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Indonesia News Digest 44 – November 24-30, 2006

News & issues

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 News & issues

AIDS/HIV stigma still a problem

Jakarta Post - November 29, 2006

Jakarta – People living with HIV/AIDS still encounter stigma in various ways including discrimination, rejection and avoidance, even from medical workers, who often lack knowledge of the deadly virus, say activists.

"Doctors often refuse to examine a patient who admits that he or she is HIV positive," Caroline, an anti-HIV/AIDS activist from the Spiritia Foundation, told a media workshop here Tuesday in observance of World AIDS Day, which falls on Dec. 1. This year's commemorations are themed "Stop AIDS. It's time to act".

She added that the doctors often claimed they did not have adequate medical facilities to treat HIV/AIDS patients.

"Their reason is just an excuse. Actually, the virus would not be easily transmitted if the doctors treated the patients carefully," Caroline said.

"The most important thing the doctors should do is to wear gloves while examining an HIV-positive patient, and to sterilize all of the equipment afterward."

The Spiritia Foundation is a non-governmental organization established in 1995 to support people living with HIV/AIDS and ensure they receive proper medical and social treatment.

The organization also encourages HIV-infected people undergo immediate health checks and begin treatment as soon as possible.

"We found that many of them are still afraid of checking their health. But their unwillingness will finally harm themselves, particularly if they are found to be in the late stages of the disease," said Dayan, another Spiritia activist.

He said that many people living with HIV/AIDS were reluctant to attend check-ups because of the stigma they might face.

Audit agency finds irregularities in government funds, companies

Jakarta Post - November 29, 2006

Urip Hudiono, Jakarta – The Supreme Audit Agency (BPK) has found four cases of irregularities in the management of public funds during the first semester of this year, leading to potential taxpayer losses of some Rp 123 billion (US$13.6 million).

The cases have been reported to the Attorney General's Office (AGO) for further investigation, BPK chairman Anwar Nasution said in a report presented Tuesday to a House of Representatives plenary session.

Another three cases of suspected malfeasance involving state- owned enterprises (SOEs) have also been reported to the Corruption Eradication Commission (KPK). The BPK did not specify the potential losses caused by these cases.

The cases reported to the AGO include one involving the management of state-owned Bank Negara Indonesia (BNI)'s Rp 45.03 billion pension fund, and one involving export credits worth US$4.23 million for the procurement of military helicopters by the Defense Ministry and the Indonesian Army.

The BPK also reported cases of financial mismanagement resulting in losses of up to Rp 31.9 billion at state insurance firm PT Asuransi Jiwasraya, and Rp 8.18 billion at state credit insurance company PT Askrindo.

The three malfeasance cases reported to the KPK, meanwhile, involved an expansion plan at state-owned pharmaceutical firm PT Kimia Farma, and irregularities in the accounts of national flag carrier PT Garuda Indonesia and state-owned survey firm PT Surveyor Indonesia.

The BPK's latest semiannual report was compiled from the audits it conducted between January and June 2006 on the accounts of SOEs, local governments and local government-owned firms, the central bank and the state Deposit Insurance Agency (LPS).

Also included were the BPK's audit findings on the government's 2005 annual accounts, which were once again subject to a disclaimer by the agency due to its disagreement with the bookkeeping and internal supervisory procedures employed by the Finance Ministry in preparing the accounts.

The BPK was largely satisfied with the accounts of Bank Indonesia and the LPS, Anwar said.

The agency also approved 291 out of 344 sets of local government accounts, while slapping disclaimers on 27.

In its report, the BPK referred to its concern over Rp 204.88 billion in non-performing loans at PT Bank Syariah Mandiri, a Rp 14 billion problematic loan at Garuda, and up to Rp 600 billion in subventions that the government has yet to disburse to a number of state fertilizer manufacturers.

Regarding its SOE audits, the BPK referred to a questionable Rp 294 billion procurement project at state logistics agency PT Bulog, and $1.23 billion in potential losses resulting from a production sharing contract with PT Chevron Pacific Indonesia.

"We still have a long road ahead of us before we properly implement the new laws on public-sector financial management, reporting and auditing. In addition, the BPK is understaffed. But, we're all trying to improve," Anwar said. "And the BPK will continue to be proactive in consulting with other institutions and making suggestions about how they can improve."

Firms, workers protest low power supplies

Jakarta Post - November 30, 2006

Apriadi Gunawan, Medan – About 2,000 workers and their employers staged rallies at a number of government institutions in Medan, North Sumatra, Wednesday, demanding the normalization of electricity and gas supplies to companies in the province.

Power outages and gas shortages had forced the firms to temporarily stop operations, thereby threatening the workers' employment.

The rallies were marked by a march from the North Sumatra Legislative Council to the offices of the state electricity company PT PLN and state gas company PT PGN and ended at the North Sumatra gubernatorial office.

At each office the protesters handed over a written set of demands, including a rejection of charges until the electricity and gas supply returned to normal.

Head of the North Sumatra office of the Indonesian Employer's Association (Apindo) Parlindungan Purba, who also organized the rallies, said Wednesday that due to the power and gas supply crises in the North Sumatra province, several companies were on the brink of bankruptcy. The impact was predictable... thousands of workers would be laid off, he said.

"Based on our records, over 3,000 workers of three bankrupt companies have been laid off. There will be many others if the companies where they work do not get adequate power and gas supplies," Parlindungan said.

He explained that out of 500 companies registered at Apindo in North Sumatra, at least 10 of them, specializing in the production of gloves, were on the brink of bankruptcy.

Meanwhile, Datumira Simanjuntak, a representatives of the workers, added that at least 50 other companies had been forced to reduce their production capacities due to power cuts and gas shortages.

"Thousands of workers of the ailing companies are now waiting for their imminent layoff," Datumira said.

Datumira, therefore, urged both PLN and PGN to normalize the power and gas supplies as soon as possible so as to enable the companies to operate normally again.

He said that if the demand was not met, the workers would take the case to court because as consumers they were forced to suffer losses. Officials of both PLN and PGN met by the protesters promised to follow up their demand with PGN even pledging to resume gas supplies Thursday.

Hadimulyono of PLN said that his company would try hard to normalize the power supply. He explained that partial outages still occurred at present because the firm was forced to repair a number of power generating plants.

The blackouts, which had been imposed over the last one month, were expected to end early December in line with the completion of repair work at one of PLN's plants in Belawan, North Sumatra.

Lawmakers head overseas again

Jakarta Post - November 28, 2006

Ridwan Max Sijabat, Jakarta – Despite public criticism of their overseas trips, dozens of lawmakers will again go abroad – this time to South Korea and Hong Kong – for what they called "comparative studies".

The trips, aimed at gathering information from the two countries on how to fight bird flu and deal with labor issues, will cost the state some Rp 500 million (US$54,700). They will involve 30 lawmakers from the House labor and health commission. They are slated to leave on Wednesday.

"The first group of 15 legislators is scheduled to depart on Nov. 29 to meet relevant authorities in Hong Kong and pay a visit to a UN laboratory to seek explanatory information on how the former British colony succeeded in stopping the bird flu that killed almost one million people in 1968," commission deputy chairman Max Sopacua said Monday.

He said the legislators will stay in Hong Kong for three days, spending some Rp 250 million from the commission's 2006 budget.

The second 15-member group of lawmakers will fly to South Korea to observe the implementation of an agreement on recruitment of Indonesian workers employed in small- and medium-scale companies there.

Max said the lawmakers are allowed to bring their wives at their own cost. He defended the planned foreign visits as part of a long-term program, saying the trips were already approved by the House leadership and the House's secretariat general.

The House has drawn fire from the public for sending many of its members overseas for so-called comparative studies. Critics questioned the effectiveness of the trips and said they reflected the House's lack of a sense of urgency about the country's economic difficulties.

Dozens of members of the House transportation commission drew criticism earlier when they visited the Netherlands, France and Germany while deliberating the transportation bill.

Members of the same commission are scheduled to leave for Japan and South Korea next month.

Earlier, the tourism commission did a short study of tourism development and gambling site management in Egypt, while the defense commission made two trips to Iran, Turkey and other Middle Eastern countries. The two commissions' foreign visits cost more than Rp 2 billion from the House's 2006 budget.

The Forum of Citizens Concerned About the Indonesian Legislature (Formappi) blasted the House's foreign visits, saying they wasted state money and worsened the House's already tarnished image.

"The labor and health commission could just download comprehensive information from the Internet on how Hong Kong handled the 1968 bird flu pandemic and its labor regulations to protect foreign workers, and how South Korea has implemented the bilateral agreement on the recruitment of Indonesian workers," forum coordinator Sebastian Salang said.

Despite the foreign studies, almost all the bills involved sparked public protests after the House passed them, he said. The laws criticized included those on ground water, on labor and on the protection of migrant workers, he added.

Up to 80,000 families without shelter six months after quake

Agence France Presse - November 26, 2006

Sebastien Blanc, Jakarta – Six months after a deadly earthquake hit the Indonesian island of Java, between 50,000 and 80,000 families still lack a proper roof over their heads as the rainy season approaches.

According to leading non-governmental organisations (NGOs), the May 27 disaster, which killed around 6,000 people, was "under- evaluated" and received insufficient aid, perhaps because of the massive South Asia earthquake just months earlier, in October 2005.

Some 300,000 homes were totally destroyed or seriously damaged by the quake, according to estimates by the Indonesian disaster management agency BAKORNAS.

At the epicentre of the quake, near Yogyakarta, it is necessary to head for the rural areas surrounding the historic city to fully appreciate the extent of the devastation. Few houses have been rebuilt other than by individual initiative and a disturbing number of people have only simple cover to protect them from the elements.

The situation is partly explained by the decision taken at the top to directly rebuild permanent houses for the survivors, without giving them a temporary shelter. But the plan appears to have taken too long to realise. The arrival of the wet season is imminent.

"I think we lost time because of the government and NGOs and some UN positions (that) that's the way it needed to happen, without really fully appreciating the problems that we're up against now," said Zola Dowell,

United Nations area coordinator for central Java.

She refused to call it a "mistake" but recognised that the question of the shelters "definitely is the major issue".

In Yogyakarta, the authorities wished to avoid a repetition of the mistakes that followed the Indian Ocean tsunami, which devastated the north of Sumatra island on December 26, 2004.

"Many (humanitarian) actors came in and built all manner of different types of shelters post-tsunami and it was very difficult to maintain some kind of control over standardisation," Pete Manfield, an official with the UN Development Programme (UNDP), explained to AFP.

The result is that in Aceh province many prefabricated shelters are now unhealthy, while a large number of survivors continue to live in them.

The solution of permanent housing proposed for Yogyakarta, however, ran up against the old evils of deadlines, corruption and bureaucracy that grip Indonesia.

"Although the government has a lot of money for reconstruction, it's taking a long time to get this money out," said Manfield.

"Because the rains are not going to wait for that money, the UN has stepped in to meet the shortfalls or the pressing humanitarian need to get the shelter over people's heads."

In an apparent about-face, the UN redoubled efforts to build temporary shelters.

Based on an average of five people per household, the UN estimates that between 250,000 and 400,000 Java quake victims are at risk, with the rainy season liable to bring with it a host of respiratory, intestinal and skin problems for survivors.

The emergency plan envisages the construction of simple roofs on a bamboo structure at a cost of between one million and two million rupiah (109 and 218 dollars) apiece.

Some 35,000 of these shelters have already been erected and the UNDP hopes to have built 125,000 of them by the end of April. The materials used can be recycled in permanent houses.

The arrival of the rains brings another threat for quake survivors around Yogyakarta; that from lahars – mudflows comprising volcanic debris and water, which can cause widespread destruction.

Nearby Merapi volcano, which threatened to erupt a few weeks before the earthquake, spewed thousands of tonnes of ash, which now forms the dome of the mountain. The first villagers were recently evacuated from the area as rains dislodged some of the debris.

"There is a threat and it's something that we have been looking (at) over the last several weeks," said Dowell.

 Aceh

Aceh students still waiting for completion of permanent schools

Jakarta Post - November 30, 2006

Nani Afrida, Banda Aceh – Students and teachers can still remember the moment they had to immediately remove their chairs and desks from their school, the No. 99 Neusu Elementary School in Banda Aceh, which was to be demolished by heavy machinery for reconstruction the next day.

"Those at Unicef said that our school was no longer strong due to the earthquake, and that it had to be rebuilt immediately," recalled a teacher, Rosmawardani, 38, referring to the powerful earthquake which sparked the tsunami in late 2004.

She said that the United Nations International Children's Emergency Fund (Unicef) would build a new and better school with separate toilets for male and female students, well-equipped laboratories, a large compound and other facilities on a par with schools abroad.

And, students were told that until the school is rebuilt, for the time being the 135 pupils must attend lessons under a tent.

The event took place more than a year ago, but the school building has yet to come to fruition, despite the fact that students and teachers have been holding classes under the tent for more than a year.

"We just moved to this temporary building in October. Earlier, we had to learn under a tent and even hold examinations there during the rain," added Rosmawardani.

