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Indonesia News Digest 34 – September 8-14, 2008
Jakarta Post - September 14, 2008
Jakarta – National unity remains a cause for concern here in
Indonesia, despite 63 years of existence as a nation state, a
survey finds.
The special poll, conducted by Roy Morgan Research in the top 16
provinces in Indonesia in July, revealed that 66 percent of 2,031
respondents saw "the breaking up of Indonesia's unity" as
something they feared might happen, while 27 percent went even
further to say that this was what they feared most.
Besides national disintegration, 55 percent of respondents feared
"another country provoking tension between different groups in
Indonesia", 52 percent were afraid of "breakdown of law and order
or social harmony in Indonesia", and 51 percent were anxious that
there could be "terrorist attacks".
Fear of "breakup of Indonesia's unity" is shared by all groups.
There is no difference between age, gender, and location, on the
common fear that the "breakup of Indonesia's unity" could happen.
As a huge archipelago it is no surprise that Indonesians fear
this. The country's location, differences in race, culture,
religion and disparities in wealth can be seen to weaken
Indonesia against assault from foreign powers, as well as from
within the country, Roy Morgan International said.
"Recent events have shown how fragile Indonesia's unity is, with
the secession of East Timor, and the problems in Aceh. Although
these separatist movements were from within the country, support
and pressure from foreign countries gave them additional
impetus," the pollster said.
Many say national unity has been at stake since regional autonomy
was introduced in 2000. Seven new provinces and over 100 new
regencies have been established in the last eight years, some of
them based on ethnic identities.
Political analyst J. Kristiadi of the Centre of Strategic and
International Studies said the fear of national disintegration
was the result of past government policies which reduced national
unity down to uniformity.
"Such a fear should not arise as Indonesian people have survived
attempts to politicize sectarian issues. Instead, national
integration is a work in progress under a new paradigm,"
Kristiadi said.
Meddling by other countries in Indonesia's internal affairs that
could provoke tension between different groups, was also high on
the list of fears.
When asked "which countries are likely to create difficulties for
Indonesia", 79 percent of the respondents stated the United
States, followed by close neighbor Malaysia (42 percent), Israel
(30 percent) and the neighbor down under – Australia (29
percent).
"Looking at the results of both questions, Indonesians' opinions
that the US was likely to create difficulties is
understandable, taking into account the country's ability and
history of attacking other countries seen to be a security threat
(Iraq and Afghanistan)," the pollster said.
Historically Indonesia has had more tensions with Australia, but
only 29 percent feel that Australia is likely to create
difficulties for Indonesia.
Kristiadi agreed that the results of the survey very much made
sense and revealed Indonesia's critical perception of the US
"There has been an enlightment process in Indonesian society,
which enable people to spot unfairness practiced by the US
People here agree that the US cannot dictate to Indonesia,"
Kristiadi said.
The same survey was conducted in Australia in August 2008. The
country most seen to "likely create difficulty for Australia" was
Indonesia (53 percent), followed by Iran (33 percent), China (32
percent) and North Korea (31 percent).
Jakarta Post - September 13, 2008
Yuli Tri Suwarni, Bandung – The Bandung municipality has set
aside more than Rp 1.6 billion (US$177,000) for office
renovations and official cars for newly elected Mayor Dada Rosada
and Vice Mayor Ayi Vivananda.
Head of the inventory division at the Bandung municipality Jaja
Nurzaman said his office would allocate Rp 900 million to buy
four new cars – two sedans and two sport utility vehicles –
while around Rp 700 million would be used to renovate the vice
mayor's office.
Incumbent Bandung mayor Dada and vice mayor Ayi won the direct
mayoral election on Aug. 13 and will be sworn in Sept. 16. They
were nominated by the Golkar Party, the Indonesian Democratic
Party of Struggle (PDI), the Democratic Party, the National
Awakening Party (PKB) and other minor parties.
The city council has already approved the vehicle procurement
funds, Nurzaman said, adding two official cars in use were over
five years old and were eligible for replacement, according to
existing regulations.
"The age limit makes it possible for them to be replaced. We
submitted a proposal, which has been approved by the city
council. We only proposed an amount commensurate with the
approved budget," Nurzaman said by phone Friday from Bandung.
The municipal council has approved the use of two Toyota Camry
sedans and two Ford Escape SUVs, with one of each provided to the
mayor and vice governor.
Nurzaman said the sedans would be used for formal functions, with
the SUVs employed in rural visits.
"There's no problem as the mayor used to have two cars," Nurjaman
said. He appealed to the public not to dispute the expenses as
the Finance Ministry had approved a maximum procurement of Rp 375
million for state officials and Rp 300 for echelon I officials.
According to Nurzaman, Ayi's office will be renovated along with
conference and guest rooms totaling 1,000 square meters.
Renovations began last week and are scheduled to end in October.
Municipal household affairs head Endang Embun said Ayi had
recently requested a change in the official house number
following suggestions from his advisers.
"He has requested the house number be changed to 11A because
right now its No. 13. We are still trying to get related agencies
to change it," Embun said.
Ayi said he had never requested his office be renovated, but
refused to comment on whether he had requested a change in the
house number, traditionally associated with bad luck.
"I'm confused why I'm being asked all these questions. Frankly,
I've never asked for an office renovation, while the municipal
council has approved the procurement of official cars, which has
been set aside from the city budget. That's all," he said by
phone.
The swearing-in ceremony for the elected Bandung mayor and vice
mayor – slated for Sept. 16 at the Merdeka Building in Bandung
– is expected to cost Rp 200 million, twice the sum of that held
for the West Java governor and vice governor. As it will take
place during Ramadan, funds for food and refreshments will not be
needed.
Bandung municipal council secretary Ebet Hidayat said the higher
cost was related to souvenirs to be handed out to the ceremony's
1,200 guests, he added.
"There's nothing substantial to the ceremony. We will be handing
out souvenirs to the guests as a token of gratitude," Ebet told
the media in Bandung on Monday.
According to ceremony plans, each guest will receive a clock with
a picture of the mayor and vice mayor printed on it.
Pornography & morality
Aceh
West Papua
Military ties
Human rights/law
Labour issues
Environment/natural disasters
Health & education
War on corruption
Islam/religion
Elections/political parties
Aid & development
Economy & investment
Analysis & opinion
News & issues
Most Indonesians concerned about national unity
Billions allocated for Bandung mayor, vice
Bali bombers in bid to avoid firing squad
ABC News Online - September 12, 2008
Geoff Thompson, Jakarta and wires – The Bali bombers have enlisted the help of former East Timor militia leader Eurico Guterres in a Constitutional Court bid to save them from the firing squad.
Amrozi bin Nurhasyim, Ali Ghufron (Mukhlas) and Imam Samudra are to be executed by the firing squad for their role in the 2002 Bali bombings, which killed 202 people, including 88 Australians.
The three men would prefer an Islamic method of execution by beheading. Indonesian Justice Minister Andi Matilatta appeared before the country's Constitutional Court today to challenge the argument of the Bali bombers' lawyers that death by firing squad is torture.
He argued that being shot is painful and that is why the punishment is a deterrent, but that does not mean it is torture.
A lawyer for the Bali bombers, Wirowan Adnan, disagreed and announced that next week he will be calling the former East Timorese militia leader Eurico Guterres as a witness.
Calling Guterres "a soldier in the fight for integration", he said the militia leader witnessed someone being shot in the heart in 1999. "He can testify about the pain and the suffering before he [the victim] finally bled to death," Mr Adnan said.
The executions of the bombers have been delayed until at least next month.
Melbourne Age - September 8, 2008
Hamish McDonald – Younger Australians are less concerned about any security threat posed by Indonesia, according to a new poll, but it remains the country of most concern to all Australians.
Only 37 per cent of Australians under 35 regard Indonesia as a "country likely to create difficulty", compared with 61 per cent of older people.
The poll, taken by the Roy Morgan group for Melbourne University's Asialink institute, suggests fears of military conflict with Indonesia are fading with memories of the pre-1965 tensions over Western New Guinea (now Papua) and Malaysia, and the 1975 invasion of East Timor.
"We are talking about a young Australia that is bumming around in Bali, in South America, all over the world," said Roy Morgan's regional director for Asia, Debnath Guharoy. "They're coming back with a far more liberal, far more globalist perspective than older Australians today."
Across all age groups, Indonesia still rates as the country of top concern at 53 per cent, but among younger Australians it is not much more worrying than China (35 per cent), Iran (35 per cent), North Korea (31 per cent) and Pakistan (25 per cent).
Young Australians are more likely to think the United States is an international troublemaker (30 per cent) than the over 35s (19 per cent).
But while Indonesia is receding as a threat for us, we are still tied up with the main security worries for Indonesians: the possibility of their country tearing apart or losing its social harmony.
A matching poll taken among Indonesians found that 66 per cent listed a fear about their country breaking up, and 55 per cent said they had fears about "another country promoting dissent" in Indonesia.
Indonesians listed the US as their top worry (79 per cent), followed by Malaysia (42 per cent), Israel (30 per cent) and Australia (29 per cent). However, they were not asked which country they saw as most interfering in national unity.
"You don't need to ask the question," Roy Morgan's Mr Guharoy said. "That's us meddling.
"We are part of that concern because of our history in recent times, most obviously because of our position to East Timor and even more recently in our giving asylum to 42 people who arrived from Papua.
"Those are the flaws in our side and any Australian who travels to Indonesia will recognise the fact there remain lingering concerns about who we are vis-a-vis the integrity of their country."
By contrast the top fear among Australians was climate change (58 per cent) followed by terrorist attack, which at 50 per cent is about the same level of concern as it is among Indonesians.
Slightly more Australians (21 per cent) fear "oppression by your own government" than do Indonesians (19 per cent), which Mr Guharoy put down to attitudes to taxation and other burdens here.
| Pornography & morality |
Jakarta Post - September 14, 2008
Jakarta – A coalition of women's groups has refused a bill on pornography, saying it would restrict women's freedom of expression.
"The bill regulates something that shouldn't be regulated. It would restrict women's freedom of expression. It's not that we are pro-pornography, but they (lawmakers) regard women only as objects, not subjects," Kalyanamitra women's group director Rena Herdiyani said at a press conference in Jakarta on Sunday.
The coalition said the bill was vague due to its unclear definition of pornography and tendency to criminalize victims of pornography. They also said the bill was a politicization of the human body and sexuality issues.
"Article 1 Chapter 1 (of the bill), for example, says pornography is manmade sex materials in the form of pictures, sketches, illustrations, photos, text, sound, moving pictures, animation, cartoons, lyrics, conversations, bodily movements or other forms of communication in other mediums and/or public performances that can arouse sexual desire and/or violate moral values in society," said Estu Rakhmi Fanani, director of Women's Legal Aid Foundation (LBH APIK).
According to Ade Kusumanintyas, program coordinator at Islamic women's group Rahima, the definition allowed for loose interpretation of materials and considered public human work, lyrics and dances, as pornography.
"Such definitions have the potential to criminalize anyone over subjective perceptions. If this bill is passed, wearing mini skirts or tank-tops could be punishable for arousing sexual desires. The same for not wearing a jilbab," she said. (dre)
Jakarta Post - September 13, 2008
Dian Kuswandini, Jakarta – Winning Muslim support and refining the image of corrupt lawmakers ahead of next year's elections are motives behind the effort to pass an anti-pornography law, observers say.
With the majority of them pushing for passage of the bill while setting aside more urgent draft laws – particularly, the presidential election and corruption court bills – lawmakers have chosen their priorities based on what promises the greatest political return, critics added Friday.
"Legislators seem to be very pushy about the porn bill. They know it could increase support ahead of the elections, particularly from a large number of Muslim voters," said political analyst Arbi Sanit of the University of Indonesia.
"In the first place, the bill is not intended to solve problems with pornography, but merely to win elections," he added.
"Lawmakers, in general, are seen as corrupt. Now they want to seem as if they supported anti-pornography as promoting good values and serving the aspirations of Muslims. But, in fact, they only want to polish their image."
With the 2009 legislative election just several months away, there are fears the bill will not be effective, given its rushed deliberation, said Ikrar Nusa Bakti of the Indonesian Institute of Sciences (LIPI).
"Winning the election is the only thing on the minds of lawmakers now. This would make them less attentive to the substance of the bill," he added.
"If they want to gain more Muslim votes with this bill, they should rethink the notion that all Muslims agree with mixing religion and the state," Ikrar added.
The House of Representatives has been divided over the controversial bill, with the Indonesian Democratic Party of Struggle (PDI-P) and the Prosperous Peace Party (PDS) rejecting it, while the Prosperous Justice Party (PKS) and other Muslim- based factions insist on its passage.
PKS faction chairman Mahfudz Siddiq said Indonesia urgently needs an anti-pornography law due to widespread moral decadence, adding his party wanted the bill to be a "Ramadan gift".
Lawmakers, human rights activists and legal advocates opposed to the bill have criticized it for criminalizing victims of pornography and threatening the country's pluralism.
Critics have also said deliberations over the bill lack transparency as they are occurring out of the public spotlight.
"The deliberations over the bill have dismissed public involvement. Only in the final minutes did we hear it would be passed. There must be an agenda behind this," said Bivitri Susanti of the Indonesian Center for Law and Policy Studies.
Her office, along with other organizations, has lodged a complaint with the House against the bill, but received only defensive responses, she added. "The bill is still unclear in many parts, and this will lead to public misinterpretation. It is not fit for the present conditions of our society," Bivitri said.
The definition of pornography used in the bill encompasses any man-made work that includes sexual materials in the form of drawings, sketches, illustrations, photographs, text, sound, moving pictures, animation, cartoons, poetry, conversations or any other form of communicative messages.
Article 9 and 11 of the bill – which pertain to actors and models – criminalize victims of pornography, while Article 21 allows any group or individual in society to take part in preventive measures, opening the way for hard-liners to take the law into their own hands and commit violence against others.
Jakarta Post - September 13, 2008
Luh De Suriyani, Denpasar – Scores of senior Bali officials and community figures on Thursday said they would reject the seemingly inevitable passage of the controversial pornography bill by the House of Representatives.
IGK Adi Putra, deputy chairman of the provincial legislature, urged House members to act carefully and not pass the bill hastily. The bill, he went on, was unpopular with the majority of citizens in provinces across the country.
"Bali still rejects the bill. If the House of Representatives go ahead with plans to pass the bill, then we will treat it as an invalid legal product," he warned.
Adi Putra is an influential figure in the local chapter of the Golkar Party, the second most popular party in the province.
I Gusti Ngurah Harta, head of the Bali People's Component (KRB), accused the bill of disrespecting the very foundation upon which the nation was built: the celebration of the country's multiculturalism and pluralism.
"The bill is not the result of a common agreement by all elements of the nation. It surely does not accommodate the country's pluralism," he pointed out.
The KRB is an umbrella organization of local intellectuals and artists. In mid-2006, it organized a series of massive rallies to reject the first attempt to pass the bill. The rallies triggered an island-wide rejection of the bill, which at that time was still in draft form.
