backing. The move was applauded by many, but also denounced by political parties that called Ahok's move an attempt to weaken the role of political parties in Indonesian democracy.

Two small parties, NasDem and the People's Conscience Party (Hanura), had announced their support for Ahok and Heru for next year's Jakarta election.

Moreover, the survey also showed that most Jakartan members of the ruling Indonesian Democratic Party of Struggle (PDI-P) would probably vote for Ahok. Kompas.com reported that out of 400 respondents, PDI-P voters represented the most at 19.3 percent. Of those, 67.5 percent said they would vote for Ahok to be Jakarta governor for the next term.

The PDI-P had not yet announced its official support for any candidate for next year's election. Charta Politica saw there was a big chance that the PDI-P would support Ahok because despite the refusal of several members, there has been no word yet from the chief patron of the party, Megawati Sukarnoputri.

"Megawati had not yet made any comments. There is a possibility that the PDI-P would support Ahok in the Jakarta election," he said as quoted by kompas.com.(+)

Source: http://www.thejakartapost.com/news/2016/03/31/jakartans-dont-care-about-ahoks-race-and-religion-survey-says.html

City to rehabilitate hundreds of schools

Jakarta Post - March 30, 2016

Agnes Anya, Jakarta – The Jakarta administration will rehabilitate hundreds of damaged school buildings as part of its program aimed at providing Jakarta students with proper facilities in 2017.

Jakarta Education Agency data show that of the 1,708 school buildings in the capital, only 885 were deemed in good condition.

The agency's head, Sophan Adrianto, said that the administration had allocated Rp 1.2 trillion (US$89.6 million) this year to rehabilitate 156 school buildings that had sustained minor to severe damage.

"We are focusing on improving the quality of education, including education facilities. We plan to finish rehabilitating the 156 schools within a year," said Sophan on Monday, adding that the agency was holding tenders for the projects.

He added that the agency hoped the tenders would be complete sometime between April and May to enable the project to kick off in the near future.

Sophan further said that aside from the 156 damaged schools, the administration would also rehabilitate six other schools that were initially planned to be restored last year. The project was halted after contractors assigned to carry out the restorations neglected their responsibilities.

The six schools include SMP 125 state junior high school in West Jakarta, SMP 64 state junior high school in South Jakarta and an integrated school located in the Marunda low-cost rented apartments in North Jakarta.

Learning from past experiences, the administration will only work with prominent and reliable contractors to carry out this year's rehabilitation projects, Sophan added. It will also hire consultants to supervise the project on the field.

"We have set a target that by the end of 2017, we will no longer find damaged school buildings in the city," Sophan said. He added that the administration would continue to restore 627 other schools next year with a Rp 3 trillion budget.

Of the 627 schools, the agency will be responsible for restoring 133 buildings that require total renovation. The remaining others will be rehabilitated by its subagencies, which are responsible for restoring schools with moderate to severe damage. "Meanwhile, schools with minor damage will be restored by school authorities," Sophan added.

Last week, the foundation of a library at SMK 61 state vocational high school on Tidung Island, Thousand Islands, sank and injured one teacher.

In the same week, authorities of SD Utan Kayu 08 Pagi state elementary school in East Jakarta evacuated 219 students and moved classroom activities to the neighboring SD Utan Kayu 07 Pagi state elementary school, which has suffered from collapsing and leaking roofs. Principal Rita Butar said renovations had been requested since 2014, when a roof collapsed. The renovation proposal has not been followed up, although renovations were promised.

Source: http://www.thejakartapost.com/news/2016/03/30/city-rehabilitate-hundreds-schools.html

Religious issue starts to mar Jakarta gubernatorial election

Jakarta Post - March 28, 2016

Jakarta – Religious issues have come to the fore in the political arena prior to the 2017 Jakarta gubernatorial election, with Governor Basuki "Ahok" Tjahaja Purnama claiming that a rival has started to use religion to discredit him.

Ahok, who is a Christian, has accused former justice and human rights minister Yusril Ihza Mahendra of discrediting him when the latter spoke out about a plan to evict people living in Luar Batang, where there is a centuries-old mosque, in North Jakarta.