The students and teachers are actually in urgent need of a permanent school, but due to a number of technical problems, construction work had only started in February, only reaching the cement flooring stage of the second floor, meaning it would not be completed in time for the December deadline.

The students and teachers even reached the point where they became fed up. Many students suffered skin diseases. Dozens of students had decided to move to another school because they could no longer stand attending classes in the tent.

"We need a good school, but must we wait this long?" asked another teacher, Zubaidah, 50.

A number of teachers cited many schools that had been built later and were almost completed.

"But, we are now somewhat relieved to have moved to the temporary school, at least conditions are better. We are now only waiting for the new school to be finished," said Zubaidah.

Unicef's Education Unit project officer Muhammad M. Fall acknowledged that his office had encountered a number of problems in the reconstruction and renovation of hundreds of schools in Aceh.

Unicef will build 367 schools in Aceh in the form of Child Friendly Schools which will have good lighting and will be equipped with libraries, children's playgrounds and facilities for disabled students.

"Unicef is not the only agency building schools in Aceh, but is among hundreds of other relief agencies," Fall told the Post.

The accelerated reconstruction process in Aceh has caused the price of building material to swell and a scarcity of construction workers. Other persisting problems are the unavailability of land and pressure from residents for the speedy completion of resettlement houses.

"We are committed to complete the construction of schools. We will rebuild better schools than those before the tragedy," added Fall.

Ex-Aceh rebels hurting own political future: Report

Reuters - November 29, 2006

Achmad Sukarsono, Jakarta – Infighting ahead of the coming landmark Dec. 11 elections in Aceh has hurt the rebel group that stopped its fight to split the province from Indonesia to instead pursue peace, a top think-tank said on Wednesday.

The poll, the first ever direct vote for top executive posts in the province, is a key step towards consolidating the peace deal reached in August 2005.

So far it has succeeded in ending the fighting that killed 15,000 people after the Free Aceh Movement (GAM) launched a struggle for an independent state on Sumatra island's northern tip in 1976.

GAM and the Indonesian government signed the truce under Finnish mediation. The agreement paved the way for the former separatists' involvement in local Aceh politics after they agreed to end their armed rebellion.

The International Crisis Group said in its report that differences over candidates have split GAM's leadership, raising questions about the movement's political future.

"... infighting within GAM is complicating its transition from armed insurgency to political movement," said Sidney Jones, ICG's South East Asia Project Director.

GAM endorses no candidate in the polls in which 2.6 million voters will choose the province's governor and deputy as well as 19 regents and mayors. It plans to transform into a local political party next year as soon as guidelines regulating such entities are issued.

However, several GAM members are running in the December races as independent candidates.

Eight candidates are running for governor and the GAM voting base is split between two candidates, former GAM spokesman Irwandi Yusuf and independent social activist Ahmad Humam Hamid, whose running mate Hasbi Abdullah is a GAM stalwart.

Abdullah spent years in Indonesian jails after he helped his elder brother Zaini flee Indonesia in the late 1970s. Zaini Abdullah is GAM's self-styled foreign minister and a top confident to group patriarch Hasan di Tiro. Earlier this month, Hamid was allegedly attacked by men believed to be supporters of Irwandi.

ICG says the rivalry between the two camps is self-defeating. "GAM has shot itself in the foot with the rift between its old guard and the Irwandi forces," the report said, adding the rivalry has been advantageous to gubernatorial candidates who represent Indonesian national parties.

However, the report also said it could be good for GAM's prospects in the 2009 race if members fail to get the top office.

"Losers in democratic elections can escape responsibility for the mistakes and missteps of victors. By 2009, if a popularly elected gubernatorial team does not deliver greater security and prosperity, the audience for an alternative GAM platform will increase," it said.

The Helsinki agreement came about after months of negotiations, partially spurred by the Dec. 26, 2004 Indian Ocean tsunami that left around 170,000 Acehnese dead or missing.

Aceh polls pose challenge for rebels' move to politics: ICG

Agence France Presse - November 29, 2006

Jakarta – Local elections in Indonesia's Aceh province pose a challenge for former separatist rebels in their transformation from an armed insurgency into a political movement, the International Crisis Group said Wednesday.

A peace agreement last year between the Free Aceh Movement rebels and the Indonesian government paved the way for the first direct elections in Aceh to pick the heads of the province and its 21 districts.

Former rebels are standing in the December 11 polls "but differences over candidates have split their leadership, raising questions about the movement's political future," the ICG said on the release of its briefing on "Aceh's Local Elections: The Role of the Free Aceh Movement (GAM)."

"The political distance Aceh has travelled since the December 2004 tsunami is remarkable – that GAM members would be contesting local office and the Indonesian government would permit it seemed unthinkable two years ago," ICG's Southeast Asia project director Sidney Jones said in a press release.

"But infighting within GAM is complicating its transition from armed insurgency to political movement". The Brussels-based think-tank said the Acehnese see the elections as "a critical reinforcement" of the August 2005 Helsinki peace agreement which ended nearly three decades of conflict.

While for the GAM, "they are a test of political strength and an indication of how much work it will have to do to win the much more important 2009 elections, when seats in the provincial parliament will be at stake."

The ICG said the military and many Jakarta-based officials see elections as a test of the GAM's good faith – whether it will refrain from suggesting independence is just around the corner – while for many Acehnese they are a gauge of whether the peace will hold.

The split in the GAM leadership over election candidates could set back the movement's plans to form a local political party, the ICG said.

"The rift evident today may be a natural outcome for a guerrilla group catapulted into the political sphere faster than it expected, and GAM may reunite or fracture after the elections," said Asia programme director Robert Templer.

"Either way, the negotiations that GAM undertook in Helsinki have set the stage for a stronger, more democratic Aceh, whether or not its own people take charge," he said.

The Aceh peace pact was spurred on by the devastating 2004 Indian Ocean tsunami, which lashed Aceh's coastlines, killing about 168,000 people and forcing both sides to reassess their priorities at the negotiating table.

Second abduction, beating during Aceh election campaign

Agence France Presse - November 29, 2006

Banda Aceh – A second electoral worker has been abducted since the start last weekend of campaigning for milestone elections in Indonesia's Aceh province, police said Wednesday.

A peace agreement last year between former separatist rebels and the Indonesian government paved the way for the first direct elections in Aceh to pick the heads of the province and its 21 districts.

Tengku Ahmad Sabil, campaigning for a candidate for head of Pidie district, was abducted briefly Tuesday, district police chief Asjimain said. Sabil was abducted by a group of unknown men from his home before dusk on Tuesday and returned to his home late in the evening after being beaten up, Asjimain said.

On Friday, a group of men kidnapped a man campaigning for another candidate and beat him up before releasing him hours later. "We are handling these two cases. In the first case, we are already pursuing the perpetrators, while in the second case the victim claims not to know the identity of his kidnappers," the police officer said.

However, the head of the local district Electoral Supervision Committee, Isfandiar, told AFP that Sabil was believed to be campaigning for several candidates.

Eight pairs of candidates are running for the top two positions in Pidie district. Pidie district is just 120 kilometers east of the Aceh capital, Banda Aceh, and was one of the strongholds of the separatist Free Aceh Movement (GAM).

The GAM entered a peace pact with the government in August last year and has since disbanded. Two former GAM members are running on an independent ticket in the December 11 district elections in Pidie.

Elections in the 21 districts of Aceh will be held simultaneously with the polls to pick the next governor and vice governor of the province. Tension has risen in the runup to the polls with clashes last week between supporters of rival candidates.

GAM declares neutrality in polls

Jakarta Post - November 28, 2006

Nani Afrida, Banda Aceh – The Free Aceh Movement (GAM) has taken a neutral stance toward all candidates in the first gubernatorial election in Aceh, following a controversy over whether it was supporting certain candidates.

"The central and regional branches of the Aceh transition committee (KPA) will be nonpartisan in the elections," said the former commander of the military wing of GAM, Muzakkir Manaf, on Monday.

Tension had been brewing over signs that GAM leaders were supporting either the ticket of rights activist Humam Hamid and Hasbi Abdullah, or the pairing of GAM executive Irwandi Yusuf and Muhammad Nazar.

The first-ever direct election in Nanggroe Aceh Darussalam is scheduled for Dec. 11, following the signing of a landmark peace deal between GAM and the Indonesian government in Helsinki, Finland, last year.

Muzakir's statement annulled his earlier declaration of support for Humam and Hasbi, GAM leaders told a press conference. The leaders included Bachtiar Abdullah, spokesman of GAM in Sweden, where a number of leaders are in self-exile, and Nur Djuli, an executive of GAM in Malaysia. "We will accept and support whoever wins the polls democratically," Muzakkir said.

Sofyan Dawood, a spokesman for the Committee's central board, said the decision to remain nonpartisan was actually made last May by the organization's leadership. "The decision at that time was that GAM would support any of its cadres who were joining the race," Sofyan said.

Therefore executives of the Committee at all levels were barred from supporting any one candidate, he added. "The word used to be that Muzakkir supported Humam and I supported Irwandi, which is not the case," he said.

Eight pairs of candidates are running in the race, which is being monitored by the European Union as part of the international effort to facilitate peace in Aceh.

Indonesia: Aceh prepares to go to the polls

Radio Australia - November 27, 2006

Campaigning has begun for next month's long-awaited elections in the Indonesian province of Aceh. For the first time, Acehnese will directly elect their own governor and independent candidates will get to take part.

Presenter/Interviewer: Sen Lam

Speakers: Damien Kingsbury, one-time advisor to the GAM negotiating team and Indonesia specialist at Deakin University

Kingsbury: Well, the elections have the capacity to be very important, because for the first time it's give the Acehnese people the opportunity to decide on a local government which will reflect local interests and be based around local candidates. The issues are conventional in a sense. They are around things like education, health care, how the Provincial Government allocates the funds that it's been promised under the peace agreement. There is of course the controversial matter of Sharer or Islamic law in Aceh. However, I don't think that's going to be a major issue in the campaign, simply because it already exists and most candidates think it's too sensitive at this stage to actually tackle head on.

Lam: So, is that because the implementation of Sharera is a popular move amongst Acehnese?

Kingsbury: It's not so much that it's popular. It's popular within some segments of the community, particularly amongst the Ulama, the Islamic priests. But the problem is if there is moves against it now, there's no capacity to actually overturn it. So it doesn't have any upside if you like for the candidates. But the downside is that they will get the hostility of the Ulama and the Ulama are very influential amongst sections of Acehnese society. So it would be a negative political move.

Lam: And of course Sharia as I understand it was introduced by Jakarta, by the Indonesian Government. So even if they wanted to remove it, they'd have to go through Jakarta first?

Kingsbury: Well, it is able to be removed by the local legislature, but not by a provincial governor decree. So what they really do have to do is now wait until the provincial elections for the legislature come around in a couple of years time and then look at that issue after then. So I think that it may be considered in the future, but the governor doesn't really have the capacity to remove the legislation, so it's not a winning issue to go into the campaign on.

Lam: And from your observation Damien, has there been much enthusiasm on the ground and support by the Acehnese for this election?

Kingsbury: Well yes, I understand that there is a lot of interest and a lot of enthusiasm for the election process. The interesting thing is that the campaign has started off in a fairly quiet manner. There is none of the usual banners and joy rides that you associate with Indonesian elections.

I think in part that reflects the fact there's just not much money around for that sort of campaigning, but the responses that I've been able to pick up so far have indicated there is a lot of interest in the elections and that the local people are quite enthusiastic having the opportunity to at least have some say over their own future.

Lam: I understand that this is also the first time that independents get to take part. Were you surprised that among the candidates were a former military commander and also candidates from the once all power Golkar Party?

Kingsbury: Well, no I'm not surprised that they would stand. There's a number of interests that play out in Aceh and of course if you can get the governorship then you can more establish or more firmly entrench your interests and the military has a very longstanding interest in Aceh through illegal forces of income, political domination and so on. But I don't think...

Lam: But are the Acehnese likely to vote for them, though?

Kingsbury: I would doubt it very much. I think Golkar does have some support, but I think the United Development Party which is also Jakarta-based has some support, particularly because it has the backing of the former political leader of the Free Aceh Movement, and that's in a rather sad move on behalf of the Free Aceh Movement, that it's political leader should side with the Jakarta-based party. But that means that that party will have some significant support would I think go to the other Free Aceh Movement candidate. He won the Yusuf and I think he has significant support in the villages. The visions that are really opening up now are not in Acehnese political society, more generally, but within what used to be the Free Aceh Movement, which is now split down the middle. There certainly is some tension within the what was the Free Aceh Movement over this electoral process, but I don't see it being translated into violence or aggression.

Acehnese women put economy back on track

Jakarta Post - November 25, 2006

Nani Afrida, Banda Aceh – Two years after the December 2004 tsunami devastated Aceh, women are playing a significant role in helping the economy bounce back.

"How to have a cow artificially inseminated?" asked Ani, 26, a resident of Keude Panga village in Panga district in Aceh Jaya regency. Ani has a cow, which she received from a cash grant from UK-based non-governmental organization Oxfam.

