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Indonesia News Digest No 12 - March 17-23, 2005

Aceh

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 Aceh

Mistrust impedes rebuilding of Aceh

Wall Street Journal - March 21, 2005

Timothy Mapes, Jakarta -- As Indonesia embarks on a massive effort to rebuild swaths of Aceh province wiped out by the Dec. 26 tsunami, government officials say coordination is being complicated by foreign agencies' focus on shielding their aid from corruption.

The international effort to assist Asian countries hit by the disaster now needs to concentrate on rebuilding, and shift away from providing immediate relief for survivors, Asian Development Bank President Haruhiko Kuroda said Friday. He was speaking at a meeting of aid and government officials in Manila attended by officials from the worst-hit Asian countries, including Indonesia, Sri Lanka, Thailand, India and the Maldives.

"At this stage, the most crucial point is how to utilize wisely those already-committed resources," Mr. Kuroda said, stressing that donors need to avoid overlap with other agencies and work closely with local governments to ensure donations are well spent.

But in Aceh, a province at the northern tip of Sumatra island that suffered the worst damage in the region, the rebuilding effort is being slowed in part by those very efforts at coordination, as well as by the sheer scale of the disaster. Almost a quarter of a million people are dead or missing out of the province's population of 4.2 million, and volunteers recover and bury hundreds of dead bodies every day as they clear away mud and debris.

Indonesian officials are working on a master plan that will attempt to set out who will rebuild what and where. The World Bank estimates it will cost at least $4.5 billion over the next several years to replace the hundreds of schools, miles of roads, dozens of health clinics and other facilities destroyed by the tsunami and the powerful earthquake that spawned it.

The master plan is due to be released by Saturday. But the senior official in charge of drafting it warns that her work is being disrupted by the refusal of many foreign donors -- including the US, Japanese and Australian governments -- to mix their funds into Indonesia's budget because of concerns about corruption.

"I am worried that the well-motivated desire by so many donors to plan their own programs is overwhelming the staff of our government agencies, and even delaying our preparation for the future," Sri Mulyani Indrawati, Indonesia's minister for planning and development, said in a speech submitted this month to the Paris Club, a group of donor nations. "If we are serious about harmonization, then donors should channel a higher share of their funds through the government budget, and the government must demonstrate that it is worthy of this trust."

In an interview, Ms. Mulyani added that she wants more donors to contribute to trust funds set up by the World Bank and the Asian Development Bank, instead of running their own projects. Those funds, she said, are better placed to work with planning officials in developing key projects. Jakarta hopes the bulk of the rebuilding can be financed by foreign donors.

By contrast, many of the smaller aid agencies that have flocked to Aceh often have complex procedures for the release of funds, which officials say hinder their integration into broader plans. The government has said it will scrutinize the work of smaller agencies to see whether they can make a real contribution to the rebuilding effort; those that can't may be asked to leave.

Yet many aid agencies have deep misgivings about dealing with the government in Indonesia, a country with a history of graft. A survey this month of Asia-based executives by the Hong Kong-based Political & Economic Risk Consultancy, for example, ranked Indonesia as the most corrupt country in Asia. In Aceh, the province's governor is on trial charged with siphoning off state funds for his own use. The governor has denied the charges.

Foreign-based charities also are coming under increasing pressure in their home countries to account for how their funds are spent. They expect to face special scrutiny in Indonesia because of its history of bureaucratic graft and waste.

While Ms. Mulyani acknowledged that corruption is a problem in Indonesia, she also noted that President Susilo Bambang Yudhoyono's government repeatedly has promised to crack down on the problem since it came to power in October. She added that new monitoring systems have been set up to oversee the use of tsunami-related donations, including the appointment of an independent auditor. The World Bank and Asian Development Bank have hailed their trust funds as a good solution for independent donors to contribute. Both institutions recently created special funds -- expected to total several hundred million dollars apiece -- to pool donations for projects identified in consultation with the government.

But some aid agencies fault the World Bank and ADB for agreeing to turn over the money to the government. The US Agency for International Development is one of many that instead insists on dealing directly with local partner organizations.

"We're just continuing to work as we have always worked in Indonesia, which is directly with local partners," said Betina Moreira, Usaid's director of communications in Indonesia.

She noted that the agency has already spent about $50 million on projects in Aceh, and hopes to receive a substantial portion of the $950 million in funds that the US government has pledged to the Asian countries hit by the tsunami disaster.

Josef Leitmann, who will manage the World Bank's special fund for Aceh and North Sumatra, counters that his fund will apply all of the World Bank's standard procedures on funds disbursement. "This will not be a blank check," he said, adding that the fund could be an easy way for smaller groups without their own auditing systems to take advantage of the World Bank's experience in monitoring its spending in Indonesia.

Foreigners in Aceh face questions about visas

Jakarta Post - March 23, 2005

Nani Afrida, Banda Aceh -- Just days after the government extended the deadline for all foreigners to leave Aceh by March 26, an immigration official said on Tuesday some 1,175 foreigners have to leave the province to get their visas-on-arrival renewed.

Head of Banda Aceh Immigration Office Amirullah said the foreigners have to leave Aceh before March 26 since their visas- on-arrival could no longer be renewed within the province. "Those foreigners have extended their visas-on-arrival twice, so we can't do it anymore," Amirullah said.

He said there are currently 1,338 foreigners in Aceh, but only 163 of them entered using social/cultural visas, while the remainder, or 1,175, used visas-on-arrival.

"Those using visas-on-arrival have to get out of Aceh to apply for a visa at the Indonesian Embassy in their respective countries. Those who came using social/cultural visas can extend their visas here in Indonesia," Amirullah said.

Of the foreigners, many are humanitarian workers and UN workers, who were granted visas following the emergency situation after the tsunami hit the province on Dec. 26.

On Tuesday, the government also announced in a statement that foreign aid workers working for humanitarian organizations and agencies in Aceh would be able to renew their visas for a further month after March 26 in Banda Aceh upon their visa's expiry.

However, Amirullah said his office had not been made aware of a new policy on visas-on-arrival from the central immigration office in Jakarta. "Up until now, there's been no change of policy," he said, adding that if the foreigners were still staying, they would be considered illegal visitors and deported.

However, he was confident that foreigners in Aceh already knew about the policy, considering that many of them had sought information from Banda Aceh Immigration Office over the last few days.

The government also announced that it would gather information on the future plans and activities of organizations operating in Aceh to determine how they can best meet reconstruction needs, setting the deadline for between March 27 and April 27.

"The Indonesian government would like to confirm that it continues to hold open the door for foreign humanitarian organizations and agencies to participate in the reconstruction and rehabilitation process in Aceh," Coordinating Minister for People's Welfare Alwi Shihab, who is in charge of reconstruction, said in a statement.

Organizations that wish to continue operating in Aceh are requested to fill out a form on their planned activities and funding sources by April 27. The government will then determine which humanitarian organizations are essential in the rebuilding process.

After April 27, a mechanism to allow those organizations that are qualified for long-term reconstruction efforts to remain in Aceh will be established.

"The government does not intend to stop or limit the activities of legitimate humanitarian organizations, particularly those associated with the United Nations or accredited by donor countries, but asks that all organizations be transparent about their qualifications, their activities in the reconstruction phase and their financial sources," Alwi said.

Indonesia extends aid workers deadline

Australian Associated Press - March 18, 2005

Indonesia has backed down on a threat to expel foreign aid workers from Aceh, granting them a two-month extension to continue relief efforts.

As the Indonesian government puts the finishing touches on a mammoth five-year reconstruction plan for the tsunami-shattered province, the office of top welfare minister Alwi Shihab released a statement saying foreigners could stay for the time being.

It cited delays with the recovery blueprint for the policy change.

The government had previously said relief agencies not directly involved in reconstruction work must quit the politically- sensitive province by March 26.

That date marks the three-month anniversary of the earthquake and tsunami that devastated Aceh's coast, swallowing entire communities and killing more than 126,000 people.

Alwi said foreign military personnel in Aceh were also welcome to remain if they held valid visas, or if there was a special request from the government for them to stay.

"There are just a handful of countries with military personnel still carrying out humanitarian work in Aceh, and they won't be asked to leave unless their visas have expired," he told the Jakarta Post.

The decision was reversal on Alwi's previous insistence that the government would limit the number of foreign aid groups to those working on reconstruction.

Analysts had interpreted the March 26 deadline as evidence that Indonesia intended to re-impose a clampdown on the province, where security forces have waged a long-running battle against separatist rebels out of the international spotlight.

There are close to 160 aid groups operating in Aceh, ranging from large United Nations agencies like UNICEF to small faith-based groups from around the world.

A spokesman for the international aid group CARE said the agency had been unconcerned about the deadline, because it had a long- term reconstruction role in Aceh.

But a spokesman for the International Committee of the Red Cross in Aceh, Bernt Apeland, said the decision was welcome. "The emergency phase is now over," he told AAP. "But there are still needs and problems which need to be met in the weeks and months ahead, so it's a very positive development." A European aid official told Associated Press the government had realised "there was no way they could handle the situation in areas like education and health and sanitation without these international organisations."

The government has largely completed the blueprint for Aceh's reconstruction and has allocated 45 trillion rupiah ($A6.31 billion) for rebuilding the province within the next five years.

National Development Planning minister Sri Mulyani Indrawati said the government would build sea walls and plant mangrove forests along Aceh's coast to reduce the impact of possible future tsunamis.

But Jakarta is still wrestling with the problem of how to relocate up to 400,000 people left homeless by the tsunami and who used to live in beachside communities.

Aceh's disasters: 'Man-made' and natural

Jakarta Post - March 18, 2005

Aguswandi, London -- It is almost impossible to imagine what the lives of tsunami survivors is like. Not only have they lost many members of their families and all their worldly goods, but they will have to try and rebuild a life in an ongoing conflict area that is little more than a man-made disaster. It is not only time to try and rebuild Aceh's infrastructure, but also time to solve the ongoing conflict in the province.

Imagine Fatimah's life. She is the wife of a local journalist. When she woke up on the morning of Dec. 26 she had a family, two children and a loving husband, a home, and dreams for all their futures. By mid-afternoon she was alone, searching for her two children and her husband. On Dec. 27, she woke up in a temporary camp for the displaced, along with thousands of others. Her only remaining hope was to find the bodies of her family. Fatimah is 40 years old. A simple Acehnese woman with simple dreams has lost everything and more.

Fatimah has survived, sort of. In a refugee camp in Banda Aceh, she blames herself for being alive, "Why have I survived? Why was I spared?" But this is her fate. She has to build a new life. Over 250,000 people did not have this opportunity. They are gone, killed by the biggest natural disaster in the history of Indonesia, let alone Aceh. The tsunami has left 400,000 displaced people. It has destroyed half the Acehnese capital, swathes of Great Aceh and Calang and Meulaboh. For the surviving Acehnese, it is a different world.

But even before the tsunami hit Aceh was a disaster zone, this one caused by man. When the tsunami hit in December the province was under a second period of civil emergency. Civil emergency,an extension of the preceding martial law, imposed restrictions on the locals and destroyed the life of the population.

The conflict has claimed over 3,000 lives in the last two years. More people were killed in Aceh in the two years before the tsunami than over the same period in the Palestine and Israel conflict. It has destroyed huge chunks of the infrastructure. Local government says that at least 40 percent of the local population are living in poverty as a result of the conflict. If you travel on the road from Medan to Banda Aceh, the number of police and military security posts outnumber medical centers and schools.

Pre-tsunami Aceh continued to resemble Indonesia under Soeharto. The military and police continue to control not only security but politics too. Aceh is the only place where the military's dual function integrating security and political responsibilities continue both in theory as well as practice. Several districts and sub districts are under military control.

Indeed the current "civilian" authority is in the hands of the police. Numerous restrictions are imposed on the local population. The tsunami is just the icing on the cake. In a refugee settlement in Banda Aceh somebody joked that from Sukarno to Soeharto, and from Susilo Bambang Yudhoyono to Tsunami, all are the same: Creating chaos for the Acehnese.

But there is still optimism. Locals are talking about how the horror of the tsunami can provide an opportunity to build a totally new Aceh. This new Aceh should be -- and can be -- different to the pre- or post-tsunami Aceh. According to Rufriadi, head of the Legal Aid Foundation in Aceh, who has himself lost everything, building this new Aceh is not simply about infrastructure or development, but also building peace.

However, this new Aceh is definitely not the one outlined in some blue prints included BAPENAS' blue print. There are no provisions for dealing with the conflict. The blueprint simply aims to return Aceh to "normal", the conflict-shattered Aceh that still existed on Dec. 25. Aceh's pre-tsunami "normality" was abnormal. And yet few of the reconstruction plans on the table even mention peace-building.

Numerous foreign aid agencies are overlooking the fact that Aceh is a conflict zone. It is not just the ground zero of a monumental natural disaster, but also a thirty year conflict.

The inadequacy of the planning and the blueprint are not surprising given that -- once again- the Acehnese people have not been involved in the discussions about their future. Not how, who, where or when. Once again their future is being handed down to them from above, namely Jakarta. Despite many promises by Jakarta that the locals will be consulted, it remains clear that there is no mechanism being developed for the inclusion of the Acehnese in the process of reconstruction.

In fact a recent attempt by several Indonesian and Acehnese civil society groups in Central Aceh to hold a discussion forum on the reconstruction process and how to involve people was banned by the civil emergency authorities. If the Acehnese are not involved in either the direction or detail of their homeland's reconstruction, nor in the discussions for terms of peace in their homeland, they will be doubly disenfranchised .

Aceh's reconstruction is a vast task. The province should be opened to anybody offering assistance. The international community must be given latitude in their work to support the Acehnese people and the reconstruction of their home. Yet this involvement is currently under threat. The government issued a deadline of March 26 for foreign workers in Aceh to leave the devastated province. Initially it was given to foreign troops only, but recent statements from the Police Task Force spokesman in Aceh indicate that this is being expanded to include certain foreign humanitarian groups as well.

However the problems are not simply generated by the government. There is also a very clear lack of understanding or knowledge about Aceh within most agencies now working in the province. Staff brought in from all over the world, while experts in their thematic field, know nothing of the people or the problems they have confronted their whole lives. While most have some understanding that the province has experienced a long-term conflict there seems to be little understanding of -- let alone planning for -- an active military presence, weak civilian structures, and a terrorized population.

[The writer is an Acehnese human rights campaigner working as a researcher for TAPOL, the Indonesia Human Rights Campaign in London.]

Responding to Aceh's tsunami crisis

Liberation Journal - Vol 48, No. 1, 2005

[Note that this article was written a while before publication so may be a little out of date]

Paul Barber -- The Indonesian government's response to the breakdown of peace talks with the separatist Free Aceh Movement, GAM, in May 2003 was immediate and rapid. Within 24 hours it had declared martial law and launched its largest military offensive since the invasion of East Timor in 1975.

British-supplied Hawk jets were used to escort transport planes carrying troops to Aceh. Armoured vehicles made by the British company Alvis were deployed to the province as part of the war effort.

By contrast, Jakarta's initial response to the catastrophic disaster caused by the killer earthquake and tsunami, which struck Aceh on 26 December, was slow, uncoordinated and even obstructive. For political reasons associated with the war against GAM, the Indonesian government and its military were at first extremely reluctant to involve the international community in the relief effort.

The British government's response was similarly tardy. An initial commitment of #15 million to the disaster fund for the region was increased to #75 million only after it became clear that it would be exceeded by donations from the British public. The amount pledged by the government still pales in shameful comparison to the billions spent on the war in Iraq.

The disaster in Aceh has been componded by the legacy of decades of violent conflict and repression. Indonesia's war with GAM has been raging since the mid 1970s. Thousands of people have been killed, imprisoned and tortured, the majority civilians.

The Indonesian authorities severely restricted access to Aceh by international humanitarian organisations, journalists and foreigners following the imposition of martial law in May 2003. This partly explains why news about the scale of the disaster, which has claimed over 110,000 Acehnese lives with a similar number still missing, was slow to emerge.

In the critical early aftermath of the tsunami the government sent out mixed messages about the lifting of restrictions with the result that desparately-needed aid and assistance was held up.

Intimidation and violence against local NGOs by the security forces have incapacitated civil society and curtailed its ability to respond to the crisis. There is concern also that corruption, which is endemic in Aceh and throughout Indonesia and a major source of income for the military, will dissipate the aid effort.

Britain's contribution to the Aceh conflict, which has already caused so much suffering and exacerbated the current crisis, is little understood by the British public who have given so generously. The use of British-supplied military equipment in Aceh, the British government's ineffective monitoring of exported equipment and its reliance on end-use assurances "not worth the paper they are written on" were heavily criticised by a committee of MPs earlier last year.

The British government actually facilitated the use of British military equipment in Aceh by agreeing to relax undertakings which would have prevented the deployment of jets and tanks to the province.