"This area is frequently used for a religious ritual that is respected by traditional Islamic society," Yusril said on Monday while announcing that he would be the defense lawyer for 5,000 residents of Luar Batang who were fighting eviction by the Jakarta city administration, tribunnews.com reported on Monday.

Yusril did not explicitly mention the mosque, but Ahok, who has declared that he will run as an independent candidate in the election, concluded that the former minister was using the issue to discredit him.

Yusril, who is chairman of the Crescent and Star Party (PBB), an Islamic party, also intends to contest the 2017 Jakarta gubernatorial election and has started to seek the support of a number of political parties.

Luar Batang Mosque in Penjaringan subdistrict was built in 1739 by Al Habib Husein bin Abubakar bin Abdillah Al 'Aydrus, whose tomb is also located there.

Ahok has stated that he has no intention of demolishing the mosque, pointing out that it was a heritage building and protected under a city bylaw. He said he had renovated and beautified the mosque and its surroundings.

"As a lawyer, if Pak Yusril wants to challenge me he should use law. Don't discredit me, saying that I want to demolish the tomb of Habib," he told journalist at City Hall on Monday, adding that Yusril's statement could spark outrage against the Jakarta administration.

Yusril said he had been appointed to represent 5,000 residents of Luar Batang against the city administration in its plan to evict them.

With its historical background, Ahok added, the Luar Batang mosque and tomb should be put on the map of religious tourism. "What I want is to make the area a tourist destination. So it isn't the mosque that we want gone," he added.

Previously, another gubernatorial hopeful, musician Ahmad Dhani, criticized the National Awakening Party (PKB), which it was reported would support Ahok in the gubernatorial election, saying that the PKB's move was not representative of its constituents, who were Muslims. (bbn)(+)

Source: http://www.thejakartapost.com/news/2016/03/28/religious-issue-starts-mar-jakarta-gubernatorial-election.html

Film & television

KPI proposes censorship of TV programs

Jakarta Post - March 30, 2016

Jakarta – In light of numerous warning letters sent to national television stations, which it says have fallen on deaf ears, the Indonesian Broadcasting Commission (KPI) has requested that the House of Representatives amend the Broadcasting Law to give the body authority to closely monitor TV programs.

KPI commissioner Amiruddin said the KPI wanted the authority to oversee the content of all television programs, including the power to censor content before it was aired.

"House Commission I has given us the space to provide input to them regarding KPI's authority. What we have proposed has been received and is now being discussed," Amiruddin said, adding that the House of Representatives was enthusiastic about strengthening the KPI.

"With the authority to supervise the content of programs, KPI will be able to monitor programs before they are aired to prevent any inappropriate content," he said after a public discussion on television broadcasting on Tuesday.

Under the current Broadcasting Law, the KPI does not have the authority to monitor television programs before they are aired.

Asked about supervision for live TV programs, Amiruddin said the mechanism would be different from pre-recorded ones. "For live programs, we will see their Standard Operational Procedures (SOPs), what the programs are going to talk about and their duration," Amiruddin told The Jakarta Post.

Asked about the KPI's proposal, Head of Corporate Secretary of RCTI, a private TV station, Tony Andrianto, said he would wait for the results of bill deliberations.

"If there is no opposition to the passage of the broadcasting bill in the future, we will comply with it. But, I believe there will be opposition from people working in [television] production that could prevent the bill from being passed into law," Tony said.

He added that the existing Broadcasting Code of Conduct and Broadcasting Program Standards provided sufficient guidelines for broadcasters.

Executive Producer of ANTV, Hannibal Wijayanto, said KPI's warning letter had not been ignored by TV stations.

"We do quality control before we broadcast programs. KPI should just oversee what we have aired and then issue a warning letter [if the content is not appropriate]. That is frightening enough for us," Hannibal said.

He added that rather than censoring inappropriate programs before they were aired, the KPI should only impose sanctions on broadcasters after programs were broadcast.