Just like other residents, she wants more cows, the cows she used to have before the tsunami swept them away. Apart from Ani, 30 other residents – all women – now own cows thanks to Oxfam.

Panga district is one of Aceh Jaya's districts worst hit by the tsunami. Of the district's 23 villages, 19 were badly damaged in the disaster.

Unlike other districts, however, Panga not only suffered due to the tsunami, but was also one of the "black" zones in the province, where exchange of gunfire between the Indonesian Military soldiers and rebels from the Free Aceh Movement (GAM) was common.

As a conflict area, women in the district had played a much more dominant roles compared to men. They were tasked not only with raising children but also earning a living as their menfolk were usually on the run, fearing they would be accused of being rebels or of being shot in crossfire.

"Women used to work while men would run for safety," said Rustam, a 24-year-old resident of Keude Panga.

Oxfam's staffer for people's empowerment, Muksin, said the organization gave priority to women for assistance in Panga district. "Women in this district have more time to take care of cows from the assistance compared to men," he said.

Another reason, he said, was that women tended to be much more responsible, they could farm and take care of cows as well. Before the tsunami hit, hundreds of cows in Panga district were left under the care of women.

Nurwaida, for instance, now lives with her husband after the tsunami swept through the district. "Before the tsunami, I had eight cows, now I only have one left, and that came from the assistance," she said.

The cow, bought at the price of Rp 5 million, was left in her care. She cuts grass to feed it and brings it to its shelter at night. "My husband is busy working. If he wasn't, he would help," said the woman, who plans to have plenty of cows.

Apart from taking care of her cow, she also earns extra income by selling homemade doughnuts. Her husband is a smalltime worker in the village.

Two years after the tsunami, life has started to return to normal in the district. Paddy is growing in the once flattened ground. "The residents have harvested rice twice in this district and with enough food, they'll be independent," Muklish said.

Campaigning starts for Aceh elections

Jakarta Post - November 25, 2006

Nani Afrida, Banda Aceh – Campaigning for the landmark Dec. 11 elections in Nanggroe Aceh Darussalam kicked off Friday after gubernatorial candidates pledged to campaign peacefully in the polls seen as key to cementing a peace deal in the tsunami- devastated province.

However, there was little sign of political activity in the provincial capital of Banda Aceh, with residents going about their daily routines.

"Is it true the (official) campaign period started today? It's been quiet since morning," said Nyak Umi, a 59-year-old fruit seller in Peunayong market said.

The elderly woman had expected to see candidates' supporters parading down streets like they did during the 2004 presidential and legislative polls.

The campaign period will last until Dec. 7 when there will be a three-day cooling-off period before Aceh people vote on Dec. 11.

Eight pairs of candidates, including two running on independent tickets, will compete in elections for the province's governor. Regional elections will also be held simultaneously to pick 19 regents and mayors for the province, which lost more than 130,000 people in the tsunami.

At the center of Banda Aceh, walls and bridges are covered with banners, posters and stickers promoting candidates.

A sugarcane juice seller working there, Mahdan, said he had no plan to join any campaign. "I have to work to earn money for my family. If I get money to join a campaign, I'll do it," he said.

However, Mahdan said he would not miss his chance to vote, although he had not chosen a candidate yet. "Is there any candidate that pays attention to poor people like me?" Mahdan said.

The Independent Elections Commission in Aceh has scheduled candidates' outdoor campaigns for the Blang Padang field in Banda Aceh.

On Friday, that field was deserted, although it had been booked by gubernatorial candidate Tamlicha Ali and his running mate, Harmen Nuriqmar.

Instead, the governor hopefuls gathered in the Dayan Dawod building at the Syiah Kuala University where they delivered campaign speeches to Aceh council members.

Based on the commission's data, about 2.63 million people are eligible to vote in the province, with the largest number of voters recorded in the Pidie and Bireun regencies, with 314,796 and 305,652 people respectively.

The police will deploy more than 10,000 officers to secure the province during the campaign period, with an additional 3,000- strong force coming from the North Sumatra Police and the military.

Speaking late Thursday after gubernatorial candidates signed a declaration to campaign fairly and peacefully, Home Minister M. Ma'ruf said it was the government's hope "that whoever wins, they will bring peace and prosperity to Aceh".

 West Papua

Papuan tribes ask Freeport for scraps to improve welfare

Jakarta Post - November 29, 2006

Markus Makur, Timika – Hundreds of Amungme and Kamoro tribespeople in Mimika, Papua, held a protest Tuesday to demand giant gold mining company PT Freeport Indonesia give them its old machinery, vehicles and scrap materials.

The protesters marched to Freeport's office in Kuala Kencana to speak with company management about the request.

Agustinus Anggaibak, the organizer of the rally, said that as the original owners of PT Freeport's land, the tribes had asked the company to give them old or outdated equipment.

Anggaibak said the one percent of Freeport's profits supposed to go to local communities was not being properly disbursed. "Instead of improving people's welfare, the money frequently causes conflicts," he said. Anggaibak accused local leaders of embezzling the money.

Representatives of the tribes called on Freeport to train locals so they could hold strategic positions in the company. Freeport had never employed tribespeople in mining jobs, they said.

Mimika Police chief Adj. Sr. Comr. Jantje Jimmy Tuilan said the protesters had held the rally without obtaining a permit from the police, required for demonstrations outside the Freeport mine or company buildings.

The protesters dispersed peacefully after being reminded about the need for a permit.

Independent Papua flag raised in PNG capital

Australian Associated Press - November 27, 2006

Lloyd Jones, Port Moresby – A flag banned from being raised in Indonesia flew in Port Moresby today as activists called on Australia and other nations to support the province of Papua's independence from Jakarta.

Around 120 people gathered in the Papua New Guinea capital for the raising of the Morning Star flag of Papua to commemorate a 1997 proclamation of independence by activists opposed to the region being part of Indonesia.

They also heard a message from West Papua New Guinea National Congress president Michael Kareth, now living in exile in the Netherlands.

Kareth made the independence proclamation on November 27, 1997, in the offices of the president of the European Parliament in Brussels.

The raising of the Morning Star flag is banned in Indonesian Papua, which became part of Indonesia in 1969 following a US- backed "Act of Free Choice" later approved by the United Nations.

Those opposed to Indonesian control say the Melanesian people were never given the right to choose independence for the former Dutch colony.

At today's ceremony, three Papuan youths dressed in white raised the flag as the gathering sang the Papuan anthem and then stood in silence to remember Papuans killed in the independence struggle.

A statement from Kareth was also read out calling on the US, the European Union, Australia and New Zealand to support independence for Papua because the "special autonomy" promised by Indonesia was not working for Papuans.

Speakers said Papuans had suffered years of brutality, suppression and intimidation under Indonesian military and police rule and it was time for the independence issue to be addressed by the United Nations.

A former PNG provincial governor, John Tekwie, said his new Indigenous People's Party would take the issue of Papuan independence to the PNG electorate during next year's general election.

He noted that 43 Papuan asylum seekers "created a big explosion in Australia" after they landed on Cape York in January. "We must light the fire and chase our enemies out of Papua. "

Tekwie said that as long as Papua was not independent, there would be the threat of terrorism from the region. "They are breeding cell groups in the mosques all over West Papua. "

West PNG National Congress member Sylvester Uako said Indonesian authorities were expected to act against anyone who today raised the Morning Star flag in Papua, where such pro-independence activities are banned.

Sludge, silt, scars and a sea change

Australian Financial Review - November 24, 2006

Morgan Mellish, Timika – In the estuary where the Ajkwa and Otomona rivers flow into the Arafura Sea off the coast of West Papua, a new island has formed in recent years. It is about 10 metres high, one kilometre wide and covered in mangroves.

Some Freeport employees have dubbed it Ajkwa Island and point out that local fishermen have erected shelters on it. But the island is not a natural phenomenon. It is part of a massive build-up of waste, known as tailings, that Freeport-McMoRan has pumped into the river over the years. This island is just one of many ways Freeport's 35-year-old copper and gold mine, 80km upriver, has changed the environment.

In late September, The Australian Financial Review was granted rare access to parts of the site, one of the biggest and most controversial mines in the world.

As much as environmentalists don't like it, what the company is doing is pretty standard practice in the mining industry, particularly in developing countries. But – and it's a big but – it is doing it on such a massive scale that it's easy to see why many people conclude it is being environmentally reckless.

At an altitude of 4000m and surrounded by rare tropical glaciers and a national park, the open-cut mine is more than 2km wide and 900m deep. The company is also mining underground. To access valuable ore, it removes about 500,000 tonnes of waste rock each day and dumps it into nearby valleys. Another 220,000 tonnes is dug up daily and fed into a nearby mill. Gold and copper is extracted using a flotation process (no cyanide is used), and the silty sludge that's left over – totalling about 220,000 tonnes a day – is pumped into the Otomona River system.

By comparison, the controversial Ok Tedi mine in Papua New Guinea, formerly owned by BHP, put about 80,000 tonnes a day into the Fly River, and the Bougainville mine, which was closed due to environmental damage, was depositing about 140,000 tonnes a day into the Kawerong River.

There are two main environmental impacts from this. One is that alpine valleys are being filled with rock that could pollute local rivers with metal sulphides (acid rock drainage).

The second, and more controversial, is that it has created a 230-square-kilometre wasteland known as the tailings deposition area that stretches across the lowlands to the coast. That's roughly equal to a barren, 5 km-wide corridor that stretches from the foot of the Blue Mountains to Sydney Harbour.

Between the late 1990s, when the mine expanded, and 2041, when it is scheduled to close, 3.5 billion tonnes of tailings will have been pumped into the river system. By 2041, by Freeport's own admission, the layer of silt in the river will be up to 20m thick in places. That's equal to a six-storey building.

Original permission for the mine was granted by corrupt former dictator Soeharto, with whom the company had a close relationship. Over the years, he regularly upped the maximum mill throughput. In 1997, a year before he was ousted, it was raised to 300,000 tonnes a day.

The AFR was allowed into the concession area on the grounds it did not quote company employees directly. Over three days, Freeport managers explained that the tailings were not "toxic" but were merely "dirt".

The company was especially keen to show that nature will return when mining activity stops. The AFR was taken to parts of the old tailings area where it is growing crops on the old waste from the mine. It has also built a butterfly enclosure, a nature walk and a bird-watching hut. The company also says it has only accelerated the process of silting up the river, which would have happened anyway.

It says it has always satisfied Indonesian environmental laws. It says it tests the river water where the tailings are dumped and it meets international drinking standards. It also says its environmental program meets industry best practices.

Yet it is hard to believe that if it operated in the United States it would be allowed to create a 230sq km wasteland in which nothing will grow for at least 40 years – and a new island.

 Human rights/law

Rights commission attacks civil registration bill

Jakarta Post - November 29, 2006

Ridwan Max Sijabat, Jakarta – An alliance of civil groups and the National Commission on Human Rights (Komnas HAM) joined the chorus of criticism here Tuesday against the civil registration bill, which they said could undermine freedom of religion.

They demanded that the House of Representatives drop the bill, due for passage on Dec. 7, or make major changes to it. They also threatened to take the bill to the Constitutional Court for a review should it not be revised.

The alliance consisted of the Indonesian Conference of Bishops and non-governmental organizations Ahlul Bait Indonesia, the People's Legal Aid Institute, the Coordinating Board of Traditional Beliefs and the Indonesian Legal Aid and Human Rights Association (PBHI).

Komnas HAM member Chandra Setiawan said that if passed into law, the bill would mean followers of traditional beliefs would be discriminated against by the state.

"The bill's products will be identity cards and birth certificates which are based on the six official religions. Like before, the government will not list the faiths of traditional believers on their identity cards," he said.

Under the bill, he added, children will be registered but the identity and religion of their parents will not be listed on their birth certificates. "This is a form of discrimination and will affect minority groups," Chandra said.

Priest Benny Sutrisno, from the Indonesian Conference of Bishops, urged the government to drop the bill because it contained flaws that could cause conflict among religious groups.

"The government is obliged to register all citizens no matter what their religion or belief is. With the bill, the nation has been trapped by the politics of identity and the House lacks wisdom in responding to the people's aspirations," he said, warning that identity politics could create sectarian conflict within society.

Chandra said he and other activists were disappointed with the House's working committee for unilaterally postponing a hearing with them to discuss the bill.

Ahlul Bait Indonesia leader Adi Gunardi said the government and the House needed to accept traditional beliefs as they did the six official religions – Islam, Christianity, Catholicism, Buddhism, Hinduism and Confucianism.

The rejection of traditional beliefs was a serious violation of the Constitution, which guarantees freedom of religion, he said.

"Salvation is found not only in the six religions but also in traditional beliefs. The rejection of registering traditional belief followers is really discrimination and the government should not interfere deeper in religious affairs," Adi said.

He said he had suspicions that Islamic influences were dominant in deliberating the bill.

On Sunday a caucus of pro-human rights legislators put their weight behind the opposition to the bill, which has so far been discussed only in closed-door meetings.

The enforcement of the bill would bring many problems to women, handicapped and poor people, aside from other marginalized groups, the caucus said.