The outright rejection, including by the island's governor and councilors, coupled with widespread opposition from several other provinces, forced the House to postpone passage of the bill.
But efforts by legislators to revive the bill were not swayed by this rejection. "If the bill is ratified by the House, I will lead the Balinese in a civil disobedience movement against it," Harta said.
The House working committee deliberating the bill is set to table the final draft to the House's plenary session in the next few weeks, with many contentious articles left unchanged.
To date, the Indonesian Democratic Party of Struggle (PDI-P) and the Prosperous Peace Party (PDS) have rejected the bill and boycotted the bill's deliberation. Legislators from other parties, however, are moving forward with the process.
Golkar legislator Harry Azhar Azis said the passage of the bill was inevitable, given the reluctance of groups supporting it to seek a compromise. He revealed that unless there were widespread rallies against the bill across the country, the constellation (on the bill) would not change.
Mahfudz Siddiq, a politician from the Islamic-based Prosperous Justice Party (PKS), a staunch supporter of the bill, claimed the passage of the bill would be a "Ramadan gift".
According to the bill, pornography encompasses activities such as artwork or poetry – expressions capable of distinct interpretations by different groups or individuals.
Such a broad definition worries Sekar Sari, who makes a living selling artwork and handicrafts at Sukawati Art Market in Gianyar. Her bestselling items are a wooden keychain and bottle opener in the form of male genitalia.
"Many people buy these souvenirs because their shape and form make them laugh, not because they are able to arouse sexual desire," she argued. Nevertheless, if the bill is ratified, Sekar Sari would have to stop selling such items.
Article 21 of the bill allows any group or individual in society to take part in preventive measures, which, according to Sugi Lanus, would increase the possibility of clashes between civilian elements of society.
"Some groups will use the bill as a legal basis to take the law into their own hands, and surely we will see those groups carry out raids targeting facilities that display "pornographic" objects, including art exhibits and museums," he warned.
Jakarta Post - September 12, 2008
Abdul Khalik, Jakarta – A power play within the House of Representatives has ensured the legislative body will pass the pornography bill, which critics deem a threat to citizens' privacy and the country's pluralism.
Although the Indonesian Democratic Party of Struggle (PDI-P) and the Prosperous Peace Party (PDS) have rejected the bill and ceased discussing it, the debate on a draft of the bill continues.
Out of the public spotlight, the House working committee deliberating the bill is set to table the final draft to the House's plenary session in the next few weeks, with many contentious articles left unchanged.
"We are boycotting the process because we can't have a dialogue on articles we disagree with. They just pushed for a vote to settle every contentious matter. And they're moving forward without us," PDI-P lawmaker Eva K. Sundari said.
Golkar politician Harry Azhar Azis said passage of the bill seemed inevitable, given the unwillingness of groups supporting it to seek a compromise. "Unless there are widespread rallies against the bill across the country, the constellation will not change," he added.
Eva criticized the bill for criminalizing victims of pornography and threatening the country's pluralism, adding the proposed law was based purely on morality rather than legality.
Muslim scholar Siti Musdah Mulia also slammed the bill for failing to distinguish children from adults, models from producers and distributors or private domains from public spaces.
The bill duplicates other laws regulating the same issues, including the criminal code, the child protection law and the cyber law, she said. Both Eva and Musdah agreed the draft contained a vague definition of pornography.
According to the bill, pornography encompasses activities such as artwork or poetry – expressions capable of distinct interpretations by different groups or individuals.
"Pornography is any man-made work that includes sexual materials in the form of drawings, sketches, illustrations, photographs, text, sound, moving pictures, animation, cartoons, poetry, conversations or any other form of communicative message," reads Article 1 of the bill, a copy of which was made available to The Jakarta Post.
"It can also be shown through the media to the public; it can arouse lust and lead to the violation of normative values within society; and it can cause the development of pornographic acts within society."
According to some observers, Articles 9 and 11 of the bill – which pertain to actors and models – criminalize victims of pornography while Article 21 allows any group or individual in society to take part in preventive measures, opening the way for hard-liners to take the law into their own hands and commit violence against others.
Rights activist Hendardi said those in support of the bill seemed to be using the momentum provided by Ramadan and the upcoming election to push for its passage.
By contrast, Mahfudz Siddiq, chairman of the Prosperous Justice Party (PKS) faction in the House, said Indonesia was in urgent need of a pornography law due to widespread moral decadence. "It will be a gift for Ramadan," he said.
The PKS and other Muslim organizations, such as the Indonesia Ulema Council (MUI), are staunch supporters of the pornography bill.
Reuters - September 12, 2008
Jakarta – An Indonesian Islamic party is hoping an anti- pornography bill that has been in parliament for over three years will be passed within a few weeks as a "Ramadan present" for Muslims, a newspaper report said on Friday.
Lawmakers in the world's most populous Muslim nation have so far stopped short of passing the bill, which aims to shield the young from pornographic material and lewd acts, because of criticism it would threaten Indonesia's tradition of tolerance.
"It will be a Ramadan gift," Mahfudz Siddiq, a Prosperous Justice Party (PKS) member of parliament was quoted by the Jakarta Post newspaper as saying. He said the bill was urgently needed because of widespread moral decadence in Indonesia.
The fasting month of Ramadan began on September 1 and ends with Eid-al Fitri celebrations a month later.
The Jakarta Post said a parliamentary committee deliberating the bill is set to table the final draft in parliament in the next few weeks.
A politician from Golkar, the main party in the ruling coalition, said the passage of the bill was inevitable, given the unwillingness of groups supporting it to seek a compromise.
"Unless there are widespread rallies against the bill across the country, the constellation will not change," Harry Azhar Azis was quoted as saying in the Jakarta Post. Golkar, former president Suharto's political vehicle, is a strongly secular and nationalist party.
The draft of the legislation contains provisions that could jail people for kissing in public and criminalize many forms of art or traditional culture that hinge on sensuality.
Illegal explicit material is available in Indonesia, and television programs regularly feature bared flesh and sexual innuendo.
Lawmakers watered down the bill following criticism and street protests over the issue early last year. Critics say it could pave the way for vigilante groups to take the law into their own hands under a pretext of upholding morality.
Militant Muslim groups in Indonesia, particularly since the fall of the autocratic Suharto presidency in 1998, have sporadically taken vigilante action against red-light areas or liberal publications deemed offensive.
Indonesia restricted access to pornographic and violent sites on the Internet after parliament passed a new information bill early this year. (Reporting by Telly Nathalia; Editing by Sugita Katyal and Bill Tarrant)
| Aceh |
Agence France Presse - September 12, 2008
Banda Aceh – Political parties in Indonesia's Aceh province pledged peace Friday for the first national elections since government and rebel forces signed a deal to end decades of war.
Their declaration came shortly after a report by the International Crisis Group (ICG) said Aceh is tense ahead of the elections, and the current peace should not be taken for granted.
Leaders of all but four of the 44 parties that will contest the national and provincial elections in Aceh next April read out their pledge in front of the grand mosque in Banda Aceh, the provincial capital.
As part of efforts to secure what the declaration called "enduring peace" in the province, party leaders vowed to abide by electoral rules and not to engage in intimidation, provocation or violence.
Rebels from the Free Aceh Movement (GAM) signed a peace pact with the Indonesian government in Helsinki in 2005, giving up their fight for independence in return for broad-ranging autonomy. The deal ended almost three decades of violence that claimed more than 15,000 lives.
A gubernatorial election in 2006 proceeded with relatively little trouble and a former rebel leader was named the winner.
GAM members have formed the Aceh Party (Partai Aceh), chaired by the former guerrilla commander Muzakkir Manaf, which ICG said is the party to beat in next year's vote.
But Partai Aceh did not join in Friday's ceremony. It was not immediately clear why. "We regret there is a party that did not attend," said Aceh deputy governor Muhammad Nazar, a key figure in Partai SIRA.
The provincial police chief, Inspector General Rismawan, told reporters that his officers will conduct special operations to help ensure a calm campaign. "I'm certain the election in Aceh will be peaceful," he said.
Violence has been rare under the peace, but state media reported a grenade blast damaged Manaf's home this week. Police said two people were shot dead during a gun battle between police and suspected criminals on Tuesday.
Jakarta Post - September 9, 2008
Aceh – Nanggroe Aceh Darussalam Special Detachment anti-terror squad (Densus 88) will investigate the bombing of former Free Aceh Movement (GAM) leader Muzakkir Manaf's residence in Aceh.
"We are still investigating and checking the type of grenade used," Densus 88 head Sutry Hamdani told Antara in Aceh Besar on Tuesday.
An unidentified person reportedly bombed the house of Muzakkir Manaf, who is also the chairman of the Aceh Party, early Tuesday morning. The attack left Manaf's front window broken and damaged his car, a Nissan X-Trail.
A witness, Tarmizi, said Manaf and his family were in Lhokseumawe, 270-kilometer away from Aceh, at the time of the attack.
Aceh Party spokesman Adnan Beuransah said he did not know of any frictions rising between the party and other parties.
"We truly regret the attack as it shows there are certain individuals unhappy with peace. We will report the incident to the regional police, Interpeace, European Union and the Communication and Coordination Forum (FKK)," he said. (amr)
Jakarta Post - September 8, 2008
Hotli Simanjuntak, Banda Aceh – The Aceh Independent Election Committee (KIP) emphasized Sunday that the planned Koran proficiency test for legislative candidates in the province would determine each candidate's eligibility to contest the election.
"Candidates who are absent or fail to take the Koran proficiency test will have their candidacy canceled and will not be able to continue their campaign," KIP candidacy working group chairman Yarwin Adi Dharma told The Jakarta Post on Sunday.
"The proficiency test is a requirement each candidate has to undergo to run in the 2009 election." The Aceh KIP and its regional committees in 23 municipalities and regencies throughout Aceh will hold the Koran proficiency test for regional legislative candidates from Monday through Friday. About 10,000 participants from 34 national and six local parties in Aceh will take the test.
The provincial committee will test 1,368 candidates for the provincial legislative council in its office, while tests for candidates for regional councils will be held in the respective municipalities and regencies.
There are three categories in the test, and each candidate must get at least 50 points to pass. Candidate will be required to read verses from the Koran for five minutes. "The standard is not that high. I believe all people claiming to be Muslim can pass the test," Yarwin said.
"We also have a different standard for candidates who converted to Islam less than one year ago. They only have to read and recognize Arabic characters even though they may not be able to read the Koran fluently."
Yarwin said non-Muslim candidates were not required to take the test. There is only one non-Muslim candidate, who is representing the Prosperous Peace Party (PDS), from Southeast Aceh.
Home Minister Mardiyanto has revoked Article 36 of Provincial Bylaw No. 36/2008, which requires all candidates from both local and national parties to pass the proficiency test. The minister argued that national parties already had their own criteria for selecting candidates, according to the 2008 general elections law.
However, Yasin said the KIP would still test candidates from national parties, citing "Aceh's uniqueness in that it already applies sharia". "This what differentiates Aceh from other provinces," he said.
Most national parties accept the Koran proficiency requirement as a specific rule for candidates residing in Aceh.
Zainal Sabri, chairman of the Aceh chapter of the Great Indonesia Movement Party (Gerindra), said his party was reluctant to criticize the requirement. "As a new party, we are taking a safe position because we do not want to be branded as not having Islamic values," he told the Post.
Each candidate will be tested in the order of the parties' number sequence. This means candidates from the People's Conscience Party (Hanura), which is numbered 1, will take the tests first.
| West Papua |
Australian Associated Press - September 14, 2008
The Department of Foreign Affairs and Trade (DFAT) has confirmed that five Australians have been detained by Indonesian authorities after illegally entering the sensitive province of Papua.
The two women and three men flew from Australia in a light aircraft and landed illegally at Mopah airport in the Merauke district of Papua province on Friday. They were detained for not having flight, security or immigration approvals, a DFAT spokeswoman told AAP.
"The group were conducted to a local hotel where they remain under Indonesian supervision pending conclusion of the required approvals," the spokeswoman said.
The Australian embassy in Jakarta is providing consular assistance.
The five were identified as pilots William Henry Scott Bloxam and Vera Scott Bloxam, and their passengers Hubert Hofer, Karen Burke and Keith Mortimer.
Indonesia clamps tight restrictions on travel to Papua, where a small guerrilla force has been waging a low-level separatist insurgency since the 1960s. Journalists are barred from the region without special permits.
The head of the air force in Merauke, Muhammad Somin, said the five Australians claimed they wanted to visit the area as tourists and had planned to fly home on Monday.
Associated Press - September 12, 2008
Niniek Karmini, Jakarta – Two small bombs exploded early Friday on a road leading to a massive copper and gold mine in eastern Indonesia and a third unexploded mortar was found nearby, police said. No one was injured and there was little damage.
The near-simultaneous explosions near the mine operated by Freeport-McMoRan Copper & Gold Inc. targeted a bridge and a nearby security post 10 miles from the Grasberg mine in Papua province, said PT Freeport Indonesia spokesman Mindo Pangaribuan.
He refused to elaborate until a police investigation was complete. "We can only say that the incident did not disturb our operations," he said. "Things are running normally."
Papua is home to separatist rebels who have long denounced the mine as a symbol of Jakarta's rule over the region and were blamed for a 2004 attack on the same road that left two Americans dead. Indonesian security forces hired by Freeport were initially suspected of taking part in those killings to extort higher protection payments from the New Orleans-based company.
"An unidentified group was trying to attack Freeport's facilities," said military Lt. Col. Tri Suseno, as more than a dozen members of the country's elite anti-terrorism unit arrived, discovering a third unexploded mortar under a bridge.
Police chief Maj. Gen. Bagus Ekodanto said a little-known group calling itself the West Papua National Army had circulated pamphlets in recent days demanding the mine's closure, but that it was not yet clear if the events were related. "We're still investigating," he said.
The Grasberg mining complex is one of the world's largest single producers of copper and gold, the company says on its Web site. It says that open-pit mining at the site began in 1990 and is expected to continue until mid-2015.
The mine has seen violent worker protests in the past, and environmental groups accuse the company of alleged pollution and stripping the desperately poor province of its natural resources.
Indonesia tightly controls journalists' access to the province and Freeport routinely turns down requests to visit the sprawling mine.
Jakarta Post - September 12, 2008
Repeated gunshots were heard seven hours before the blasts on Thursday night at a road in Timika, Papua, leading to a massive mine operated by Freeport-McMoRan Copper & Gold Inc., the police said.
"There were repeated gunshots seven hours before the bomb exploded, but the authorities never found those who fired them, "said Insp. Gen. Abubakar Nataprawira in a press conference in Jakarta on Friday.
He said another round of gunshots were heard a month before around the same area that leads to the Grasberg mining complex, which is one of the world's largest single producer of copper and gold.
Abubakar said the blast happened at about 1 p.m. and that the type of explosive used was of an older generation of mortar typically used during the war in Papua. He did not specify which war.
"There were actually two mortars, placed on a burning stove. Only one of those mortars exploded," he said explaining the mechanism used by the perpetrator.
According to The Associated Press more than a dozen members of the country's elite anti-terrorism unit arrived at the scene. "An unidentified group was trying to attack Freeport's facilities," said military Lt. Col. Tri Suseno.