A recent High Court case in London revealed the payment of a #16.5 million bribe to secure a contract for the export to Indonesia of some of the British tanks subsequently used in Aceh. The cost is being met by British and Indonesian taxpayers. Indonesia still owes Britain over #550 million for the equipment purchased under this corrupt transaction and other deals underwritten by the taxpayer through the Export Credit Guarantee Department (ECGD).

International aid agencies and foreign governments are now engaged in the relief effort, but there are understandable fears that in the longer term, after the international community has diverted its attention, the Indonesian military will use its increased presence in Aceh to consolidate its control of the territory and step up its offensive against GAM.

The government has insisted that foreign troops providing humanitarian assistance must leave by the end of March. In the meantime, military operations have continued despite the humanitarian crisis. Disturbing reports have emerged about unprovoked attacks on civilians resulting in a number of deaths.

The relief and reconstruction of Aceh will be a long and painful process which cannot be achieved without a commitment to peace by both sides.

Military operations should cease immediately and international humanitarian organisations, aid workers and journalists should be allowed unrestricted access for an unlimited period. Aid should be chanelled through international agencies and local NGOs so that it is not controlled by the military or corrupt intermediaries.

The British government can contribute far more to the aid effort by cancelling all "odious" debts relating to arms sales so that Indonesians and Acehnese are not obliged to pay for weapons which have been cruelly used against them. Debt relief should be conditional upon a permanent cease-fire in Aceh and upon the establishment of mechanisms to ensure that the funds released are disbursed to the most needy, are not affected by corruption and are not misallocated to fuel the conflict or benefit the military.

The political dynamics of the Aceh conflict may have changed since the tsunami disaster, but the search for common ground between the parties continues to be elusive. GAM is intent on independence whereas the government will not countenance any move which would undermine the territorial integrity of Indonesia and will not go beyond an offer of special autonomy. Recent peace talks in Helsinki came to nothing although further talks are scheduled for 21 February.

Indonesian police to rejoin hunt for rebels

Agence France Presse - March 17, 2005

Police in Indonesia's tsunami-hit Aceh province will rejoin the military pursuit of separatists because the rebels have started regrouping.

Aceh police chief inspector general Bahrumsyah said his men would begin doubling up reconstruction efforts with security operations next week, exactly three months after the waves struck on December 26, the Kompas newspaper said Thursday.

"Humanitarian operations will be continued but it will be done in conjunction with an operation to restore security," he said.

Military operations against the Free Aceh Movement (GAM) rebels, who have been fighting since 1976 for a separate homeland in the Sumatra island province, have continued in the wake of the tsunami, despite a guerrilla ceasefire.

Police were involved in anti-rebel security operations before the disaster, but they were diverted to humanitarian duties in the weeks that followed.

Bahrumsyah said police would deploy on March 26 for a "security restoration" team tasked with hunting down rebels, in comments published by Kompas. He could not immediately be reached for confirmation and his office refused comment.

Indonesian authorities have set a March 26 deadline -- marking three months from the disaster -- for the withdrawal of foreign troops and some aid agencies from Aceh.

The move has sparked fears that humanitarian efforts would suffer as a result of the new restrictions, seen by many as an attempt by Jakarta to seal off the rebels from outside contact.

Both the government and rebels have been involved in peace talks in Helsinki during January and February, and although a new round of dialogue has been scheduled for next month, clashes have continued on the ground.

Bahrumsyah said the disaster had tied up security forces and had led to a lowering of hostilities allowing the rebels, known by their Indonesian acronym GAM, to regroup.

"I estimate that the GAM forces are now better than before the tsunami, therefore the security operation is urgently needed so that the rehabilitation and reconstruction phase in Aceh can proceed smoothly," he said.

More than 12,000 people have been killed since Aceh separatists began their struggle 29 years ago, claiming that Jakarta was plundering the resource-rich province's wealth.

The government declared martial law and launched a major military offensive in the province in May 2003 but it has since downgraded this status to a civilian emergency.

 West Papua

More troops for Papua province

News.com.au - March 22, 2005

Greg Poulgrain -- The Indonesian military is planning to increase troop numbers in restive Papua province by an additional 15,000 personnel from Kostrad, the Strategic Reserve Command.

Kostrad Commander Lieutenant-General Hadi Waluyo announced the increase last Wednesday.

The extra division to be sent to Papua represents almost a 50 per cent increase in troop numbers, taking the number of security force personnel in Indonesia's most easterly province to more than 50,000.

Separatists have been active in the region since Indonesia took control in 1963, but Lt-Gen Hadi explained: "The decision to expand was based on considerations about the direction of threats to Indonesia's defence."

The border between Indonesian Papua and Papua New Guinea was specifically mentioned, but the only cross-border incursions in recent years have been by Indonesian troops into PNG territory.

There is already a strong Indonesian troop presence around Oksibil in the central highland region, where 30,000 Papuans fled east across the border into PNG in the mid-1980s. Remote but army-controlled, this region now has 10,000 non-Papuans mining alluvial gold which is flown out by helicopter to Jayapura and then sent to Jakarta.

As well, in the southern reaches along the PNG border, a major oil and gas deposit reportedly was discovered last month.

The increase in troop numbers flies in the face of the US State Department's report on Indonesian human rights infringments in 2004. Published last month, the report stated: "Security force members murdered, tortured, raped, beat and arbitrarily detained civilians and members of separatist movements... in Aceh and Papua."

The planned increase of Indonesian troops in Papua comes less than a month after the resumption of US-Indonesian military ties.

Army to station extra division in Papua

Jakarta Post - March 19, 2005

Tiarma Siboro, Jakarta -- The Army plans to set up a new division of elite troops and station it in the country's westernmost province of Papua, where rebel groups have been fighting a low intensity guerrilla war for the independence of the mineral-rich region for decades.

Army spokesman Brig. Gen. Hotmagaradja Pandjaitan said on Friday that the plan would involve the gradual deployment of up to 15,000 troops from the Army's Strategic Reserves Command (Kostrad) from 2005 through 2009.

"The first 5,000 troops will be recruited from Makassar in South Sulawesi. They will be deployed in Sorong, Papua. To bring the number up to a total of 15,000, we will also recruit troops from military commands (Kodam) nationwide," Pandjaitan told The Jakarta Post.

According to him, the establishment of the new division was in line with the Army's guidelines on the development of its strength.

Pandjaitan said the deployment of more troops was also aimed at securing the border between Indonesia and next-door neighbor Papua New Guinea.

Following the establishment of the new division, the Army will have three divisions of elite troops. The other two are currently stationed in Cilodong, West Java, and Malang, Central Java. Each division consists of between 10,000 and 12,000 troops.

Pandjaitan refused to disclose the total cost of raising the new division, saying that "the Army will hold a hearing with lawmakers next week, during which we plan to discuss the issue." "This is not a cheap project and it will have to be carried out in accordance with our budget," he said, without elaborating. Currently, Kostrad has around 29,000 troops, giving it the largest establishment of all the country's military units.

The plan to set up the new Kostrad division in Papua comes amid allegations that the military has been abused humanitarian aid funds to finance its antiseparatist activities in the province.

Papua has been the scene of a sporadic guerrilla rebellion since 1963 when Indonesia took over the mountainous and undeveloped territory from the Dutch administration. There have been widespread allegations of military abuses down through the years.

Indonesia's military, which is facing major funding shortfalls, currently has only a few thousand troops in the Papua. Any increase will be a major drain on its budget.

Earlier this week, West Papua Baptist Church president, the Reverend Sofyan Yoman, said Indonesia's armed forces in Papua had been using funds set aside for humanitarian projects to bankroll military operations, AFP reported.

 Military ties

Indonesia hopes US visit will boost military ties

Jakarta Post - March 23, 2005

Muninggar Sri Saraswati, Jakarta -- Defense Minister Juwono Sudarsono says the US government and legislators now have a better understanding of the Indonesian Military (TNI) after his delegation's week-long visit to the country.

After reporting to President Susilo Bambang Yudhoyono on Tuesday about last week's visit, Juwono said influential US figures now better understood the TNI and its role in the country's democracy.

"They, including Senators Patrick J. Leahy and Russel Feingold who are the most critical [of the military], now understand the problems faced by the TNI," he said.

The delegation informed legislators about Indonesia's progress in establishing democracy, the reform drive within the military and the role of the military in economic and democratic development, the minister said.

Juwono also mentioned the problems faced by the TNI, including its limited state budget allocation, which is deemed sufficient to cover only half of the military's expenditure.

He compared the country's defense budget of Rp 21 trillion (US$2.28 billion) a year with that of Singapore, which has a budget equivalent to Rp 45 trillion a year and Thailand's, of Rp 50 trillion.

"I told them that I led the best underpaid defense force in Asia. They were very surprised that with such a small defense budget, Indonesia remained unified despite the large number of citizens and our large territory," Juwono said.

Juwono's visit to the US was to encourage the government to fully resume military ties with Indonesia. The US recently decided to reinstate the International Military Education and Training (IMET) program with Indonesia.

The Indonesian delegation met with US Minister of Defense Donald Rumsfeld, Deputy Minister of Defense Paul Wolfowitz, who has just been promoted to head the World Bank, Deputy State Secretary Robert B. Zoelllick, Senator Richard Lugar, Senator Christopher Bond, Senator Russell Feingold, UN Secretary Kofi Annan and former US state secretary Henry Kissinger.

The US has yet to annul its decision banning the sale of military equipment and spare parts to Indonesia.

Juwono said that the government hoped to be able to buy new military equipment and spare parts from the US after the resumption of the IMET program, which is expected to start again by September at the latest.

"This year is for [the resumption of] the IMET program. Other programs, such as the Foreign Military Equipment Sale and Foreign Military Financial Program, depend on the resumption of the training. If this occurs, and is in line with economic growth, we could be allowed to buy new defense equipment," he said.

Kissinger had promised to convince the US Senate to speedily approve the resumption of IMET with Indonesia by September, he said.

Juwono said he told US legislators that the legal processes concerning the TNI's involvement in the 1999 human rights violations in East Timor were still ongoing although most of the convicts, particularly TNI personnel, had been acquitted by lower courts.

The inability of the courts to convict Indonesian Military officers for war crimes is one reason why the U.S Congress has voted to continue the arms embargo.

 Reconciliation & justice

Justice for 'G30S' detainees

Jakarta Post - March 22, 2005

The National Human Rights Commission (Komnas HAM) has asked the President to approve the establishment of a truth and reconciliation commission. Based on a law enacted by the House of Representatives last year, the deadline for the setting up of this 21-member Truth and Reconciliation Commission is next month. The commission will be tasked with settling past human rights abuses by state institutions.

Komnas HAM chairman Abdul Hakim Garuda Nusantara said after a meeting with President Susilo Bambang Yudhoyono last week that the government was set to meet the deadline. One critical item on the new commission's agenda will be to rehabilitate, compensate and restore the political rights of former members of the Indonesian Communist Party (PKI), as well as others who were simply accused of being members or supporters of the PKI.

Last October, only a month before he was sworn in as president, Susilo put reconciliation with PKI ex-detainees on top of his agenda. Tens of thousands of former members, activists, sympathizers and associates of the PKI, outlawed by Soeharto's New Order dictatorship, were sent to prison camps across the country, including the notorious Buru Island, an island more than twice the size of Bali in the Maluku archipelago. Most of the prisoners lived in gulag-like conditions and were never put on trial.

The mass incarceration followed the infamous 1965 pogrom in which more than half-a-million Indonesians believed to have links with the party were killed, after an alleged coup d'etat on Sept. 30 of that year was blamed on the PKI. The tragedy, dubbed G30S by the Army, catapulted General Soeharto into power, with the tacit support and assistance of the West against the backdrop of the Cold War. The mass killing that occurred after the alleged coup attempt has been cited as among the worst of the 20th century. What really happened on that fateful night of Sept. 30 remains a mystery. Following Soeharto's downfall in 1998, there has been mounting pressure to completely reevaluate the official version of events surrounding this black historical episode.

Komnas HAM is not alone in urging the government to clear the way for reconciliation with former detainees, 40 years after the events. Two other key institutions, the Supreme Council and the Attorney General's Office, have also tabled the same proposal. It is interesting to note that it was the Attorney General's Office that set up the so-called Buru Island Resettlement Executor Body in late 1960s at the behest of the now-defunct Internal Security Agency that was headed by Soeharto himself.

G30S remains a dark, dirty secret that haunts the nation's psyche to this very day. Past attempts to cast light on the events have proceeded at a snail's pace. Reconciliation attempts with former detainees have been obstinately resisted from certain sectors, in particular the military and bureaucracy who constituted the backbone of the New Order regime.

In 1999, about a year after Soeharto fell from grace, the House passed a law allowing former political prisoners to vote, however retained the ban on their right to be elected to legislatures. In 2001, President Abdurrahman Wahid (Gus Dur) made an official apology for the discrimination against former members of the PKI, its affiliates and their families. Gus Dur, however, failed in his attempt to revoke the People's Consultative Assembly decree that bans Marxism/Leninism.

The situation as it stands now is most unsatisfactory, even a touch bizarre. An Indonesian President has apologized, but it is still not clear what really happened on that fateful night of Sept. 30, 1965. It is also not clear who was in the wrong, or who actually committed a crime; the PKI, or the Army. Did the former detainees commit crimes? Perhaps, perhaps not. They were never put on trial.

In the same vein, the government can only compensate someone if it is clear that they did something wrong. Restoring a persons political rights implies that one party was in the right and another in the wrong. Making this judgment will be the immediate challenge for the truth and reconciliation commission.

Complicating the issue is that all the former detainees are aging. The youngest detainees at the time, say 18 years old in 1965, are 58 years old today. By the time they are rehabilitated, most of them will have come to the last years of their lives.

In the end, the government will probably offer almost nothing to former G30S detainees. More urgent, therefore, is to stop the on-going discrimination against former detainees and their relatives. These relatives are younger people who have had to live with mindless prejudice for far too long.

The "clean environment" purge by the New Order regime in the years after 1965 systematically persecuted the children and relatives of G30S detainees. The New Order regime had a peculiar belief in hereditary sin. Relatives of detainees were forced to quit their jobs, denied their pensions, stripped of all benefits, had their land and houses confiscated, were expelled from schools or universities, and were denied the opportunity to express their creativity through the arts.

President Susilo will serve the nation very well if the truth commission can live up to its name; that is, to unveil the truth.

Jakarta hopes UN commission won't come to Indonesia

Antara - March 22, 2005

Jakarta -- Indonesia is hoping the Experts Commission the UN has set up to reinvestigate the 1999 human rights violation cases in Timor Leste will not need to carry out its mandate or come to Indonesia because Indonesia and Timor Leste already have set up a Truth and Friendship Commission to deal with the matter, Defence Minister Juwono Sudarsono said here on Tuesday.

"We hope the UN commission will not reexpose the cases and nor come to Indonesia. It is enough for the commission to conduct an exchange of documents and past records with Indonesia," he said after meeting with President Susilo Bambang Yudhoyono to report the results of his recent visit to the US where he had also met with UN Secretary General Kofi Annan.

Juwono said there was no need for the UN commission to come to Indonesia because Indonesia and Timor Leste had already set up a Truth and Frienship Commission to settle the matter.

Indonesian President Susilo Bambang Yudhoyono and Timor Leste President Xanana Gusmao signed an greement on the establishment of the commission in Jakarta on March 9.

Juwono said Kofi Annan had said he would study the framework used by the Indonesia-Timor Leste Commission. He said if the UN Commission came to Indonesia it could become a "wild ball" and a political "ping-pong" ball that could mess up the reconciliation that President Yudhoyono and President Xanana had built so far. He said the presence of two commissions would confuse both the people of Indonesia and Timor Leste.

Juwono said the Truth and Friendship Commission also involved human rights and legal experts as well as academics and politicians. "They are not inferior compared to the three legal experts assigned by Kofi Annan," he said.

He said there was no need for the UN Commission to revive past incidents in East Timor and make a problem out of it.

Asked what if the UN continued with its plan to send the commission here, Juwono said Foreign Minister Hassan Wirajuda was currently still studying the possibility and later would consult with the President before a decision would be made.

Former Buru prisoners want equality

Jakarta Post - March 18, 2005

Muninggar Sri Saraswati, Jakarta -- The government's plan to rehabilitate the civil and legal rights of past former political prisoners is expected to finally end all forms of discrimination against them and their families.

"If the president is really determined to do so, the government must rehabilitate the rights of former political prisoners across the country, not only for those who were exiled on Buru Island," Margondo Hardono told The Jakarta Post on Thursday.

Margondo, a former political prisoner now in his late 80s, was exiled to Buru Island, Maluku for 14 years starting in 1969, together with others who were accused of having links to the Indonesian Communist Party (PKI), which was accused by certain generals of masterminding a coup attempt in 1965. Former president Soeharto rose to power after the alleged coup attempt.