"With the bill, street children, beggars and the homeless will be marginalized and isolated from their environment," said Dedi Ali Achmad of PBHI.

Registration bill gets legislators' hackles up

Jakarta Post - November 28, 2006

Ridwan Max Sijabat, Jakarta – A caucus of lawmakers has criticized the controversial civil registration bill, saying it harmed the rights of marginalized groups and their political interests.

Caucus leader Nursyahbani Katjasungkana told a press conference here Monday that the bill was discriminatory and did not protect the rights of minority groups.

"The bill could exert discrimination against minority groups and poor families, especially the homeless, as many people embracing traditional beliefs will not be registered because they can not list their faiths on identity cards, while those having no identity cards will be ignored," she said.

Nursyahbani, a legislator with the National Awakening Party (PKB), said the bill was against the principles of good governance since it required the population to be pro-active in its registration instead of leaving the task to the state.

"In developed countries, the population must register with the state only for social security programs so as to get compensation from the government," she said.

She said the bill also failed to protect citizens' privacy as it related to both population administration and civilian registration, and could be used negatively by certain groups.

Nursyahbani said that if the bill was passed into law it could still be annulled if the affected groups brought it to the Constitutional Court for review.

Evi K. Sundari, a legislator from the Indonesian Democratic Party of Struggle, said many lawmakers and social groups were disappointed with the House of Representatives' working committee for deliberating the bill in closed-door meetings.

"The bill is scheduled to be brought to a House plenary session on Dec. 7 for endorsement, but the public does not know about it and what progress the working committee has made in responding to its contentious issues," she said.

Committee chairman E.E. Mangindaan said the closed-door deliberation of the bill was in line with the House's internal rulings, but added that his side was open to input from the public.

The bill has also sparked strong opposition from the Anti- Discrimination Movement, the People's Legal Aid Institution, the Consortium of Civil Registration and the Commission for Child Protection, which have argued that it is against the Citizenship Law and the bill on the elimination of discrimination.

The civil registration bill only recognizes citizens who follow one of the six official religions – Islam, Christianity, Catholicism, Buddhism, Hinduism and Confucianism.

They are allowed to list their faiths on identity cards, while those with traditional beliefs, along with street children and the homeless are left unregistered.

Saidah Sakwan, another PKB legislator, urged the working committee to align the bill with other relevant laws, including the Citizenship Law.

"They should consult with the former committee which prepared the Citizenship Law and the special committee deliberating the bill against all forms of discrimination before the civil registration bill is endorsed by the House," she said.

Mangindaan said there was no reason for the state to ban non- official faiths from being listed on ID cards because freedom of religion was guaranteed by the Constitution.

 Politics/political parties

Next polls to see new parties from NU, Muhammadiyah

Jakarta Post - November 27, 2006

Jakarta/Surabaya – Two new political parties, linked to the country's two biggest Muslim organizations – Nahdlatul Ulama (NU) and Muhammadiyah, are expected to contest the 2009 presidential and legislative elections.

The new Islam-based parties are apparently aimed at challenging the two existing parties in the next elections – the National Awakening Party (PKB) and the National Mandate Party (PAN), which were founded by the leaders of NU and Muhammadiyah respectively.

Former Muhammadiyah youth group leader Imam Addaruqutni told a news conference Sunday in Jakarta that he and fellow youth activists would launch a new party called the National Sun Party (PMB) on Dec. 11.

He said the new party aimed to accommodate the aspirations of Muhammadiyah, which he claimed were left unheeded by PAN under the leadership of Sutrisno Bachir who replaced former People's Consultative Assembly chairman Amien Rais.

After Indonesia's independence in 1945 Muhammadiyah was linked to the two Islamic parties – the Masyumi Party and the Persis Party. Following the 1998 exit of then president Soeharto, Muhammadiyah leaders founded PAN. "But all ended in disappointment," said Imam, who will serve as PMB chairman with secretary-general to be Ahmad Rofiq.

Rofiq echoed Imam's statement, saying the existing parties linked to Muhammadiyah failed to convey the voices of its members. "The ideological differences between those parties and Muhammadiyah have distanced the organization from the party," Taufiq said.

The PMB would therefore use Islam as its ideological base as demanded by Muhammadiyah members, he added. "Islam as a socio- political reality remains a force and we don't want to be seen as a political party with an unclear ideological basis.

"However, the Islam that the PMB will promote is a progressive Islam. We will also campaign for a substantive Islam," Taufiq said without elaborating.

Imam said the party had completed the establishment of "90 percent" of PMB branches across Indonesia. "By Dec. 11, the preparations will be 100 percent complete".

Last week, some clerics opposed to the leadership of former NU chairman Abdurrahman "Gus Dur" Wahid declared the establishment of a new political group called the Ulema National Awakening Party (PKNU). The party was founded by senior NU clerics disappointed by the Gus Dur-controlled PKB, said their spokesman Ma'ruf Amin.

"The new party will reject liberalism and secularism. But we will continue to protect non-Muslims in Indonesia and promote nationalism," Ma'ruf said last Tuesday when declaring the launch of the PKNU at the Langitan Islamic boarding school in Tuban, East Java.

Among those in attendance were school head and charismatic NU cleric Abdullah Faqih and senior ulema Achmad Mas Subadar and Idris Marzuki.

These clerics have been involved in the internal conflict within the PKB currently led by Gus Dur's nephew Muhaimin Iskandar, who is also deputy speaker of the House of Representatives.

The conflict ended with a split of the party into two factions – one led by Muhaimin and other by Choirul Anam. Earlier this year, the Supreme Court ruled in favor of the Muhaimin-Gus Dur camp.

The loss of Anam's faction means it could not contest the 2009 elections unless it changed its name and party attributes. The newly founded PKNU will be led by Anam.

The clerics opposed to Gus Dur were known for their antifeminist stance. They once issued a fatwa banning a woman president when Megawati Soekarnoputri was a contender in the presidential race in 2004.

Parties seen as mere power brokers

Jakarta Post - November 25, 2006

M. Taufiqurrahman, Jakarta – Political parties have failed in their function as training grounds for future leaders of the country and instead serve only as power brokers, an analyst says.

Political analyst Saiful Mujani of the Indonesian Research Institute (LSI) said the fact that the country's established figures had no serious opposition showed that political parties had failed to produce and prepare new leaders.

"In our past surveys, we have fielded the names of young, and prospective politicians... but only a small number of respondents chose them. They opted for famous figures," Saiful said in a discussion about the role of political parties in producing new leaders, on Friday.

He said the names of older figures such as Susilo Bambang Yudhoyono, Megawati Soekarnoputri, Amien Rais and Abdurrahman "Gus Dur" Wahid always appeared high on respondents' lists of preferences.

He said political parties nominated candidates on the basis of their public appeal and regardless of their quality. "The same is true in local elections. Political parties act merely as agents which promote any candidate from any political affiliation. We even see members of certain parties being nominated by rival parties," Saiful said.

National Mandate Party (PAN) member and legislator Muhamad Najib agreed with Saiful. He said that the task of finding future leaders was to important and big to be left in the hands of political parties.

"Do not let political parties set their own criteria for candidates, they will only impose their interests on the candidates," Najib said.

He said that at present most political parties were preoccupied with requirements that were barely relevant to what would be required in public office.

"We are still busy with Javanese-non Javanese, civilian-military, businessman-politician divisions, criteria that have little to do with the interests of our nation," he said.

After the departure of Amien Rais from PAN, the party started to float young politicians such as Transportation Minister Hatta Rajasa and economist-turned-lawmaker Didiek J. Rachbini as its future leaders.

Party head Sutrisno Bachir has even suggested the names of several younger party members as candidates for vice president in the 2009 presidential election.

Agun Gunandjar Sudarsa of the Golkar party said that regardless of their political affiliation, the country's future leaders needed to have the character traits that he believed current leaders lacked. "They must be intelligent, honest and brave," he said.

 Media/press freedom

Indonesia bans documentaries on separatism

Financial Times - November 28, 2006

John Aglionby, Jakarta – Freedom of speech in Indonesia has suffered a significant reverse after censors banned four "disturbing" documentaries on East Timor and Aceh from the Jakarta International Film Festival (JiFFest).

Tuti Said Sadikun, the censorship board's chairwoman, said that exposing the public to films about the independence struggles in the two territories might jeopardise relations with Dili and the peace process in Aceh.

The decision is likely to be seen as a regressive step by a government that seeks to project itself as a regional beacon of democracy and an advocate of freedom of expression, despite inconsistencies in application.

Analysts say it also shows that many influential people in Jakarta have not reconciled themselves to the humiliating loss of East Timor in a UN-sponsored referendum in 1999 and the government's decision to sign a peace deal in 2005 with the Free Aceh Movement (GAM) after a 29-year armed insurrection.

Ms Tuti said it made no difference that the films would have been shown to a limited, largely sophisticated audience in the capital.

"We don't want to affect our good relations with East Timor and we believe it is important to guard the success of the peace process in Aceh," she said. "TW have to protect the public."

Lalu Roisamri, festival programme director, said the three Timor films – Passabe, Timor Loro Sae and Tales of Crocodiles – were banned last year but the censors said they might be given the green light this year if accompanied by a discussion on the context. "We proposed exactly this but were told the situation was still not suitable," he said.

"The censors are worried that whenever there are problems in East Timor, even when they are internal, Indonesians are accused of orchestrating them." The Aceh film, Black Road, is about the rebellion as seen from GAM's perspective.

Mr Lalu said the censorship board did not reflect Jakarta's maturing society. "Most of the people are conservative, from the military, police and religious figures," he said. "Perhaps the wider population is not yet ready for these films, but the JiFFest audience certainly is."

Sidney Jones, of the International Crisis Group think-tank, described the censors' concerns as "troglodyte". "There's no danger to Indonesia of showing these films," she said. "The political harm of hurting freedom of expression is not warranted."

Indonesia's printed media are among the freest in the region, but last month a Jakarta court sentenced a student to 16 weeks' imprisonment for insulting President Susilo Bambang Yudhoyono during a peaceful demonstration.

The eighth annual JiFFest, which runs from December 8-17, will screen 230 films covering themes as diverse as music, human rights, women and the Middle East.

Media watchdog criticises Indonesian ban on Aceh, Timor films

Agence France Presse - November 28, 2006

Jakarta – International media watchdog Reporters Without Borders Tuesday lambasted the decision of Indonesian authorities to ban four films on East Timor and Aceh from the Jakarta International Film Festival.

"The government continues to choose the outdated method of censorship, which is regrettable," the Paris-based Reporters Without Borders (RSF) said in a statement.

Indonesian state censors banned the four films from being shown at next month's Jakarta International Film Festival (JiFFest) on the grounds they could "disturb security," festival organisers have said.

RSF called on the censorship agency to "urgently review its criteria so that freedom of expression can be guaranteed."

"The return of peace to Aceh and East Timor should allow a free and calm debate on the situation in these two regions," said RSF. "But the government continues to choose the outdated method of censorship, which is regrettable."

Indonesia's media was kept under tight control during the rule of former president Suharto, who stepped down amid mounting unrest in 1998. Since then, an independent media has flourished.

In a letter to JiFFest organisers recently, the agency said that the films "could disturb security and order in the otherwise 'conducive' situation in the Aceh province and (bilateral relations with) East Timor," said JiFFest program manager Lalu Roisamri.

The banned films on East Timor are "Tales of Crocodiles" from the Netherlands, "Passabe" from Singapore and a 12- minute animation from Portugal on East Timor's history, titled: "Timor Loro Sae".

"The Black Road" by American journalist William Nessen which covers Aceh's struggle for independence was also banned. The four films were also banned last year.

More than 200 films from over 35 countries are due to be screened at the 8th JiFFest which runs from December 8 to 17.

Indonesia government bans Aceh, Timor films from festival

Agence France Presse - November 24, 2006

Jakarta – The Indonesian government has banned four films on Aceh and East Timor from an international film festival on the grounds they could "disturb security," organisers said Friday.

The banned films are all internationally produced and were due to be screened at next month's Jakarta International Film Festival (JiFFest).

The state censorship agency in a letter to JiFFest organisers recently said that the films "could disturb security and order in the otherwise 'conducive' situation in the Aceh province and (bilateral relations with) East Timor," JiFFest program manager Lalu Roisamri told AFP. The agency was not immediately available for comment.

The four films were also banned last year, JiFFest founder and chairwoman Shanty Harmayn told AFP.

However, a Singapore production titled "A Hero's Journey" about the life of East Timorese President Xanana Gusamo was passed and will be shown, Roisamri said.

The 80-minute documentary by Grace Phan is narrated by Gusmao, who led East Timor's fight for independence from Indonesia.

The banned films on East Timor are "Tales of Crocodiles" from the Netherlands, "Passabe" from Singapore and a 12-minute animation from Portugal on East Timor's history, titled: "Timor Loro Sae".

A film on Aceh's struggle for independence by American journalist William Nessen was also banned. Nessen was deported from Indonesia early 2005 after immigration officials accused him violating a ban to enter the country and report on the tsunami disaster in Aceh province.