Papua is home to separatist rebels who have long denounced the mine as a symbol of Jakarta's rule over the region. Rebels were blamed for a 2004 attack on the same road that left two Americans dead.
Indonesian security forces hired by Freeport to guard the mine were initially suspected of taking part in those killings to extort higher protection payments from the New Orleans-based company.
The mine has seen violent worker protests in the past, and environmental groups accuse the company of pollution and stripping the desperately poor province of its natural resources.
Indonesia tightly controls journalists' access to the province and Freeport routinely turns down requests to visit the sprawling mine.
| Military ties |
Antara News - September 9, 2008
Jakarta – Indonesia and Australia have agreed to strengthen bilateral cooperation in defense field based on mutual trust to create a regional stability.
The two countries agreed to intensify exchanges of visit between both nations' defense ministry officials, to promote mutual trust, Brig. Gen. Marciano Norman, Strategic Environment Analysis Director of the Indonesian Defense Ministry's Defense Strategy Director General, said here on Monday, after receiving Brig. Gen. Tim Hana, head of the Australian Army Senior Officer Development Program (SODP) team.
As good neighboring countries, it would be normal for Indonesia and Australia to intensify cooperation in various fields, including in the defense field, he said.
Sound relations between Indonesia and Australia would contribute to a regional stability, he said. The two countries could exist peacefully as neighboring countries and support each other without having any suspicion, he said.
In the meeting, according to Norman, Tim Hana praised the reform process in the Indonesian Military (TNI), which has been implemented as expected and could have very positive impact to the world.
| Human rights/law |
Jakarta Post - September 13, 2008
Desy Nurhayati, Jakarta – An alliance of NGOs has rejected a government proposal to increase the retirement age of Supreme Court judges to 70.
The NGOs – including Indonesia Corruption Watch (ICW) and the Justice Monitoring Community – staged a theatrical performance in front of the court Friday, demanding the proposal be removed from a Supreme Court bill.
The bill to revise Law No. 14/1985 on the Supreme Court is being deliberated at the House of Representatives' Commission III on law and legislation, autonomy, human rights and security affairs.
The alliance called the extension of justices' terms "dubious", as state officials must retire between 65 and 67, according to existing regulations.
ICW researcher Illian Deta Arta Sari said the term extension should be rejected because it could affect the productivity of Supreme Court judges, as people are normally less active at 70.
"Judges should quit office before 70. Aging judges will only hamper the court, which still has a backlog of around 20,000 cases," she told a free speech forum during the rally.
The court's judges did not deserve a longer term because the court was still considered one of the most corrupt institutions in the country, she added.
The NGOs accused 67-year-old Bagir Manan – who heads the Supreme Court and is scheduled to retire Oct. 6, 2008 – of being behind the proposal, in order to remain in power.
"We are urging the regeneration of the Supreme Court. The longer the status quo power persists in the court, the harder it will be to carry out internal reforms," Illian said.
The theatrical performance featured three actors dressed as old men, a clear reference to the Supreme Court's high-ranking officials.
Head of public relations at the Supreme Court Nurhadi denied the allegation judges were seeking longer terms, saying the proposal had not originated with the court.
"We have never asked for it. We will leave it to the House to set the retirement age at 65, 67 or 70," he said. "Pak Bagir himself has said it's unlikely he will extend his tenure."
The draft law, a copy of which was made available to the press, shows the central government made the request.
"The task of supreme judges is not merely one of technical legal matters, but requires a high regard for justice. That's why they are identical to justices," the government said in the bill.
In several other countries – including Thailand, Australia, South Korea, the Philippines and Malaysia – the retirement age of supreme judges is 70 years, the bill goes on to say. Separately, Bagir Manan asked the public to take the retirement age issue up with the government, which he said is responsible for creating the bill.
"Just ask the government, not us. The politics of creating the law is in the hands of the government, while the Supreme Court is merely the executive of that law," he said, as quoted by Antara news agency.
Bagir asserted his office would not interfere with the debate on this issue.
Commission III began deliberations on the bill early this month and is set to reach a decision Oct. 24.
The government is scheduled to hold a joint hearing with the commission on Monday regarding the bill.
Jakarta Post - September 12, 2008
Abdul Khalik, Jakarta – Fatimah Azzahra, the daughter of a 1984 Tanjung Priok massacre victim, shook hands with Paramadina University rector Anies Baswedan after being awarded a scholarship from the university.
"This is part of our effort to assure these victims that they still have a future despite the tragedy," Anies told hundreds of human rights victims who were gathered at the office of the Commission for Missing Persons and Victims of Violence (Kontras) here on Thursday.
The gathering, which included a seminar and book launch, was held to commemorate the 24th anniversary of the Tanjung Priok massacre which claimed the lives of hundreds of people.
Also in attendance were hundreds of victims of past rights abuses, including the Trisakti shooting, the May 1998 riots and the Talangsari killings.
Fatimah, a fresh graduate of senior high school, said she was glad to be able to continue her studies.
While sharing Fatimah's joy, other victims of rights abuses said they were angry with the government for ignoring them and treating them unfairly.
"During our trial we were intimidated until we withdrew our statements, and some generals tried to bribe us. How could this trial have been fair," said Mochtar Benny Fiki, who was jailed for years after the Tanjung Priok incident.
Another victim, Ratono, said the islah (reconciliation) offered by some military officers and government officials was nothing more than attempted bribery to divide victims and shut them up.
German author Fabian Junge, who wrote the newly launched book about the Tanjung Priok incident titled Kesempatan yang Hilang, Janji yang Tak Terpenuhi (Lost Chances, Unfulfilled Promises), said his research found that the Tanjung Priok human rights trial was not aimed at punishing perpetrators, but had been an attempt to show the international community that the government had done something.
"The prosecutors deliberately ignored substantial evidence while scare-tactics and bribery were rampant outside court," he said.
Under international pressure, the House of Representatives passed a law allowing the use of the 2003 human rights law to try alleged perpetrators of the Timor Leste and Tanjung Priok massacres.
The ad hoc human rights court in 2003 acquitted all 14 military officers accused of the killings and torture during the Tanjung Priok incident.
In 2004, the Supreme Court rejected an appeal filed by prosecutors against the acquittal of Maj. Gen (ret) Pranowo, then Jakarta Military Police chief, and Maj. Gen Sriyanto, the former operations chief of North Jakarta military command, from charges of gross human rights abuse.
Official figures say 24 people were killed and 54 injured in the Tanjung Priok shooting. However, survivors and victims' family members say the death toll was above 100.
Legal expert Bambang Widjojanto said this case showed that the government were not serious in upholding human rights, as evident in the delays of prosecutions in the Talangsari case.
The National Commission on Human Rights declared that the incident was a gross violation of human rights.
"We can't reopen Tanjung Priok case unless we have new evidence. The state must at least take care of all the victims. Because of its ignorance, we need more people like Anies Baswedan to pay attention to the victims," Bambang said.
Kompas - September 11, 2008
Jakarta – The Talangsari incident in Lampung regency in February 1989 is threatened with the same fate as other cases of gross human rights violations. Although it has yet to receive the results of the investigation by the National Human Rights Commission (Komnas HAM) for the Talangsari incident, the Attorney General's Office has stated that it cannot investigate the case.
Deputy Attorney General for Special Crimes Marwan Effendy says that they will study the investigation dossier from Komnas HAM. "However, we are restrained by the fact that an ad hoc Human Rights Court does not yet exist", he said when speaking at the AGO on Wednesday September 10.
Komnas HAM has designated the 1989 Talangsari incident as a case of gross human rights violations. From the results of the investigation, a number of indications of gross human rights violations were found, such as murder, forced eviction, deprivation of liberty of persons, torture and mistreatment that were carried out systematically and extensively.
The results of the investigation note that 130 people were murdered and 77 evicted. Fifty-three people were deprived of their liberty, 45 tortured and 229 mistreated (Kompas, 10/9).
According to Effendy, an ad hoc Human Rights Court is necessary before a police investigation can be undertaken, including among other things in order to issue consent to conduct searches, seizures and arrest persons. In addition to this, the results of the Komnas HAM investigation must be comprehensive and clear.
Is there no way for the AGO to investigate cases of gross human rights violations without waiting for the formation of an ad hoc Human Rights Court? "For us, there isn't any problem. If there is an ad hoc Human Rights Court, the investigation will proceed," said Effendy.
The head of the AGO's Legal Information Centre, Bonaventura Daulat Nainggolan explained that for incidents that occurred prior to Law Number 26/2000 on a Human Rights Court came into force, gross human rights violations can by tried by an ad hoc Human Rights Court. This ad hoc Human Rights Court is formed by the president on the recommendation of the House of Representatives.
On March 31 this year, the AGO returned four investigation dossiers resulting from investigations into human rights violations by Komnas HAM. The four dossers were the Wamena-Wasior case, the shooting of Trisakti University students and the Semanggi 1 and Semanggi 2 cases along with the May 1998 riots case and the forced disappearance of persons. The for investigation dossiers were returned, because among other things, they are still waiting for an ad hoc Human Rights Court to be formed.
Government breakthrough needed
Speaking separately, former Komnas HAM member Asmara Nababan confirmed the firm stand being taken by the Komnas HAM commissioner in handling the Talangsari case. Komnas HAM however can only conduct an investigation, the AGO has to carry out the police investigation and prosecution.
This is entirely in accordance with Law Number 26/2000 on a Human Rights Court. This being the case explained Nababan, hope for a breakthrough occurring can only be expected to come from the government.
"It could be, for example, that Komnas HAM takes the Talangsari case to the international community. A step like this however would simply be an extra-legal effort and limited to advocacy. Moreover the international court would also be unable to try the Talangsari case", said Nababan.
According to Nababan, over the last six years many cases of gross human rights violations have failed at the AGO and their resolution remains unclear. Yet previously, the Tanjung Priok and East Timor case were able to proceed to the point of hearings in an ad hoc Human Rights Court.
This situation, said Nababan, occurred because the administration of former President Abdurrahman Wahid at the time had a genuine conviction and political will to resolve these cases of human rights violations. This did not occur during the administration of former President Megawati Sukarnoputri and now under President Susilo Bambang Yudhoyono.
Nababan also question a statement by Defense Minister Juwono Sudarsono, who said that what was done by the government in Talangsari at the time was aimed at crushing a specific group that was rebelling against the legitimate government. "The statement was extremely naove and misleading. If it was rebellion, why didn't they just arrest the perpetrators and take them to court", he said.
The coordinator of the Commission for Missing Persons and Victims of Violence (Kontras), Usman Hamid believes that Sudarsono's comments could weaken the determination of victims of human rights violations to seek justice. (idr/dwa/jos) Notes:
The Talangsari incident revolves around a dawn attack by a battalion of army soldiers on the village in Lampung regency on February 7, 1989, which was believed to be home to a group accused of attempting to establish an Indonesian Islamic state. On 12 September 1984, dozens of people were killed and injured when troops fired on Muslim demonstrators in the port district of Tanjung Priok, North Jakarta. In May 1998, security personnel shot into a crowd of student protesters from the Trisakti University near their campus in West Jakarta, killing four students and injuring several. This proved to be the spark which set-off three days of mass demonstrations and rioting in Jakarta. The Semanggi I and II cases involved the fatal shooting of dozens of student demonstrators in Jakarta in November 1998 and September 1999 respectively.
[Translated by James Balowski. The original title of the report was "Talangsari cannot be investigated - Lack of ad hoc Human Rights Court the obstacle".]
Jakarta Post - September 10, 2008
Dian Kuswandini, Jakarta – The South Jakarta District Court on Tuesday ruled it would continue with the trial of former top intelligence official Muchdi Purwopranjono, charged with premeditating the murder of a prominent human rights campaigner.
The court dismissed pleas by the defendant, a former State Intelligence Agency (BIN) deputy chief, and his lawyers.
Last week, Muchdi pleaded not guilty to ordering the 2004 murder of Munir Said Thalib, claiming the indictment against him was flawed and based only on assumptions in determining his motives in the murder.
The panel of judges, however, rejected objections filed by Muchdi's lawyers and declared the prosecutors' indictment was not flawed. "Because the indictment is lawful, the trial of Muchdi must continue," presiding judge Suharto told the packed courtroom.
He said the indictment determining the defendant's motives for murdering Munir would be investigated in upcoming hearings, in which 19 witnesses are scheduled to testify.
During the first hearing two weeks ago, prosecutors alleged Muchdi sought revenge against Munir, who was instrumental in the defendant's dismissal as head of the Army's Special Forces (Kopassus) only 52 days after his inauguration in 1998.
In an investigation by the Commission on Missing Persons and Victims of Violence (Kontras), Munir revealed that several Kopassus soldiers were involved in the abduction between 1997 and 1998 of 13 activists critical of the government.
The incident led to Muchdi's dismissal, serving as a slap in his face because it effectively ended his military career, prosecutors said.
The judges also rejected objections from defense lawyers that the case fell outside the jurisdiction of the South Jakarta District Court because the murder occurred outside Indonesia.
On Sept. 7, 2004, Munir was found dead from arsenic poisoning on board a Garuda Indonesia flight from Jakarta to Amsterdam via Singapore. Former Garuda pilot Pollycarpus Budihari Priyanto was sentenced to 20 years in prison for his role in the murder.
"Prosecutors were right in their indictment, charging Muchdi with facilitating Pollycarpus in the murder, and this took place in the BIN office in South Jakarta," Suharto said.
"Moreover, seven of the 19 witnesses live in South Jakarta, while five others live nearby, putting this case under the jurisdiction of this court."
He said the trial would resume on Sept. 16 to hear witness testimonies, and asked prosecutors to present no more than three witnesses at each hearing.
Prosecutor Cirus Sinaga said his team would present rights activists Usman Hamid and Hendardi, as well as Munir's widow Suciwati.
Cirus added BIN agent Budi Santoso, who testified that Muchdi had ordered Pollycarpus to kill Munir, and is currently on duty in Pakistan, would also testify. The prosecutor said he would coordinate with the Foreign Ministry to arrange the testimony.
Tuesday's hearing reached a tense moment after Muchdi suddenly snapped at Suciwati, ordering her to shut her mouth after her short comment against him.
One of Muchdi's female supporters then attempted to confront Suciwati, but other visitors calmed her down.
Jakarta Post - September 10, 2008
Defense Minister Juwono Sudarsono defended on Tuesday "brutal" actions committed by the military against insurgents in Talangsari village, Lampung, in 1989.
The actions have been called gross violations by the National Commission on Human Rights (Komnas HAM).
The offensive conducted by the then local military was valid because villagers in the region had formed a rebellious movement aimed at changing the country's Constitution, the minister argued.
Speaking after a meeting with President Susilo Bambang Yudhoyono in Jakarta, Juwono said the fact that armed men had attacked and killed some police and military personnel justified military retaliation.
"In that context, it was normal and valid to conduct such a military action," the minister told the press.
Juwono's statement challenged a report by Komnas HAM, which concludes that gross human rights violations occurred in the Talangsari incident, in which dozens of villagers died.