Margondo said that he expected President Susilo Bambang Yudhoyono to issue a decree restoring the civil and legal rights of political prisoners so that existing regulations and practices deemed discriminatory against them and their families would be scrapped.

But he was quick to add that the government should also reveal the truth behind the 1965 incident and its bloody aftermath, considered by many outside observers as one of the most violent episodes in modern history.

The government has been under pressure from rights activists to quickly set up a Truth and Reconciliation Commission (KKR), whose main task would be to settle past rights abuses committed by state institutions.

Margondo was commenting on earlier reports that the President had agreed to restore the rights of former political prisoners sent to Buru Island between 1969 and 1979 as part of efforts to settle past human rights abuses. Compensation would also be paid. Details of the new plan, however, remain sketchy.

Thousands of political prisoners, mostly linked to the PKI, were sent to Buru Island during the period of Soeharto's New Order regime. Families of political prisoners also had to bear discriminatory practices for many years. They were banned from participating in general elections, and from working in government institutions or the military. Their identity cards were marked with the letters "ET" (Ex-Tapol, meaning former political prisoner linked to the PKI), making them targets of ongoing discrimination in nearly all facets of their lives.

Although serious efforts to restore the rights of former political prisoners have been taken over the past five years, including allowing them and their family members to participate in general elections, many discriminatory practices remain.

Separately, Chairman of the Institute for Policy Research and Advocacy (ELSAM) Ifdhal Kasim said that a presidential decree to restore the rights of former political prisoners was necessary as it would convey a political statement that the government wanted to settle past human rights abuses.

Ifhdal said that the rehabilitation of former political prisoners "was a must" because many of them, who were exiled without trial, in fact had nothing to do with the PKI.

Both Ifhdal and Margondo also welcomed the plan to provide compensation for former political prisoners. "But it's not only about money. The compensation could never repay the suffering of the victims. It just serves to confirm the government's responsibility toward the victims, even though it was not the current government that caused the suffering," Ifdhal said.

"The amount of the compensation is not a big deal. We only want our rights as citizens restored," Margondo said.

Former PKI prisoners to get compensation

Jakarta Post - March 17, 2005

Muninggar Sri Saraswati, Jakarta -- The government has moved to restore the rights of and provide compensation for former political prisoners exiled on Buru Island in Maluku between 1969 and 1979.

Most were accused of having links to the outlawed Indonesian Communist Party (PKI).

Chairman of the National Commission on Human Rights Abdul Hakim Garuda Nusantara said on Wednesday that President Susilo Bambang Yudhoyono had agreed that the forcible incarceration of the people had to be settled.

"This government is willing to settle it. Whether it would be resolved through a presidential decree or other official forms, remains undecided," Abdul Hakim said after a meeting with the President.

Garuda said the state would restore the former prisoners' civil and legal rights, which had been taken away by special laws targeting PKI members.

It remains unclear whether the President will officially declare that the state is responsible for rights abuses against the nearly 10,000 political prisoners and ensuing discriminatory treatment against them and their families.

During the tenure of former president B.J. Habibie, the House of Representatives passed a law that allowed former political prisoners to vote, but retained the ban on their legislative membership.

In 2001, then president Abdurrahman "Gus Dur" Wahid made an official apology for the discrimination against former members of the PKI, its affiliates and their families. He took a further step by his call for the revocation of a Provisional People's Consultative Assembly decree that bans Marxism/Leninism, a move which eventually failed.

The Constitutional Court annulled last year the law that banned former political prisoners from running as legislative candidates, but the ruling will not be effective until the 2009 polls.

Abdul Hakim said the rights body suggested that Susilo immediately approve the establishment of the Truth and Reconciliation Commission (KKR), whose main task would be to settle past human rights abuses committed by state institutions.

The law, which was passed by the House last year, mandated the establishment of the truth and reconciliation commission by April at the latest.

Despite the nearing deadline, the government has not started the selection of members for the 21-strong commission.

Human rights groups have alleged that the government was uninterested in the KKR because many government officials could be implicated for past abuses.

Historian Asvi Marwan Adam has said the state, through the so- called Buru Island Resettlement Executor Body, was responsible for the arbitrary imprisonment of suspected PKI members. The body was set up by the Attorney General's Office at the request of the now-defunct Internal Security Agency, which was directly under former president Soeharto.

The government banished most of the prisoners to the island after the 1965 coup, which was blamed on the PKI. Later, the government also imprisoned and exiled children and wives of political prisoners to the remote island, which was not designed to house a prison.

Many of them died of malaria and malnutrition.

All of the prisoners have been released, but the state has never admitted to any mistakes.

 Human rights/law

NGOs call for law on witness protection

Jakarta Post - March 22, 2005

Jakarta -- A number of non-governmental organizations (NGOs) on Monday urged the government to start deliberating the draft law on witness protection and to set up a special agency to protect witnesses.

Danang Widoyoko of Indonesian Corruption Watch (ICW) said that the witness protection law was crucial in helping to curb rampant corruption.

Speaking to reporters after a meeting between NGOs and the Corruption Eradication Commission (KPK), he said that witnesses, particularly in high profile corruption cases, had been reluctant to give evidence in courts because of threats to their lives and that of their families.

Danang said that the presence of an agency for witness protection would help ensure the safety of witnesses.

He added that a special agency for witness protection should be set up under auspices of the National Police.

He said that the law on witness protection would also help speed up investigations into cases of gross human rights violations, and violence against women.

Pollycarpus 'facilitated Munir murder'

Jakarta Post - March 22, 2005

Eva C. Komandjaja and Urip Hudiono, Jakarta -- Police investigators said on Monday that Pollycarpus Budihari Priyanto, the only suspect so far in the murder of human rights activist Munir, was not the main executor, but "facilitated" the murder to happen.

Head of the investigation team at National Police headquarters Sr. Comr. Anton Charlian explained that Pollycarpus was assigned to make sure that Munir was aboard the aircraft and that he was sitting in a designated seat.

He said that the Garuda pilot had contacted Munir via cell phone before the flight and gave his business class seat to him during the Jakarta-Singapore flight.

Munir, co-founder of human rights organizations Imparsial and Kontras, was found dead onboard a Garuda flight from Jakarta to Amsterdam on Sept. 7 last year.

An autopsy conducted by Dutch authorities found excessive amounts of arsenic in his body, indicating that he was murdered on the one-hour leg of the flight from Jakarta to Singapore.

Pollycarpus was declared a suspect on Saturday after five days of interrogation by police. He has denied all involvement. The Garuda pilot said that he was assigned to the Sept. 7 flight as a security aviation officer to check a Garuda plane in Singapore. But investigators later discovered that his assignment letter was written more than a week after the flight, and that it was signed by Garuda's vice president of corporate security Ramelgia Anwar instead of the operational director as is normally the case.

"We're pretty confident that he's involved in the [murder] case because there are so many discrepancies we found in his statements and through documents we've collected," Anton said.

Anton, however, acknowledged that the police had not yet found others involved in the crime, such as the person who put the poison into Munir's meal during the flight, and the masterminds behind the assassination.

With his known role in the case thus far, Pollycarpus could be charged with assisting a premeditated murder and also document forgery.

Director of transnational security at National Police headquarters Brig. Gen. Pranowo Dahlan said that police were continuing to question Pollycarpus on his role in the murder.

Apart from Pollycarpus, Pranowo said police were also questioning Rohainil Aini, secretary to Garuda's chief of pilots, who was also indicated by the government-sanctioned fact-finding team as a person of interest in the case.

The fact-finding team had previously indicated that at least six persons, including Pollycarpus and Rohainil, were involved in the conspiracy. The others were Garuda's former president director Indra Setiawan, vice president of corporate security Ramelgia Anwar, and two unnamed persons linked to the State Intelligence Agency (BIN).

Separately, Pollycarpus' lawyer Suhardi Somomoeljono expressed his annoyance at police for naming his client as a suspect "prematurely" before examining evidence from Dutch authorities.

The evidence includes records of interviews conducted by Dutch authorities of passengers and Garuda employees, case reports, and several tissue samples Dutch doctors took from Munir during the autopsy.

The Indonesian Ambassador for the Netherlands was scheduled to meet with officials from the Dutch ministry of justice on Monday to discuss mechanisms for turning over the evidence.

Elsewhere, newly-appointed Garuda president director Emirsyah Satar said that the airline's management was ready to assist authorities in their investigation into Munir's murder.

Dutch to share evidence in Munir case

Jakarta Post - March 21, 2005

Tony Hotland, Jakarta -- The Dutch government has agreed to hand over to Indonesian authorities much awaited information and evidence in the poisoning death of rights campaigner Munir.

The government said on Saturday the Dutch government had agreed to share a number of pieces of evidence with Indonesian police to help speed up the investigation into the murder of Munir, who died two hours before his Garuda Indonesia plane landed in Schipol, Amsterdam, in September last year.

Police earlier said they were having trouble investigating the case due to a lack of hard evidence and the refusal of the Dutch government to allow Indonesian police to question witnesses there.

It was reported that the Netherlands was refusing to share evidence because Indonesia has capital punishment, which the Dutch object to.

"Through our ambassador, the Dutch government has said they will help the investigation by handing over several pieces of evidence they have," the director of Western Europe at the Ministry of Foreign Affairs, Retno Marsudi, told The Jakarta Post on Saturday.

The Indonesian and Dutch governments do not have a mutual legal assistance agreement, but the Indonesian ambassador was able to convince the Dutch authorities the evidence was pivotal to the case, she said.

Retno said the evidence to be handed over included documents, interview results and case reports from the Schipol airport police, and several tissue samples Dutch doctors took from Munir during his autopsy.

The autopsy prompted the investigation after doctors found Munir's body contained excessive amounts of arsenic, raising suspicion that the rights campaigner did not die of natural causes.

Retno said the Indonesian ambassador to the Netherlands was scheduled to meet with officials from the Dutch department of justice on Monday in The Hague to discuss the mechanisms for turning over the evidence. They will also discuss what else the Dutch government can do to assist the case.

She said the meeting would also discuss the possibility of Indonesian police questioning two Dutch citizens, Lie Kian Wang and his wife Lie Fong, who sat near Munir during the flight from Singapore to the Netherlands.

Retno did not say whether this Dutch assistance meant Indonesia had promised not to seek a death sentence in the case.

The director of transnational crime at National Police Headquarters, Brig. Gen. Pranowo Dahlan, confirmed on Saturday the Dutch assistance. He said he was hopeful the evidence would help untangle the case, which has drawn international attention.

Six months after Munir's death, police have named one suspect, Garuda pilot Pollycarpus Budihari Priyanto, who is also alleged to be a member of the National Intelligence Agency.

A government-sanctioned fact-finding team helping police investigate the case has submitted the names of six possible suspects. The team is expected to meet with officials from the National Intelligence Agency this week for more information on its alleged involvement in the case.

Rights body slammed over Flores violence

Jakarta Post - March 19, 2005

Jakarta -- Activists assisting victims of last year's police shooting in Manggarai regency on Flores island have criticized the National Commission on Human Rights (Komnas HAM) for "not being serious" about the case.

"We are extremely disappointed over the slow response of Komnas HAM to this case.... The commission has given a lot of excuses when asked about its responsibility," said a statement from the Advocacy Team for the Manggarai People on Thursday.

Komnas HAM has launched an investigation into the March 10, 2004, incident that left at least five people dead and 28 others wounded. However, no suspects have been named in the attack.

Police officers opened fire on about 400 villagers who stormed the Manggarai Police station in Ruteng to demand the release of seven villagers being detained there.

According to a preliminary investigation by the police, officers opened fire only after the villagers attacked them.

Activists have blamed the incident on Manggarai Regent Antony Bagur, who barred locals from farming in a disputed protected forest and ordered the arrest of seven owners of a coffee plantation there.

House members questions BIN on Munir's murder

Jakarta Post - March 17, 2005

Tony Hotland, Jakarta -- The House of Representatives questioned on Wednesday the State Intelligence Agency (BIN) in a closed-door meeting to determine what knowledge the agency had regarding the murder of prominent human rights activist Munir.

Commission I overseeing defense, foreign and information affairs held on Wednesday morning a meeting with BIN officials and asked for clarification of various issues, including reports of the institution's suspected involvement in the high-profile death of Munir.

However, BIN did not have time to respond to the Munir questions (the agency only responded to allegations of illegal logging and poaching) because the commission members adjourned the meeting prematurely due to a scheduled House plenary meeting on the fuel price policy.

Talking to reporters after the meeting, BIN chief Syamsir Siregar denied allegations that his institution or members were connected with the alleged poisoning of Munir on board a Garuda Indonesia plane last September.

"I have been involved in investigations into this case, inside and outside of BIN. So far, there's no evidence at all about any involvement of BIN in the death of Munir," he avowed.

Syamsir said he had met with both the House special investigation team and the government-sanctioned fact finding team to help them find Munir's killers.

"But no proof [of BIN's involvement] has been found," he said, and added that the agency would definitely cooperate with law enforcers if any evidence of involvement by BIN agents emerged.

However, Syamsir declined to comment when asked about the relationship between BIN and Garuda pilot Pollycarpus Budihari Priyanto, who is currently being interrogated by police in connection to the poisoning.

Pollycarpus, widely alleged by local journalists and activists to be a BIN operative, was aboard the same plane, and in contact with Munir. He was not flying, but in the passenger compartment, reportedly as an "aviation security officer" at the time. He persuaded Munir to change seats, from economy to business class, shortly after departing from Jakarta.

National Police spokesman Insp. Gen. Aryanto Budihardjo said on Wednesday that Pollycarpus was still considered a witness, although investigators have been questioning him for three days.

Thus far, the National Police have not yet named any suspects in the case that has drawn international attention due to Munir's international status.

Munir was found dead on Sept. 7, 2004 aboard the Garuda flight to the Netherlands via Singapore. He was planning to study at a university in the Netherlands. An autopsy by Dutch authorities showed an excessive amount of arsenic in Munir's body.

 Focus on Jakarta

PAM, tap water firms fall short of promise on water

Jakarta Post - March 23, 2005

Damar Harsanto, Jakarta -- Jakarta residents may have to put aside their dream to be able to drink piped water directly from the tap, as was previously promised by the City-owned tap water corporation and its two foreign partners, Thames PAM Jaya (TPJ) and PAM Lyonnaise Jaya (Palyja).

"Previously, we were targeting to be able to produce potable water by 2007... But, it seems we can only start the first stage of preparations for potable water production in 2007," Rhamses Simanjuntak, a director with TPJ said at a hearing with the City Council's commission D on development affairs.

Rhamses admitted that many TPJ customers had lodged complaints regarding poor quality tap water. Rhamses added that his company had to make extra efforts to treat water due to the heavy pollution in rivers that are used as water sources.

The poor quality of the raw water supply also makes the company's water treatment costs expensive, especially during the dry season when pollution levels rise.

"Actually, the water is already treated so that it is clean and not smelly. However, it is subsequently contaminated due to the old pipes still in use," Rhamses claimed. Most pipeline networks currently used by TPJ and Palyja were built during the Dutch colonial period.

Meanwhile, a senior executive with Palyja, Bernard Lafronge complained of fluctuating volumes of water supplies as being the main cause of the operators' failure to provide a continuous flow of tap water.

"The supply of untreated water has never been steady for the seven years of our operations. The volume is also below the supply we need," Lafronge said.

It was no surprise, Lafronge said, that many customers complained about repeated disruptions to their water supply.

TPJ, which is a subsidiary of Britain's Thames Water International, supplies customers in the east of Jakarta, while Palyja, a subsidiary of France's ONDEO (formerly Lyonaisse des Eaux), serves customers in the western part of the city. The two companies cater to the water needs of some 705,000 customers across the city. Both companies signed 25-year collaboration agreements in 1998.

During the hearing, the two companies acknowledged that they had suspended investment over the last seven years because of the effects of the protracted economic crisis, which forced the administration not to increase water tariffs despite inflation.

"But, starting this year and up until 2007, we plan to start significant investment in the business totaling Rp 634 billion," Lafronge said.

TPJ would be following suit, investing Rp 432.79 billion between 2005 and 2007, mostly for the extension of the pipeline network.

 Politics/political parties

Minor parties can join local polls

Jakarta Post - March 23, 2005

Muninggar Sri Saraswati, The Jakarta Post, Jakarta -- Small political parties will now be allowed to propose candidates to run in the upcoming direct elections of provincial governors, regents and mayors, according to a ruling issued by the Constitutional Court on Tuesday.

The court argued that the prevailing ruling (article 59 of Law No. 32/2004), which bans small political parties from actively participating in the country's first direct regional elections, was against the Constitution.