Aceh rebels and the Indonesian government last year signed a peace agreement to end almost three decades of violent separatist conflict in the resource-rich province.

More than 200 films from over 35 countries are due to be screened at the 8th JiFFest which runs from December 8 to 17.

 Environment

Death toll from Indonesia pipeline blast reaches 12

Reuters - November 30, 2006

Surabaya – A man died late on Wednesday after suffering injuries from last week's gas pipeline explosion in the Indonesian area swamped by a devastating mudflow, pushing the incident's death toll to 12, a doctor said.

The November 22 blast, which disrupted gas operations in the region covered by state oil company Pertamina's East Java Gas Pipeline, occurred in an area where hot mud has been gushing unchecked since the end of May following a drilling accident.

"Around 98 percent of his body suffered from burns. A skin transplant had been conducted but his condition deteriorated," Dr. Urip Murtedjo, spokesman of the Soetomo hospital in the East Java capital of Surabaya, told reporters.

The pipeline was located underneath sand and gravel dikes made to contain the mud. The transmission pipe broke after land subsidence hiked the pressure, igniting some of the gas.

The 12 casualties related to the blast were soldiers or, like the latest victim, site workers.

The mudflow has inundated a major toll road, several villages, dozens of factories and swathes of paddy and sugarcane fields, causing an unfolding environmental disaster in Sidoarjo, an industrial suburb of Indonesia's second largest city Surabaya.

President Susilo Bambang Yudhoyono ordered on Thursday the total closure of the 440-ha (1,090 acre) area affected by the mudflow, saying it was considered a dangerous area.

Amin Widodo, head of the disaster study center at the Surabaya Institute of Technology, told Reuters the government should put up clear forbidden signs around the mudzone and strictly guard the area.

Officials have said government forces would stand guard over the area twice the size of Monaco, but security in areas distant from the toll road that slices through the mudzone are lax.

Kalla seeks to reassure victims of mudflow

Jakarta Post - November 29, 2006

Tony Hotland and Ridwan Max Sijabat, Jakarta – While victims of the devastating mudflow in East Java continued a public protest, Vice President Jusuf Kalla issued reassurances Tuesday that they would be compensated for their losses. Kalla said PT Lapindo Brantas Inc. and other companies believed to be responsible for the disaster would live up to their obligations.

"Don't worry. They will not flee the country or escape from their responsibility to pay the expenses over the Lapindo mud case," he said in Jakarta.

Residents rallied again Tuesday in Sidoarjo regency, where mud has been gushing from a gas exploration site since late May.

"The Bakrie and Panigoro families are respected and have true nationalism," Kalla said, referring to the owners of Lapindo.

The gas block is shared by Lapindo, which owns 50 percent, PT Medco Energi Internasional with 32 percent, and international oil firm Santos with 18 percent.

Lapindo is wholly owned by Energi Mega Persada, which is controlled by the family of chief welfare minister Aburizal Bakrie. The Panigoro family owns 50.7 percent of Medco.

On Tuesday night, the environment commission at the House of Representatives demanded that Lapindo and the government immediately pay compensation to the victims.

At a hearing with the national team handling the mudflow disaster, the commission said the government and Lapindo must swiftly resolve the many social problems triggered by the disaster.

The meeting was marred by interruptions from lawmakers, who voiced their anger at the national team for failing to deal with the problems more quickly.

In attendance were team chairman Basuki Hadi Mulyono and Maritime and Fisheries Minister Freddy Numbery, who is on the team's steering committee.

In Sidoarjo, at least 75 people representing the victims waited at the local administration building. They demanded a negotiated settlement on compensation involving the residents, Basuki, Sidoarjo Regent Win Hendrarso, local legislative council speaker Arly Fauzi and Lapindo general manager Imam P. Agustino.

A decision on compensation is expected Friday. "We will remain here until a settled decision from Lapindo in Jakarta is released because we have a collective commitment to stay," protest coordinator Moch. Toha was quoted as saying by Antara.

He said the residents would stage bigger demonstrations until they got the compensation they were seeking.

The flood of hot mud has forced at least 12,000 people to flee their homes.

Residents' representatives and other stakeholders have released a list of demands. They want a cash-and-carry system to compensate for their costs, and they want Lapindo to make a written commitment to compensate for the social and economic impacts of the disaster. They are also demanding that payments be set at Rp 1.5 million (US$164) per cubic meter for buildings, Rp 1 million per cubic meter for residential land, and Rp 120,000 per cubic meter for rice fields.

The Vice President said Lapindo's stakeholders would also have to pay an estimated Rp 1.3 billion to construct a planned new turnpike to replace the now inoperable Porong-Gempol toll road.

"Spending Rp 1.3 billion is nothing for the (Bakrie and Panigoro) families and I am sure of their financial capacity to relocate the turnpike," Kalla said.

Mudflow victims rally for compensation

Jakarta Post - November 28, 2006

Surabaya – Thousands of victims of the mudflow disaster in Porong district in Sidoarjo, East Java, rallied Monday to demand gas drilling company PT Lapindo Brantas increase its compensation for their losses.

Protests were held at three separate locations – the Sidoarjo regency administration office, the nearby Siring overpass and along the main road in Porong.

There was no immediate response to the protesters' demand from Lapindo, which operates the gas well at the center of the mudflow, the Sidoarjo regency administration or the national team in charge of dealing with the disaster.

Some 10,000 people have been displaced and entire villages inundated by the mud since a drilling accident in May, causing an unfolding environmental disaster in the Sidoarjo area, near Indonesia's second largest city of Surabaya.

In Porong, protesters blocked a main road with truckloads of sand.

"We are here to claim our rights as Indonesian citizens. A few days ago, we not only lost our houses but also our paddy fields and all the infrastructure because of Lapindo," Muhammad Kudori, a representative of the protesters, said after meeting local officials and the head of the operator of the gas well.

The Banjar Panji well at the center of the disaster is operated by Lapindo, a unit of PT Energi Mega Persada, partly owned by the Bakrie Group, which is controlled by the family of Coordinating Minister for the People's Welfare Aburizal Bakrie.

The firm has denied the mudflow is directly linked to the drilling operation.

Lapindo has offered a monthly stipend of Rp 300,000 (US$32.86) to villagers who have lost their houses, as well as rent for new accommodation. It also has set aside Rp 6.9 billion to cover agricultural losses over the next few years, according to Reuters. Anger has been mounting in the area as hot mud continues to gush out of the ground at a rate of 50,000 cubic meters a day, despite several contingency plans to plug the leak.

Many of the protesters who gathered outside the Sidoarjo regent's office have lost their homes and fields in the past week because of the mudflow, which is also blamed for a gas pipeline explosion in the area last Wednesday that killed 11 people.

"I agree with your demand for compensation for houses and buildings," said Basuki Hadimulyo, the managing head of the national task force formed by the government to tackle the mudflow. "I will fight for your rights in Jakarta."

In the middle of negotiations, representatives of the victims walked out when the national team could not guarantee their demanded compensation.

The protesters blocked a road connecting Surabaya to northern cities in East Java with three truckloads of sand.

Several experts have said the mudflow could have been triggered by a crack about 6,000 feet deep inside the well.

[ID Nugroho contributed to this article from Surabaya.]

Mudflow victims protest in Indonesia

Reuters - November 27, 2006

Thousands of Indonesians blocked a key road on Java island with sand to press the operator of an exploratory oil well spewing torrents of mud to pay more compensation.

Some 10,000 people have been displaced and entire villages inundated by the mud that has flowed since a drilling accident in May, causing an unfolding environmental disaster in the Sidoarjo area, near Indonesia's second largest city of Surabaya.

"We are here to claim our rights as Indonesian citizens. A few days ago, we not only lost our houses but also our paddy fields and all the infrastructure because of Lapindo," Muhammad Kudori, a representative for the protesters, said after meeting top local officials and the head of the operator of the oil well.

The Banjar Panji 1 well, part-owned by Australian company Santos, was operated by Indonesia's Lapindo Brantas, a unit of PT Energi Mega Persada.

PT Energi Mega Persada is partly owned by the Bakrie Group, controlled by the family of Indonesia's chief social welfare minister Aburizal Bakrie.

The company has denied the mudflow is directly linked to the drilling operation.

So far the company has offered a monthly stipend of 300,000 rupiah ($A42.13) to villagers who have lost their houses and rent for new accommodation. It has also set aside 6.9 billion rupiah to cover agricultural losses over the next few years.

Anger has been mounting in the area with the hot mud gushing at a rate of 50,000 cubic metres a day from the well despite several government contingency plans to plug the leak.

Many of the protesters who gathered outside the Sidoarjo regent's office had lost their homes and fields in the past week because of the mudflow, which was also blamed for a gas pipeline explosion in the area last Wednesday that killed 11 people.

"I agree with your demand on the compensation of houses and buildings," Basuki Hadimulyo, managing head of a national taskforce formed by the government to tackle the mudflow, said. "I will fight for your rights in Jakarta."

In the middle of negotiations, the representatives of the victims walked out as national team could not guarantee the compensation they demanded.

The protesters blocked a road connecting Surabaya with northern cities of East Java with three trucks of sand.

Several experts have said the mudflow could have been triggered by a crack about 1,800 metres deep inside the well.

Mudflow disaster stinks to high heaven

Jakarta Post - November 27, 2006

Harry Bhaskara, Jakarta – The government seems to be inconsistent when it comes to handling disasters. It reacted relatively quickly to the Aceh tsunami two years ago but it doesn't seem to want to know about the East Java mudflow.

A lot of questions should be raised about the government's handling of the disaster. Is it because there are no international donors involved in cleaning up the latest mess? Or is it because a fat cat and an influential minister is involved? Something stinks to high heaven here.

Six months since the hot, putrid mud gushed from the earth at the drilling site of PT Lapindo Brantas Inc. at the rate of 50,000 cubic meters a day, no one has been held accountable or punished for the disaster. This is despite strong evidence that Lapindo ignored important safety standards when it drilled the hole from which the mud began to spew.

In the meantime, the economic woes of the people in the area continue to rise. More than 12,000 people in six villages have been made homeless by the discharge, and many of them have reportedly had their health affected by the toxic gases rising from it.

At least 15 factories have been shut down by the thick dark sludge, more than 1,700 workers are now unemployed, the Surabaya Malang toll road has been closed numerous times, and the vital Surabaya-Malang rail link has been cut indefinitely.

At one point – when it really mattered – Lapindo was a unit of PT Energi Mega Persada, majority owned by the Bakrie group of companies, which is controlled by the family of Coordinating Minister for the People's Welfare Aburizal Bakrie.

However, Lapindo was recently sold to a company called Freehold Group Ltd. on Nov. 14; its owners can now avoid being held accountable for the disaster. Environmental group Greenomics has estimated the mudflow has caused Rp 33 trillion (US$3.6 billion) worth of damage to the area.

Last week, a 70-centimeter gas pipe close to the drilling site exploded, killing at least 11 people, including a local military chief. Such an incident, caused by the immense pressure from the constantly sinking ground, could have been avoided had the authorities heeded early warnings from experts.

The explosion is likely to disturb gas distribution to Pertamina's East Java clients and has delivered a further blow to the province's industry.

Last month, the government decided to channel the mud, four million cubic meters of it, to the sea. Environmentalists had warned that the mud would ruin marine life in the area and threaten the livelihoods of thousands of fishermen.

Despite this mess, the authorities have acted extremely strangely since the mudflow began.

Vice President Jusuf Kalla, a good friend of Aburizal's, avoided talking about the sensitive health and environmental issues besetting nearby villagers during his visit to the drilling site in June.

"This incident is the kind of fate that we have to face together," he was quoted by this newspaper as telling the locals. The Bakrie family, he said, would have to be on the frontline in resolving this problem.

Lapindo, meanwhile, was allowed to set the level of compensation it paid to the thousands of affected people. Many later said they had not been paid at all, or complained the compensation was not enough. Many said they had been asked to sign a statement waiving the right to take Lapindo to court when they received this compensation money.

While a criminal investigation was underway, Supreme Court Chief Justice Bagir Manan chirped up and said no further legal action was necessary. That seemed to be enough. Despite serious evidence of negligence, no one has been prosecuted under the nation's environmental laws.

Conflicts of interest when they involve powerful people and huge environmental disasters can create a bizarre public relations strategy.

Ludicrous measures have been taken to divert public attention from the real culprits of this mess. Scientists were brought down to the disaster site to demonstrate that every mud volcano has a silver lining – that the mud would make good quality bricks. Another time, in an imitation of a bad reality TV show, psychics were offered a reward if they could tame the continually spewing gas. They were unsuccessful.

Then a local production house reported that Lapindo had paid for a 13-episode TV soap opera to show the "heroic" role the company and authorities had played in the disaster.

A day after the pipe explosion, President Susilo Bambang Yudhoyono said that the government would take steps needed to ensure that the situation would not "deteriorate further".

It was a mild response judging from the scale of the calamity. Compare this with his angry response when the government failed to act on information about an impending tsunami that hit southern Java earlier this year. But then the world was watching.