Metro TV chief editor Putra Nababan shared a similar opinion. "We are responsible for our programs. We will not run anywhere if KPI wants to evaluate us," said Putra, adding that the bill should not limit the creativity of TV stations. (wnd)

Source: http://www.thejakartapost.com/news/2016/03/30/kpi-proposes-censorship-tv-programs.html

Armed forces & defense

Lawmakers split on TNI role in tackling drug crime

Jakarta Post - March 30, 2016

Nurul Fitri Ramadhani, Jakarta – Lawmakers are split on the suggested involvement of the Indonesian Military (TNI) in efforts to catch narcotics offenders, with some insisting that law enforcement was not part of the military's duties, while others appear to support the idea.

Mahfudz Siddiq, who heads House of Representatives Commission I overseeing intelligence, defense and foreign affairs, said the military did not need to enter the civilian realm and should only focus on combating drug use in its own ranks. "So far, the National Narcotics Agency (BNN) and National Police are enough to deal with drug cases," the Prosperous Justice Party (PKS) politician said on Tuesday.

Commission I deputy chairman TB Hasanuddin of the Indonesian Democratic Party of Struggle (PDI-P) said the TNI had no legal basis for interfering with civilian matters and combating drug criminals, as its duty was only to defend the country.

"If they directly take action against civilians, it means they are violating the law. Combating drugs is part of the task of law enforcers, such as the police, not the military. If they want to act like a law enforcement institution, we need to deal first with the regulations," Hasanuddin said.

He went on to say that it was almost impossible to revise the military law because it would collide and contradict with other laws related to law enforcement. However, he added, the TNI were permitted to support the work of the police in certain situations, such as in conducting arrests.

The idea to open the door for the military to join the war on drugs was brought up by BNN chief Budi Waseso on Monday. He said the government should enlist military force in eradicating drug criminals in response to the drug emergency.

"If the state declared a war against drug crime, it means we are in a state of war, in which the military also has the authority to engage," Budi said as quoted by news agency Antara.

According to him, TNI personnel could help detention officers guard convicts. He cited the TNI's good performance outside their military tasks, such as teaching in remote areas and helping the government accelerate the construction of road projects in Papua.

Budi contended that drug cases posed a "threat" to national security, as drug smugglers often traveled in and out of the country, so repressive action by the TNI would be acceptable.

He said cooperation between the BNN and the TNI could take the form of BNN providing data on targets to the TNI, so that the latter could take action. It could be like the "Petrus [mysterious shooters] killings", Budi said, referring to the execution-style killings committed between 1982 and 1985.

"Why do I think so? Because we don't need to humanize drug smugglers, as they don't humanize other people," Budi said.

Golkar Party lawmaker Adies Kadir agreed that the drug emergency had become a threat to the country, thus requiring extraordinary actions. "Drug smugglers are more dangerous than terrorists, because they destroy and kill younger generations slowly, so it's no longer only a civilian problem," Adies said.

Another Golkar politician, Meutya Hafid, said the police could request help from the TNI if needed, so could the BNN, and it did not matter, as long as it did not disturb the TNI's main duty.

"Nothing's wrong with the BNN's idea. The BNN must know what and when it needs. Moreover, asking help from the military doesn't always relate to weaponry use. It can be exchanging information," Meutya said.

Source: http://www.thejakartapost.com/news/2016/03/30/lawmakers-split-tni-role-tackling-drug-crime.html

Army to issue regulations on social media for personnel

Jakarta Post - March 26, 2016

Nani Afrida, Jakarta – The Indonesian Army is drafting a comprehensive guide-book on social media for its members. The guide-book will regulate how personnel express themselves.

The Army wants its members to express themselves in a way that will not shame the Army or put the institution in danger. The Army is now working to define what personnel should and should not do on their personal social media accounts.

The regulations will limit how personnel are permitted to use social media. For instance, personnel will be prohibited from talking about military operations or engaging in inappropriate selfies that will embarrass the institution.

Recently, some army personnel were reported to the military police after they published pictures of themselves on social media posing in an inappropriate manner while wearing Indonesian military uniforms.

"They can do anything they like, but do not wear the military uniform," Army spokesman Brig. Gen. Muhammad Sabrar Fadhillah said on Thursday, adding that the personnel would receive disciplinary sanctions for violating future social media regulations.