The report suggests that then local military commander A.M. Hendropriyono be held responsible for the rights abuses.
On Feb. 7, 1989, Garuda Hitam soldiers raided houses in Talangsari village following allegations the residents were attempting to set up an Islamic state.
The soldiers burned houses and detained villagers and residents of neighboring areas.
Komnas HAM said its team investigating the incident had found evidence of systematic and widespread killings, torture, demolition and the displacement of villagers.
The official rights body will soon submit the report and relevant documents to the Attorney General's Office for an immediate investigation.
However, Juwono said a special law was needed for the country to prosecute certain gross human rights abuses in cases that took place before the law on human rights tribunal was enacted in 2000.
So far, only two cases of gross rights abuses that occurred before the law's enactment have been brought to court, and in both instances required special laws be passed by the House of Representatives. The cases involved abuses in Tanjung Priok, North Jakarta, and Timor Leste.
Rights activist Hendardi said Juwono was "more militaristic" than other military generals, and underlined that the law gives Komnas HAM sole authority to investigate human rights violations.
"Whatever its conclusion can be used in the court. I think the defense minister should shut his mouth, and just follow the due process of law," he said.
Indonesian Military chief Gen. Djoko Santoso said "Komnas HAM can do whatever it thinks best."
Hendropriyono was commander of the Garuda Hitam military at the time, while the chief of the Armed Forces was Try Sutrisno, who is a former vice president. The Army chief of staff was then Edy Sudradjat, who died in 2006.
Komnas HAM has summoned Hendropriyono and Try, as well as former Army Special Forces commander Wismoyo Arismunandar and other retired generals in its investigation of the incident.
However, only former security and order operation command chief (Pangkopkamtib) Adm. (ret) Sudomo has turned up for questioning. – JP/Desy Nurhayati
Jakarta Post - September 10, 2008
Dian Kuswandini, Jakarta – In what is being denounced as a major blow to press freedom in the country, a court – dubbed "the graveyard for press freedom" – on Tuesday found Tempo guilty of defaming agribusiness giant Asian Agri.
The Central Jakarta District Court ordered the weekly magazine to pay Rp 50 million (US$5,350) in damages and publish a full page apology to Asian Agri and its subsidiaries in the magazine and Koran Tempo and Kompas dailies in three consecutive editions.
The sentence was lighter than Asian Agri's demand for Rp 5.5 billion in damages and printed apologies in 16 publications.
The judges said Tempo had damaged the companies' reputation through its investigative report of alleged tax evasion, published in the Jan. 15-21, 2007, edition of the magazine. The judges called the report a trial by the press.
"Tempo has been malicious and unbalanced, highlighting only the statement of a single source, named Vincentius Amin Sutanto, who was disappointed with the company and ran off with company money amounting to Rp 28 billion during his escape overseas," judge Maryana read out in the verdict.
The judges also blamed Tempo for failing to provide Asian Agri and its subsidiaries with their proper right to respond to the report, despite the fact the plaintiffs had already sent three letters to Tempo and filed a report with the Indonesian Press Council.
"Tempo's move to publish Asian Agri's reply in the readers' column was not proportional to its 13-page report," Maryana said.
Those in attendance at the hearing, mostly journalists and media activists, greeted the judges' statements and verdict with jeers, saying it dealt press freedom in the country a major blow.
The court session became more heated after presiding judge Panusunan Harahap expelled a court attendant for disrupting the proceedings.
Tempo lawyer Hendrayana, from Legal Aid for the Press, said the verdict was blatantly unfair because the court had rejected many facts during the trial. He said the magazine would appeal the verdict.
"This will threaten the press in reporting corruption in the future. The law on the press has been ignored in this case," Hendrayana said after the hearing.
Asian Agri lawyer Hinca Pandjaitan said the relative leniency of the verdict was not significant.
"Whether we are satisfied or not with this verdict is not the issue. I think Rp 50 million is enough because this lawsuit was not about money in the first place, but more to give a lesson," he said.
Asian Agri owner Sukanto Tanoto won an earlier court battle over defamation against Tempo subsidiary Koran Tempo in July. The court ordered the daily to pay Rp 220.3 million in damages to Sukanto's PT Riau Andalan Pulp and Paper.
Jakarta Post - September 10, 2008
Erwida Maulia, Jakarta – The House of Representatives on Tuesday passed a long-awaited bill aimed at strengthening the authority of the National Ombudsman Commission (KON) in its supervision of public services at state institutions.
The new Ombudsman Law will provide a stronger legal basis for the commission to carry out its job, said Gayus Lumbuun, a member of the House's Commission III for legal affairs and human rights.
"Basically, there is no change between the makeup of the 2000 presidential regulation on the KON and that of the new law. The law is just more stoutly binding," he told The Jakarta Post.
The commission was established under a 2000 regulation issued by then President Abdurrahman "Gus Dur" Wahid. The KON is tasked with addressing public services complaints filed by state officials at legislative, executive or judicial institutions.
The KON may recommend sanctions be imposed on institutions it deems negligent.
Critics have long said the commission is toothless. A Ombudsman bill submitted to the House in 2002 was earlier expected to grant the KON greater authority.
Gayus said the commission was never intended to be a legal force.
"It is the KON's job to accommodate people's complaints and make recommendations to sanction guilty officers. We hope all state institutions will be committed to enforcing the recommendations.
"In fact, the Ombudsman Law indirectly requires commitment from these institutions," Gayus said.
Commission III deputy head Aziz Syamsuddin said the KON had been established to help fight corruption, collusion and nepotism, while improving the protection of the public's civil right to good public services.
"Supervising the government and the mechanisms of state services is a crucial factor in creating a good, clean and efficient governance. Supervision is also a principle of democracy," he was quoted by Antara.
Aziz said the law detailed the KON's functions and authorities, including on handling complaints, as well as on mediation and conciliation.
Law and Human Rights Minister Andi Matalatta said the KON would help fight bureaucratic corruption by involving communities.
The new law will help the commission strengthen its influence and thus the quality of its supervision of various public institutions, he said.
The new law also exempts KON members from charges of failing to uphold public services. Azis said this ensured the members could effectively carry out their duties.
"KON (members) cannot be caught, detained, interrogated, prosecuted, or sued in court," Azis said.
According to a KON survey displayed on its web site, 38 percent of respondents say the commission is not effective, 28 percent say it is effective, 23 percent say it is moderately effective and 9 percent have never heard of the commission.
| Labour issues |
Jakarta Post - September 10, 2008
Timika, Papua – Hundreds of workers at heavy equipment maker PT Trakindo Utama staged a protest at the Timika Transmigration and Manpower Agency office on Tuesday.
The workers demanded the agency withdraw a letter issued on April 15 preventing them from striking.
Jeremi Kumbubuy, head of PT Trakindo's labor union, said because of the letter, the company had fired 21 workers and issued final reprimand letters to 700 workers for going on strike from April 18 to 23 to demand a salary increase.
Kumbubuy said the workers would stay for three days in the agency's compound until their demands were met. If the agency failed to do so, he added, the workers would stop working indefinitely.
Galib Yamco, another union leader, said the agency did not have the authority to prevent workers from staging a strike.
Agency head Nikalous Mambor denied Trakindo's reprimand letters were issued based on his agency's letter preventing workers from striking.
| Environment/natural disasters |
Radio New Zealand International - September 11, 2008
The Australian NGO, the Mineral Policy Institute, has welcomed the Norwegian Government's decision to cut its links with the multi national mining company, Rio Tinto, over concerns about the Grasberg mine in Papua in Indonesia.
Norway's Sovereign Wealth Fund has sold its shares after failing to persuade Rio Tinto to improve operations at the gold and copper mine.
There have been reports of serious environmental pollution and human rights abuses at the mine. The Mineral Policy Institute's executive director, Techa Beaumont, says she hopes other governments will follow suit.
"The decision of the Norwegian pension fund is a welcome outcome particularly in Rio Tinto's ongoing involvement in the Freeport mine, Grasberg mine, in Papua and the practices at that mine of dumping directly into the river system."
Jakarta Post - September 9, 2008
Benget Besalicto Tnb., Contributor, Palangka Raya – Pressures are mounting to save endangered orangutans in Central Kalimantan, where most of the world's only great ape lives under increasingly bleak conditions due to declining forests – their habitat.
Aldrianto Priadjati of the Borneo Orangutan Survival (BOS) Foundation said the number of displaced orangutans due to forest conversion for timber estates and agriculture, including palm oil plantations, has increased.
"Currently, there are about 1,000 orangutans being rehabilitated in our orangutan rehabilitation center. Most of them were saved from palm oil plantations," he said.
BOS' Nyaru Menteng, the world's largest orangutan rehabilitation center, is about 30 kilometers south of Palangka Raya, the capital city of Central Kalimantan.
Many of the rehabilitated orangutans have been ready to be released to primary forests. "But it is very difficult for us to find the primary forests for the orangutan to live securely," he said.
He was one of the speakers at an August workshop on the implementation of the strategic and action plans for orangutan conservation.
The workshop was jointly organized by the Forestry Ministry's Natural Resources Conservation Center (BKSDA), BOS, World Wildlife Fund, oil palm company Agro Group, Orangutan Foundation International (OFI), Orangutan Conservation Services Program and the US Agency for International Development. The event aimed to implement orangutan conservation action plans that were launched by the ministry of forestry in Jakarta late last year.
The workshop's participants said the forest's decline was due to rapid conversion of forests into industrial timber estates and agriculture (including palm oil plantations), nonsustainable logging, forest fires and illegal hunting and trading of the species.
According to data from BKSDA, forests have been declining annually between 1 and 1.5 percent in Sumatra and between 1.5 and 2 percent in Kalimantan.
The forests' decline was partly due to the implementation of regional autonomy in 2001, which has given regencies authority to issue any regulation they consider necessary for their respective regencies to attract new investments.
With such authority, many regencies have seen their forests decrease rapidly, bringing catastrophe to many species, including the orangutan.
The rapid conversion of forests, combined with weak enforcement of environmental laws, has also increased the human-orangutan conflicts as many orangutans start seeking food outside of their habitat.
Sanjay Upasena, director of sustainability of Agro Indomas, the subsidiary of Agro Group, said it was not fair to blame the palm oil companies alone for the loss of the orangutan's habitat.
"Not all of them (palm oil companies) ar to blame for the displaced orangutans. In our case, we only use degraded forests for our palm plantations, which formerly belonged to the forest concessionaires (HPH)," he said.
"Most of the orangutans we have were brought by the local people to us. The rest we found entering our palm oil plantations, and to save them we call people from the orangutan rehabilitation center."
Separately, the Indonesian palm oil producers are back in the spotlight this week, with the association rejecting a moratorium call from Greenpeace on land clearing which is threatening to wipe out more than 8,000 orangutans in the next three years, news agency AFP reported last Thursday.
Novi Hardianto of the Center for Orangutan Protection (COP) told AFP the decision to reject the call by Greenpeace means there is no effective mechanism for protecting thousands of orangutans living outside conservation areas.
In rejecting the moratorium, the Indonesian Palm Oil Producers Association argued the standards developed by the Roundtable on Sustainable Palm Oil (RSPO) were enough to protect the species.
However, Novi said land clearing by the companies showed the voluntary standards would do little to arrest the rapid decline of the number of orangutans living outside Central Kalimantan's conservation areas.
"If it keeps up at this rate, we'll see orangutans in this environment wiped out within three years," he was quoted by AFP as saying.
COP estimates 20,032 orangutans live in the wild in Central Kalimantan province and that close to 3,000 of them die every year.
A spokeswoman for the RSPO said the environmental group was entitled to raise any accusations against the companies under its grievance procedures.
"If it is true they (the companies) need to make corrections in the field," Desi Kusmadewi said. "Before they are kicked out as RSPO members, usually the RSPO gives them a chance to correct themselves."
In the workshop, Birute Mary Galdikas, chairwoman of OFI, said the orangutans were facing a bleak future.
"But I'm not saying they cannot be saved. This is possible if all the necessary steps to save the endangered species are taken seriously," Gladikas said, who has been working in Kalimantan for 37 years to conserve the orangutan.
OFI manages the Tanjung Puting protected forests for orangutan in Tanjung Putting, Central Kalimantan.
"Orangutans mean people of the forests. If the forests are gone, then the orangutans will also be gone as the forests are their habitat."
Jakarta Post - September 9, 2008
Blamed for pushing orangutans out of their habitat, palm oil companies are being urged to help conserve the endangered species in Kalimantan.
Lone Droscher-Nielsen, the founder and project manager of Nyaru Menteng Rescue Center in Nyaru Menteng, Central Kalimantan, said more and more orangutans had left their habitat due to damage resulting mostly from forest conversions to industrial timber estates and palm oil plantations.
Most of the orangutans at the rescue center, located some 30 km south of the Central Kalimantan capital Palangka Raya were saved from palm oil plantations in the province, Lone said.
Central Kalimantan is home to some 32,000 orangutans – more than half of the world's total orangutan population (61,234), she said.
At the world's largest orangutan rescue center, Lone said, there were about 1,000 orangutan in rehabilitation. Many were ready to be released back to forests, but the center had yet to locate suitable and safe forests for them.
In fact, the problem did not only relate to palm oil plantations but to how they do business, Lone said.
"If they ran their agricultural businesses sustainably, there would be no problem," she said, noting that most plantation companies did not adhere to sustainable principles in their work.
Sanjay Upasena, sustainability director of Agro Indomas (a subsidiary of palm oil company Agro Group) said all members of the Roundtable on Sustainable Palm Oil (RSPO) were required to comply with sustainability principles.
"Since becoming a member of the RSPO last year, our company has been in compliance with sustainability principles. It is obligatory for us," he said.
The RSPO defines sustainable palm oil production as an integration of legal compliance and economic viability, as well as environmentally sustainable and socially responsible management and operations.
In keeping with the sustainable practices, Lone said, palm oil plantations should be grown in degraded forests – but never in primary forests, as this would endanger the environment, including orangutan habitat.
The development of palm oil plantations caused forests to be fragmented, leaving orangutans trapped in limited areas with food shortages, she said.
Lone suggested palm oil companies develop buffer zones around their plantations to accommodate orangutans and develop forest corridors to connect fragmented forests and allow orangutans to roam freely among plantations.
"If they have the will, it is not difficult for this to be done," she said on the sidelines of a workshop held here mid August on implementing the Forestry Ministry's action plan for orangutan conservation.
Edi Suhardi, the corporate social responsibility (CSR) manager of Agro Group, said not all palm oil plantations were to blame for the degradation of orangutan habitat.
"Agro Group has a policy of only growing oil palms in degraded forests. We never develop plantations in primary forests. Also the government, as far as I know, has never approved plantation concessions in primary forests."
But Lone said there were still different definitions of degraded forests.
"We have different definitions of degraded forests. They say that is degraded forest. But for us, it is still quality forest that can support orangutans. All, including the government, need to adopt the same position on this so that the orangutans can be saved," she said.
Orangutan Foundation International (OFI) chairperson Birute Mary Galdikas said palm oil companies should be made responsible for clearing forests.