A deeper sense of crisis is needed in light of thousands of people who have lost their homes, are jobless and whose children have no schools to go to.

It is exactly these kind of scandals that people had hoped to stop hearing about during the reform era. That was the very reason why so many put their bets on Yudhoyono in the 2004 presidential elections. It now looks like a bad bet.

There is no time for complacency. The rainy season, with the power to destroy the government's flimsy embankments, will soon be upon us.

Lapindo completely liable, says government

Jakarta Post - November 25, 2006

Urip Hudiono, Jakarta – The government will not allocate any funding in the 2007 national budget for the Sidoarjo mud-volcano catastrophe in East Java, despite it having being declared a national disaster, a senior official from the Finance Ministry said Friday in Jakarta.

Referring to a presidential decree issued in connection with the disaster, the ministry's secretary-general, Mulia P. Nasution, said the decree stipulated that the calamity was "the full responsibility of Lapindo."

PT Lapindo Brantas was drilling an exploratory gas well when the mud volcano erupted on May 29, inundating a vast area near Sidoarjo with hot, toxic mud.

The company is a subsidiary of PT Energi Mega Persada (EMP), Indonesia's second largest publicly listed oil and gas firm. EMP is owned by the Bakrie Group, which is controlled by the family of Coordinating Minister for People's Welfare Aburizal Bakrie.

Given the scale of the calamity, President Susilo Bambang Yudhoyono issued a decree in September setting up a national team to coordinate the handling of the disaster. The team has been set up for an initial term of six months, which can subsequently be extended. All of the team's costs are to be borne by Lapindo.

The pressure of the mud on an underground gas pipeline resulted in its rupture and an ensuing explosion late Wednesday. The blast killed 11 people and injured dozens of others. To date, the mud has inundated 400 hectares of industrial land, farmland and residential areas, forcing 12,000 people to seek refuge. It has also cut an economically vital toll road into Surabaya, and is threatening rail lines.

Mulia's statement comes on the heels of increasing controversy over who will shoulder the costs of the disaster after EMP sold its entire stake in Lapindo to a third party. This sale, however, is subject to approval by the Capital Market Supervisory Agency (Bapepam).

Vice President Jusuf Kalla said previously that Lapindo had to accept full responsible for the disaster. Aburizal also said the same, whoever eventually ended up owning Lapindo. The Bakrie Group has vowed to provide financial support to Lapindo to enable it to cover the cost of handling the disaster.

Mulia stressed that the government had not allocated any special funding in either the 2006 budget revisions or in the approved 2007 budget for the mudflow disaster, nor did it plan to do so.

"Even if we were to revise the budget, or use emergency contingency funds, this would still have to be approved by the House of Representatives," he said.

The 2006 budget contains an allocation of Rp 2.9 trillion for disaster relief and emergency social support, most of which is being used to fund reconstruction work in the Yogyakarta and Pangandaran, West Java, areas after they were respectively devastated by an earthquake and tsunami earlier this year. Meanwhile, the 2007 budget contains an emergency funding allocation of Rp 2 trillion.

Separately, Bapepam director Fuad Rachmany said his agency was still collating information on EMP's decision to sell Lapindo to Freehold, a British Virgin Islands-based firm.

Bapepam had previously overruled EMP's decision to sell Lapindo to another firm, Lythe, which is also affiliated to the Bakrie Group.

Fuad added that Bapepam would prefer to meet with EMP executives, rather than Freehold executives, for the purpose of clarifying and discussing the matter.

 Gender issues

Rights group slams Poso reconciliation

Jakarta Post - November 27, 2006

Jakarta – The National Commission on Violence Against Women says it deplores the reconciliatory move between three men charged with beheading three Christian school girls Poso, Central Sulawesi and relatives of the victims.

The Commission's chairwoman, Kamala Chandrakirana, said over the weekend that the move could interfere with theongoing trial in Jakarta. Kamala said the reconciliation, initiated by the National Police, proved perpetrators of violence against women were still able to act with impunity.

"If there was to be any reconciliation, it should have taken place after the trial was completed. We're really worried that the reconciliation will disturb the legal process to find justice for the families of the victims," she told a media conference.

Kamala said the commission would send a letter about its concerns to the head of the Central Jakarta Court and the National Police chief.

Defendants Hasanuddin, Irwanto and Haris are on trial at the Central Jakarta Court for the 2005 killings. National Police chief Gen. Sutanto said the meeting was a good step in improving the situation in sectarian conflict-ridden Poso.

"There is a communal reconciliation, and there is a legal process to find justice. We cannot mix these two things,not fair for the families of the victims," said Kamala.

Female activists face violence

Jakarta Post - November 28, 2006

Hera Diani, Jakarta – After taking on cases of violence against women for the past five years in her hometown in West Nusa Tenggara province, activist-cum-lawyer Beauty Erawati said she was ready to call it quits and switch to a more secure job.

By more secure, she meant no more unwelcome guests coming to her house, throwing stones or threatening her with swords or sickles; no more being called a promiscuous widow, or receiving sexually intimidating phone calls and pictures.

"My family has asked me to move to Jakarta where it's supposed to be safer. To be honest, I'm ready to give up. But then another case comes up and I feel the calling again," Beauty, who works for the West Nusa Tenggara branch of the Association for Indonesian Women for Justice, LBH Apik, told a seminar here Monday.

Beauty is one of many women in the country who risk their lives as human rights defenders. They include labor activist Marsinah, who was raped and murdered. And Ita Martadinata, murdered after calling for an investigation of the abuses against Chinese- Indonesian women in the 1998 riots. Police determined the murder was not related to her activism, but fellow activists believe it was. And Mama Yosefa from Papua, who was brutally interrogated and kept in a room full of human excrement for her role in leading a rally.

There is also Suciwati, who has been fighting for justice over the murder of her husband Munir Said Thalib, a noted human rights activist who was poisoned on a flight from Jakarta to the Netherlands in September 2004.

Like Beauty, Suciwati has received threats, ranging from bombs to blackmail. "Yet, impunity remains. We have to change this. We are tired of violence," Suciwati said at the seminar.

A study by the National Commission on Violence against Women from November 2005 through August 2006 showed that women human rights defenders are much more vulnerable to violence and discrimination than their male counterparts.

The study was a result of a series of discussions with 58 female activists all over the country. Specifically, it found they are vulnerable to sexual violence, including rape, sexual torture, sexual harassment and stigmatization. Rape is an especially effective weapon, and thus rape or threats of it are employed often.

"Sexual violence also includes the corrosion of women's credibility based on their marital status. That 'good' women are those who marry and obey norms of patriarchy. Unmarried activists are then labeled as old maids, lesbians, man-haters, and full of rage," said commission member Saparinah Sadli.

Female activists are attacked in their roles as mothers, wives and daughters, and some are silenced when their children and families become the targets of threats.

Activists in the seminar urged the government to ensure protection for women human rights defenders and to end impunity for perpetrators.

Elisabeth Rehn, the United Nations Special Rapporteur for the Human Rights Situation in the Balkans, said if perpetrators were not put on trial, it was impossible to achieve truth, justice and reconciliation. "As Indonesia resumes membership in the UN Security Council next year, it is in a position to address the issue," she said.

Make 30 percent quota mandatory, says women's caucus

Jakarta Post - November 25, 2006

Ridwan Max Sijabat and Ati Nurbaiti, Jakarta – Female lawmakers repeated Friday their demand for a 30 percent quota for women representatives in legislative bodies nationwide.

Speaking at a national gathering of female lawmakers held in Jakarta, activists argued the quota would strengthen women's political bargaining positions in regional and national parliaments.

The quota was just one of a list of proposals made in the two-day Caucus of Women Legislators meeting, which was closed Friday by Vice President Jusuf Kalla.

During the forum, Golkar Party legislator Eka Komariah criticized the nation's major political parties, which she said had shown little commitment to encouraging more women to participate as lawmakers.

"The implementation of the current laws on political parties and general elections gave no significant political gains to the women's movement," Eka said.

Despite many parties mentioning affirmative action in their campaigns, the recent laws on elections and on political parties failed to make quotas mandatory for women, she said. After the 2004 general elections, women held only 64 seats, or 11.6 percent of the 550 seats in the current House of Representatives, compared to 65 seats, or 13 percent, in the 1987-1992 period, the largest percentage of women in the history of the House.

"It was easier in those days," Kalla told the women. "Once the leadership of the party agreed, the party would just appoint (female) candidates." Now, he said, women had to be prepared to face open competition and political campaigning.

As Golkar president, Kalla said he had proposed a system enabling candidates to qualify by winning a smaller number of votes, which he said would have made it "easier" for women to win.

He said the quota issue was "just a technical matter", because most people already realized the importance of women in politics.

However, Kalla said there was "no way" a 30 percent quota for women could be reached under the current system, he said.

Earlier, meeting organizer Eka had said political parties' reluctance to improve the position of women had a lot to do with the country's patriarchal culture and the poor positions of most women in the country.

Caucus chairwoman Maimanah Umar said the organization would only campaign for parties that gave women more positions in their organizations, and those which provided real opportunities for women to contend the upcoming legislative elections.

With more women among eligible voters, they had stronger bargaining power, said Maimanah who is from the Riau Regional Representatives Council.

"We do not have any intention of overpowering men. Just give us equal treatment and an equal chance."

Golkar legislator Mariani Baramuli said the next elections should use an "open proportional and open list" system to ensure better representation.

Without the interference of political parties, "it is proven that women have a large chance of winning," said Mooryati Soedibyo, a deputy leader of the People's Consultative Assembly.

Introducing a book of short profiles of women lawmakers, Mooryati noted that women made up 34 percent of the directly elected Regional Representatives Council, taking 27 of the 128 seats.

 Armed forces/defense

Juwono rejects civilian trials

Jakarta Post - November 30, 2006

Ridwan Max Sijabat, Jakarta – Defense Minister Juwono Sudarsono insisted Wednesday that members of the military should not face trial in civilian courts, even though President Susilo Bambang Yudhoyono has agreed to the move.

Juwono and Justice and Human Rights Minister Hamid Awaluddin are representing the government in deliberating a military tribunal bill that addresses the issue. On Tuesday, Hamid said the President had agreed to allow military officers to be tried by civilian courts on criminal charges.

The justice minister made the statement after receiving a call from State Secretary Yusril Ihza Mahendra in Japan, where the latter accompanied Yudhoyono on a four-day visit that ended Wednesday. Hamid said Yusril conveyed the president's decision during the phone call.

The government's previous opposition to the trials had stalled the deliberation of the bill in the House. Juwono said he would seek clarification directly from the President as to whether he made the statement reported by the justice minister.

"I will meet with the President to ask for an explanation of what precisely his message is after he returns from Japan and Russia," Juwono told journalists after a hearing with the House defense commission Wednesday.

He said the Defense Ministry and the Indonesian Military (TNI) have their own ideas about military tribunals. He did not elaborate.

Juwono also argued that the bill had no strong legal basis, since the People's Consultative Assembly decree on the separation of the TNI from the National Police was scrapped after the enactment of the 2004 law on the military.

Both the decree and the law ordered soldiers to face civilian trials for common criminal charges. The bill now under consideration was designed based on the law.

But Juwono said the stipulation in the law that allowed civilian courts to try soldiers was "just a political compromise made under emergency conditions". The defense minister did not elaborate.

His stance immediately drew strong reactions Wednesday from human rights activists and lawmakers involved in deliberating the military tribunal bill.

Andreas Pareira, who chairs the House special committee for the deliberation, said Juwono's reluctance reflected an inflexible commitment to maintaining a powerful military with weak civilian oversight.

"The minister's mindset looks down on a stronger civil society and on the reform movement, including internal reform in the military," he said.

Andreas vowed that the special committee would fight for the bill in order to ensure sweeping reform in the military. "The minister should not give his comments as an observer. The government must comply with Law No. 34/2004 on the TNI, which functions as an umbrella law for the bill," he said.

Andreas said all citizens, including soldiers, are equal before the law, and that the military has no legal impunity.

Human rights activists said the House should speed up the deliberation of the bill. "They should use this opportunity as best they can," said Donny Ardyanto of the rights groups Imparsial.

Haris Azhar of the Commission for Missing Persons and Victims of Violence criticized Juwono's resistance. "He has cast doubt on whether the President made such a statement. The minister should take Yudhoyono's statement as an order," he said.

Yudhoyono says soldiers can be tried in civilian court

Jakarta Post - November 29, 2006

Tony Hotland, Jakarta – President Susilo Bambang Yudhoyono has agreed to allow soldiers accused of criminal acts to stand trial in civilian courts, a minister said here Tuesday.

The government had previously rejected the House's proposal for civilian trials, bringing the deliberation of the military tribunal bill to a halt.

"I've received a phone call from State Secretary Yusril Ihza Mahendra in Japan saying the President has agreed that soldiers involved in general crimes will be tried in public court," said Justice and Human Rights Minister Hamid Awaluddin.

Hamid and Defense Minister Juwono Sudarsono are representing the government in the deliberation. Yusril is accompanying Yudhoyono during his three-day state visit to Japan.