The Army acknowledged that curbing and regulating the use of social media was difficult and challenging. "Social media has its benefits, but it also has bad aspects to it. We have to make regulations so that everybody will be on the same page," Fadhillah said.

The Army is also of the opinion that social media can promote ideas and spread doctrine.

The Army has dealt with several cases related to social media. One popular case was in February last year when an Army member was reported to the military police for allegedly deceiving a woman who he had met via Path, a social media outlet.

The woman claimed that the member had seduced her by offering her a trip to Europe. She said that the member later abandoned her. The case drew media attention and ended only when the Army held a press conference to clear the case.

Military expert Mufti Makarim said he respected the Army's plan to issue regulations on social media. He said similar such regulations were implemented in many other countries. Often, strict regulations were imposed on the use of social media among military personnel, especially during special military operations.

"Usually, these soldiers have to exercise carefulness in posting photos and comments. Or they can only publish photos that have been officially distributed by the institution," Mufti said. He asked, however, that the Army issue regulations in such a way that protected the right to free expression.

Source: http://www.thejakartapost.com/news/2016/03/26/army-issue-regulations-social-media-personnel.html

Criminal justice & prison system

Experts call for KUHAP revision

Jakarta Post - March 30, 2016

Jakarta – Law experts have called for a review of several provisions of the Criminal Law Procedures Code (KUHAP), which regulates pre-prosecution, on Tuesday.

Article 14 of the code authorizes prosecutors to make pre-prosecution moves when they notice irregularities in a case dossier processed by investigators. The former may give recommendations in a bid to fill loopholes in a dossier before it is handed over to a court. Article 138 obliges prosecutors to send back a dossier to investigators after giving recommendations.

Noted law professor Andi Hamzah said prosecutors should be given the authority to be involved in an investigation from its start, rather than only giving recommendations.

Association of Indonesian Advocates (Peradi) chairman Luhut Pangaribuan said the implementation of Article 138 regularly dragged out legal procedures in a criminal case.

"The provision provides no certainty to suspects because how long a case goes on chiefly depends on how quick the dossier is completed by the police based on prosecutors' recommendations," Luhut said.

Source: http://www.thejakartapost.com/news/2016/03/30/national-scene-experts-call-kuhap-revision.html

Ministry warns of dangerous overcapacity in prisons

Jakarta Post - March 28, 2016

Haeril Halim, Jakarta – The Law and Human Rights Ministry called on the National Narcotics Agency (BNN) on Sunday to relocate drug inmates from prisons and detention centers in order to ease an overcapacity problem that may lead to a future jailbreak.

The spokesperson of the directorate general for penitentiaries of the Law and Human Rights Ministry, Akbar Hadi, said that existing drug inmates accounted for around 35 percent of the 183,000 total inmates in the country. He said they should be sent to rehabilitation centers to ease overcrowded prisons and detention facilities.

The ministry made the call after a drug-related raid conducted by the Bengkulu branch of the BNN at the Malabero state detention center led to a riot on Friday night. Five prisoners were killed in the riot. The raid was conducted to curb the distribution of drugs inside the prison.

"It is the authority of the BNN to do so. Almost every prison is overcrowded and most of the prisoners incarcerated in penitentiaries are drug convicts, who are mainly drug users, not drug traffickers," Akbar said on Sunday.

Akbar said that if the BNN did not have enough facilities to house the drug convicts, the BNN could keep them in detention centers owned by local health and social affairs agencies in order to speed up rehabilitation programs outside prison.

Currently, Indonesia's 183,000 prisoners are kept in 477 penitentiaries. However, these penitentiaries were only designed to accommodate 118,000 inmates.

With the current number of existing prison officials across the country, each prison guard is expected to watch around 55 inmates. Often, prison officials become the target of attacks by prisoners.

The country's overcrowded penitentiaries are expected to take in more drug convicts following the government's war on drug use and trafficking.

The government's strict drug laws have put more than 130 people on death row for drug crimes.