"They must be made to contribute financially to the conservation of the orangutans, because they have cleared forests (and destroyed orangutan habitat) for their plantations," she said. – Benget Besalicto Tnb.
| Health & education |
Jakarta Post - September 13, 2008
Erwida Maulia, Jakarta – The government has confirmed the record high education budget next year will not mean free education for all, as the largest budget component will go to teachers' salaries and welfare.
National Education Ministry Director General for the Management of Basic and Secondary Education, Suyanto, told The Jakarta Post here Friday that huge funds would be available for the nine-year basic compulsory education program in 2009.
"But, the education budget is mushrooming because of teachers' salaries, which will be disbursed to regions in the form of general allocation funds. The Directorate General for the Management of Basic and Secondary Education, meanwhile, will only see a modest budget increase," he said.
Suyanto said his directorate general, which is dealing with the nine-year compulsory education program, would have its budget increased from Rp 19 trillion (approximately US$2.01 billion) this year to about Rp 27 trillion next year.
National Education Minister Bambang Sudibyo said last week the nine-year basic education program would account for nearly half of the 2009 education budget proposed by the government, which stood at Rp 224.44 trillion.
He added, however, that the biggest portion of the program's funds would be "to pay teachers' salaries and improve their welfare". About 80 percent of the country's 2.7 million teachers are employed in elementary and junior high schools.
Later, Bambang told a hearing of the House of Representatives' education commission on Wednesday that teachers and other educational staff salaries would amount to Rp 90.44 trillion, or 40 percent of the 2009 education budget.
The Ministry of National Education estimates 27.13 million kids, or 95.5 percent of children aged between 7 and 12 years, will attend school next year. Over 9.46 million children will attend secondary education next year, representing about 60 percent of children aged between 12 and 15 years.
The 2003 law on national education said that the education budget should not include the salaries of teachers and other educational staff. The Constitutional Court annulled this ruling in February, allowing the government to include teachers' salaries, previously included in the budget for civil servants' wages, to be included instead as part of the education budget, so as to help the government comply with the constitutional mandate that it must allocate 20 percent of state expenditure to education.
Critics soon slammed this ruling, saying that salaries would eat up most of the education budget, while little would be left to improve other budget items.
Students can directly benefit from increases in the School Operational Aids (BOS) fund, which will contribute up to Rp 300,000 per eligible elementary school student in 2009 compared to the current Rp 254,000. Similarly the Fund will contribute up to Rp 420,000 to each eligible junior high school student, compared to Rp 354,000 this year.
Others educational aid programs will include the book aid program, in which the government will increase the amount of free textbooks distributed to students from three to five per student per year, plus increased scholarships for targeted poor students.
The rest of the funds available to the directorate general for the management of basic and secondary education will be allocated to: rehabilitation and construction of school buildings, construction of school labs, subsidies for international-standard school candidates, information and communication technology programs and a range of national and international science, arts and sports student Olympiads.
Suyanto said it was hard to achieve free basic education, unless regional administrations shared the burden, as the Jakarta and South Sulawesi administrations were doing.
"And it's only possible to free students from school operational fees, but not from investment fees," he added.
| War on corruption |
Jakarta Post - September 13, 2008
Dian Kuswandini, Jakarta – Slowly but surely, corruption is making its way to the presidential office.
At a time when the administration of President Susilo Bambang Yudhoyono is waging a war on corruption, the Attorney General's Office (AGO) announced a graft case involving two officials of the State Secretariat who served under the previous president.
The AGO has named three suspects in connection with a mark-up of equipment used by the secretariat: Kemal Munawar, a senior diplomat and presidential household chief to former president Megawati Soekarnoputri; Djaka Poernama, the head of the State Secretariat's building and facility division; and Ronal Natanel, the director of private company PT Indosil Multi Pratama.
Assistant attorney general for special crimes Marwan Effendi said Friday the suspects had allegedly inflated the value of tenders to procure fire fighting equipment, fire alarms and air conditioners at the Presidential Palace and the nearby Bina Graha complex.
The alleged embezzlement of state funds is believed to be responsible for nearly Rp 9 billion in state losses. "The budget for the Bina Graha project, for example, was set at some Rp 6 billion, but the suspects spent only Rp 1.5 billion," Marwan said.
According to Marwan, the state officials violated existing procedures by holding tenders even after appointing business partners in the procurement.
"In one project, they allegedly handpicked three business partners, while in other projects they allegedly paid some associates between Rp 300,000 and 700,000 to join the tenders, making them look like competitive bidders," Marwan said.
The AGO has not arrested the three suspects, although the case allows the prosecutors to do so in accordance with the law.
Marwan said lack of space at the AGO detention center was the only impediment to arresting the suspects, albeit a temporary one. "Moreover, we're sure they won't try to flee," Marwan added.
In response to the case, State Secretary Hatta Rajasa asked the AGO to proceed with its investigation.
"It (the alleged corruption) occurred long before President Susilo Bambang Yudhoyono came to office. The investigation must continue, but we need to maintain the presumption of innocence," Hatta was quoted by Antara as saying on the sidelines of the president's visit to East Java.
The graft case will teach officials at the State Secretariat a lesson, particularly with respect to managing the state budget, Hatta added.
Corruption scandals at the presidential office made headlines back in 2005, following the testimony of Bondan Gunawan, the state secretary during the tenure of president Abdurrahman Wahid, who served from 1999 and 2001.
Bondan claimed to be in possession of documents related to an alleged embezzlement at the State Secretariat, subsequently handing them over to the AGO. The scandal revolved around the misuse of the 2004 state budget for activities at the State Secretariat as well as for the management of the secretariat's assets, including Gelora Bung Karno Stadium, Kemayoran airport and Taman Ria Senayan park.
Jakarta Post - September 13, 2008
To show its commitment to the fight against corruption, the Attorney General's Office will create anti-graft task forces in each of the country's 33 provinces, the attorney general said Friday.
Led by "tough prosecutors who have integrity", the special units will tackle corruption cases in their respective regions. They will begin work on December 8.
"December 9 is International Anti-Corruption Day. We will use the momentum from the commemoration to activate the special units," Attorney General Hendarman Supandji said during a visit to the Bangka-Belitung Prosecutor's Office in Pangkal Pinang.
Before his appointment to the top post of the prosecutors' corps last year, Hendarman led an interdepartmental anti-corruption team. President Susilo Bambang Yudhoyono did not extend the service of the team after naming Hendarman attorney general.
Hendarman said the AGO would examine a short list of prosecutors for the special units, and require them to regularly report their wealth once selected.
"These prosecutors will spearhead the handling of graft cases in their respective jurisdictions. There should be no more prosecutors mishandling corruption cases and making wrong indictments," Hendarman said as quoted by Antara.
At present there are seven special anti-corruption task forces in seven major provinces: Jakarta, North Sumatra, South Sumatra, West Java, Central Java, East Java and South Sulawesi.
Hendarman said most of the young prosecutors recruited for the special unit hailed from "ordinary families". Several of them are relatively well-off, but background checks by the AGO found they had inherited their money from their parents.
Hendarman said the law enforcers demonstrated their passion when solving various cases during their stint in the prosecutor's office. It took them an average of three months to complete investigation of a case, he added.
A delegation of Thai prosecutors visiting Indonesia a few months ago was reportedly impressed by the young Indonesian anti-graft special unit members.
"These special prosecutors work hard every day until dawn. We will propose to the Finance Ministry that they be given better remuneration," Hendarman said.
The AGO dismissed 40 district prosecutor's office chiefs in May for failing to investigate a minimum of three graft cases per month, part of a new standard introduced by Hendarman to assess the performance of regional chief prosecutors.
Deputy Attorney General Muchtar Arifin said the dismissed prosecutors also lacked leadership, thus adversely affecting the performance of their teams.
The AGO is facing growing public distrust, following the arrest and conviction of senior prosecutor Urip Tri Gunawan for accepting bribes from a businesswoman. Earlier this month, he was sentenced to 20 years in prison.
Jakarta Post - September 10, 2008
Abdul Khalik, Jakarta – A financial watchdog has submitted data on more than 400 traveler's checks allegedly belonging to Bank Indonesia senior deputy governor Miranda Swaray Gultom as evidence in a bribery case implicating scores of legislators.
When asked for confirmation, Financial Transaction Reports Analysis Center (PPATK) chairman Yunus Hussein said Tuesday the checks, each of which had a value of Rp 50 million and was issued by a privately-owned bank, had been deposited in 2004.
"The data on some 400 traveler checks which have been cashed in has been submitted to the KPK (Corruption Eradication Commission). Just ask them (the KPK) about the progress (of the case)," he said in a short message.
The KPK began its investigations into the case after Indonesian Democratic Party of Struggle (PDI-P) politician Agus Condro confessed to having received 10 traveler's checks worth total Rp 500 million after he had voted for Miranda to be BI senior deputy governor in 2004. Miranda denied the allegation, saying she did not know about the bribery.
Earlier on Tuesday, KPK chairman Antasari Azhar said he had asked the PPATK to help track down traveler's checks cashed in by Agus. "It's difficult but we are working on it," Antasari said.
Agus also publicly admitted that at least four of his PDI-P colleagues at the House's Commission IX had received the same amount of money from Dudhie Makmun Murod at the office of commission chief Emier Moeis.
Agus named the four as William Tutuarima, Budiningsih, Mateus Formes and Muhammad Iqbal. Dudhie and Emier are also PDI-P legislators. The PDI-P immediately denied Agus' allegation, and later fired the whistle blower from the House.
The dismissal prompted the House's Disciplinary Council to drop its plan to question Agus in connection with the bribery case. The PDI-P has also removed Agus Condro from its list of candidates for next year's legislative election.
Agus said he had used the money to buy two cars and an apartment in Jakarta. He said he was willing to surrender the assets to the KPK as evidence.
Agus is among 52 lawmakers named by Golkar lawmaker Hamka Yandhu as recipients of the BI funds disbursed in 2003 to help the House's Commission IX resolve cases on the alleged embezzlement of BI Liquidity Support funds and to endorse amendments to a BI law to give the central bank greater autonomy.
Hamka and fellow Golkar lawmaker Antony Zeidra Abidin are standing trial for the graft case, which also implicates, among others, former BI governor Burhanuddin Abdullah.
Jakarta Post - September 9, 2008
Abdul Khalik, Jakarta – Attorney General Hendarman Supandji continues to defy public pressure to reopen a probe into a huge loan scandal, following the imprisonment of prosecutor Urip Tri Gunawan, who led the investigation, last week.
During a hearing with the Attorney General's Office on Monday, members of the House of Representatives' Commission III, which oversees legal affairs, urged Hendarman to reopen the Bank Indonesia liquidity support (BLBI) case, which allegedly involved tycoon Sjamsul Nursalim, following Urip's conviction.
The Corruption Court sentenced Urip to 20 years in prison for receiving a US$660,000 bribe from businesswoman Artalyta Suryani to stop investigating Sjamsul in the BLBI case, which cost the state more than Rp 25 trillion in losses.
However, Hendarman insisted the guilty verdict against Urip did not constitute new evidence for the AGO to reopen the case.
"Urip was punished because he received bribes to help Artalyta monitor the case, not to halt the investigation. All the team members agree there is not enough evidence to resume the investigation," he argued.
His defense immediately raised questions from legislators present at the hearing that the court clearly ruled Urip was guilty of accepting the money from Artalyta, Sjamsul's close aide, in exchange for the probe into the tycoon to be dropped.
The verdict also suggests the 11-member team of prosecutors could be implicated in the scandal, with many believing Urip may not have been the only perpetrator.
During the trials of Urip and Artalyta, the court heard about the involvement of other senior AGO prosecutors, including former assistant attorney general for special crimes Kemas Yahya Rahman, former assistant attorney general for state administration Untung Udji Santoso and former director of special crimes investigation Muhammad Salim.
"All these testimonies clearly show they fabricated everything so the case could be halted. We ask the AGO to investigate all of the team members and reopen the case," legislator Nursyahbani Katjasungkana of the National Awakening Party (PKB) said.
Benny Kabur Harman of the Democratic Party warned that Hendarman's failure to reopen the BLBI case could send out the message that the attorney general had something to hide. "What are you afraid of? Only with a firm decision to reopen the case can the AGO regain the public's trust," he said.
Hendarman denied he had anything to conceal. He added because the government had issued the release and discharge letters for fraudulent BLBI debtors, the case could only be reopened if there was new evidence proving that Sjamsul's assets, given to the state to pay off his debts, were overstated, thus leading to state losses.
"All the members of Urip's team agreed they did not find new evidence, since it turned out the value of the assets given to the state had been appraised by an independent firm. That's why we dropped the investigation," he said.
Sjamsul, who is believed to be in hiding in Singapore, reportedly repaid his Rp 28.4 trillion debt. But the AGO launched an investigation after the value of assets he handed over to the state was found to worth only Rp 4.9 trillion.
Several Commission III members questioned why the AGO did not begin an investigation into possible collusion between the appraisal firm, government officials and Sjamsul in repaying the debt.
Lukman Hakim Saifuddin of the United Development Party (PPP) and Gayus Lumbuun of the Indonesian Democratic Party of Struggle (PDI-P) urged the AGO to hand the BLBI case over to the Corruption Eradication Commission (KPK) as soon as possible.
Jakarta Post - September 9, 2008
Skepticism has mounted over whether the Corruption Court bill will benefit the country's fight against white collar crime as some House of Representatives legislators debating it are implicated in graft cases.
With the Corruption Eradication Commission (KPK) shocking legislators with a series of arrests for alleged bribery, fears have arisen that the legislators will take revenge by undermining the court's independence, authority and credibility.
Some of the legislators on the 49-strong special committee debating the bill are implicated in graft cases and have been summoned by the KPK, including Sujud Sirajuddin of the National Mandate Party and Trimedya Panjaitan and Tjahyo Kumolo, both members of the Indonesian Democratic Party of Struggle (PDI-P).
However, the KPK has yet to level allegations at the politicians.
Sujud, a member of Commission IV on forestry and environment, is implicated in a bribery case concerning the distribution of forest conversion permits in Bintan, Riau Island province. Al Amin Nur Nasution of the United Development Party is now standing trial in the case.
Trimedya was also mentioned in an illegal logging case in which businessman Adelin Lis was convicted. The Indonesia Corruption Watch said it had documents showing that Adelin had transferred Rp 250 million to Trimedya in 2006. Trimedya, however, denied the allegation, saying the account was not his.
Tjahyo was mentioned by dismissed PDI-P politician Agus Condro as one of the party's legislators to have received money following the election of Miranda S. Goeltom as BI senior deputy governor in 2003.
"With all the conditions, it's going to be very tough for the House to produce a law at all. We are afraid that they will play with time to let deliberations pass the deadline set by the Constitutional Court in December 2009," said Zainal Arifin Muchtar, executive director of the Center for Anti-Corruption Study (Pukat) at the Gajah Mada University.
He said he was afraid that if the House could produce a law, it would be weaker than the original government draft.
The most contentious issue concerns the government's proposal to allow district court chief judges to elect the panel of judges. Under the existing law, any panel hearing a corruption case must consist of two career judges and three ad hoc judges.