"The court opines that the request (to revise the prevailing ruling) is quite reasonable, so it must be granted," it said.

The court made the decision during the final hearing of a judicial review of several contentious articles of Local Government Law No. 32/2004 concerning regional elections. The review was filed by a number of non-governmental organizations (NGOs) and more than a dozen leaders of small political parties in several regions.

With the new ruling, parties that do not have local council representatives can propose candidates for governors, mayors and regents by forming a coalition with other parties.

"A coalition of parties, which garnered 15 percent of votes between them in the (previous) legislative election, could propose candidates," Constitutional Court president Jimly Asshidiqie said.

"The ruling will allow more independent candidates to run in the regional elections," said Ferry Tinggogoy of the North Sulawesi provincial branch of the National Awakening Party (PKB).

Some 215 regions are expected to hold elections in June of this year to select their executive leaders. The polls will be the first direct regional elections here, and are seen as part of efforts to promote democracy in the world's largest predominantly Muslim country.

The hearing was marred by a power blackout, forcing the judges to present their rulings by candle light.

Not all are happy with the Constitutional Court's rulings. The NGOs, for instance, were disappointed with the court's decision to maintain the prevailing central government decree on regional elections.

The NGOs said that the decree undermines the fairness and independence of the electoral process as it retains the influence of the President over the fate of regional leaders, despite the fact that they would be directly elected by the people.

According to the decree, any move by local councillors to impeach poor performing regional leaders would require the approval of the President.

The plaintiffs had also demanded that the General Elections Commission (KPU) -- which orchestrated last year's presidential and legislative elections -- be given the authority to implement a national system for the elections of regional leaders.

However, the court retained the role of the provincial branch of the KPU (the KPUD) in carrying out the regional elections.

The court also ruled that the KPUD is responsible to the KPU, rather than the local legislative council (DPRD) as stipulated under the prevailing ruling.

Experts previously said that forcing the KPUDs to report to the DPRD would run counter to the principle of democracy as the DPRD consists of political parties that take part in the election contest.

Smita Notosusanto, an NGO activist and one of the plaintiffs, lambasted the ruling, describing the Constitutional Court's decision as "half-hearted" and favoring the central government.

A number of experts earlier called on the central government to delay the elections due to a number of problems, ranging from funding uncertainties to the limited time for the KPUDs to make the necessary preparations.

Reform group proposes collective leadership in PDI-P

Jakarta Post - March 22, 2005

Jakarta -- A faction in the Indonesian Democratic Party of Struggle (PDI-P), calling itself the Reform Group, has suggested the upcoming party congress form a presidium to provide transitional leadership as the party moves away from current leader Megawati Soekarnoputri.

The head of the PDI-P National Reform Movement, Didi Supriyanto, said a presidium would allow the party to face future challenges, keep up with the country's changing political dynamics and put an end to the PDI-P's leadership crisis.

"A presidium would provide a revolutionary way to respond to challenges. The collective leadership could include the children of [founding president] Sukarno, professionals and former Cabinet ministers who have good domestic and international networks," Didi was quoted as saying by Antara.

He said a modern party like the PDI-P should no longer depend on a charismatic leader, though he acknowledged it would take the party until at least until 2009 to move out from under Megawati's shadow.

"The new structure we are proposing does not mean that we do not have any candidates who are capable of filling the shoes of the current leaders. We need a combination of charismatic and modern leaders to help strengthen the party ahead of the 2009 elections," he said.

He said such a step was necessary to remove people from around Megawati whom he likened to Dorna, the cunning teacher and adviser to Pandawa and Kurawa in the Mahabharata myth.

"If the structure is maintained as it is with Megawati holding power, those Durnas will take full advantage at the expense of the party," Didi said.

PDI-P secretary-general Sutjipto, deputy leader Gunawan Wirosarojo and deputy secretary-general Pramono Anung, known as the Gang of Three, are as seen by many in the party as wielding excessive power and influence over Megawati.

These three were blamed by some in the party for PDI-P's disappointing showing in the 2004 legislative election and Megawati's loss in the presidential election.

Megawati's brother, Guruh Soekarnoputra, said a presidium would help turn the PDI-P into a modern party.

"I agree with the proposed new structure. The PDI-P needs surgery to heal its chronic illness," Guruh, seen by some as a possible contender to Megawati for leadership of the party at its congress from March 28 through April 2 in Denpasar, Bali.

The proposal, however, may never be formally heard because the congress' organizing committee has banned the reform group, including Guruh and businessmen-cum-politician Arifin Panigoro, from the event.

Didi, Postdam Hutasoit and Sukowaluyo Mintoharjo have also been dropped from the congress' steering committee.

Megawati gave a cool response to the group's proposal, saying democracy allowed them to express their opinions.

"The question is whether the movement is in line with the party's statutes," Megawati said in Denpasar.

Megawati is a favorite to win her third consecutive five-year term at the party's helm, with the majority of the party's regency chapters nominating her as leader for the 2004-2009 term.

The head of the congress' organizing committee, Roy B.B. Janis, denied the organizers had banned Megawati critics from the event.

"They just have not received their invitations. I have not received my invitation either because we have not mailed them yet," Roy said.

Complaints about late invitations were not on the agenda of a preparatory meeting on Monday, Roy said. He added that congress participants could contact their respective regional offices to obtain invitations.

 Government/civil service

Watchdog expects local polls to be success

Jakarta Post - March 22, 2005

Hera Diani, Jakarta -- The unprecedented direct presidential and legislative elections last year were widely praised as free and fair.

One of the organizations that contributed a great deal to the successful elections was the International Foundation for Election Systems (IFES).

Prior to the legislative election in April 2004, IFES provided significant support, including training and education for both election officials and voters.

IFES also advised the General Elections Commission (KPU) as regards the drawing up of campaign finance regulations and the timely registration of candidates, as well as monitoring people's political preferences through a series of nationwide surveys.

Indonesian IFES chief of party, Victor Butler, said that IFES assistance and support helped Indonesia produce an enhanced and impartial electoral framework compared to previous elections.

The electoral management bodies have also developed, with improved capacity to carry out their work.

"I think we're now in a situation where the support work at the KPU is coming to a conclusion," Butler said.

The IFES office here, therefore, will be closed on March 31, with the termination of its project funding.

However, the organization's presence in the country will be maintained, although limited to essential, local staff.

"Nothing is finalized yet, but we would like to continue our work here. We see that there are still many things to be done. People keep asking us for additional support," Butler said.

Aside from the publication of a post-election national survey, IFES is preparing some collaborative ventures with the Regional Representatives Council (DPD) to build up its capacity to reach out to its constituents.

"We might do some work with the elections for local chief executives as well, as there will be a need for support during these elections. It is an important further step in cementing the democratic process and democratic framework in Indonesia," said Butler.

It is a bit worrying, he said, that while the date for the start of the project has been set for June, the mechanisms for the local elections has not been finalized yet.

"We're lacking information at present. It's not really clear whether it's about the funding, the regulations... There are only bits and pieces, not a clear picture." However, Butler said this was not an unusual problem in a new democracy like Indonesia. "Sometimes we have to deliver things and make the best of the situation that we have and make it work, and election people here are very good at that. I'm sure the same professionalism (as shown in the general election) will be brought to the next elections," he said.

Butler said he was optimistic about the democratic process in the country, despite the problems facing the people elected, such as the recent brawl in the House of Representatives and the emergence of so many parties.

"In a newly democratic country, a high level of expectation is raised, but it's very difficult to fulfill that in a short period of time. It took hundreds of years in Europe, and yet no system is perfect. Every system is improved, refined, developed," said Butler.

Founded in 1987, IFES is a non-profit organization aimed at supporting the building of democratic societies.

It does a great deal of its work on the ground with the United States Agency for International Development (USAID), and processes the needs of particular countries that USAID thinks need support.

With staff specialized in the law, civil society, good governance, election administration, applied research, human rights, gender issues and information technology solutions, IFES has developed and implemented comprehensive, collaborative democratic solutions in more than 100 countries.

According to Butler, in terms of population spread over a large geographical area, Indonesia faces the same problems as Nigeria, where IFES is helping address the problem of corruption.

"What is enlightening is that you are asking people to make a choice. Starting from that common perception, we work on how people make the choice, formulating the mechanism for enabling people to do that, etc.," Butler said.

House snubs fuel talks with government

Jakarta Post - March 19, 2005

Muninggar Sri Saraswati, Jakarta -- House faction leaders ignored an invitation from the government to discuss the fuel price increases on Friday night, saying they were preparing for a plenary session on Monday to discuss the controversial policy.

Both Vice President Jusuf Kalla and Cabinet Secretary Sudi Silalahi confirmed the consultation meeting between the government and faction leaders in the House of Representatives had been rescheduled indefinitely. "They are busy right now. We understand that," Sudi said at the State Palace.

He said President Susilo Bambang Yudhoyono had wanted to use the meeting at Merdeka Palace to brief the House leaders on the government's reasons for cutting the fuel subsidy and raising fuel prices.

The government attempted to set up the meeting after the House failed to reach an agreement on its political response to the fuel hike policy during plenary sessions from Tuesday to Thursday. The heated debate between the House factions degenerated into a brawl during the plenary session on Wednesday, Kalla could not hide his annoyance with the failure of the House to support the fuel price increases.

"We have explained to them several times [why fuel prices must increase]. That is enough," he said.

Susilo held closed-door talks with House leaders on Monday, but was unable to convince the 550-strong legislature to support the fuel policy.

Opposition to the policy in the House is being led by the Indonesian Democratic Party of Struggle (PDI-P) and the National Awakening Party (PKB). However, the PKB has said it will boycott Monday's plenary session in protest of the sluggish decision- making process in the House, which will weaken the opposition camp.

The usually cheerful Kalla did not smile once during a press conference on Friday. Kalla said the current government was a victim of the previous administration's lenient fuel policy.

"Look at the financial report from [the administration of president] Megawati, which said the fuel price hike would be left to the next government. The price increases were supposed to take place last year," said Kalla, who was the coordinating minister for people's welfare in Megawati's Cabinet until resigning in March 2004.

"The law says that the fuel subsidy must be Rp 25 trillion at the most. It is now at Rp 70 trillion," the Vice President said.

Kalla reiterated that the government could no longer afford the subsidy with world oil prices near US$57 per barrel, far above the state budget assumption of $35 per barrel.

"No government, not Gus Dur's, Pak Harto's or the next government, could avoid [raising fuel prices] because it is caused by external factors. It is not about popular or unpopular, and it is not our intention to bring difficulties to the country," he said.

Cabinet Secretary Sudi accused PDI-P, the National Mandate Party (PAN) and other factions in the House of being inconsistent in their response to the higher fuel prices.

"Remember, PDI-P and PAN supported the fuel price hikes outlined in the financial note dated Aug. 16, 2004, pages 35 and 36. This note said the fuel price increases should be executed by the next government," Sudi said.

PDI-P faction chairman Tjahjo Kumolo said he was unaware of any invitation to meet with the President on Friday night to discuss the issue, but said he would refuse any such approach.

"Any invitation to discuss such a crucial issue must be addressed to the House before reaching the factions," he said.

Meanwhile, the House disciplinary committee began an inquiry on Friday into Wednesday's brawl involving legislators. The committee said some members might have violated the House's code of ethics.

Doubt cast over fairness of polls

Jakarta Post - March 18, 2005

Tiarma Siboro, Jakarta -- A former top official of the defunct Election Supervisory Commission (Panwaslu) said the central government should delay the country's first direct elections for local government officials because most regions still did not have election supervisory commissions.

Komaruddin Hidayat, former chairman of Panwaslu, said on Thursday the role of supervisory commissions was crucial for ensuring fair and democratic elections. He said that of the 192 regencies and municipalities planning to hold elections in June, only 23 had set up election supervisory commissions, while 61 others were in the process of establishing commissions.

He said regions needed more than three months to set up supervisory commissions, pointing out that it required between four and six months just to recruit and train commission members.

Komaruddin suggested the central government delay regional elections by another four to six months.

Various regions in the country will hold direct elections in June for governors, regents and mayors. These will be the first ever direct elections for local officials and represent an important step in the country's democratization.

Komaruddin said some regions lacked the knowledge to set up election supervisory commissions, despite the availability of guidelines in the government regulation on regional elections.

"Many local councillors and political parties are not aware of this issue," he said.

Law No. 32/2004 on regional governments stipulates that local election supervisory commissions should be set up by local councils.

Komaruddin said there was also a question of the independence of the election supervisory commissions set up in some regions.

He pointed to the commission set up in Tolitoli regency, Central Sulawesi, some of whose members were believed to have ties with current councillors.

Panwaslu was set up before the country's first direct general elections last year. It was dissolved after the much-applauded presidential election was completed in September.

Some former Panwaslu officials set up an organization called Perludem, with the mission of monitoring elections and the democratization process in the country.

A number of experts previously urged the government to delay regional elections because of various problems.

The East Java Provincial Election Commission, for example, said some regencies and municipalities in the province only had one candidate standing in the elections, which was contrary to Law No. 32/2004.

Problems ahead for regional elections

Jakarta Post - March 17, 2005

Tiarma Siboro, Jakarta -- Provincial election commissions (KPUD) are facing a number of problems, including a lack of clear guidelines, in organizing the country's first direct elections for local government chief executives.

Hasyim Azhari, an official with the East Java KPUD, said that some regencies and municipalities in the province only had single candidates standing in the elections -- something that ran contrary to the Local Government Law (No. 32 of 2004).

"Law No. 32/2004, as well as the electoral regulations, do not allow single candidates to run in the elections. But the reality in the field shows that some political parties have missed the deadlines for registering their candidates," Hasyim told reporters on Wednesday after a hearing with Susilo, who heads the Ministry of Home Affairs's local election desk.

Various regions in the country will hold elections in June to select their local chief executives, including governors, regents and mayors, to replace the current 226 officeholders whose terms will end soon. These will be the first ever direct elections for local leaders and represent an important part of the democratization process in the country.

Hasyim also said that there was no clear mechanism on how the regions should designate holidays in their respective areas on election day.

"The legislation says that election day should be declared a holiday by the central government. But there are no mechanisms as to how we should handle holiday proposals," he said, pointing out that if all 226 regions were to make proposals to the President, this would be impractical and time-consuming.

Hasyim also complained over the lack of other guidelines for KPUD officials in organizing the elections, including campaign guidelines, the procurement of ballot boxes and ballot papers, and the registration of voters, for which the government has actually set a March-16 deadline for the KPUD.

In East Java alone, there were six regencies and four municipalities that had set election schedules, despite the lack of funding and executory regulations.

Another problem was the uncertainty as regards how much money the central government would allocate to the regions for the holding of the elections.

While the government has proposed Rp 1.29 trillion (about US$135.87 million) budget, the House of Representatives has yet to approve the allocation. Any further delay in disbursing the funds could disrupt the electoral process in the regions, analysts have warned.

Gubernatorial meals stipend increases to 1.1 billion

Jakarta Post - March 17, 2005

Yuli Tri Suwarni, Bandung -- The food and beverage allowance for the West Java governor and deputy governor for fiscal year 2005 has been increased by more than 60 percent to Rp 1.138 billion (US$126,450).

The budget allocated for that same purpose last year was Rp 701 million. The increase in the allocation has been roundly criticized by the public as well as members of the West Java legislature, which has to approve the provincial budget.

The "refreshments" allowance allocated to Governor Danny Setiawan and his deputy, Nu'man Abdul Hakim, is made up of three items -- Rp 432.5 million for daily meals and refreshments, Rp 296.4 million for refreshments during meetings and Rp 410.6 million for entertaining guests. The allocation for daily meals, for example, amounts to Rp 1.6 million per day if divided by 260 working days per year.

The daily meals allowance is equivalent to four months average income per capita as based on a survey in 2004, the average monthly income per capita in West Java was Rp 408,260, although many subsist on less than this.

A Kiaracondong resident, Mimin Munaroh, 30, said that she was only given Rp 5,000 per day by her husband to feed him and her two children. Her husband works as a school caretaker.

"It would be great to have Rp 1.6 million a day to spend. It would be enough to eat like a king, and pay for my children's school fees and our electricity bills for five years," she said when asked for her opinion on the governor's meals allowance.

West Java councillor Abdul Muis, from the National Awakening faction, seemed surprised when reporters showed him the details of the meals budget.

"It's so disheartening when there are still nine million poor people that there can be allowances this high," he said.

Muis, a member of the provincial legislature's Commission A on governmental and legal affairs, deemed the budget "irrational" and promised to immediately look into the matter via the legislature's budget committee.

None of the members of the budget committee were available for comment as they were conducting comparative studies in Surabaya.

Head of the household bureau at the gubernatorial office, Daud Achmad, said that meals allowances were raised annually in accordance with anticipated increases in inflation.