Drug convicts tend to stay longer in prison compared to other offenders as the government has issued a regulation to make it more difficult for drug convicts to receive remissions while serving time in prison.

"There is a stipulation that requires drug convicts to become justice collaborators and catch big fish in drug related cases [in order to receive a remission]. This has prevented them from going back to society after receiving counseling services during their time in prison. The regulation needs to be reviewed," Akbar said.

Akbar further said that law enforcement bodies, including the BNN, the National Police and the Attorney General's Office (AGO), should apply the principle of restorative justice in their prosecution of criminal cases, especially in regards to minor offenses, so that not all offenders with minor charges serve time behind bars.

"Punishment for minor offenses could be in the form of non-custodial sentences such as compulsory community service or a fine. Also, law enforcement should mediate between plaintiffs and suspects to see whether minor cases can be solved through mediation and discussion," Akbar said, adding that the ministry should also step up efforts to build new cells in prisons.

House Commission III member Teuku Taufiqulhadi of the NasDem Party agreed on a plan to revise PP No. 99 in order to overcome prison overcapacity issues, but he emphasized that building new prisons or adding new cells to existing prisons would not solve recurring problems.

"Remissions are the right of convicts as citizens of this country, and thus there should not be barriers between convicts and their rights," Teuku said.

Commission III chairman Bambang Soesatyo of the Golkar Party said that President Joko "Jokowi" Widodo should guarantee that Law and Human Rights Minister Yasona Laoly will allow the BNN to curb the distribution of drugs in prisons across the country. Friday's raid in Bengkulu confirmed that drug kingpins freely conduct their business inside prisons.

"The guarantee must include the green light to apprehend any penitentiary official [who helps drug kingpins sell drugs in prisons]," Bambang said.

Source: http://www.thejakartapost.com/news/2016/03/28/ministry-warns-dangerous-overcapacity-prisons.html

Mining & energy

Illegal miners shot by police, hospitalized

Jakarta Post - March 31, 2016

Palu – Twenty-one illegal gold miners are receiving hospital treatment after a clash with hundreds of police officers and forest rangers near Lore Lindu National Park in Poso regency, Central Sulawesi.

The 21 miners are being treated at Tora Belo Hospital in Sigi and Bhayangkara Police Hospital in Palu and were among thousands of miners and residents who made a convoy to Palu on Tuesday to protest a government plan to stop illegal mining activities in the park.

"Ten people suffered wounds from rubber bullets and are being treated at Bhayangkara hospital," Central Sulawesi Police deputy chief Sr. Comr. Leo Bana Lubis said. Hospital records show that at least 21 people suffered shot wounds.

At least 95 protesters were arrested after the clash. A police truck was destroyed during the clash while hundreds of miners' kiosks along road leading to the mining site were torn down and the debris burned.

Source: http://www.thejakartapost.com/news/2016/03/31/islands-focus-illegal-miners-shot-police-hospitalized.html

Fishing & maritime affairs

Farmers face losses as foreign freighters banned

Jakarta Post - March 26, 2016

Apriadi Gunawan, Medan – Thousands of farmers cultivating grouper fish in Indonesia, including farmers in Aceh and North Sumatra, are at risk of bankruptcy because they can no longer export the fish in light of the government's newly issued ban on foreign fish freighters.

Maju Bersama group leader Rizal said that after the imposition of the ban by the Maritime Affairs and Fisheries Ministry on foreign-flagged vessels (SIKPI-A), issued on Feb. 1, grouper fish raised by fishermen could not be exported overseas.

"The circular stated that foreign-flagged freighters were no longer allowed to enter Indonesian waters," Rizal told The Jakarta Post on Friday. He claimed that fish farms had suffered losses of between Rp 50 million (US$3,750) and Rp 200 million over the past couple of months.

"At the peak point of harvest in April, 100 tons of grouper raised by the fishermen, worth around Rp 80 billion, will not be exported because foreign vessels are not allowed to carry the fish directly from the fish trading centers," Rizal said.

He said 668 fish farmers in North Sumatra and Aceh who had lost their earnings over the last two months were at risk of going out of business.