The mechanism was prompted by public distrust in career judges and the judiciary, which has long been associated with a "court mafia". Danang Widyoko of the ICW expressed hope that the politicians could use under-way election campaigning as momentum to support a strong court to gain public sympathy.
Both Mahfudz Siddiq of the Prosperous Justice Party and Lukman Hakim Saiffudin of the United Development Party said they hoped the factions could withdraw their members implicated in graft cases from the committee to avoid vested interest. – JP/Abdul Khalik
Jakarta Post - September 8, 2008
Irawaty Wardany, Jakarta – The conviction of a state prosecutor for accepting bribes from a businesswoman close to tycoon Sjamsul Nursalim has paved the way for law enforcers to expand their investigation into the alleged misuse of Bank Indonesia liquidity support (BLBI) funds involving Sjamsul, a House of Representatives legislator says.
Gayus Lumbuun, a member of House Commission III on legal affairs, said Sunday the Corruption Eradication Commission (KPK) should follow up the court ruling that found Urip Tri Gunawan guilty last week, including taking over the BLBI case. "This is a general crime, rather than a special crime, so I think the KPK can take over the investigation," Gayus said.
The Corruption Court sentenced Urip, who led the Attorney General's Office (AGO) team investigating Sjamsul's case, to 20 years in jail on Thursday for accepting US$660,000 in bribes from Artalyta Suryani. The court found the bribes were linked to a decision by the AGO to drop the investigation into the tycoon.
Gayus said House Commission III would also encourage the AGO to investigate the possible involvement of other prosecutors in the bribery case.
"We will tell the AGO not to rest with Urip's conviction. The probe into the BLBI cannot stop just because Urip has received a heavy punishment," Gayus said. "There is a kind of conspiracy in the case. It is impossible for Urip to have worked alone without any support from his superiors."
During the trials of Urip and Artalyta, the court heard of the involvement of senior AGO officials, who ultimately lost their jobs. However, no formal investigation has been launched into the involvement of former assistant attorney general for special crimes Kemas Yahya Rahman, former assistant attorney general for state administration Untung Udji Santoso and former director of special crimes investigation Muhammad Salim.
The House Commission is scheduled to hold a hearing with the AGO on Monday, during which the lawmakers will put pressure on Attorney General Hendarman Supandji to take action against those involved in the bribery case and to reopen the BLBI case.
Legal researcher from Indonesia Corruption Watch (ICW) Febri Diansyah said the organization had recommended that the KPK take over the BLBI case.
"Our study, which involved around 20 criminal law experts, concluded that the KPK could take over the BLBI case even though it happened before the anti-corruption law was endorsed," he said.
He said the KPK could use the 1971 Anti-Corruption Law as the basis of its probe into the BLBI case. "So the debate over the legal basis of the investigation into the BLBI case is no longer an issue. It is only a matter of whether the KPK has the will or not," Febri said.
He said ICW was skeptical the AGO had any intention of solving the BLBI case. "They have dropped seven out of 15 BLBI cases citing a lack of evidence, while investigations into the rest have been moving at a snail's pace," he said.
Jakarta Post - September 8, 2008
Abdul Khalik, Jakarta – At least two development projects linked to the presidential office, which appear to have been hoaxes, have revealed nepotism and cronyism among President Susilo Bambang Yudhoyono's inner circle.
The two failed projects – the "Supertoy HL2" rice and the "Blue Energy" alternative fuel – were implemented by bypassing the relevant ministries and without complying with prevailing regulations.
The projects proceeded to the public domain thanks to the close relations between the President and the presidential staff involved, experts said Sunday.
The experts said another factor was Yudhoyono's obsession with championing innovations in science and technology, rendering him unable to resist when his aides or cronies offered projects touted as scientific or technological breakthroughs.
Yudhoyono's decision to invite Microsoft founder Bill Gates and several Nobel Prize laureates to the State Palace was seen as part of the President's ambitious efforts to develop science and technology in Indonesia.
The experts made their comments in relation to the Supertoy HL2 and Blue Energy projects, which have both brought the President public humiliation. Both the failed projects were handled by his advisor Heru Lelono.
Supertoy HL2 reportedly turned out to be a hoax after farmers at Grabag village, Purworejo, Central Java, failed to reap a second harvest of the new rice variety earlier this month, ultimately setting fire to the paddy field out of anger.
Last April the President and First Lady Ani Yudhoyono attended the first harvest at the village, where farmers were promised they would get three harvests from the Supertoy seeds.
The failure of the Blue Energy project, which claimed to convert sea water into fuel, and which Yudhoyono had promoted nationally and internationally, was another slap in the face for the President.
"It's clearly nepotism. Such unproven projects would have never reached the public if they were not related to the presidential office," said expert Irman Putra Sidin of the Indonesian Legal Roundtable.
He said that, like all other nepotistic practices, the two projects had not undergone proper verification by relevant institutions to ensure their viability, leading to public deception and failure.
Right after the Grabag farmers vented their anger over the failed harvest, Agriculture Minister Anton Apriantono blamed the failure on PT Sarana Harapan Indopangan (SHI), the company responsible for producing and distributing the Supertoy seeds, saying the new rice variety had not passed a seedling test by his office's research unit.
Although Yudhoyono has denied any link with the project, Heru is the president commissioner of the company.
Similarly, in response to the Blue Energy scandal, State Minister for Research and Technology Kusmayanto Kadiman said his office had nothing to do with the project, while blasting it as scientifically baseless.
The Blue Energy inventor, Djoko Suprapto, is being detained on charges of embezzling billions of rupiah from the Indonesian Islamic University to develop his research.
Irman said such practices had "delegitimized" the President and his Cabinet, highlighting his "lack of trust" in his own ministers.
Political observer Bima Arya Sugiarto of the Paramadina University said that while the motives of those projects were probably to gain personal credit and boost Yudhoyono's popularity, they appeared to indicate his special adviser's incompetence in advising his boss correctly.
"The projects highlight a shortcut mentality to find instant results. This is dangerous because such a mentality is prone to fraud and deception, endangering many people if the policies or projects are applied to the public at large," he said.
Copying the US presidential advisory team, Yudhoyono formed a team of special advisers including Dino Patti Djalal as his adviser and spokesman for foreign affairs, Andi Mallarangeng as adviser and spokesman for domestic affairs, Heru Lelono for regional autonomy and newly appointed Denny Indrayana for legal affairs.
Both Irman and Bima warned that all presidential staff members could abuse their positions for their own benefit at the expense of Yudhoyono's credibility.
Jakarta Post - September 8, 2008
Jakarta – The Rp 100 billion (US$10.9 million) embezzled Bank Indonesia (BI) funds were used to promote certain people into certain positions for the central bank's benefit, the Corruption Court heard Monday.
I Nyoman Wara, an auditor at the Supreme Audit Agency (BPK), testified that he found what the funds were being used for during a BPK questioning session with Aulia Pohan, a former BI deputy governor, in August 2005.
"In further developments, the money was used to promote certain persons to certain positions, that were considered important to voice BI's interests," Nyoman read a transcript from an interview with Aulia.
Aulia is the father-in-law to President Susilo Bambang Yudhoyono's son. Aulia, according to Nyoman, said a BPK audit into the BI liquidity support (BLBI) corruption case posed problems to the bank as well as its top officials.
BI needed lots of money to be used in its approach to law enforcers, lawmakers, political parties and other parties. BI board of governors later decided to take Rp 100 billion from the Indonesian Banking Development Foundation (YPPI), one of its proxies. (dre)
| Islam/religion |
Jakarta Post - September 13, 2008
The Indonesian Ulema Council is urging local television broadcasters to limit the number of shows promoting individuals with effeminate behavior.
The council argued that extensive public exposure of such behavior could trigger "gender identity disorder" among the younger generation.
Speaking to reporters in Jakarta on Friday, the council's head of information and communication department, Said Budairy, said that a one week survey by the council revealed that shows with effeminate figures were broadcasted during prime time in the holy month of Ramadan.
"During the period of breaking the fasting, the number of viewers increased by 35 percent, 12 percent during the early breakfast before dawn while the number of children viewers up by 22 percent," he said citing a survey by ACNielsen.
Jakarta Post - September 11, 2008
Jakarta – The Legal Aid Institute Foundation (YLBHI) and its 14 subsidiaries have expressed concern that rampant violence by hard-liner groups is threatening freedom of religion in the country.
They went on to say the state had not done enough to uphold the law and protect the rights and freedom of its citizens.
Many groups in society have resorted to violence in the name of religion to force their beliefs on other groups, particularly minority groups, the civil society group said at the end of its three-day executive meeting on Wednesday.
"We are facing a situation that is clearly endangering our existence as a nation: Growing intolerance and discrimination against minority groups.
"We believe the acts of violence have not only spread fear and directly attacked freedom and civil rights, but have also become a serious threat to democracy and cultural dialogue," YLBHI chairman Patra M. Zen said, while reading out the groups' statement.
The legal aid institutes have recently advocated victims of violence, including followers of Jamaah Ahmadiyah, which was declared deviant by the Indonesian Ulema Council.
Thousands of Ahmadiyah followers in the country have suffered involuntary displacement and attacks by hard-line Muslim groups.
To ease anger among hard-liners, the government has issued a joint ministerial decree banning Ahmadiyah from propagating its beliefs.
However, the decree has sparked protests from rights groups, who say the law denies followers of the sect their Constitutional right to freedom of religion and also from Muslim hard-liners who wish that Ahmadiyah be dissolved.
The decree has also been accused of justifying violence against Ahmadiyah. "We observe that despite many cases of violence, the government, as the representation of the state, has failed to protect and guarantee human rights.
"The government has occasionally let violence occur, or, in some cases, has been involved in the violence itself," the groups said.
Human rights and freedom of religion are enshrined in the Constitution.
Dubbed the world's third-largest democracy, Indonesia has also ratified the International Covenant on Economic, Social and Culture Rights, the International Covenant on Civil and Political Rights and the UN's Declaration on the Elimination of All Forms of Intolerance and Discrimination Based on Religion and Belief.
The groups pledged to continue to defend human rights and put pressure on the government to uphold the law. "We will take any possible legal measures against any legislation that threatens and violates the freedom of religion," Patra said.
The groups also warned regional governments against enforcing ordinances that contradicted freedom of religion or discriminated against minority groups.
Jakarta Post - September 8, 2008
Lilian Budianto, Jakarta – Public diplomacy used to introduce Indonesia as a democratic Muslim nation overseas had been hampered by the domestic social crisis with radical groups overshadowing the moderate, a seminar heard recently.
Efforts to highlight Indonesia as the largest Muslim-populated nation with third biggest democracy have been undermined with several reports of attacks against religious minorities, the Foreign Ministry's director general for information and public diplomacy, Andri Hadi, told a forum last Friday.
"Public diplomacy cannot work with dishonesty. We will never be able to change this image if the reality doesn't improve," said Andri during a public lecture at Syarif Hidayatullah Islamic University, Jakarta.
The public lecture was also attended by Dewi Fortuna Anwar, a senior researcher from the Indonesian Institute of Science (LIPI), and Rizal Sukma, the deputy executive director of the Centre for Strategic and International Studies (CSIS), who addressed the forum on the role of public diplomacy in Indonesian foreign policy.
The public diplomacy directorate was established in 2002 aiming to engage the broader community and stakeholders to learn about and support Indonesia's national interests.
The directorate was there to bring people together, Andri said, both at home and abroad; to explain Indonesia's policies on people and nature so the world could shape a truthful perception of this country.
"We have hosted a couple of international religious forums to show the world the true face of our nation, namely the majority of our moderate religious people who are different from those in other parts of the world.
"However, all these efforts would be jeopardized with the threat of radicalism toward religious minorities."
Despite being home to world's largest Muslim population, Indonesia has tended toward national principle rather than religious cause in determining its foreign and domestic policies.
Andri said diplomacy was not meant to be propaganda, and that the only way for public diplomacy to work was to change the reality.
Indonesia had focussed too much on cultural diplomacy, such as through cultural exchanges under some short-term programs, which might not yield the expected results, Rizal Sukma said.
He said the government should instead turn to encouraging more overseas people to come here to learn about Indonesia, producing more Indonesian experts that could help familiarize people overseas with the true face of this country.
"We have been seeing more (Indonesian experts) in the past and it is feared that interest toward this country has been diminishing. I believe the cultural exchange mission is important, but it is much more important for us to have more Indonesian experts who truly understand the roots of our nation."
While the public diplomacy directorate had recorded some successes, it had also missed some targets; to underscore Indonesia as a moderate Muslim nation, Dewi Fortuna said.
"Indonesia has proved to the world that Islam and democracy can be compatible, and we are proud in becoming a model democratic Muslim nation for other countries by hosting international religious forums," she said.
However, she said, such forums needed to be backed up by addressing the issue of radicalism which had been grabbing headlines more than Indonesia's success as the third largest democracy in the world.
| Elections/political parties |
Agence France Presse - September 11, 2008
Aubrey Belford, Jakarta – The old faces of Indonesia's elite look set to dominate next year's presidential election but new blood is needed to end the poverty and corruption plaguing the country, outsider presidential hopefuls said on Thursday.
The long campaign for the 2009 vote is already under way and is shaping up as a contest between the incumbent ex-general, President Susilo Bambang Yudhoyono, and his predecessor Megawati Sukarnoputri.
While polls show both leaders dominating the race, Indonesians are fed up with unfulfilled promises 10 years after the 1998 overthrow of dictator Suharto, candidate Rizal Mallarangeng told a forum with foreign journalists.
"I respect these leaders, I respect my seniors, but it is just not healthy if in the last 10 years of the reformation period, we have the same choice again and again," he said.
Yudhoyono, who trounced Megawati in the 2004 election on a platform of tackling corruption and joblessness, has failed to improve the lives of Indonesians, Mallarangeng said. Indonesia's full-year growth for 2007 was 6.32 percent, the fastest rate in 11 years, but the country has made few dents in unemployment.
"If we don't provide better jobs for these people, for these young Indonesians 20 years from now, not only Indonesia as a society is endangered but also the democracy we have built over the last 10 years will be in danger," Mallarangeng said.
Another candidate, Rizal Ramli, likened Indonesia's leaders to "used cars" and said they had left the country lagging behind more dynamic Asian economies.
"I do believe Indonesia cannot use used cars any more, because in the region people are using Formula One cars," said Ramli, a former top economic minister.
Key candidates in the crowded field for next year's ballot also include current Vice President Jusuf Kalla, two senior military men from Suharto's regime, and the hereditary sultan of the ancient Javanese city of Yogyakarta.
Ramli and Mallarangeng are not backed by any major party and have little showing in opinion polls, although Mallarangeng has the support of Indonesia's richest man, multi-billionaire Welfare Minister Aburizal Bakrie.
An increasingly bitter campaign among members of the old guard could give new candidates a chance to rise through the ranks, Ramli said. Each of the top candidates "is going to have their own predator. They are going to eat alive every other competitor," he said.