The estimate was usually submitted by the household bureau to the general affairs bureau, which then forwarded it to the budget committee. It was then discussed jointly by the provincial administration and the legislative council for subsequent approval by the legislature.

"Don't get me wrong. It's not necessary to spend all the money. It's preferable to ask for more money at the beginning of the year rather than being left without enough money near the end of the year when the governor has a lot of guests to entertain," he said.

West Java provincial administration spokesman Yanto Subiyanto said that the increase in the allowance was connected with the Asia-Africa Conference golden jubilee ceremonies, which would be held in Bandung this year.

"Doesn't the governor have to entertain many state guests during the event? The cost will obviously be high," he said.

Besides that, he said that the meals allowance also included meals for gardeners, municipal police personnel and kitchen staff working for the governor and deputy governor.

House fuel talks erupt into brawl

Jakarta Post - March 17, 2005

Tony Hotland and Rendi A. Witular, Jakarta -- A brawl among legislators ended the second day of the House of Representatives plenary session to discuss the government's fuel hike policy, leaving the public disgusted by the immaturity of their representatives.

The session was intended to be a follow-up of a stalled session the night earlier, during which the 10 House factions failed to agree on whether or not the House should establish a political stance on the fuel hike policy.

Six factions opposed the policy in Tuesday's session, two (Democrat Party and Democratic Pioneer Star Party) supported it, and two (Golkar Party and United Development Party) did not state a clear stance.

Anticipating a possible deadlock, House and faction leaders gathered for a three-hour consultative meeting on Wednesday morning, which resulted in two voting options.

First, was to vote whether the House should let the related commissions hold further discussions with the government on the fuel hike policy, or second, that the House should immediately decide a stance on the issue. If the second option were picked, another vote would have to be arranged on whether the House should accept the policy or reject it.

However, three factions -- the Indonesian Democratic Party of Struggle (PDI-P), the National Awakening Party, and the Prosperous Peace Party -- objected to this mechanism, insisting that the House immediately vote on whether to accept or reject the fuel hike.

Interruptions and objections immediately began flying fast and furious after House speaker Agung Laksono of Golkar commenced the session at 3:30 p.m.

Those who disagreed, particularly from PDI-P, started bombarding the leaders with objections and complaining that the plenary session leaders were not taking into account the objections expressed by the commissions over the policy during a consultative meeting with the government on Monday night.

Those who agreed with Agung on the two options responded with loud retorts of their own in the general direction of those who opposed.

After 45 minutes of verbal sparring without any sign of an agreement, Agung announced that the House would work on the two options. This prompted two PDI-P faction members to leap up on to the raised podium of the House to protest the decision.

Agung, who hails from Golkar, appeared to be cornered by PDI-P members, so a number of Golkar men scrambled up on the platform and jostled and argued with PDI-P members.

A number of legislators from PDI-P followed suit, and the melee was on, complete with shoving and a few punches by dozens of other lawmakers eager to join or diffuse the fray in front of the speaker's platform.

The violence lasted for several minutes with at least two confirmed knock downs, but apparently no serious injuries. Agung and other House leaders were quickly whisked out of the room, and the House members started to dissipate after security people intervened.

In his post-brawl press conference, Agung said he was sorry about the incident, but blamed it on the immaturity of legislators and their inability to respond in a civil manner to other people with different opinions.

The session is scheduled to continue Thursday morning after yet another consultative meeting with faction leaders.

Separately, Cabinet Secretary Sudi Silalahi quoted President Susilo Bambang Yudhoyono as saying that the government hoped there would be no more hostility among legislators and that the House would find the best solution. The government, he added, would definitely be open to input from the House over the issue.

 Corruption/collusion/nepotism

Nine legislators tossed in jail

Jakarta Post - March 23, 2005

Mataram, West Nusa Tenggara -- Nine out of 12 corruption suspects from West Nusa Tenggara legislative council were arrested on Tuesday for their involvement in a case involving Rp 24 billion in losses.

The prosecutor's office ordered them to be arrested a year after the case was first reported. The arrested legislators are Abubakar Muhdi, Kushardi Anggrat, Gusti Komang Padang, Mahdan, A. Hafidz, Lalu Hartawa, Lalu Kumala, Tgh Anwar Mz and Mustakim.

One of the arrested suspects, A. Hafidz, was shocked and crying while being taken in to custody. "Justice and truth should be upheld...," he wailed.

Hafidz also said that all 55 council members should to be declared suspects in the procurement markup case that affected the provincial budget from 1999 to 2004.

 Local & community issues

Residents protest road project

Jakarta Post - March 22, 2005

Jakarta -- Dozens of residents of Kebon Kacang sub-district in Central Jakarta protested on Monday a road elevation project in the area, fearing that it would only worsen floods there.

The owner of Plaza Indonesia is currently raising the surface of Jl. Kebon Kacang 30 by one meter, making it higher than the foundations of houses in the area.

Residents also alleged that the road work was causing serious traffic congestion along the road.

Riza Taufik, one of the residents, said during the hearing with City Council Commission D for development affairs on Monday that Plaza Indonesia had not informed residents about the project, which began in late February.

"If there is heavy rainfall, the water will go to our houses as the road is higher than our houses," said Riza.

Mustafa Anis, another resident demanded that Commission D stop the project, which had been approved by the City Public Works Agency.

Commission D deputy chairman Muhayar said the road project could be stopped if the developer did not disseminate information about the project to residents.

 News & issues

The poor still waiting for government assistance

Jakarta Post - March 23, 2005

Oyos Saroso H.N., Bandarlampung -- Karti is worried. It has been almost a month since the government raised fuel prices, but she still has not heard when, or if, her two children, a sixth grader and a third grader, will get their school fees paid for, as promised.

Her children quit school three months ago because the family was unwilling to the pay their fees. They are too embarrassed to show up at school now. Their mother could not afford to pay the re- registration fee for them -- Rp 150,000 (US$16.6) per student.

"If the school fee waiver is going to be given to poor families like ours, I hope my two children get it. But according to the school principal, I have to be patient, because the school has not received the money yet," explained the resident of Sumurbatu, Telukbetung Utara.

"I've asked the principal, but even he did not know when the money will reach the school so my children can't go back to school yet," she added.

For the 40-year-old woman, who earns money doing laundry for her neighbors, the government's promise is very important. If her two youngest children get the assistance, it would a blessing for her family's future. Her eldest dropped out of school years ago and now has little future.

"My eldest had to dropout of school. He's now a pedicab driver in Tanjungkarang," said Karti, who was widowed five years ago.

Great expectations also can be seen in Udin's face. A week after learning about the promised school assistance program, the repair shop worker went to his son's school. Unfortunately, the school also had no idea when the funds would arrive.

"One of my children has already dropped out of school. I don't want my other child, who is a fourth grader, to experience the same thing," said the resident of Gulak-Galik, Telukbetung Utara.

Like Karti and Udin, hundreds of other poor parents have the same hope.

But hope remains just that until the government's promise is fulfilled. There remains a lack of information on how to get the assistance fund for the poor, and most school administrations claim to be equally in the dark.

Officials at the Lampung provincial education office, however, claim to be experiencing difficulties in disbursing the school funds, apparently due to an inability to work out how they can prevent overlap with other assistance funds for the poor.

According to the education office data, there were 140,000 elementary school students who might have to drop out because their families cannot afford the fees.

Deputy head of the education office, Adeham, said there were around a million of elementary school students in Lampung, of which 26 percent or 260,000 of them come from poor families.

"From that number, only 120,000 of them can receive assistance from the Rp 20 billion allocated from the provincial budget. Each student costs, on average, Rp 160,000 per year. But there are 140,000 more students who need assistance," he said.

Adeham said the number of poor students might increase since the new fuel prices would lower many families' purchasing power. "The 140,000 figure was calculated before the fuel price hikes. We're sure the number will rise by 10 percent," Adeham deduced.

Head of the Bandarlampung municipal education office, Zaini Nurman, asked the schools to involve the community in finding students who deserved to receive assistance, so that the program will reach its target group.

"We ask schools to involve school committees and the local community in finding students who deserve to receive the school fee waiver," Zaini said.

However, he added that it would be handled by homeroom teachers as they know which students are poor. Names of the selected students will later be announced at each school.

The data should then be handed over to the education office to prevent overlap with other aid programs, he added.

"We hope schools will quickly register the poor students," Zaini said.

Secretary of the Indonesian Teachers Dignity Forum in Lampung, Gino Vanoli, warned that the lack of information and the absence of an independent monitoring team might open up the possibility of embezzlement of the assistance money for the poor.

He said that so far, a lot of money from the Lampung administration had been disbursed to schools for poor students.

"But in reality, many students still had to dropout because they did not get the money. We've discovered many leakages," Gino lamented.

Another education financial assistance program in the recent past, was one that allocated Rp 14 billion for junior high school students. But it also failed to reach its target, Gino added.

"From the planned Rp 1 million per year per student, the students only received Rp 500,000 and the rest went to the school," Gino said.

In Lampung, the funds made available by the central government for the poverty assistance program after the fuel subsidy cut, will be handled by Lampung University, which is responsible for distributing the money and preparing a monitoring team.

The university president, Muhajir Utomo, said they had been notified of the plan to distribute the school funds, but he had no idea when the funds would be given or how much they were going to have to disburse.

He said the monitoring team would involve lecturers, students and staff. Unlike the tasks of the financial and development audit agency, the team's tasks will be more administrative -- they will work on compiling data on Lampung's poor residents. Then, the university will report on whether the money was used properly.

Apart from monitoring the distribution, the university is also in charge of monitoring the distribution of the money for the health care program and subsidized rice program.

Head of the facilitating team at the Lampung Education Council, Sutopo Gani Nugroho, said it was about time the administration provided free education for elementary school students, especially the poor ones.

"School fee assistance from the cut in the fuel subsidy can be the starting point to provide free education," he said.

Activists slam Wolfowitz' World Bank candidacy

Associated Press - March 22, 2005

Jakarta -- Paul Wolfowitz' candidacy for World Bank president has triggered criticism from rights activists in Indonesia, where he served as US ambassador during Suharto's dictatorship but never spoke out publicly against the regime's violent abuses or endemic corruption.

Wolfowitz, considered the key architect of the US-led invasion of Iraq, has been nominated by US President George W. Bush to succeed the outgoing World Bank president, James Wolfensohn.

International organizations and Third World countries -- the main recipients of World Bank loans -- are questioning his qualifications and commitment to international development.

Analysts in Indonesia, where Wolfowitz served as ambassador from 1986 to 1989 during the military-backed government of former President Suharto, say the candidate has a poor track record in other areas crucial to the World Bank, such as fighting graft and respect for human rights.

"Of all former US ambassadors, he was considered closest to and most influential with Suharto and his family," said Abdul Hakim Garuda Nusantara, head of the state-sponsored National Human Rights Commission.

"But he never showed interest in issues regarding democratization or respect of human rights," said Hakim, who at the time headed the Legal Aid Institute that defended dissidents and sought to free political prisoners. "Wolfowitz never once visited our offices."

"I also never heard him publicly mention corruption, not once," Hakim said.

At the time, thousands of leftists detained after the 1965 US- backed military coup that brought Suharto to power were still languishing in jail without trial.

And tens of thousands of people in East Timor -- a country Suharto's troops occupied in 1975 -- died during the 1980s in a series of army anti-insurgency offensives.

During his 32-year reign, Suharto, his family and his military and business cronies transformed Indonesia into one of the most graft-ridden countries in the world, plundering an estimated US$30 billion.

After being ousted in 1998 by pro-democracy protests, Suharto was finally charged in 2000 with personally embezzling US$600 million. The charges were dropped when judges ruled he was too ill to go to trial.

Still, Wolfowitz publicly lauded the dictator, praising his "strong and remarkable leadership" in congressional testimony.

Wolfowitz "never alluded to any concerns about the level of corruption or the need for more transparency," said Binny Buchori, director of the International NGO Forum on Indonesian Development -- a coalition of 100 agencies promoting democracy in Indonesia.

"He was an effective diplomat, but he gave no moral support for dissidents," she said. "He went to East Timor and saw abuses going on, but then kept quiet."

Dewi Fortuna Anwar, a former foreign policy adviser to B.J. Habibie, Suharto's successor as head of state, also agreed that Wolfowitz was a competent and popular envoy.

"He was extremely able and very much admired and well-liked on a personal level... but he never intervened to push human rights or stand up to corruption," she said.

"At the time, Washington didn't care too much about human rights and democracy; it was still the Cold War and they were only concerned about fighting communism."

Security concerns cited in new visa policy

Jakarta Post - March 18, 2005

Rendi A. Witular, Jakarta -- The government is planning to revoke the visa-free service currently given to a handful of countries and regions outside the Association of the Southeast Asian Nation (ASEAN), in addition to providing the visa-on-arrival for 16 new countries and extending the maximum stay period.

State Minister of Culture and Tourism Jero Wacik, who was unable to give an exact date for the changes, announced after a meeting with Vice President Jusuf Kalla on Thursday that the revocation of the visa-free service for "certain countries", from outside of ASEAN, was mainly due to "security reasons".

"There have been some security concerns ... and it is at risk of being misused by terrorists," he said.

In the past three years, bomb blasts rocked several parts of Indonesia -- the October 2002 attacks in Bali that killed 202 people, mostly foreign tourists, followed by the Marriott bombing in August 2003 in South Jakarta, which killed mostly Indonesians and another at the Australian Embassy in Jakarta last September, where all of the victims were Indonesians.

A presidential decree issued by then President Megawati Soekarnoputri on Feb. 1, 2004, granted a visa-free facility to citizens of Thailand, Malaysia, Singapore, Brunei, the Philippines, the Hong Kong Special Administrative Region, the Macao Special Administrative Region, Chile, Morocco, Peru and Vietnam.

That policy was part of the government's decision to revoke the visa-free service for 48 countries. Those that retained the visa-free status, did so as a result of reciprocity agreements.

Jero said his office and the Ministry of Justice and Human Rights were discussing the review of the government's visa policy to enable more countries to benefit from the visa-on-arrival, which, over the last year cost US$25 for a 30-day visa.

"The new visa policy will include 16 more countries on the visa- on-arrival list and will extend the stay period from the current three days to one week (for a $10 visa) and from 30 days to 60 days (for a $25 visa)," he explained.

Of the 16 countries, Saudi Arabia, the Netherlands, Austria, Ireland, China, India, Kuwait and Egypt are included, which means those citizens do not have to go to an Indonesian Embassy in their home country to apply for a visa.

Currently, tourists who are nationals from the United States, Australia, South Africa, Argentina, Brazil, Denmark, the United Arab Emirates, Finland, Hungary, the United Kingdom, Italy, Japan, Germany, Canada, South Korea, Norway, France and Taiwan are eligible for the visa-on-arrival.

To improve its service for the visa-on-arrival application, Jero said the government would soon install more booths to serve tourists following many complaints over the long lines to fill in the documentation and pay for the visas.

Visa-on-arrivals are available at Jakarta's Soekarno-Hatta International Airport, Polonia Airport in Medan, Ngurah Rai Airport in Denpasar, Sam Ratulangi Airport in Manado, Tabing Airport in Padang and Juanda International Airport in Surabaya. They are also available at Batam; Belawan, Medan; Sibolga, North Sumatra; Tanjung Priok Port, Jakarta; Tanjung Perak Port, Surabaya; Benoa Port in Bali or Jayapura, Papua.

The country hopes to attract six million tourists, up from 5.33 million last year with Bali, Yogyakarta and Jakarta as the main tourist destinations.

The government is also hoping for foreign currency proceeds from foreign visitors to reach some US$6 billion this year from an average spending of $1,000 per person per nine-day visit, up from $4.8 billion last year netted from an average expenditure of $901 per person per nine-day stay.

Roundup of fuel price demonstrations from Detik.com

Detik.com - March 15-18, 2005

[The following is an abridged translation of a selection of articles from Detik.com which were posted on its web site between March 15-18. Demonstrations have continued almost daily throughout the country after the government of President Susilo Bambang Yudhoyono and Vice-President Jusuf Kalla (SBY-Kalla) announced the decision cut fuel (BBM) subsides on March 1.]

Makassar students issue no-confidence motion

Gunawan Mashar, Makassar - Around 200 students from the Greater Makassar Student Executive Council (BEM) presented a no- confidence motion to the South Sulawesi provincial parliament because they believe that assembly members have not support actions opposing fuel price increases.

The student arrived at the parliament at 11am and requested that the head of the parliament, Agus Arifin Nu'mang, meet with them and declare his support for canceling the increases. After waiting an hour however, not one assembly member emerged.

Infuriated, the students attacked the front gates of the parliament. "Starting now, we, all South Sulawesi students, issue a no-confidence motion in the members of the South Sulawesi provincial parliament", said BEM chairperson from the Alauddin Makassar State Institute of Islamic Studies, Ibnu Hajar.