"They have been cultivating fish for 18 years. Their earnings are reasonable because their products have so far been directly transported by the foreign vessels from the trading centers," said Rizal, adding that the price of fish bought by the foreign vessels ranged from Rp 100,000 to Rp 140,000 per kilogram.

He added if the grouper fish were to be sold at the local market, the price would range between Rp 30,000 and Rp 40,000 per kilogram.

Separately, Killy, a local entrepreneur who works with fish cultivators, hopes that Maritime Affairs and Fisheries Minister Susi Pudjiastuti will revoke the ban because it is disrupting the cultivation industry.

"Now, thousands of farmers under my support who are affiliated with 338 farmers' groups across the country don't know what else to do. They don't know where to sell around 621 tons of ready-to-harvest groupers," said Killy in Medan.

Killy said he supported the minister's attempt to preserve the environment by reducing the number of fish caught by fishermen at sea. In order to support the ministry, Killy said he had partnered with fishermen over the years to build cultivation farms that raise fish in floating cages, sometimes called kerambas.

"Fishermen no longer catch fish at sea, but they cultivate fish in kerambas. If they cannot sell their harvest for export, I'm afraid they will feel frustrated and return to fishing at sea. If they go back to the sea, they could damage the environment," said Killy.

He added that he had met with Susi and Maritime Affairs and Fisheries Director General Slamet Soebjakto on several occasions to resolve the issues currently faced by cultivators. However, the meetings have not yielded any concrete results.

"We hope Ibu Susi and Pak Slamet will immediately seek a solution because if this continues, it will have a negative impact on the lives of fishermen," said Killy, adding that farmers in various provinces throughout Indonesia, including in Lampung, West Nusa Tenggara, Bali and Riau Islands, also protested the SIKPI-A ban.

Source: http://www.thejakartapost.com/news/2016/03/26/farmers-face-losses-foreign-freighters-banned.html

Infrastructure & development

Deregulation and better infrastructure will help RI be more competitive: Jokowi

Jakarta Post - March 30, 2016

Ayomi Amindoni, Jakarta – Deregulation and the improvement of infrastructure across the country should be extended to help the country survive amid the tougher global completion, President Joko "Jokowi" Widodo said in Jakarta on Wednesday.

Speaking at a public discussion held by the Indonesian Economists Association (ISEI), Jokowi said that in the midst of global competition and a rapidly changing world economy, the government needs to be quicker and more flexible in making decisions.

"Our focus ahead is deregulation and infrastructure development. Even though I know industrialization is also important, the development of human resources is very important in order to be prepared, but we will proceed with deregulation and infrastructure first," Jokowi said.

Thus, the 11 economic policy packages that have been released by government since September last year have focused on simplifying and accelerating the process of licensing and fair competition. "Our orientation should be results-oriented, but speed ??is also required in competition," he said.

One of the concrete efforts undertaken was to instruct the Home Affairs Minister to remove 3,000 problematic local government regulations. In total there are 42,000 regulations in the country, according to Bappenas data.

"They ensnare and limit our flexibility and speed of action. This is what we want to remove. I ordered the home minister to remove the 3,000 problematic regulations. There is no need for them to be examined again," he said.

ISEI chairman Muliaman Hadad said that what is needed to support competitive economic growth is macroeconomic stability through price stability. "In particular, the price of food and the healthy management of the state budget," he said.

The government needs to introduce special policies to revitalize the manufacturing industry and the acceleration of competitive and export-oriented manufacturing. "Increased productivity is also a key," Muliaman added.

To increase productivity, Muliaman continued, infrastructure needs investments, especially in transportation and logistics, focusing on ports and shipping, railways, roads and internet networks. "Structural transformation is also needed to sustain growth and the reallocation of labor to added-value and higher productivity sectors," he added. (bbn)(+)

Source: http://www.thejakartapost.com/news/2016/03/30/deregulation-and-better-infrastructure-will-help-ri-be-more-competitive-jokowi.html

Economy & investment

Weak manufacturing predicted to drag investment this year

Jakarta Post - March 28, 2016

Tassia Sipahutar, Jakarta – Weak manufacturing growth is projected to drag investment prospects this year, with no bottoming out in sluggish manufacturing anytime soon.