Hamid said the move appeared to clear the way for passage of the measure. "The President has in principle approved the substance of the bill," said Hamid after accompanying Vice President Jusuf Kalla to send off the first batch of Indonesian pilgrims to Mecca, Saudi Arabia.

There are widespread concerns that military tribunals promote a culture of impunity because they are not sufficiently open to public scrutiny.

The government had initially rejected the proposal because the existing Criminal Code, currently being amended, did not address the issue of trying soldiers in public court.

Defense Minister Juwono suggested civilian judges and prosecutors would be deployed to military tribunals, at least during a transitional period until the Criminal Code had been fully revised. "On the field now, there's no legal code allowing soldiers to be tried in general court," he argued.

Andreas Pareira, who chairs a House special committee deliberating the military tribunal bill, said lawmakers could understand if the military needed more time to adjust to the change.

"Two or three years of transitional time is good. The government can then familiarize soldiers with the change, prepare the infrastructure and adjust other conflicting laws. But the final objective is to try soldiers in public court for non-military crimes," he said.

That goal, he stressed, is mandated by a People's Consultative Assembly decree in 2000, as well as the 2004 law on the Indonesian Military (TNI).

Andreas, from the Indonesian Democratic Party of Struggle (PDI- P), said the major concern for the military was that soldiers did not want to be imprisoned in a general penitentiary.

"The punishment in a military penitentiary is different from in a general one. In military prisons, soldiers are simply trained and prepared to resume work," he said.

Andreas said members of the military were also concerned that public prosecutors and police would not be competent to try soldiers.

Indonesia to slash US weaponry to prevent arms embargo

Xinhua News - November 27, 2006

Indonesia will trim down the proportion of the US-made military weaponry and equipment in its military to lessen the dependency on the US military industry, the defense minister said in Jakarta on Monday.

Talking to reporters at the parliament building, Minister Juwono Sudarsono said that Indonesia will continue to cut the percentage of the US products from 65 percent now to a figure below 50 percent. In 1998, the figure was 80 percent, he said.

The minister said Indonesia will diversify the source of its weaponry and equipment to other countries. "We reduce (the proportion of the US products) by extending the choice that we have already had," he said after a meeting with the lawmakers at the parliament building.

The minister added should a country control the majority of the weapon supply of another country, it might have a power to impose a ban by seeking the reason of the violation of human rights. "We are now seeking the possibility on scores of countries, we will see their offers," he said.

The United States imposed a ban on the Indonesian military from purchasing spare parts for the Indonesian fighter planes on concerns of the gross human rights violation before and after the United Nations-backed referendum in 1998 in East Timor. The ban was lifted in 2004 followed by the resumption of full military ties of both countries. The embargo had made scores of Indonesian fighter planes not able to operate.

One of the countries being sought to be another supplier of the weaponry and equipment is India, which has an advanced aircraft industry and economy, said the minister. India "has offered products in many sectors, including in electronic, aircraft, and helicopters and guided-missiles," he said.

Indonesia has agreed to spend 1 billion US dollars purchasing weaponry from Russia and reached agreement with Czech to boost defense cooperation.

Chairman of the Commission One in charge of foreign policies of the parliament L. Theo Sambuaga also said that the House supports and encourages the government decision not to rely only on one country and to find out other sources of the arms supply.

"We always push the government to diversify the source of the weaponry," he said at the parliament building.

Arms dealers woo Indonesia

Australian Financial Review - November 27, 2006

Morgan Mellish, Jakarta – Companies from 30 countries have been in Jakarta trying to sell their weaponry.

There were Iranians selling high explosives, Koreans selling tanks, Indians selling cruise missiles and Russians selling virtually everything. Everyone, it seemed, was in Jakarta last week trying to sell arms to the Indonesian military.

"They are interested in everything," says Nikolai Dimidiuk, retired colonel-general and director of special projects for the huge Russian state-owned arms dealer Rosoboronexport. "Submarines, ships, Sukhoi aircraft, infantry vehicles, armoured personnel carriers, small arms and ammunition."

The world's arms dealers were in Indonesia's capital for the second international defence expo organised by the developing nation's armed forces. More than 400 companies from 30 countries took part and you could buy anything from small-arms ammunition right up to warships.

The only notable absence was the United States. Despite recently lifting an arms embargo, the US – the world's largest producer and exporter – had only a small presence and most of its firms, such as Honeywell, were selling less provocative products such as bullet-proof vests.

Bob Lowry, an expert on the Indonesian military and a former military attache to Jakarta, says the US still wanted to keep a low profile because of anti-American sentiment.

"What they are looking for is not to expose themselves to public demonstrations or issues being raised in parliament," he says. "In the meantime, they've opened up their military training and education systems to Indonesians again so they are hoping, over the years, to re-establish the sort of relationship they used to have."

In the past, Indonesia relied heavily on US weaponry and military assistance. However, it turned to Russia and other eastern European nations for arms procurements after the US imposed a military embargo following a massacre in East Timor in 1992. The embargo was lifted last year.

The Russians, who have a permanent office in Jakarta, had by far the largest presence, handing out their catalogue on disk, complete with stirring music and images of tanks firing.

"We are not afraid if the United States are here now because we have very good armaments," Dimidiuk said through an interpreter. "We are ready to challenge the United States."

The Indonesian director-general for defence planning, Slamet Prihatino, a vice-air marshall, says his country is considering buying Brahmos missiles from India, which can be fired from bombers, submarines and land vehicles and have a range of 290 kilometres.

Indonesia also plans to buy more Sukhoi fighter jets from Russia. It has, in recent years, bought four of these jets, as well as Russian helicopters, armoured personnel carriers and small arms.

Despite the activity at the expo, which was opened by the President, Susilo Bambang Yudhoyono, analysts say the budget for Indonesia's military, known as the TNI, remains relatively small.

"Indonesia has about the smallest per capita defence budget out of most of the ASEAN countries," the Australian Defence Association's Neil James says.

"No thinking Australian is terrified of the TNI. Are they capable of invading Australia? The simple answer is no. They're not a threat to us. If there's ever a war sufficiently serious, they're going to be on our side, not against us."

One Australian company at the expo was South Australian radio maker Codan. Regional sales manager Grant Bonner says: "Codan is entering into the military [market] and Indonesia and this is good exposure. I would have thought there'd be more Australian companies here."

One topic nobody wanted to talk about on the record was corruption, which has dogged Indonesia's arms procurement system for many years.

 Economy & investment

Ease off on privatization, says Harvard guru

Jakarta Post - November 30, 2006

Andi Haswidi, Jakarta – Dubbed one of the most influential business gurus, Michael E. Porter, also a distinguished author and a professor at Harvard Business School, said Wednesday in Jakarta that the Indonesian government was placing too much emphasis on the privatization program compared to removing business hurdles.

Speaking at a seminar on "Developing Competitiveness in a Global Environment", Porter said that in enhancing business competitiveness, the fight against corruption should be the main priority of the government.

According to Porter, the privatization program should not be the government's number one priority as fighting corruption, and eliminating excessive bureaucracy and the problems caused by conflicting regulations were more important.

"I told the government last night, 'I didn't tell you that you have to privatize. I didn't say that it's the number one priority. It should be the number five priority,'" Porter said, referring to his meeting with senior government officials in Jakarta on Tuesday evening.

"You have to create the right business environment to allow companies to operate productively because in today's world economy, nobody is going to come to Indonesia and do business if the environment is not productive," he said.

According to the World Economic Forum's 2006 Global Index, even though Indonesia has moved up 19 places from the previous year, the country is still only the 50th most competitive economy in the world.

Another critical aspect of competitiveness, Porter said, was the adoption of economic policies that would allow enterprise clusters to form and work together. "Governments at both the provincial and national level should be able to work together," he said.

Porter said that it appeared to him that Indonesians were fighting among themselves over dividing up the pie rather than thinking about how they could be a part of a collaborative process to expand it.

"The mind-set is so much about 'I want yours for myself', rather than creating an environment where this country can grow. The mind-set is about dividing up the pie rather than expanding the pie," he argued.

He said that government alone could not create wealth. There was only one type of entity in society that could actually create wealth, and that was firms.

"Only firms can create wealth. Firms may be state owned, but that's not what's important. Firms create wealth when they create products and services that they sell, and profit from the local market and international market. So no matter how good the business environment is, Indonesia will only be successful when its firms become competitive," he explained. In order to be competitive, Porter said, a company must have a strategy.

"Strategy is about creating a unique position in the market. Deliver something different!" "The worst mistake in strategy is to get into a competition, and competing on the same thing with competitors. It's not good for customers, either," he said.

Characterizing the country as a business entity with 220 million stakeholders, Porter urged Indonesia to find its own unique potential that could differentiate it from other countries.

"I wouldn't think in terms of size or market as meaning uniqueness. I would think about what are the kind of needs in Asia or in Indonesia that are unique, that we (Indonesia) understand better than companies from the U. S. and Europe," he said.

Local companies look overseas for justice

Jakarta Post - November 28, 2006

Andi Haswidi, Jakarta – Despite efforts to improve legal certainty under President Susilo Bambang Yudhoyono's administration, investor trust in the Indonesian legal system remains low.

Asrul Sani of the Indonesian Corporate Counsel Association (ICCA) said that given the lack of trust in the local courts and arbitration bodies, many domestic companies preferred to choose international arbitration bodies to resolve their commercial disputes.

Among the world's international arbitration bodies, the Singapore International Arbitration Center (SIAC) has long been considered as the ideal alternative for dispute resolution among Indonesian companies.

"There is a lack of trust among foreign investors and foreign business partners in the Indonesian judicial system, which, in turn, leaves them reluctant to use the services of the Indonesian National Arbitration Board (BANI)," he explained.

In many cases, Asrul said, Indonesian companies were also often "forced" to accept overseas arbitration because their foreign partners preferred long established international arbitration services, such as International Chamber of Commerce arbitration in Paris, or the services provided by other trusted bodies, such as those located in London and New York.

He said that this often disadvantaged Indonesian companies, not only because of the higher legal costs they had to bear, but also due to the fact that many international arbitration bodies were not familiar with Indonesian corporate law.

SIAC administration fees ranged from S$2,750 (about US$1,775), for a claim and counterclaim valued below $250,000, and about S$25,000 for claims above S$10 million, while BANI charges were as low as Rp 1.5 million (around US$164).

SIAC arbitrators charged between S$300 and S$900 per hour, depending on seniority and the complexity of the case, whereas BANI arbitrators charged lump-sum fees.

"Singapore has a very good arbitration body. Good in the sense that it doesn't cost as much as those in London or Paris. Plus, they have arbitrators who are familiar with Indonesia. That is why many companies see SIAC as a good alternative," he said.

SIAC counsel & senior assistant registrar Sabiha Shiraz told The Jakarta Post that Singapore benefited from having good arbitration infrastructure and from progressive laws that were very pro-arbitration. "The courts are very supportive of arbitration. They don't interfere with the arbitration processes. We offer neutrality and transparency in everything we do," she said.

"Currently, we have around 150 ongoing cases, and an average of 80 new cases per year, most of which involve Indonesian companies," Shiraz said.

Another important thing that SIAC offered, Shiraz said, was more than 200 qualified arbitrators with expertise in a wide variety of fields, including Indonesia law.

"We have four arbitrators from Indonesia and we have other members of our panel who are experts on Indonesia. Plus, we can always appoint an expert to advise a tribunal on Indonesian law," she said.

Aware of Indonesian business concerns about costs, Shiraz said that SIAC would introduce new arrangements next year that would determine arbitrators' fees based on the value of the dispute, hence ensuring certainty for all sides.

Sharia laws could hurt investment, EU MPs say

Jakarta Post - November 25, 2006

Avian E. Tumengkol, Jakarta – The implementation of sharia-style laws in several regions in the country could negatively affect foreign investment and hurt Indonesia's international relations, a European parliamentary delegation visiting the country says.

The head of the eight-member group, Hartmut Nassauer, said in Jakarta on Friday the delegation was concerned religious laws could discriminate against non-Muslims.

While Europe had strong Christian traditions, it was not a Christian continent but a secular collection of states, Nassauer said. There were 30 million Muslims living in Europe, he said.

Despite claims to the contrary, Nassauer said if a religious law became a state law, followers of other faiths and non-believers could be obliged to live under that law.

"You cannot force a citizen to hold a certain religion, which is against his or her will," he said. Implementing religious laws could also isolate Indonesia from other nations and create frictions.

If sharia-style laws forbade a woman to leave her house after dark, they would not only be a major concern to followers of other faiths, Nassauer said.

Aceh is the only province that has so far applied sharia- influenced precepts in its local bylaws, while several regions in other provinces have issued regulations on public conduct, which have been criticized for being discriminatory to women.

"The final decision to institute sharia law is in the hands of the Indonesian people and government, and will involve other international organizations who intend to assist the country in its elections. And I am here to share my recommendations to Indonesia," Nassauer said. The eight-member delegation, which visited Indonesia to attend the third European-Indonesia Inter- parliamentary Meeting, ended its visit to the country Friday.