After issuing the motion, students organised a convoy and returned to their respective campuses to demonstrate. As well as the groups of student from BEM, the parliament was also inundated by a other student groups who were demonstrating against the price increases including the Makassar chapter of the Association of Islamic Students (HMI) and the National Student League for Democracy (LMND).

Anti-fuel price demonstrators arrested by police

Astrid Felicia Lim, Jakarta - Dozens of demonstrators from a number of different organisations who were demonstrating against fuel price increases in front of the Atmajaya Campus in Semanggi, Jakarta, were arrested by police on March 14.

According to information from the City Forum (Forkot) public relations officer, Miksil Mina Munir, yesterday night an action was to be held at the national parliament in Senayan however it was canceled because it did not have permission from the police.

Around 300 demonstrators therefore returned to their coordination post in front of the Atmajaya campus and held an action there where they gave speeches and set fire to tires until around 10pm.

At 11pm, 500 police officers arrived and cordoned off the area then forcibly took away a number of female students and housewives who had participated in the demonstration.

"Then, at 12 midnight, the 35 people remaining were also forcibly removed and taken to the South Jakarta district police [station]. Up until now they are still there", said Munir when phoned by Detik.com on Tuesday morning (15/3).

Munir said however that the action would continue this afternoon at the national parliament. A number of groups are to participate including Forkot, the Indonesian Heroines of Democracy (SDI), the Volunteers for Democratic Struggle (RPD), the People's Opposition Front (FOR), the Urban Poor People's Union (SRMK) and the Women's Alliance (AP).

When contacted by Detik.com, the South Jakarta police denied holding a number of demonstrators overnight.

Yogyakarta students take to the streets again

Bagus Kurniawan, Yogyakarta - On March 15, student from a number of different groups again took to the streets to oppose fuel price increases. During the action they said that the government of President Susilo Bambang Yudhoyono and Vice-President Jusuf Kalla was neither pro-reform or pro-people.

The first action, which was held by the National Unity Front (FPN) at the Veteran National Development University campus in Yogyakarta, had been joined by dozens of students since 10am.

The second action was held half-an-hour later by the Joint School Forum (Sekber) and started at the Yogyakarta monument. They then held a long-march to the Yogyakarta provincial parliament ending up at the central post office.

Accompanied by a number of police officers, the demonstrators went to the provincial parliament were they gave speeches. Other potential targets such as the Pertamina state oil company offices and the State Palace were tightly guarded by police.

They also brought posters reading "BBM increases = SBY-JK step down", "Bring down prices = bring down SBY-JK" and "Reject BBM increases, reduce the price of basic goods".

The coordinator of Forum Sekber, Astra Diswan, said in a speech that Yudhoyono and Kalla had lied to the people and that the price increases have impacted most on the poor bearing in minded that the price of basic goods has increased in concert with fuel prices. "Meanwhile the subsidies which have been promised by the government [to compensate the poor] are just empty words and the price of fuel must come down again", said Diswan.

They also demanded that Yudhoyono replace his economic ministers who are clearly pro-IMF and other foreign lending institutions.

Housewives and children demonstrate at national parliament

Ahmad Dani, Jakarta - Around 50 housewives and children from the Indonesian Heroines of Democracy (SDI) demonstrated at the national parliament on March 15. They were demanding that the parliament force the government to cancel the fuel price increases.

The group arrived at the parliament in two busses at around 11.45am and immediately unfurled a banner filled with signatures opposing fuel price increases. They then took turns giving speeches.

One of the housewives accused Yudhoyono of going back on his promises. "SBY has not fulfilled his promises. Why is it always the little people who are now often victimised", she protested.

At 1pm seven SDI representatives entered the parliament to meat with the head of the parliament.

Fuel truck hijacked and escorted to East Java parliament

Budi Sugiharto, Surabaya - Around 100 activists from the Cipayung Group hijacked a fuel truck in the East Java city of Surabaya and escorted it to the provincial parliament. They were calling for fuel prices to be brought down.

The fuel truck, which was filled with Premium petrol from the state oil company Pertamina depot in Tanjung Perak was stopped on Jalan Pahlawan Surabaya at around 12.45pm on March 15.

The truck was then driven directly to the provincial parliament accompanied by a number of demonstrators. The other demonstrators followed behind on foot or riding motorbikes. On arriving at the parliament, the truck was used as a "ornament" for speeches. It was finally released at around 1pm.

The demonstrators failed to meet assembly members because dozens of police had blockaded the entrance. By 1.45pm, demonstrators were still trying to force their way in.

The demonstrators came from a number of groups including the Association of Catholic Students (PMKRI), Indonesian Islamic Students Movement (PMII), the Indonesian Christian Students Movement (GMKI) and the Indonesian Nationalist Students Movement (GMNI).

They were demanding the cancellation of fuel price increase, revoking the law on liberalising oil and gas, bringing down the price of basic goods and increasing the duty on luxury goods.

Fuel price demonstration almost highjacks fuel truck

Ahmad Dani, Jakarta - A demonstration against fuel price increases held by hundreds of students from four different groups and the People's Democratic Party (PRD) in front of the national parliament almost succeeded in highjacking a fuel truck from the state oil company Pertamina on March 15.

As the truck went by, the student and PRD demonstrators were forming up under a pedestrian overpass in front of the parliament. A group of five students broke away and climbed up onto the vehicle. The spontaneous action resulted in an argument between the driver and students who eventually let the driver and the truck leave.

The demonstration creating a lengthy traffic jam on Jalan Gatot Soebroto because it took up two of the four lanes of traffic.

Demonstrators used a Mikrolet (small public transport vehicle) as stage for giving speeches. "We only have two demands, fuel is brought down or SBY-JK is brought down", said one of the students.

The four groups who had earlier been demonstrating in front of the Atma Jaya University campus were from the Indonesian Islamic Students Movement (PMII), the National Student League for Democracy (LMND), the Indonesian Christian Students Movement (GMKI) and the Indonesian Nationalist Students Movement (GMNI).

Students 'cordon off' national parliament

Ahmad Dani, Jakarta - Around 150 Indonesian Muslim United Students Action Front (KAMMI) and Greater Jakarta Student Executive Council (BEM) students demonstrated demanding that the government revoke Presidential Decree Number 22/2005 on fuel price increases.

The students held a long-march from the Hotel Indonesia roundabout to the national parliament in Senayan, Jakarta, on March 15. On arriving at the parliament, they held the action on the left side of the parliaments gates immediately in front of the building meaning the parliament was blocked by demonstrators.

KAMMI chairperson Yuli Widiastono said that the students would continue to hold actions and urge the parliament to oppose fuel price increases. "If this doesn't happen, then we will urge the DPR to use the right to [hold] an inquiry. If that doesn't happen as well then we will mobilise even more people", said Widiastono.

Present of cow dung given to the national parliament

Ahmad Dani, Jakarta - The People's Representative Assembly (DPR) continues to be a target of protests against fuel price increases. This time demonstrators presented the parliament with a sack of cow dung.

The action was held by the Greater Jakarta Student Executive Council (BEM) and Indonesian Muslim United Students Action Front (KAMMI) in front of the parliament in Senayan, Jakarta, on March 15.

The students left the cow dung after their representatives failed to gain entry to a parliamentary plenary meeting. As many as 20 BEM and KAMMI representatives were blocked by security officers as the approached the meeting room which was being used to discuss the results of a parliamentary consultation meeting on the fuel price increases with President Susilo Bambang Yudhoyono.

Disappointed with their failure to get into the meeting, the students unloaded a sack of cow dung from a vehicle which was then opened and the dung spread over the road.

"This cow dung is a present for DPR who's performance is such that it is indeed appropriate to give them dung. Meaning the DPR's performance has been extremely poor", said the chairperson of KAMMI Bekasi, Aryanto Hendrata.

Earlier the action was marred by students and security personnel pushing and shoving each other however students calmed and at around 5.25 they disbanded and left.

More fuel price demonstrations at national parliament

Ahmad Dani, Jakarta - Around 200 people from the Greater Bandung Student Executive Council (BEM) and the University of Indonesia Student Action Front (FAM) held demonstration at the national parliament on March 17 opposing fuel price increases.

Demonstrators started arriving from the West Java provincial capital of Bandung by bus at around 11am and immediately launched a demonstration at the front gates of the parliament. Shortly afterwards they were followed by demonstrators from FAM.

Demonstrators called on the parliament to oppose the fuel subsidy cuts which they said only adds to the people's problems and this violates of the 1945 Constitution.

Nine student representatives are presently lobbying to be allowed to enter the parliament to view a consultation meeting between assembly leaders.

Makassar students collect signatures against fuel price increases

Gunawan Mashar, Makassar - Demonstrations against fuel price increase have continued in the South Sulawesi provincial capital of Makassar. On March 17 around 20 students from the Islam Makassar University held a demonstration in which they stopped drivers, especially government officials, asking them to sign a length of white cloth as a social protests against fuel price increases.

The students who were from the Indonesian Islamic Student Movement (PMII) started the action at 10.30am by spreading the white cloth out on the road.

"We will collect signatures and then we will show them to Mr. JK (Vice-president Jusuf Kalla) if he returns home to Makassar. [It demonstrates] that the people of South Sulawesi don't agree with the fuel increases", said one of the students in a speech.

The students ended the action at 1pm and plan to hold another demonstration tomorrow.

Workers and students in Sidoarjo set fire to tires

Budi Sugiharto, Sidoarjo - On March 17, around 500 workers and students in the East Java city of Sidoarjo set fire to tires as a protest against fuel price increases.

The demonstration began with a four kilometer long-march from the Delta Surya Stadium to the local parliament. The head of the Sidoarjo parliament, Arlie Fauzi sempat, met with demonstrators and promised he would convey their demands to the central government.

After dispersing, some of the demonstrators dove in the direction of Buduran to 'seal off' a petrol station but they were prevented from doing so by police. Six students were detained for questioning although police said they would not be charged.

Yogyakarta students almost clash with police

Bagus Kurniawan, Yogyakarta - Hundreds of students from the Yogyakarta Social Alliance held an action against fuel price increases on March 17. Failing to break down the gates of the Yogyakarta Agung Building a clash nearly occurred with police.

The action was joined by BEM students from the University of Gadja Mada, the State University of Yogyakarta and the National Development University, the Association of Muhammadiyah Students (IMM), the Indonesian Muslim United Students Action Front (KAMMI), the Yogyakarta NGO Forum, the Yogyakarta National Students Forum and the Muslim Students Association for Reform (HMI-MPO). They carried a number of posters with messages such as "Cancel the BBM increases or SBY-JK step down", "DPR-SBY = coalition of people's oppressors" and "The DPR must reject BBM increases".

On arriving at the Agung Building students held prayers then presented speeches in the grounds of the Yogyakarta provisional parliament. In a speech, action coordinator Adi Prianto said the government of Yudhoyono and Kalla must be brought down immediately and the price increases canceled. "If within a short period SBY doesn't cancel and revoke the fuel price increases, students will continue to fight and take to the streets", threatened Prianto.

After holding a long-march through the Malioboro shopping district the group arrived at the Agung Building at around 3.30pm. Three platoons of police however had already cordoned off the building so they could get no closer than three meters from the main gate.

Although it was tightly guarded, it failed to deter the students from attempting to break down the gates. Singing "Sir, come on Sir, lets play, push and shove..." students and police pushed each other back an forth. The students were eventually forced back and the situation was eventually brought under control when the Yogyakarta chief of police intervened to calm the demonstrators down.

Makassar students cover their mouths with tape

Gunawan Mashar, Makassar - If previous actions against fuel price increases were made through public speeches, this time students form the South Sulawesi provincial capital of Makassar held an action covering their mouths. The action was held as a symbol of the fact that the government doesn't want to listen to the voices of the people.

The demonstration was held by around 20 students from the Makassar Islamic University on March 18 in front of their campus who covered their mouths with tape. "Talking doesn't have any use, because the government does not want to pay attention to our demands. So it's better to be silent", said one of the students Anto.

The action started at 11am with speeches after which students simultaneously covered their mouths and gathered in front of the road with posters and pamphlets which they had brought.

Actions against fuel price increases have been held frequently by UIM students who have held continuous actions since prices were increases.

[Translated by James Balowski.]

 Environment

Indonesian N-power plan slammed

Australian Associated Press - March 22, 2005

An Indonesian plan to build two full-size nuclear reactors has outraged green groups and surprised analysts, who warned it would be a disaster-in-waiting for the volcanic island chain that is plagued by earthquakes and terrorism.

Indonesia's ambassador to the UN International Atomic Energy Agency (IAEA), Thomas Aquino Sriwidjaja, says Jakarta has revived a plan to have nuclear power within 10 years.

He told a Paris conference on the future of nuclear power on Monday that the world's most populous Muslim nation needs to expand its sources of energy, even though it is a member of the OPEC oil cartel. He promised the proposed plants would be fully protected against the threat of terrorist attacks, despite Indonesia having been rocked by a series of deadly bombings in recent years.

"The introduction of a nuclear power program by the Indonesian government would not only serve as a solution to the rising demand for electricity, but is also expected to help save and prolong fossil energy for other purposes, as well as a part of global efforts to reduce global warming effects," Sriwidjaja said.

Indonesia already has three small research reactors located in Serpong, Yogyakarta and Bandung, operated by its National Nuclear Energy Agency.

An agency spokesman, Deddy Harsono, said the government planned to build two full-size nuclear power plants with a capacity of 600 megawatts by 2016. One would be in the central Java city of Jepara, while the other would be on Madura island near east Java.

Sriwidjaja called on developed countries to help Jakarta develop its nuclear energy program.

Australia -- a major exporter of uranium -- has previously expressed reservations about the idea.

Green activists warned of terrorist attacks and said construction safeguards would be compromised by Indonesia's endemic corruption problem. "We are worried about sabotage," Mutmainah, an anti- nuclear activist, told AAP. "When it's in irresponsible hands what would happen?"

Indonesia is one of the world's most earthquake prone and volcanically active nations -- a fact tragically highlighted by the massive magnitude 9 quake and tsunami which devastated Aceh on Boxing Day, she said. "We know the technology will not be safe and we won't master it," Mutmainah said.

Hening Parlan, a nuclear expert formerly with the Indonesian Environment Forum, said Indonesia had other energy options, including some of the world's largest natural gas reserves. "Why not maximise them instead of using nuclear as an alternative?" she said.

Sriwidjaja said Indonesia -- a signatory to the nuclear Non- Proliferation Treaty signatory and the IAEA's Additional Protocol permitting more intrusive, short-notice inspections -- was aware of the threat of terrorists aiming to attack atomic facilities or acquire nuclear material.

"Indonesia has taken the necessary measures to minimise any possible threat to its own nuclear facilities [and] has also improved and strengthened the physical protection of the existing nuclear facilities in accordance with international standard requirements," he said.

The proposal would revive an earlier reactor plan put forward by former president and technocrat BJ Habibie, who fought for Indonesia to become a technology hub. Asia's economic crisis, the 1998 downfall of the dictator Suharto and Habibie's departure from power a year later ended that vision.

Victor Shum, a senior analyst with energy consultancy, Purvin and Gertz in Singapore, said he was surprised by the plan. "Indonesia is an oil and gas rich country that still belongs to OPEC, so nuclear energy would not seem to be the most obvious or acceptable option," he said.

"The real problem is that over the last few years Indonesia has become a net oil importer, not because of the lack of resources, but because they have not spent money on developing their oil and gas reserves due to political and economic instability.

Shum said Indonesia needed fresh international investment to revive its ailing oil and gas industry, rather than going nuclear. "Hopefully the new government of [president] Susilo Bambang Yudhoyono can bring this," he said.

Rare flowers disappearing from Sumatra rain forests

Jakarta Post - March 22, 2005

Theresia Sufa, Bogor -- The gigantic and pungent Titan Arum or Corpse Flower (Amorphophallus titanum), which can reach up to three and a half meters in height, is slowly disappearing from its native Sumatra rain forests and increasingly blooming in foreign places.

Botanist Yuzammi said that the conversion of Sumatra rain forests, the plant's natural habitat, into residential areas was threatening the existence of the endangered plant.

He warned that it was likely that one day the plants, the putrid odor of which is used to attract insects for pollination, would soon no longer be found growing in Sumatra.

In contrast, the plant, the stench of which has been described as a mix of rotting vegetables and excrement, is being cultivated by about 600 botanical gardens and arboretums throughout the globe, according to Yuzammi.

"In the 1970s through the 1980s a lot of foreign researchers collected the plant's tubers and took them back to their countries," said Yuzammi, who conducts research at the Bogor Botanical Gardens, which has 10 of the plants.

He added, however, that most of the researchers had taken the plants out of the country illegally and as such, stronger laws were needed to prevent the continuing poaching of the plants, which can grow up to 10 centimeters a day.