A new report by DBS Group Research found that investment underperformed in the past three years despite rapid growth in the last quarter of 2015.

Investment grew 6.9 percent year-on-year (yoy) in the fourth quarter of 2015, its fastest growth since 2013. However, it has accounted for only 30 percent of the gross domestic product (GDP) from 2013 until now. When compared to the 8 percent average growth in the previous 10 years, investment has only risen by an average 4.9 percent from 2013 until 2015.

The report argued that the problem was not in infrastructure despite talks surrounding the "sorry state of infrastructure". "Investment in buildings and structures [about 75 percent of total investment demand] has actually remained relatively stable, averaging 6.2 percent growth per year for the past three years."

Instead, machinery and equipment components – all of which are related to manufacturing – have been lagging. DBS pointed out that investment in machinery and equipment fell mostly in the negative territory between 2013 and 2015 after a period of strong growth in 2011 and 2012.

DBS economist Gundy Cahyadi wrote in the report that since most machinery and equipment was imported, imports of capital goods had also been falling since the middle of 2013.

"This is why recent data continues cause worry. As of February 2016, imports of capital goods were about 35 percent lower than they were three years ago. We have yet to see any sign of bottoming out."

This is in contrast to imports of consumer goods, which have rebounded with the rupiah's recovery.

As imports of capital goods continue their downward trend, so does manufacturing. Manufacturing GDP growth, as shown by the report, came in at 4.3 percent in 2015, the slowest since 2008-2009.

DBS said that there should be significant recovery in manufacturing. Otherwise, the country will continue to see lackluster performance in manufacturing and equipment that will impact investment performance, when investment itself is expected to assist Indonesia in achieving 5.3 percent economic growth in 2016.

Meanwhile, an earlier report by the World Bank put emphasis on manufacturing improvement as well. In its Indonesia Economic Quarterly report, the World Bank said that a breakthrough in the freight logistics system and infrastructure had to be supportive for manufacturing industries to grow.

According to a recent World Bank survey, logistics costs account for 20 percent of sales in Indonesia. In terms of inventory, it is also higher compared to in other countries at 26 percent of total logistics costs, whereas in it stands at 16 percent in Thailand and 13 percent in Malaysia.

"Many manufacturers simply do not know when their parts will arrive due to uncertainty in port handling, paperwork and road transportation. To avoid production delays, firms keep inventories high, which increases overall logistics costs."

Source: http://www.thejakartapost.com/news/2016/03/28/weak-manufacturing-predicted-drag-investment-year.html

Rupiah becomes mandatory in oil, gas transactions

Jakarta Post - March 26, 2016

Anton Hermansyah, Jakarta – The government has stipulated the mandatory use of the rupiah in oil and gas – related transactions, after nine months of delay for settling technicalities.

Before implementing the measure, the Upstream Oil and Gas Special Task Force (SKK Migas) had to classify which transactions to list in Category 1 (obligatory use of rupiah in quotation and payment) and which in Category 3 (optional use of the national currency either partially or both in quotation and payment).

"Transactions such as office rental and salary payment are Category 1, all Rupiah. But for transactions like leasing equipment, if it is still imported and using high technology, the quotation can be in foreign exchange, but the payment must be in Rupiah," SKK Migas' risk and division head Muhammad Hatta Filsafawan told thejakartapost.com on Thursday.

He explained that Bank Indonesia (BI) had provided a decade-long grace period for Category 3 transactions. After 10 years, all transactions in Category 3 must use rupiah for both the quotation and the payment.

"But there is a permanent exception for transactions that directly affect the government budget (APBN), such as oil trading. Foreign currencies are allowed to be used for trading oil, both in the quotation and the payment," Hatta said.

The Jakarta Interbank Spot Dollar Rate (JISDOR) had been chosen as the reference quotation, with zero spread, he explained. If there was a need to exchange between US dollar and rupiah, it would be settled within the same day.

"But to speed up the process, we encourage the contractors [K3S] and vendors [K3S suppliers] to open accounts with the same bank," Hatta said.