Yudhoyono's credibility has been hit by the spectacular failure of two key scientific projects championed by the president and a top adviser. The much-touted "Supertoy" breed of rice failed to produce promised high yields, while an earlier project claiming to turn water into a sustainable supply of energy was found to be a hoax.
Main rival Megawati's poll numbers have suffered from a corruption scandal involving a lawmaker from her Indonesian Democratic Party of Struggle (PDI-P).
Her support has also been dented by anger over a cheap natural gas deal her administration signed with China in 2002, which the government says would leave the country short-changed by tens of billions of dollars.
Detik.com - September 12, 2008
Hestiana Dharmastuti, Jakarta – House of Representatives (DPR) legislative member Ade Daud Nasution has been dismissed from the house and his membership of the Star Reform Party (PBR) revoked. Despite this however, Nasution has responded calmly to the move.
"How can founders [of the party] be expelled by people who came along later. Me and Is Anwar are founders, right. While [PBR general chairperson] Bursah [Zarnubi] and [party general secretary] Rusman [H.M. Ali] came along later", said Nasution when speaking with Detik.com on Friday September 12.
Nasution, who has been included in the National Mandate Party's (PAN) legislative candidate list, said there was no need for the PBR to dismiss them. "When the time came, we would have resigned. Because, under the [election] law two parties are not allowed. The DCT (final legislative candidate list) has not yet been issued, so there's no need for dismissals", said Nasution.
Nasution also said he regretted the entry of a number of allegedly left-socialist figures into the party with the electoral registration number 29(1).
"I'm anti-communist. These communists are atheists right and are banned under TAP MPR(2). Meanwhile the PBR's symbol is the Kabah (the direction which Muslims turn to pray). I don't agree with it. Perhaps they want to find a new icon", suggested Nasution who took part in establishing the PBR in 2002.
Nasution, Bachrum Siregar and Is Anwar Rajo Perak were recalled from the DPR and dismissed as members of the PBR. The three were sacked because they switched to other parties. Nasution is recorded as a PAN legislative candidate, Siregar meanwhile is known to have joined the National Awakening Party and Perak holds a photocopy of a United Development Party membership card. (aan/nrl)
Notes:
1. On August 2 National Liberation Party of Unity (Papernas) chairperson Dita Indah Sari along with 40 other members of Papernas announced that they had joined the PBR. Sari along with six other Papernas members have been listed as PBR legislative candidates for the 2009 general elections.
2. Tap MPRS XXV/1966: Provisional People's Consultative Assembly Decree Number XXV/1966 on the Dissolution of the Indonesian Communist Party and Prohibitions on Marxist, Leninist and Communist Teachings.
[Translated by James Balowski. The original title of the article was "Ade Daud: How can founders of the party be expelled".]
Jakarta Post - September 10, 2008
Suherdjoko and Desy Nurhayati, Semarang, Jakarta – National Awakening Party (PKB) members affiliated with Abdurrahman "Gus Dur" Wahid have besieged a local elections commission office for the second day in a row in protest against the registration of legislative candidates from Muhaimin Iskandar's rival camp.
The protesters, members of the Garda Bangsa youth wing, carried a mock coffin bearing the name Abdul Kadir Karding, a legislative candidate from the Muhaimin faction.
They also brought an effigy of a corpse labeled as the General Elections Commission (KPU), which, they claim, is refusing to hear the truth.
Slogans on their posters read, "If Gus Dur abstains from voting, so will we", "The PKB will break down if Gus Dur resigns" and "Without Gus Dur we retreat".
Police allowed protest coordinators only to enter the Central Java General Elections Commission (KPUD) office targeted in the protest.
Coordinator Yusuf Chudlori was met by local KPUD officials Ida Budhiati, Ari Pradhanawati and Slamet Sudjono.
Chudlori called on the KPU to be consistent in upholding the law and to respect the PKB's internal guidelines.
According to a Supreme Court ruling, the leadership of the PKB should revert to that decided during the Semarang convention.
During the convention, Gus Dur was named chairman of the Syuro board of patrons, Muhyidin Arubusman as secretary, Muhaimin Iskandar as the Tanfidz executive council chairman and Lukman Edy as secretary-general.
Chudlori added that the PKB's central executive board had determined the leadership structure of the Central Java executive board, naming KH Hayatun Abdullah Hadziq as chairman, Asryrofi Masyito as secretary of the Syuro board with Yusuf Chudlori as chairman, and Muhammad Hendri Wicaksono as secretary of the Tanfidz council.
Chudlori also sought to know on what grounds the KPUD had accepted the registrations of Abdul Kadir Karding and Fuad Hidayat, who registered on behalf of the party's provincial executive board.
Central Java KPUD member Slamet Sudjono said his office had worked according to its functions and authority.
"The election law stipulates that the KPU will ask for clarification from a party's central executive board in the event of double leadership. And if the board also has double leadership, then the KPU will ask for clarification from the Justice and Human Rights Ministry," he said.
In Jakarta, State Secretary Hatta Rajasa rejected claims by Gus Dur that President Susilo Bambang Yudhoyono had intervened in the decision to approve lists of PKB legislative candidates from Muhaimin Iskandar's camp.
The decision was entirely the responsibility of the KPU, he said.
"The President has never had any intervention in the KPU because the commission is independent. It is common for the government to communicate with the KPU, but any communication is always in line with the law," Hatta said at the State Palace.
He said the approval of the PKB legislative candidates was an internal matter for the PKB, and thus not the President's concern.
Kompas - September 9, 2008
Suwardiman – The image presented by elite leaders and a political party appears to be the main consideration that will increasingly be taken into account by prospective voters in the 2009 general elections. The voting public no longer heeds the campaign promises, vision, mission and programs that are so often marketed during election campaigns, but rather a leader's character and the party's image that has been demonstrated up until now.
The results of a Kompas survey of 880 respondents in 10 large Indonesian cities indicates that voting for a particular political party has been of declining importance. 24.78 percent of respondents said that agreement with a political party's vision, mission, program and the promises made during election campaigns was major draw card in motivating them to vote for a particular political party in the 2004 elections. Now however, only 16.26 percent of respondents said these were the reasons for voting for a party.
Conversely, the 24.78 percent of respondents that said the image of elite leaders and a political party were the reason for voting for a particular party in the 2004 elections, has now grown to 37.9 percent. Accordingly, the track record of figures and political party activists has become an important component with a big influence on the voting public.
Nevertheless, the 2009 elections are also overshadowed by a strengthening of pragmatic reasons for using the right to vote. Not the program, being an important figure or the image of a political party. But simple pragmatic reasons restricted to using the right to vote, simply going along with the choices of family members or relatives or the surrounding environment.
In the previous elections, 11.8 percent of respondents said that they voted for these kinds of reasons. In the future, the increasing tendency to vote for pragmatic reasons appears to be becoming more tangible. Now, at least 24.93 percent of respondents said that these would be the reasons they would vote for a party in the 2009 elections.
New political parties
The participation of 38 national and six local political parties in the 2009 elections has also been greeted diversely by the public. Kurniansyah (48), a respondent from Banjarmasin, South Kalimantan, said that he did not agree with there being too many parties taking part in the elections. "I worry instead, that too many political parties will confuse the public. After all, almost all of the party's visions and missions are uniform," said the farmer.
Kurniansyah's views represent 66.6 percent of respondents who doubt the capacity of new political parties to take up the people's aspirations.
Few respondents meanwhile are optimistic that the new political parties will be able to push through reforms that will improve the state of the nation. Only 26.5 percent of respondents are convinced that these new parties are capable of fighting for the wishes of their constituents.
"It's quite legitimate that many political parties will take part in the elections. Perhaps the emergence of new parties will bring reform to this nation", said Nurcahyono (29), a respondent from the East Java provincial capital of Surabaya. Nurcahyono's remark implies that the public's openness and appreciation is quite broad. This can be concluded from the 25.5 percent of respondents that stated they were interested in voting for one of the new political parties.
The real role of political parties
When the public is asked what the concrete role should be played by political parties, the response is real work, the impact of which is directly tangible. The majority of respondents mentioned things such as job opportunities, the issue of poverty, healthcare assistance and free education. As many as 40.7 percent of respondents hope that political parties will play a concrete role in areas of social benefit and the needs of the common person.
In addition to this, 21 percent of respondents expressed the view that the real role of political parties is to increase welfare through concrete solutions to improve the economy. The things that were mentioned in relation to this were, among others, solutions to address the rise in fuel prices and its associated impact of skyrocketing prices of basic commodities. Meanwhile, 17.6 percent of respondents expressed a hope that political parties will play a concrete role in improving party institutions and leadership.
It is natural that the public is demanding that the political parties fight for the above issues, because it is from these political institution that leaders are born. Political parties are also a mediator that connects the interests of the public with the state or government. They are also an intermediary that connects social forces and ideologies with official government institutions and links them with political actions in broader political society.
Samuel Huntington depicts the role of the political parties in promoting effective governance has having a causal relationship. He says that reform and modernisation of a system does not automatically create effective governance as long as there are disparities in social values and public morals as well as the capacity of political institutions to provide meaning and direction the public interest.
The public does not see the discourse about government policy in relation to important social issues as being of principle concern. This is because the public is more orientated towards the fulfilment of basic needs. As expressed by Afan Gaffar (The Transition of Indonesian Politics Towards Democracy, 1999), the majority of people have a low level of politicalisation. Political consciousness mong the grassroots such as poor families, farmers and workers is still low. For them, being actively involved in the political discourse about citizens' rights and obligations, human rights and the like is not an important priority.
The system of direct elections however – which has been running since the 2004 elections – and the holding of direct election of regional heads or pilkada has brought with it the positive impact of increasing collective political consciousness. The new system, which gives a vote to every individual, has been extremely important in opening up more space for political education in society.
The recruitment process in political leadership is increasingly understood as representing a primary function within the prevailing political system. This process of political recruitment is of course influenced by the distribution of power within political party institutions, the composition of the parliament and leadership decisions on strategic government positions.
The public's current dissatisfaction with the political parties and legislative members could well be an opportunity for the new political parties to win people's votes. This however is providing that these new political parties are actually able to provide something new and more significant than the parties that already exist. (Kompas Research and Development)
[Translated by James Balowski. The original title of the article was "Voters increasingly ignoring political party pledges".]
Jakarta Post - September 9, 2008
Yuli Tri Suwarni, Bandung – A number of non-governmental organizations in Bandung announced Monday an "anti-rotten" politician campaign, asking people not to vote for politicians who had been certified as bad in the 2009 general election.
The self-named Coalition of Communities Against Rotten Politicians (Mampus) issued criteria for politicians they would consider to qualify.
These criteria included records of graft offenses, violations of human rights, or a lack of gender sensitivity (i.e. domestic violence or sexual harassment). Others included damaging the environment, committing immoral acts, or harassing tribal affiliations, religious, racial and/or societal groups.
"We will conduct our verification (of candidates) for two months while compiling public opinion," coalition spokesman Surya Wijaya said during the campaign launch Monday at Babakan Siliwangi.
Already on the list of rotten politicians are 100 councilors of West Java legislative council from the 1999-2004 period who allegedly misused Rp 33 billion (US$3.54 million) in the provincial budget (for land acquisition).
The coalition is also to list a number of councilors in the current Bandung municipal legislature who allegedly eased the way for Mayor Dada Rosada's to revise a spatial planning regulation (turning a conservation area into a housing zone), Surya said.
There are a total 661 and 1,008 legislature candidates for the West Java provincial and Bandung municipal legislatures respectively, proposed by the 38 contending political parties here.
The group, Surya said, will also verify West Java legislature candidates eyeing seats in the (national) House of Representatives.
Among the rotten candidates for this category, Surya said, are all members of the House of Representatives' Commission IX for the 1999-2004 period. This group allegedly received Rp 21.6 billion from the Bank of Indonesia in a move to smooth the approval of a bill on the central bank.
Surya said, "We will not stop at just announcing their names, but we will also go to their respective electoral regions and let people know they had better not vote for them."
Surya also said more than 10 lawyers had been prepared by the coalition to deal with any possible lawsuits filed in response to the announcement and public advocacy it will make.
Participating NGOs include Bandung Legal Aid Institute (LBH), Indonesian Forum for the Environment's (Walhi) West Java office, Priangan Land Environmental Observer Board (DPKLTS), the Alliance of Agrarian Reform (AGRA) and Kalyanamandira.
Kompas - September 8, 2008
Suwardiman – The geo-political map in the 2009 general elections could be very different from previous elections. Shifts in regional control may be largely coloured by the growth in the self-confidence of political parties following the election of regional heads (pilkada). Because of this, the rate of shifts in domination by the Golkar Party and the Indonesian Democratic Party of Struggle (PDI-P) may not be as smooth as in the past.
Following the collapse of former President Suharto's New Order regime, political domination continued to be held by two long- term parties, the Golkar Party and the PDI-P. The Golkar Party was triumphant outside of Java and the PDI-P within Java Island. Over the last two elections however, the map of political forces has continued to change.
The political contest in the 1999 elections, which involved 48 political parties, was won by the PDI-P who garnered 33.74 percent of the vote, defeating the Golkar Party that only succeeded in winning 22.4 percent of the vote. The PDI-P succeeded in wining in 166 regencies/municipalities, while Golkar was only able to control 114 regions.
In the period following this, the Golkar Party again dominated the political map nationally. As many as 271 regencies/municipalities were controlled by the party with the banyan tree symbol with a total vote of 21.57 percent, while the PDI-P was only able to secure 89 regencies/municipalities with a vote of 18.53 percent. The party was also only able to defend 72 of its pockets of mass support, while loosing 22 others. Although the PDI-P was able to establish new pockets of mass support in 18 regencies/municipalities, the party failed to maintain general chairperson former President Megawati Sukarnoputri's position in the number one seat in the country.
Java and Bali
The cutback in the PDI-P forces in the 2004 elections resulted in the party only being able to control 55 regencies/municipalities in Java and Bali. Whereas the strongest pockets of mass support for the PDI-P in the 1999 elections were precisely in these regions, with control of 142 regencies/municipalities.
This means that control of the regions in Java and Bali by the PDI-P declined drastically from 86.6 percent to only 44.4 percent. Conversely, the Golkar Party, which in 1999 was only able to win eight regencies in Java and Bali, succeeded in controlling 31 regions in the 2004 elections.
The decline in regional control by the PDI-P in Java and Bali benefited a number of mass based Islamic parties such as the National Awakening Party (PKB) and the United Development Party (PPP). The PKB increased its domination to 24 regencies/municipalities from 14 in 1999. This was also the case for the PPP, which was victorious in one additional region.
Many pockets of PDI-P mass support outside of Java and Bali also fell into the hands of other parties. The PDI-P's wins in 69 regencies/municipalities outside of Java and Bali in 1999 was also eroded by half, leaving only 34 regions that they controlled in the 2004 elections.
The Golkar Party proved victorious in 240 regencies/municipalities or around 76.2 percent in regions outside of Java and Bali in 2004. The Justice and Prosperity Party (PKS), as a new political party, succeed in winning the vote count in 12 regions, half of which were on Java Island.