The Titan Arum, discovered in 1878 by Italian botanist Odoardo Beccari, is the world's largest cluster of flowers, larger than the Rafflesia arnoldii, which scientifically is the largest true flower. Because of its sheer size, the plant, the Latin name of which means shapeless phallus, was once thought to be a man- eating plant.

The plant, which mostly lies dormant underground in the form of a 75-kilogram tuber and blooms only once every couple of years, was first cultivated outside Indonesia, from seeds sent by Beccari, at the Royal Botanic Gardens in Kew, England.

The blooming of the crimson colored flowers, which lasts only a couple of days, is often treated like a rock concert, visited by droves of people who want to witness firsthand the rare phenomenon.

There have been less than 20 recorded blooms in the United States, with the 1999 blooming at the Huntington Botanical Gardens in California attracting 76,000 visitors during a 19-day period.

'Most conservation areas unprotected'

Jakarta Post - March 21, 2005

Theresia Sufa, Bogor -- The majority of 277 animal conservation areas across the country are left unprotected, threatening the sustainability of animals here, a noted ornithologist warns.

Rudiyanto, a senior program officer of Birdlife-Asia, said most of the important conservation areas in West Java were officially protected. These included Ujung Kulon, Gede Pangrango Mountain and Mount Salak Halimun, he said.

However, in many other areas in Java, including Muara Gembong, Tanjung Sedari and the east cost of Surabaya, were left abandoned by officials, he said. One vital spot, the Sahendaruman mountains in the remote Sangir Talaud Islands, North Sulawesi, is as one of the important biodiversity areas in the world.

With 700 hectares of forest, Sahendaruman is a home to a diverse composition of birds, including nearly extinct species and rare birds only found in that area.

Sahendaruman had not yet been declared a conservation area due to its remoteness and a lack of funds, Rudiyanto said.

"It would indeed be difficult to do conservation work there, and it would add to the government's workload. However, there are other ways, even without turning the location into a conservation area," Rudiyanto said on the sidelines of a seminar here during the weekend.

Several environmental groups had succeeded in conserving officially unprotected areas in Indonesia by encouraging community participation, he said.

"(In this way) the government would work only as a facilitator," he said.

The seminar also marked the beginning of the Indonesian Ornithology Association (IdOU) to enhance the study of local birds, which is still limited despite the country's rich biodiversity.

"Foreigners have been coming here to find out about local birds when it should be us who care more about the animals and do more studies on them," ornithologist Mochamad Somadikarta said.

 Health & education

Hundreds of schools in need of repair

Jakarta Post - March 17, 2005

Samarinda, East Kalimantan -- Though East Kalimantan is rich in natural resources, many of the schools in the province have fallen into disrepair from neglect.

A top official at the East Kalimantan Education Office, Syafrudin Pernyata, said on Wednesday there were 628 elementary schools in desperate need of reconstruction, or about 30 percent of the 2,094 elementary schools in the province.

Syafrudin said the government must act quick to repair the buildings before students were hurt or killed in a building collapse.

 Islam/religion

Scholars urge debate on women's role in prayer

Jakarta Post - March 23, 2005

Hera Diani, Jakarta -- The reaction continued on Tuesday to the news that a woman led a mixed-gender Friday prayer service in New York last week, with Muslim scholars calling for more public discussion of the role of women in Islam.

Like other local scholars, Komaruddin Hidayat of Jakarta's Syarif Hidayatullah State Islamic University, was skeptical about a woman imam in Indonesia, at least in the near future.

But he said a public discussion of the controversial issue would do no harm, as people had the right to judge what was right and wrong rather than simply having ulema tell them what to do.

"This issue is debatable but many ulema have stated that it is law. Of course, there will be some condemnation. But this idea must go through a public debate to decide on its validity," Komaruddin said.

Before women are allowed to lead prayers there must be a thorough discussion to prevent a violent reaction from hard-liners, he said.

"The media and public forums can be used to discuss the idea," said Komaruddin, who is also a lecturer at Paramadina Mulya University, which was founded by Nurcholish Madjid, one of Indonesia's most well known Islamic thinkers.

Amina Wadud, a professor of Islamic studies at Virginia Commonwealth University, caused controversy last week when she led a congregation of about 100 men and women in Friday prayers at an Anglican church.

Liberal Muslims around the world applauded her, but conservatives condemned the act as apostasy and tarnishing Islam.

Three mosques refused to hold the service and an art gallery backed out after receiving a bomb threat.

Conservative Muslims say women are prohibited from becoming imams, or prayer leaders, because their bodies can stir sexual desire in men. They also claimed that women's issues were being used by enemies of Islam to corrupt the community.

Scholar Ulil Abshar Abdalla from the Liberal Islam Network said a revolutionary act such as Wadud's could only take place in countries such as the United States where civil rights were protected.

"Here even establishing a church, which is legal and guaranteed by the Constitution, can spark violence and police are powerless in handling hard-line groups. The authorities are also powerless to take firm action against those preaching religious violence," he said.

Ulil said the idea of women imams had been around in Indonesia since a cleric in Cirebon, West Java, said a long time ago that it was permitted under Islamic law for women to lead mixed-gender congregations.

Although more discussion of women's rights in Islam is needed, Ulil said the issue of women imams was not yet an urgent one.

"I basically agree with Amina Wadud. Symbolically, it is a huge step. But do we need to push for a discussion about women imams right now? I don't think it's yet necessary," he said.

Ulil said there many more crucial issues surrounding women in Islam that needed to be discussed, such as domestic violence.

"It is more important, I believe, to discuss and push issues raised in the alternative draft of the Islamic code of law [KHI]," he said.

The controversial KHI draft has been praised by many women activists and moderate scholars for giving women more power in marriages, banning polygamy, allowing interfaith marriages and giving women the same divorce rights as extended to men.

However, the draft has angered many Muslim clerics, with some calling it a blasphemy and satanic. The Ministry of Religious Affairs annulled the draft in February, four months after it was issued.

No room for women imam in mosques here, says expert

Jakarta Post - March 22, 2005

Hera Diani, Jakarta -- Liberal Muslim scholars here welcomed on Monday the news of a woman leading a mixed-gender Friday prayer service in New York last week. They were not convinced, however, that a woman could ever lead an Islamic prayer service here.

Islamic jurisprudence scholar and gender expert Siti Musdah Mulia said that going against mainstream ulema's beliefs that a woman must not lead a prayer service that includes men worshipers, was virtually impossible.

"Most ulema here stick to textual interpretations. Whereas there is an article in the hadith [a narrative record of the sayings and customs of Prophet Muhammad] that says there was a woman imam, at the time of Prophet Muhammad, named Ummu Waraqah who led mixed-gender prayers. At the time, the Prophet did not show any objections," said Musdah, who led the team that designed an alternative draft for an Islamic code of law.

Unfortunately, Musdah continued, the article has never been used as a reference as it was defeated by chauvinistic interpretations that only a man can become an imam.

"It is a setback in the world of Islam. Back in the period of Prophet Muhammad, the atmosphere was more open-minded and inclusive. Now people are more barbarian, calling other people [with different faiths] kafir [infidels]," Musdah said.

Indonesian Ulema Council (MUI) chairman Amidhan argued that based on the teachings of the Syafiiyah School -- followed by the majority of Muslims in the country -- women are not allowed to lead mixed-gender services. "Unless, of course, the service is attended solely by women," he said.

What woman imam Amina Wadud did last week, he said, was more of a political move regarding gender equality. "American people tend to veer toward rationality, which is fine. But religious dogma must not be violated. Feel free to discuss the matter, but I think most Muslims here will object to the idea," Amidhan asserted.

He shared the same views as Muslim figures in the Middle East, condemning Wadud's act as apostasy and as "tarnishing Islam".

A professor of Islamic studies at Virginia Commonwealth University, Wadud led the Islamic prayer service before a congregation of around 100 men and women at an Anglican church.

Three mosques had refused to hold the service, and an art gallery backed out due to a bomb threat.

Conservative Middle East leaders said women's issues had been used by enemies of Islam to corrupt the community. They argued that women's bodies stir desire in men, and that prohibiting women from becoming imams is not discriminatory, but prevents men from being torn by human desire -- while they are standing behind a woman while she is bowing and kneeling.

Musdah said that such a view was ridiculous, as it perceived women merely as sex objects. "Men's bodies can also stir desire... Besides, is it -- at any moment of a prayer service -- appropriate to think about sexual desire?" he said.

Scholar Moeslim Abdurrahman from Muhammadiyah, the country's second largest Muslim organization, spoke positively about the New York event, adding there should be a total shift in Islamic perceptions here. "Back in the old days, there were very few women with strong leadership. That's why there were no women imam. But some ulema then took it be an undisputable law," he said.

Women's hopes and goals should be accommodated by Indonesian ulema, Moeslim added, because Islamic theology does not recognize gender discrimination. "Indonesian women and activists must also react and respond to this phenomena positively," he said.

Showing her support for women who aspired to be religious leaders, Musdah said they should just go ahead rather than waiting for approval. "Just do it. If we campaigned first, the approval might never come," she said.

 Armed forces/defense

Generals 'knew nothing' about $180 million tank scam

Jakarta Post - March 22, 2005

Tony Hotland, Jakarta -- Two retired military generals stated on Monday they had played no part in alleged corruption in the procurement of a total of 100 British Scorpion tanks in the 1990s.

Speaking during a hearing with House of Representatives Commission I for defense and foreign affairs, Gen. (ret) Wismoyo Arismunandar and Gen. (ret) R. Hartono said they had no involvement in and little knowledge of the details of the procurement process.

Wismoyo, who was the Army's chief of staff in 1995, signed the first procurement letter; while Hartono, who replaced Wismoyo a year later, signed the second procurement letter.

But they had signed the letter on behalf of then minister of defense, they said.

Both said the Army only submitted a list of its needs for armored vehicles to the Ministry of Defense at that time, and it was the ministry that fully arranged and managed the purchase.

The statements contradict the ministry's director general of procurement, Maj. Gen. (ret) Aqlani Maza, who said the ministry did not deal with the purchase or the payment at any level.

The procurement made the headlines last year after British newspaper The Guardian reported that British tank manufacturer Alvis Vehicle Ltd. had paid 16.5 million (about US$33 million) to the eldest daughter of former president Soeharto, Siti Hardiyanti "Tutut" Rukmana, in bribes to help secure a 160 million purchase contract.

Tutut, who also attended the House hearing, continues to insist on her innocence in the case. She said she had knowledge whatsoever of the process or the activities, although her brokerage company PT Surya Kepanjen was appointed as the contractor in the purchase.

Tutut is believed to have taken bribes as she was also seen in London during the time of the purchase process with Hartono and Alvis executives.

"Yes, I met with them -- but I just happened to be in London as my colleagues and I were on a mission with an international blood donor organization. I accepted their invitation simply to be nice," she told the hearing.

The purchase also raised suspicions of a possible abuse of state funds since Indonesia paid US$2.5 million for each tank, while Singapore and Thailand -- which bought exactly the same type of tanks at the same time -- paid $1 million.

Surya Kepanjen director Widorini Soekardono said the Scorpion tanks that Indonesia bought were of a higher quality and had more features.

During the session, a number of House commission members proposed the establishment of a working committee to investigate the case in a more focused way.

They also said they would seek information from the Ministry of Finance, the Office of the Coordinating Minister for the Economy and the National Development Planning Agency, who played roles in the disbursement of state funds.

The Corruption Eradication Commission (KPK) is currently collecting data and evidence to launch an investigation into the case.

TNI to setup 22 new territorial commands

Media Indonesia, 22 March 2005

The Indonesian army will set up 22 new territorial commands in the next five years, from 2005-2009, said army chief of staff Lt General Djoko Santoso, in a meeting with Parliament's Commission I.

There will be 19 new district military commands and three new resort military commands, he said. The 19 new district commands will be in Kodam/Bukit Barisan (North Sumatra), Kodam VI/Tanjungpura (East Sumatra), Kodam XVI/Pattimura (Maluku), Kodam XVII Trikora (West Papua), and Kodam Iskandar Muda (Aceh).

The three new resort military commands will be in Riau, Bangka Belitung and Merauke. He also said that the army will set up one Kostrad infantry division in Sorong Komplex, Abepura Komplex and North Sulawesi.

He said in addition that the army will create six infantry brigade headquarters in Kodam IV/Diponegoro (Central Java), Kodam V/BRawijaya (East Java), Kodam VI/Tanjungpura, Kodam XVI/Pattimura, Kodam XVII/Trikora and Kodam Iskandar Muda

He said there will be 16 new infantry battalions, one cavalry battalion, two cavalry detachments, two cavalry companies, two field artillery battalions, two field artillery battalions, one engineers combat detachment and two military region base regiments.

He said this was the second phase of the army's fifteen year development programme.

The announcement provoked a number of comments. Happy Bone, member of Commission I, said the elimination of territorial commands would be in the spirit of the TNI reform programme, and therefore it was wrong to go ahead with creating more territorial commands.

A military expert, Andi Widjajanto of the University of Indonesia took the view that the TNI was still pursuing its old paradigm. Another critic said the creation of additional territorial commands was not in conformity with the TNI Law, which states that army forces should not run parallel the administrative governments.

"The focus should be on areas of conflict, borders regions and isolated regions", he said. He thought it would be possible for Parliament to halt this planned increase in territorial commands through its decisions on budgetary provisions. The new territorial commands would delay the reform process in the armed forces, he said.

Yesterday, Defence Minister Juwono Sudarsono met the President to report on his visit to Washington. He said he met six senators and six members of the House of Representative, the UN Secretary General and former Secretary of State Henry Kissinger.

He said agreement had been reached for the IMET programme to re- start, while the question of Foreign Military Sales had not yet been completed.

[Abridged translation from Tapol.]

 Police/law enforcement

Government told to control police conduct

Jakarta Post - March 17, 2005

Muninggar Sri Saraswati, Jakarta -- The National Human Rights Commission (Komnas HAM) has urged the government to set up mechanisms to control the conduct of police amid a rising trend of human rights violations by law enforcers in various parts of the country.

"We have asked the government to consider establishing a national mechanism to control the behavior of police," commission chairman Abdul Hakim Garuda Nusantara told reporters after meeting President Susilo Bambang Yudhoyono at the presidential office on Wednesday.

He used as an example the Bojong case, where police opened fire on residents of Bojong village in Bogor, West Java, in November last year. The residents were protesting against the operation of a waste processing facility in their area. Six people were wounded in the incident. Police at the time also arrested 33 residents.

Abdul Hakim added that police also committed human rights violations in the restive Aceh province.

The commission urged the government to accelerate the reform drive within the National Police to help resolve the problems.

"We're calling for reform within the National Police because the police are part of the law enforcement system," he said.

Elsewhere, Abdul Hakim said that during the meeting the President also asked for the commission's assessment on the development of democracy in the nation.

He said that while people now enjoyed freedom of expression and freedom to participate actively in politics, the commission was concerned by lingering gross human rights violations committed by security force personnel.

During the meeting the commission also asked the President issue a decree allowing the House of Representatives to start deliberation of crucial bill on witness protection.

"The bill was an initiative of the House, but it can only be deliberated if the President issues the necessary decree," he said.

 International affairs

Ambalat talks held out of public view

Jakarta Post - March 23, 2005

Wahyoe Boediwardhana, Denpasar -- Indonesia and Malaysia began negotiations on Tuesday behind closed doors in Bali to seek a peaceful solution to the Ambalat border dispute.

Technical teams from Indonesia and Malaysia were observed in the vicinity of the Grand Mirage Hotel's ballroom, which was heavily guarded by hotel security as well as intelligent personnel from Udayana Military Command.

However, the officials refused to confirm the meeting and several of them were spotted running away to avoid journalists' questions.

AP reported a foreign ministry official, who spoke on condition of anonymity, saying on Tuesday that the talks were focused on the maritime mapping of two deep-water blocks in the disputed oil- and gas-rich area of Ambalat, off the western coast of Kalimantan.

Indonesian foreign ministry spokesman Yuri Thamrin told AFP that the venue of the two-day meeting, the first to deal directly with the issue, had not been publicly disclosed to ensure a favorable atmosphere for the delegates.

However, Thamrin said he believed it would take more than one round of talks to solve the dispute, which centers on Kuala Lumpur's granting of an oil concession in the contested area, but he was optimistic of the outcome of the negotiations.

The hotel's communications and entertainment manager, Sonya Marlina, declined to confirm the hotel is hosting the meeting, which is reportedly scheduled to conclude on Wednesday. Malaysia would host follow-up meetings, reports have said.

"It's true there's a meeting in the hotel, but that's among Indonesians. I don't know what is it about, and I can't tell you either because it's against the hotel's privacy policy," she said.