SKK Migas Deputy of Business Control and Support Rudianto Rimbono added that the agency and 14 vendors, including Chevron, Pertamina, Medco, ConocoPhillips and Petrochina, were in the process of building a Centralized Integrated Vendor Database (CIVD).

"The CIVD makes vendor registration more efficient. Vendors only need to register in one of them to have them registered with all 14 K3S," he said, adding that it would provide information on tenders and projects as well as vendor data on one website. SKK Migas aims to have all K3S join the CIVD by 2017. (ags)

Source: http://www.thejakartapost.com/news/2016/03/26/rupiah-becomes-mandatory-oil-gas-transactions.html

Firm halts expansion over controversial bill

Jakarta Post - March 26, 2016

Prima Wirayani, Jakarta – Publicly listed PT Multi Bintang Indonesia, the country's largest brewery, has decided to put a break on its expansion plans because of uncertainties related to the ongoing deliberations over a controversial alcohol prohibition bill at the House of Representatives.

In a statement circulated on Thursday, the maker of the world-renowned Bintang Beer said it would postpone the expansion of an alcoholic beverages plant worth around Rp 635 billion (US$47.63 million) until legislators had come to a final decision on the bill.

Multi Bintang had planned to expand its factory in Sampang Agung, Mojokerto regency, East Java. The Sampang Agung factory was opened last year with Rp 200 billion in investment and an annual production capacity of up to 50 million liters of carbonated drink. "Multi Bintang will hold on its brewery expansion investment plan, pending legal certainty," the statement read.

Last year, all 10 party factions at the House agreed to continue deliberations on the possible prohibition of alcohol. Legislators who support the bill have argued that Indonesia needs a stronger legal standing to control the production and consumption of alcohol.

The bill, sponsored by the United Development Party (PPP) and the Prosperous Justice Party (PKS), political organizations that are Islamist in their orientation, has become one of priority bills under this year's National Legislation Programs (Prolegnas).

Nationalist parties like the ruling Indonesian Democratic Party of Struggle (PDI-P), the Golkar Party and the Democratic Party, meanwhile, have not shown any particular resistance to the bill.

The bill, reminiscent of the US' prohibition efforts of the 1920s, would outlaw the production, distribution and sale of all beverages with more than a 1 percent alcohol content.

The Indonesian Malt Beverage Producers Association has expressed concern that once passed into law and put in place, the bill would effectively shut down manufacturers along with their supporting distribution chains.

Even without the proposed bill, Multi Bintang saw its business performance decline throughout last year mainly due to a ministerial regulation that prohibited the sale of beer in minimarts and convenience stores in addition to sluggish economic conditions.

"This [regulation] severely impacted the availability of beer for many consumers of legal drinking age," the company's statement read. "We continue to engage in dialogue with the government to provide more effective solutions to address concerns of underage consumption."

Multi Bintang, a subsidiary of Dutch brewery Heineken International, saw its sales drop by 9.7 percent year-on-year to Rp 2.7 trillion last year. Although its cost of goods sold declined by 4.24 percent to Rp 1.13 trillion, the firm still saw its net profit plummet by 37.5 percent to Rp 496.71 billion last year.

The deep drop in net profits was also caused by penalties from the Directorate General of Customs and Excise amounting to Rp 221 billion for administrative errors between November 2010 and May 2014.

In a bid to offset losses caused by unfavorable regulations, Multi Bintang has expanded its range of non-alcoholic beverages. It also plans to launch new flavor extensions for the Green Sands brand in this year's second quarter.

Despite having the world's largest Muslim population, alcoholic drinks have deep roots in Indonesian society. The alcohol prohibition bill, however, includes exemptions for certain provinces and locations that depend on tourism.

PPP lawmaker Arwani Thomafi, who chairs the House's special committee for deliberation on the bill, said last week that the committee hoped to complete its deliberations by the middle of the year. "We will discuss [public recommendations] more deeply and may invite medical experts to answer our questions [regarding the bill]," he said.

Source: http://www.thejakartapost.com/news/2016/03/26/firm-halts-expansion-over-controversial-bill.html