During their five-day stay, the members of the European Parliament met House of Representatives Speaker Agung Laksono and other legislators.

They also met with members of the Committee for Inter- Parliamentary Cooperation, trade ministry officials, representatives from the country's two-largest Muslim organizations Muhammadiyah and Nahdlatul Ulama, human rights activists and Foreign Minister Hassan Wirayuda.

In Yogyakarta, they observed the progress of EU assistance programs for the victims of May's earthquake.

Robert Goebbels, of the parliament's economic and monetary affairs division, said the European Union and other ASEAN nations were working closely with Indonesia. "Indonesia is an important trade and investment partner for the EU," he said.

Goebbels, Luxembourg's former minister for the economy and finance, cited ASEAN statistics, which said that one-third of foreign direct investment to ASEAN nations came from the EU.

He recommended Indonesian companies involved in foreign trade consider using the euro more often because it would reduce their vulnerability to the instability of the US dollar.

Asked about the high-profile case of murdered activist Munir, and whether the EU would press Indonesia for a prompt solution, Ambassador Jean Breteche, head of the European Commission delegation to Indonesia, said Munir's widow, Suciwati, had paid him a visit.

"The Munir case is a concern. We will study the case and see how the EU can contribute," Breteche said.

 Opinion & analysis

Business as usual despite the fall of Soeharto

Jakarta Post - November 27, 2006

Djamester A. Simarmata, Jakarta – Most of Indonesia's fiscal problems are inherited from previous governments, especially from the Soeharto era. Off-budget hijinks were rampant during that period, as in the case of the foundations established by Soeharto, his family, his cronies and the military.

The fall of the Soeharto regime sparked new hope for improvement in the general welfare, stemming from better governance and better management of the country's economy as a whole. There were growing demands for transparency and good governance.

Soeharto's "one-man show" style was considered a barrier to good governance. The flow of information was very limited, especially in terms of government affairs. There were widespread cases of government expenditures not being documented in the state budget.

There was very little accountability and transparency, both on the revenue and the spending sides. There was a "dark side" of the state budget, where a significant proportion of government expenses and revenues went unrecorded.

Soeharto's methods of financing his various foundations were questionable. It was not even clear whether institutions such as the Supersemar foundation, Dakab, and others, were public or private.

Unfortunately, the latest report on the Observance of the Code of Good Practices on Fiscal Transparency from the International Monetary Fund (IMF) shows that, despite the hopes for reform, business as usual persists in Indonesia.

As a member of the IMF, Indonesia is committed to observing the code in its fiscal affairs. It consists of four pillars, namely: Clarity of Roles and Responsibilities; Public Availability of Information; Open Budget Preparation, Execution and Reporting; and the Assurance of Integrity.

According to the IMF's evaluation, publicly available fiscal data in Indonesia does not contain sufficient information on extra- budgetary issues. These include regional development and investment funds, housing funds, foundations, cooperatives, extra-budgetary funds for the sub-national level of government, and other items.

Furthermore, the report noted weaknesses in the fiscal regime in the oil and gas sector. Due to the important position of oil and gas in state revenues, there should be appropriate public disclosure of oil revenue and costs, as well as the taxation system and the calculation of oil profits. Since 29 percent of state revenue in 2006 will be from oil and gas, transparency in this sector is a must.

The report acknowledges several advances in fiscal reforms, especially the passage of the laws regarding state finances, the treasury, and the supreme audit board. However, corruption has flourished at regional and local levels since the enactment of the autonomy law, both in executive and legislative bodies. This is proof of the deteriorating climate in the whole body of the bureaucracy.

The status of the Teperum housing fund created in 1993 raises some questions, because it is not formally classified as a pension program. It is financed by compulsory deductions from public servants' salaries. The funds can be withdrawn when a civil servant retires, but without interest. The program has remained off-budget. Such practices violate principles of good public fund management in terms of accountability and transparency. They constitute corruption.

Another important revelation from the IMF's report is that the Indonesian Military (TNI ) and National Police are continuing their old practice of using cooperatives and foundations to raise money from the public. These remain off-budget. Unfortunately such practices can also be found at other ministries and state agencies.

In the TNI's case, these practices violate a 2004 law stating that all TNI business must be transferred to the government. This is only one of the appropriate laws and regulations that has not been implemented. The persistence of such practices in the military proves the unwillingness of the institution to reform its businesses.

The creation of bank accounts for many public officials for the operational budgets of ministries and public institutions is another worrisome practice. The bank accounts remain in the names of officials even after they no longer hold the posts or even after their deaths. This indicates the widespread disorder of fiscal affairs in Indonesia.

The question begs to be asked, why were these accounts created in the names of the officials concerned, and not in the name of the institution? For instance, the question of recent personal accounts for high-ranking police officials has not been clarified. This once again throws the credibility of these institutions into doubt.

Given the seriousness of these off-budget problems, the House of Representatives must take action to solve them. The government can contribute to the effort by raising these issues in public and practicing transparency in its fiscal matters.

These problems are even more serious in light of a recent Merrill Lynch report. It found that a third of the wealthiest individuals in Singapore are Indonesians from the ranks of active and retired high-ranking officials and businesspeople.

[The writer is a lecturer at the faculty of economy, University of Indonesia.]

Bush's big Indonesian photo-op

South East Asia Times - November 27, 2006

Ben Terrall and John M. Miller – On his return from last week's Asia Pacific Economic Cooperation (APEC) summit in Vietnam, President Bush briefly touched down in Indonesia on November 20. Protests against the visit were held across the archipelago, demonstrating popular outrage against the Bush Administration's wars in Afghanistan and Iraq and US backing for Israel's wars on Lebanon and Palestine.

But the Jakarta Post noted, "The Bush couple need not worry [as] apart from the US Secret Service, Indonesian Military personnel – who were trained during the Suharto era to oppress not foreign enemies but the Indonesian people – will also be deployed to guard Bogor."

The historic botanical gardens where Bush was scheduled to arrive to meet Indonesian president Susilo Bambang Yudhoyono in Bogor, 40 kilometers south of Jakarta, were dug up to build an enormous asphalt landing pad for Bush's helicopter. In the end, Bush landed in a nearby Sports Center instead of the formerly-pristine botanical gardens.

A group of fifty-three US human rights, labor, religious and peace groups sent a public letter to Bush in advance of the visit condemning the failure to hold the Indonesian military (TNI) accountable for years of serious human rights abuses. The groups wrote, "restrictions on US assistance to the Indonesian military are essential to promote concrete, demonstrable progress in the areas of military reform, accountability, and respect for human rights in Indonesia and Timor-Leste [East Timor]." They urged Bush "to maintain the best leverage the US has – withholding prestigious US military assistance, including foreign military financing and training such as IMET and JCET – to demonstrate that the US government's commitment to these issues goes deeper than words to actual action."

The primary focus of discussions between the two Presidents was economic development and facilitation of trade deals, but Condoleeza Rice did tell Indonesian television that the meeting would give Bush a chance to discuss US-Indonesian military ties. Bush administration support for the TNI is now a given. Normalization of military relations accelerated when the final legislated restrictions on weapons sales were waived a year ago. Thus there was little need to make additional assistance in this area a major item on last week's agenda.

Press statements from Bush and Yudhoyono after the meeting were, not surprisingly, free of any reference to limits on military ties.

In March, 2005 testimony before the US Congress arguing against re-establishing ties between Washington and the Indonesian military, Ed McWilliams, who headed the political section of the US Embassy in Jakarta from 1996 to 1999, said: "the Indonesian military poses a threat to the fledgling democratic experiment in Indonesia. It receives over 70 percent of its budget from legal and illegal businesses and as a result is not under direct budget control by the civilian president or the parliament. Its vast wealth derives from numerous activities, including many illegal ones that include extortion, prostitution rings, drug running, illegal logging and other exploitation of Indonesia's great natural resources, and as charged in a recent Voice of Australia broadcast (August 2, 2004), human trafficking. With its great institutional wealth it maintains a bureaucratic structure that functions as a shadow government paralleling the civil administration structure from the central level down to sub- district and even village level."

Since that testimony, existing limits on military assistance to Jakarta, passed into law after the Indonesian military destruction of East Timor in 1999, were lifted by the Bush Administration. Shortly after Bush left Indonesian airspace this week, McWilliams told us, "Bush Administration support for the TNI has expanded vastly beyond levels seen at any time in the last 15 years. TNI impunity, corruption and violation of human rights has continued and in some ways worsened. TNI involvement in illegal logging continues unchecked in West Papua and elsewhere. Efforts to hold TNI senior officials responsible for their orchestration of the 1999 bloodbath in East Timor have ground to a halt. Similarly, despite promises that justice would be done in the 2004 murder of leading human rights advocate Munir, senior ex-military officials implicated in the crime by evidence developed by a Presidential commission have not been prosecuted. In West Papua intimidation of human rights advocates have continued forcing some to flee abroad. Others face daily abuse in jail as political prisoners."

McWilliams added, "It is a cruel irony that as the Bush Administration chooses to ignore the absence of TNI reform in favor of recruiting the TNI as an 'ally in the war on terror,' that ally continues to be a key sponsor of terror groups in Indonesia, including Islamic fundamentalist groups such as Laskar Jihad and the Front for the Defense of Islam, among others."

In 1999, Australian Prime Minister John Howard described his government as the US's "deputy" in the Asia-Pacific region. The recently signed "Framework for Security Co-operation" between Australia and Indonesia strengthens relations between Canberra and Jakarta, and strengthens Australia's role as a US surrogate in the region.

Dr Clinton Fernandes, Senior Lecturer in Strategic Studies at the University of New South Wales, Australian Defence Force Academy, argued in the Australian press that the security deal will do nothing to support democratic reform in Indonesia:

"The TNI is not a neutral instrument of the elected government but a partisan force with its own agenda. Through its territorial command structure, it is embedded at every level of Indonesian society, including the bureaucracy, legislature, and economy[... ] Its officers engage in commercial activities that increase their personal wealth, and they influence the electoral process by supporting or opposing civilian politicians[... ] The TNI as a whole has been fashioned for more than half a century into a tool for suppressing popular social forces in Indonesia. Kopassus is merely its most versatile and deployable formation and therefore plays a leading role in any crackdown on pro-democracy forces."

The pro-trade development model Bush and Indonesian President Yudhoyono advocate offers as grim a picture for Indonesia's future as increasing the power of the archipelago's military.

Indonesia specialist John Roosa, a historian at the University of British Columbia, told us, statistics touting economic growth in Indonesia are useless for judging quality of life issues. One big issue is the disappearance of the rain forest. The government has been incapable of stopping the burning of forests in Sumatra and Kalimantan – the smoke has often blanketed Singapore and Malaysia during the dry seasons over the last eight years and has created respiratory problems for millions of people. Also, the fires have caused a major spike in the amount of greenhouse gases and have ignited the ancient peat bogs that are now, according to some scientists, releasing carbon every year equal to one-seventh of the world's annual fossil fuel emissions. The forests in those areas and in Sulawesi and Papua are being rapidly cut down, especially now, with China's insatiable appetite for wood. The loss of the Indonesian forest is one of the most important global issues today."

Roosa added, "The White House press office said the two presidents 'applauded the resumption of cooperation and capacity building activities between the US Forest Service and the Indonesian Ministry of Forestry' and signed a memorandum of understanding on illegal logging, but I'd like to see the actual agreement before getting my hopes up. The problem is not just illegal logging, it is also legal logging – the government has given massive tracts of land out as concessions to loggers. Much of the illegal logging is actually being done by the legal loggers; they move into the forests adjacent to their concession areas. Environmental activists in Indonesia tend to advocate a moratorium on all industrial-scale logging precisely because the government has been unable to tell the difference between the illegal and legal logging. One may also note that the burning of the forests is usually done by legally recognized palm oil plantations."

Earlier this month, the International NGO Forum on Indonesian Development (INFID) targeted Washington-backed neoliberal policies when it released a report highlighting increased poverty in the country. The INFID study revealed that in 2006, the Indonesian government paid out about one billion dollars more in debt installments, than it spent on health, education and public services. The Jakarta Post quoted INFID spokesperson Donatus Marut saying, "According to INFID calculations this year, Indonesia needs Rp 200 trillion (US$22 billion) a year to halve extreme poverty by 2015, as stated in the Millennium Development Goals... Neck-deep in debt, we will not be able achieve the Millennium Development Goals on poverty alleviation by 2015, not even by 2020."

Just days after Bush's visit, the two concerns of rearming Indonesia and increasing trade came together at the Indo Defence 2006 Expo and Forum. US weapons manufacturers took their place among regional and European weapons brokers at the arms bazaar, which Indonesia's defense minister Juwono Sudarsono called an important platform for Indonesia to develop and build regional and international military ties." The program for the event, which touts "A Holistic Approach to Regional Security"[sic], promises "over 400 of the leading names in the industry from 30 countries... will be there for the biggest ever defence industry showcase in Indonesia."

[Ben Terrall is a San Francisco-based writer. John M. Miller is the Brooklyn-based National Coordinator of the East Timor and Indonesia Action Network.]


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