Foreign ministry spokesman Marty Natalegawa said on Monday the two-day gathering was the result of a meeting on March 10 in Jakarta between the two countries' foreign ministers.

In the meeting, Indonesian Minister of Foreign Affairs Hassan Wirayuda and his Malaysian counterpart Syed Hamid Albar agreed to solve the dispute through talks.

Marty said the technical teams from Indonesia and Malaysia would meet on March 22 and March 23 to discuss the issue of Ambalat, but provided no other details.

"We are trying to make things as conducive as possible for the technical meeting to go ahead," he said.

Earlier reports said the Indonesian team would comprise experts in maritime law, geology, hydrology and mapping, among other fields.

Indonesia tests ties with 'arrogant' neighbor

Asia Times - March 19, 2005

Kalinga Seneviratne, Jakarta -- From Medan to Jakarta, Yogakarta, Surabaya, Solo and Batam, all across this vast archipelago Indonesian konfrontasi, or confrontation volunteer militias, are undergoing martial-arts training to attack what they call "arrogant Malaysia".

The friendship between the two Southeast Asian Muslim neighbors has been strained in recent weeks over a disputed island off Indonesia's Kalimantan province.

Both Malaysia and Indonesia are claiming ownership of the Ambalat island off northern Kalimantan and its seabed, which is believed to possess large quantities of petroleum and gas deposits. The dispute over the island flared up on February 16 when Malaysian state-owned oil company Petronas granted an oil exploration concession to the giant British-Dutch multinational Shell petroleum company. Since then, both countries have disputed each other's claim to the area and sent gunboats to protect their interests. Indonesia's Department of Transportation has also sent workers to build a lighthouse on Unarang Reef just off the island. Jakarta claims the Malaysian navy arrested and assaulted these workers before releasing them.

While the Malaysian media has been mute on the issue, here in Indonesia the media has drummed up nationalist sentiments over the issue, which has been taken up by political and youth groups raising the specter of the Sukarno era "Smash Malaysia" campaign of 1963.

While young people across the country have been enlisted as konfrontasi volunteers, some demonstrators have burned the Malaysian flag. Yet, leaders of both countries have appealed for refrain and vowed to settle the dispute by peaceful means.

During a visit to Jakarta last week to meet his Indonesian counterpart to discuss the contentious issue, Malaysia's amicable foreign minister, Syed Hamid Albar, gave a series of media interviews to calm the waters and appealed to the Indonesian media to tone down its anti-Malaysian rhetoric.

When asked by the popular Tempo magazine whether Malaysia was ready for war, Albar asked "what war?" He went on to assure Indonesia that war has never been an option considered by Malaysia.

"Those who talk about war are the Indonesian media," he said. "Indonesian television talks about attacking Malaysia. I think they should tone it down."

Confrontation between two countries that share a common religion, language and cultural traditions may sound somewhat out of place in the modern world. But, many analysts here argue that the latest confrontation is much more than just a dispute over territory.

They point out that this comes hard on the heels of Malaysia's high-handed arrest and deportation of thousands of illegal Indonesian workers; while on the other hand, the Indonesian media has whipped up the Ambalat issue immediately after a controversial fuel-price hike by the government of newly elected President Susilo Bamabang Yudhoyono.

"The Ambalat case has at least demonstrated how the spirit of nationalism has 'pushed back' waves of protests against the increase in fuel prices," observed political science lecturer Israr Iskandar of Andalas University in Padang.

Writing in the Jakarta Post this week, he warned that while the Ambalat case has indicated that nationalism is still strong in Indonesia, it runs the danger of burying beneath it the real people's issues, especially cost of living.

But media analyst Wahyutama of the Jakarta-based media watchdog Habibie Center argues that the treatment of Indonesian migrant workers in Malaysia may well be the trigger for the current nationalist sentiments here.

On March 1, Malaysia began rounding up and arresting undocumented workers -- most of whom are Indonesians -- following the end of a four-month amnesty. Those arrested could face heavy fines, jail sentences and whipping.

"We cannot just simplify Indonesia's reaction to Malaysia as a result of media exposure to the Ambalat issue. The reaction is the accumulated emotions of the Indonesian people toward Malaysia-Indonesia relations, especially regarding Indonesian workers," Wahyutama told Inter Press Service in an interview. "I believe the emotions are addressed to the Malaysian government and not to the people.

"There is a general feeling among Indonesian people of being humiliated and dishonored by Malaysia," Wahyutama noted. "The Ambalat conflict happened in a sequence with the sweep of Indonesian illegal workers from Malaysia," he added.

"This policy is viewed by Indonesian people with disgust. It shows Malaysia has no respect for the Indonesian people -- especially the cruel punishment like whipping meted out by the Malaysian government to Indonesians."

Malaysia's decision to award a concession for oil exploitation and management in the Ambalat area to Shell indicated that Kuala Lumpur is sure the island is part of its territory. Indonesia, however, is also confident that the area is in its maritime territory. Jakarta says its claim to the area is supported by historical facts that Ambalat previously was part of the Bulungan Sultanate that since Indonesia's independence in 1945 has been incorporated into the Indonesian archipelago.

The latest clash between the two neighbors is related to the dispute over the Sipadan and Ligitan islands in the same Sulawesi Sea -- a dispute that was settled in Malaysia's favor by the International Court of Justice in 2002. Malaysia's claim over Ambalat and the Unarang Reef is based on the 2002 judgement.

But because there is an overlapping territory, Indonesia has used the rules of the Convention of Law of the Sea to lay claim to portions of the island, situated off the land border between East Kalimantan and Malaysia's state of Sabah. Analysts believe that Indonesia will not go into international arbitration on this issue because the 2002 case was very costly, especially the pay for foreign lawyers. Malaysia too is not in a mood for a legal battle, something Foreign Minister Albar indicated during his visit here last week.

The two countries are due to meet again next week to hammer out a possible joint oil exploration deal in a bid to diffuse tensions.

(Inter Press Service)

 Business & investment

Oil consumption down after price hike: Pertamina

Jakarta Post - March 17, 2005

Fabiola Desy Unidjaja, Jakarta -- Following the recent fuel price increase, the country's fuel consumption has declined by 16 percent compared to the previous month.

State oil and gas company Pertamina said in a statement on Wednesday that fuel consumption this month averaged 158,000 kiloliters per day, compared to last month's 189,700 kiloliters per day.

The decreasing demand has meant that fuel consumption has returned to a normal level. In the first two months of this year, the demand increased by 15 percent, due to uncertainty pertaining to the government's policy to increase fuel prices, thus causing people to stockpile oil.

"Pertamina hopes fuel consumption will remain at this level to help ease the strain on the company's budget as the crude oil price has risen to above US$50 per barrel," the company said in a statement.

Starting March 1, the government increased fuel prices by an average of 29 percent, promising to redirect part of the money saved from slashing the fuel subsidy into programs to assist the poor. Most of the fund will be allocated for education programs, the purchase of subsidized rice for the needy, rural infrastructure projects and health programs.

The rising global crude oil price has burdened the state budget since Indonesia imports almost a fifth of its domestic fuel consumption of 1.1 million barrels per day.

Pertamina said kerosene demand has increased by 20 percent, and suspects that some suppliers have bought the kerosene to be mixed with fuel to gain profit. "Pertamina must increase its surveillance of kerosene distribution," the statement said.

The government has maintained the subsidy for kerosene, the retail price of which is Rp 700 (7.5 US cents) per liter, as it is mostly used by the poor.

Since the introduction of the new fuel prices, Pertamina has sanctioned 162 gas stations nationwide that were found to be mixing the fuel or stockpiling the supply.

"Pertamina is building both civil and criminal cases against these perpetrators and will continue to raid gas stations to maintain the distribution line," the company said.

Garuda board of directors fired

Jakarta Post - March 17, 2005

Jakarta -- National flag carriers Garuda Indonesia has fired its entire 13-member board, in a government move to improve the management of the carrier and its financial performance, a minister said.

The government, which owns Garuda, dismissed six commissioners and seven directors of the Jakarta-based airline on Tuesday, said State Minister of State Enterprises Sugiharto.

"I'm reforming the management of Garuda. I would like to position Garuda as the national flag-carrier rather than being marginalized," he was quoted as saying by Bloomberg in an interview in Hong Kong on Wednesday.

This will be the second time in eight years that Garuda has changed its management team. "The company has spent the last decade trying to reshape its finances and generate profit, and it has not managed to do so," Sugiharto said.

The report did not mention the new members of the board, but a source at the Office of State Minister of State Enterprises told The Jakarta Post that Emirsyah Satar, deputy president director of Bank Danamon, would replace Indra Setiawan as Pertamina's president director.

Emirsyah would also hold the finance director position. He would be supported by two other directors of Garuda's board of management -- Soenarko Kuntjoro and Agus Priyanto.

Abdul Ghani would be appointed president commissioner, with Gunarni Soeworo, M. Soeparno, Bambang Wahyudi, Slamet Riyanto and Aries Mufti as members of the board of commissioners.

Garuda operations director Rudy A. Hardono said the directors had yet to receive formal notice of their dismissals. "We have heard about it, but so far we haven't received letters informing us of the decision," Rudy told the Post in a telephone interview.

Although the decision seemed not to surprise him, Rudy said that talks of the board's dismissal was not a major issue within the company. "We are ready to be transferred or dismissed anytime. Besides, we have been on the board of directors long enough," he said, adding that he had served as Garuda's operations director for the past four years.

Garuda flies to 30 destinations in Indonesia and serves 24 international routes with a fleet of 67 aircraft. In 2003, it flew 7.3 million passengers, 50 percent more than in 2002. Of this total, 5.5 million were domestic passengers. It filled an average of 69.6 percent of its seats in 2003, higher than the 66.9 percent recorded in 2002.

Garuda's 2004 sales may have risen 20 percent to Rp 10 trillion (US$1.1 billion) over the previous year. It spent an extra Rp 700 billion last year as fuel prices rose.

Sugiharto said the restructuring would not stop at Garuda. Another state-owned carrier, PT Merpati Nusantara Airlines, also needed changes, and this would entail the sale of a stake to investors, he said.

"At Merpati, I have urged the management to undertake a major restructuring so as to allow investors to come into the firm," Sugiharto said as reported by Bloomberg.

The strategy was to improve governance in state enterprises and prevent past practices of corruption, collusion and nepotism, the minister said in his interview.

 Opinion & analysis

Wise compromise at last

Jakarta Post Editorial - March 23, 2005

The House of Representatives finally came to its senses on Monday and reached a wise compromise that provides more leeway for deliberation of the contentious issue of fuel subsidies within the broader context of proposed revisions to the 2005 state budget.

Eight of the ten factions in the House voted for two slightly different stances but which essentially boil down to a recommendation that the government review its March 1 oil-price hikes with the relevant House commissions in the context of the amendment of the 2005 budget.

The compromise agreement resolves three weeks of political disputes among the House factions, which exploded into a shouting match and general pandemonium during a plenary session last Wednesday, and between the House and the government over the political legitimacy of the new fuel price policy.

It was a win-win solution with neither of the two sides (for and against the policy) losing face, except the Indonesian Democratic Party of Struggle (PDI-P) and the National Awakening Party (PKB) factions, which decided to walk out of Monday's plenary session.

The House stopped short of demanding an outright reversal of the March 1 fuel price policy, a stance which would have set off protracted political debate and might even have led to deadlock at the expense of political and macroeconomic stability.

But the solution agreed on through an open vote will still allow the House to examine the new fuel price policy and the mechanism for distributing compensatory benefits to the poor through deliberations on the proposed amendments to the 2005 state budget.

The compromise will also facilitate earlier deliberation of these amendments, which have become more urgent than ever as a result of the significant changes to the basic assumptions used for the budget. House debates on budget reviews usually take place in July immediately after the first semester of implementation.

For example, the average crude oil price assumption used in the 2005 budget was US$24 per barrel while the actual price since January has been hovering mostly above $45 and will most likely stay within the $45-50 range for the rest of the year. This single change alone requires a revision of the revenue estimates, rupiah exchange rate, interest rates, fuel subsidy spending and social-safety net programs for the poor.

Minister of Finance Jusuf Anwar again warned on Monday of an unsustainable fiscal deficit as government spending on fuel subsidies over the past two months alone has gobbled up Rp 15 trillion of the Rp 19 trillion allocated for that expenditure account for the whole year.

The reconstruction of Aceh after the Dec. 26 tsunami also created an urgent need for huge additional funds for that province, and it is fitting that this should be discussed with the House.

The Paris Club of sovereign creditors agreed last week to reschedule $2.6 billion (Rp 24.31 trillion) of government debt maturing this year to help reduce the strains on the 2005 budget.

None of these changes can be accommodated in the 2005 state budget without the prior approval of the House.

Hence, the review of the March 1 fuel price policy as part of the deliberation of the overall amendments to the 2005 budget is quite appropriate as both the House and the government will have broader leeway for reassessing resource allocations, the production and distribution costs of state oil monopoly Pertamina and sorely needed fiscal measures such as improved tax efforts.

It was also quite a positive development that President Susilo Bambang Yudhoyono convened a Cabinet meeting immediately after the House voted on the compromise solution and ordered his ministers to prepare proposed budget amendments for submission to the House later this week. This quick, positive response will help sweeten the mood during the upcoming deliberations.

But the protracted disputes over the last three weeks should teach the government a good lesson on how to manage the politically sensitive issue of fuel subsidies. Given the wild volatility of international oil prices, the government should seize the opportunity provided by the forthcoming deliberations on the budget amendments so as to conduct a comprehensive review of overall energy policy in order to reduce dependence on fuels derived from oil.

A vital component of this policy should be the reintroduction of the 2002 pricing mechanism whereby domestic fuel prices, except kerosene, are floated on international market prices using Mid Oil Platts Singapore (MOPS) quotations as the reference price. This means that domestic fuel prices are adjustable every month based on the MOPS quotations and the rupiah's exchange rate -- something that provides policy predictability for the general public, and the business community in particular.

Barbarians in the House

Jakarta Post Editorial - March 18, 2005

Those acquainted with politics looked on in amusement. The majority of those who had held their representatives in something like reverence stared in bemusement.

The cacophony of the assembly turned ugly on Wednesday as the esteemed members of the House of Representatives nearly came to blows during a debate over the fuel price hike. Free speech and opinion veered toward a free-for-all. A shouting match quickly turned to pushing and shoving as legislators tried to reach the House speaker, all the time waving their mobile phones about as dangerous weapons.

Surrounding the speaker's dais, their actions and taunts were more akin to professional wrestlers than learned gentlemen entrusted with the affairs of state.

That the whole thing was caught on camera and broadcast hourly on television only made the whole thing worse. The beneficiaries of the country's democracy were teaching their subjects all the wrong lessons.

Democracy is a learning process. Wednesday's outburst helped unlearn the civility of our nascent democracy. With life getting tougher by the day, a brawl in the most revered hall of Indonesia's democracy will only leave millions wondering whether democracy is worth the sacrifice.

No one said democracy would be easy. Mohammad Hatta, the first vice president, conceded in 1956 that "democracy needs practice ... there must be some practice for a nation not accomplished in this exercise at the national level".

Even great visionaries of the system such as American James Madison noted that democracies have always been spectacles of turbulence and contention. But what transpired at the House was not "practice". It was a process of implosion.

We hope Wednesday's embarrassment will not damage the people's trust in our democratic institutions. It would be good to remind ourselves of Plato's charge to remain faithful in the belief that the trouble with democracy was not due to the absence of the rule of law, but that the wrong people were running it -- those who had little virtue.

Virtue, honor and a code of conduct should be intrinsic among those who wear the House insignia pinned to their lapels.

Another late great politician of the 1950s parliamentary era, Mohammad Natsir, highlighted three errs made by Indonesia's legislators that undermined the democratic process.

The first was a decay of idealism that allowed pique and greed to rule. The second was a fading of the line between acceptable and unacceptable behavior to accomplish one's objectives. The third was the absence of a sense of justice that allowed the wrong man to be put in the wrong place.

Natsir's observations are as true today as they were when he made them 50 years ago.

The ends being sought by the legislators may have been noble, but the means by which they pursued them was not. Even schoolchildren can resolve their difference without having to resort to fighting.

Given the vibrancy of Indonesia's society, more contentious issues than the fuel price increases are likely to arise in the coming months.

Already perceived publicly with a cynical eye, without decorum, respect for dissenting opinion and a sense of duty the House will become an assembly of disorder and disaster.

And sadly, despite the unnecessary brouhaha, legislators still could not resolve their differences over the fuel price increases. So what was all the rage for? Politics is the art of getting other people to do what you want without them knowing it. This sort of finesse defines great politicians.

Such savvy -- the kind that separates great politicians from the average seat warmers in the House -- is clearly still lacking among our legislators.


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