Pilkada and coalitions
By mid-2008, direct elections of regional heads had been held in at least 356 regencies/municipalities and 24 provinces. Many parties that had a strong mass base in the 2004 elections however, have proved unable to rely upon their previous electoral bases of support to ensure the victory of their candidates in regional elections.
The Golkar Party for example, failed to carry its gubernatorial candidate for North Sulawesi to victory. The party, which had an electoral base of support of 32.32 percent in the 2004 elections in North Sulawesi had to concede victory to the PDI-P. Golkar also failed to mobilise support for its gubernatorial candidates among its mass bases in West Kalimantan, South Sulawesi, South- East Sulawesi, West Java, West Sumatra and North Sumatra.
The strength of a particular party is clearly shown when the party concerned is the sole supporter of a candidate and not part of a coalition. Not many parties however, have had enough confidence to put forward candidates by themselves. Moreover for regions that are recorded as being their mass bases of support in the 2004 legislative elections, many political parties have entered into a coalition with other smaller parties in order to be able to successfully win regional elections.
An analysis of 352 regencies/municipalities and 24 provinces that held direct regional elections over the last three years, shows that 100 regents/mayors and eight governors were elected with the support of a sole party. The remainder were the result of party coalitions that effectively supported candidate tickets to the number one seat in a region.
The Golkar Party is recorded as the political motor that has most successfully pushed through its candidates to become regents and mayors. As many as 151 candidate tickets for regent/mayor were successful, with as many as 54 of these with the sole support of the party. This was followed by the PDI-P, which succeeded in pushing through 96 candidate tickets at the regional or municipal level, with as many as 26 of these being with the sole support of the party.
The PDI-P succeeded in being the sole supporter for six elected governors out of the 12 provinces that they contested. The Golkar Party was only able to support four elected governors, two of which were where the party was the sole supporter.
The change in the political map from the outcome of the general elections to the regional elections is most clearly depicted in regions where nationalist parties have a mass base of support, particularly in the shift of vote domination from Golkar to the PDI-P and visa versa.
At the regional and municipal level, Golkar was able to maintain 40 regions where it has a mass base of support by winning regional elections as the sole supporter of candidates. However Golkar lost in half of its pockets of mass support when it was the sole supporter in regional elections.
As many of four of these were won by the PDI-P as the sole supporter of a candidate ticket. The Golkar strongholds that were won by the PDI-P without forming a coalition with other parties were the regencies of North-East Timor, Bintuni Bay, Musi Rawas and North-West Maluku. At the provincial level, candidates from the PDI-P also took four Golkar regions without a coalition – North Sulawesi, Central Kalimantan, West Kalimantan and East Nusa Tenggara.
The PDI-P however lost in eight regencies/municipalities when it was the sole supporter of a candidate ticket.
Eight regions that were PDI-P mass bases of support in the 2004 elections were won by Golkar in regional elections without coalitions – the regencies of Karangasem (Bali), West Sumba, Blora, Boyolali, Purworejo, Klaten, Grobogan and East Lampung. At the provincial level, no Golkar gubernatorial candidate was victorious outside of the areas where they have a mass base of support.
Meanwhile, out of the candidates supported solely by the PKS, the party won in four regencies/municipalities. Two of these areas represented PKS mass bases of support in the 2004 elections, while two others were wrestled from pockets of Golkar and PDI-P mass bases of support, that is in Bekasi and West Bangka.
The National Mandate Party (PAN) has won a greater number of regional elections outside of its area of mass support. Out of the five regions where winning candidates were supported solely by PAN, three of these were Golkar bases of mass support – the regencies of Aceh Tamiang, South Pesisir, and Mount Kidul – and one PKB area, Lamongan.
The regional elections should be a test for the big parties as they head towards the great festival of democracy next year. From these elections, it should be possible to measure whether the mass bases of support held by a political party are real or just an illusion (Kompas Research and Development)
[Translated by James Balowski.]
| Aid & development |
Jakarta Post - September 11, 2008
Ni Komang Erviani, Contributor, Denpasar – As of August this year up to 10.16 million or 6.22 percent of the Indonesian population aged over 15 years old are still illiterate despite the success of the government's illiteracy eradication program, Minister of National Education Bambang Sudibyo said.
Speaking at the commemoration of International Illiteracy Day at the Art Center in Denpasar on Monday, Bambang said that 65 percent of the illiterate population, or 6.6 million people are women.
The National Education Ministry's data shows that the number of illiterate people still reached 15.4 million or 10.21 percent of the country's population aged over 15 years in 2004. The number dropped to 12.88 million (or 8.44 percent) in 2006 and 11.87 million (7.33 percent) in 2007, Bambang said.
The minister said the government would speed up the reduction in the percentage of illiterate people next year to only 5 percent, or about 7.7 million people.
"The achievement of this target will be six years ahead of a similar target set by UNESCO countries in an education conference in Dakar, Senegal, in 2000," he said referring to the United Nations Educational, Scientific and Cultural Organization.
At the conference, where Indonesian delegates took part, UNESCO members agreed to set a target to cut the number of illiterate people by 50 percent, by the year 2015.
Bambang explained that Indonesia's optimism on achieving the target faster is based on the high priority given to illiteracy eradication by the government. "We have set aside a fund of Rp 1 trillion (about US$110 million) annually for illiteracy eradication," he said.
He explained that President Susilo Bambang Yudhoyono had issued a Presidential directive in 2006 supporting the national campaign for illiteracy education and accelerated implementation of nine years of compulsory education for everyone.
"One of the triggers for the high level of illiteracy is that too many students are dropping out in the first to third grades of elementary school," the minister said.
State Minister of Women Empowerment Meutia Farida Hatta Swasono, who was also present at the ceremony, said that the high illiteracy rate among women was mainly caused by gender inequality in a number of areas in Indonesia.
Data from the Central Statistics Agency shows that 81.26 percent of the total of 6.6 million illiterate women were found mostly in eight regencies in East, Central and West Java, South Sulawesi, West Nusa Tenggara, Banten and West Kalimantan.
Illiteracy eradication, Meutia said, has also been given much emphasis in her office in line with the eradication of poverty and the struggle for gender equalization.
"Illiteracy has to be wiped out for the sake of social justice and equalization of gender opportunities so that the social status of women will be lifted in the community," she said.
At the ceremony Bali Vice Governor Anak Agung Ngurah Puspayoga also added the commitment of his provincial administration to the campaign against illiteracy.
"Illiteracy has to be wiped out because it is closely related to ignorance, powerlessness and poverty," Puspayoga said.
Bali Education Office data shows that the number of illiterate people aged between 15 years and 45 years reached 29,419 in 2006, spread across in nearly all regencies in Bali. But the number had dropped to only 14,709 as of the middle of this year, according to the data.
Kompas - September 9, 2008
Denpasar – In the campaign to eradicate illiteracy, women need special priority because the illiteracy rate among women is more than twice as high as men.
"Those who are illiterate are generally the poor, the powerless and less well off. Clearly this is closely linked with social justice, so the eradication of illiteracy in synergetic terms also requires social solidarity", said National Education Minister Bambang Sudibyo at the climax of the commemoration of the 43rd International Literacy Day in the Balinese provincial capital of Denpasar on Monday September 8.
According to the National Education Department the total number of illiterate people among the population currently stands at just 10.1 million. This figure has declined drastically by 1.7 million compared with 2007 when it stood at 11.8 million. By late 2009, the target for the number illiterate people among the population in the age group 15 years and above is 7.7 million.
Based on National Education Department data for 2007, the largest number of illiterate people are found in East Java province (3.3 million) followed by Central Java (2.25 million). If seen in terms of percentages however, the largest number of illiterate people found in Papua – 335,868 people or around 24.8 percent of the total population. The smallest number of illiterate people are found in North Sulawesi – 15,589.
Gender disparity
The Minister for Women's Empowerment, Meutia Farida Hatta Swasono, who was present at the event explained that the high rate of illiteracy among women is linked with the continued existence of gender disparities. In order to overcome this, she is urging that women's empowerment be prioritised.
According to National Statistic Agency data, the majority of the 81.26 percent of the 6.6 million illiterate women are found in the seven provinces of East Java, Central Java, West Java, South Sulawesi, West Nusa Tenggara, Banten and West Kalimantan.
At the end of the International Literacy Day commemoration, Minister Sudibyo presented a Literacy Award to three governors, eight mayors and 38 regents for achievements in successfully undertaking programs to eradicate illiteracy. The minister also presented an award to the winner of a writing competition on literacy to six educational tutors and six journalists.
Awards were also given to figures and non-formal educational institutions as well as other groups that have played a significant role in social empowerment. (AYS/BEN)
[Translated by James Balowski.]
| Economy & investment |
Jakarta Post - September 13, 2008
Aditya Suharmoko, Jakarta – External factors are to blame for the recent drop in the stock market and rupiah, with the fundamentals of the economy remaining relatively sound, the central bank has said.
The rupiah has shed 3.1 percent of its value against the dollar this month, as many stock market investors sell their local holdings and convert gains to the dollar, putting further pressure on the rupiah.
The local currency fell 0.7 percent this week to 9,445 per dollar as of Friday, from 9,375 on Sept. 5, according to Bloomberg. Meanwhile, the Jakarta Composite index fell 66.07, or 3.5 percent, to 1,804.06, its lowest since March 28, 2007. It has fallen 11 percent this week, the worst since Aug. 17, 2007.
Despite the troubling figures, Bank Indonesia (BI) governor Boediono said Friday the bank would not make hasty adjustments.
"We will respond to fundamental moves, not to temporary ones. We will not make unnecessary adjustments," Boediono said. "Whether it is about the yield, the exchange rate (of the rupiah against the dollar), we will respond to them in the right rhythm, in a context that will not damage our fundamentals," he added, without elaborating.
The recent declines in the stock market and the rupiah were part of a global adjustment process, Boediono said, adding all countries would have to adjust to slowing world economic growth.
Only those nations with good fundamentals – including sound economic growth, controllable inflation, a healthy state budget, an acceptable rate of debt and favorable political conditions – will remain strong throughout the adjustment process, he explained.
"I think we have all the fundamentals. And if we make the right adjustments, we will become a sound country (economically) in the end," he added.
Indonesia's economy has been performing fairly well thus far this year, despite threats of high inflation and a global economic slowdown.
The Central Statistics Agency (BPS) reported a strong, unexpected 6.4 percent economic growth in the first half of 2008, compared to a slower start in 2007.
The government hopes to achieve a full-year 6.2 percent growth amid worsening global economic turmoil and soaring prices that have impacted the local economy.
The central bank cannot predict how long "the adjustment process" will last, Boediono said, adding the bank would always stand ready to guard the economy and make "policy adjustments", if necessary.
Jakarta Post - September 12, 2008
Aditya Suharmoko, Jakarta – A recent survey that says Indonesia has become less competitive is "odd", the government has declared, pointing to improvements in business regulations and an increase in foreign investments.
Indonesia slipped from the 127th to the 129th most competitive country – out of 181 countries – in a survey conducted by the International Finance Corporation (IFC). The decline was due, in part, to a new policy requiring companies interested in opening a business to possess a minimum of Rp 12.5 million (US$1,323.59) in capital, up from Rp 5 million.
The 2009 Doing Business Report was issued Wednesday.
The government admitted to having implemented the policy, but defended it, saying it was meant to screen companies' ability to maintain businesses.
Despite the increase in the minimum capital requirement, Indonesia secured Rp 8.49 trillion in investments in the first half of 2008 – a 29.9 percent increase from last year – according to the Investment Coordinating Board (BKPM).
"The IFC's 2009 Doing Business Report was a bit odd as an improvement in three key indicators failed to raise Indonesia's ranking," the Office of the Coordinating Ministry for the Economy said in a statement released Thursday.
The statement refers to Indonesia's ability to reduce the time, costs and procedures needed to open a new business. Under the new requirements, opening an enterprise takes up to 76 days, as compared to 105 days under the old scheme.
The agency did take into account such progress, but Indonesia lagged behind most other countries who worked harder to improve their business climate, Adam Sack, IFC's country manager for Indonesia, said Thursday.
"We see, globally, many more countries working hard to improve the business environment," he added.
While Indonesia did rank well in several areas, "there are other areas where Indonesia still ranks low", which caused the country's ranking to slip two notches, Sack said.
In terms of its business climate, Indonesia is less competitive than its neighbors, according to the IFC. Singapore, for example, was first on the list, with Thailand ranked 13th, Malaysia 20th, Brunei Darussalam 88th and Vietnam 92nd. Papua New Guinea was ranked 95th.
As the report was based on the government's progress before June 1, some important programs might not have been counted, Sack added.
"Some of the benefits of those reforms, we will see in next year's indicators," he said. "It takes time for those reforms to happen... My one single recommendation is that the government continues with its planned program of reform and it keeps up the momentum and then accelerates the reform."
Jakarta Post - September 11, 2008
Aditya Suharmoko, Jakarta – Despite progress in certain areas, Indonesia overall is worse off now than the year before when it comes to doing business, a survey revealed Wednesday.
The 2009 Doing Business Report showed the time needed to set up a business here had been cut from 105 days to 76 days.
However, the report – issued by the World Bank and its private arm, the International Finance Corporation (IFC) – ranked the country 129th out of 181 countries surveyed, down from last year's ranking of 127.
That leaves Indonesia far below many of its regional peers; Vietnam was ranked 92nd, Brunei Darussalam 88th, Malaysia 20th and Thailand 13th, with Singapore topping the list as the most attractive place to do business. Even Papua New Guinea fared better, coming in at 95.
IFC analyst Fararatri Widyadari said at a press conference the ranking decline was mainly due to a new policy that raised the minimum initial capital for companies planning to invest here to Rp 12.5 million (US$1,358) from Rp 5 million. "This caused the country to rank low in the report. Other countries no longer apply such policies," Fararatri said.
The report said Indonesia had yet to make significant improvements in terms of construction permits, employment, property registration, investor protection, tax payment, trade, contract enforcement and business closure.
It cited the fact that it still took 39 days to register enterprise properties, and five and a half years to close a business.
Of all the countries surveyed, Azerbaijan was the top reformer, jumping from 97th place to 33rd, thanks to significant policy reforms for starting a business, employing workers, registering property, getting credit, protecting investors, paying taxes and enforcing contracts.
With other countries moving faster in almost all reform areas, Indonesia must work harder to create a good business climate and boost its economy, the IFC said.
"There has been a positive change in Indonesian business policy. But the country should do more in some sectors to make it a much more promising business environment," Fararatri said.
Sofjan Wanandi, chairman of the Indonesian Employers' Association (Apindo), said Indonesia's ranking had dropped because all neighboring countries had improved their investment climates faster than Indonesia had done.
"We are running in spot while other countries improve," Sofjan said, adding inconsistent government policies were to blame for the poor rating. "Businesses cannot make long-term plans if the government keeps changing its policies."
Fararatri said the government could help by simplifying administrative procedures and allowing online registrations. "The government can limit the time needed to issue enterprise permits and employers' registration letters, for instance," she said. (ewd)
Jakarta Post - September 11, 2008
Jakarta – The government published a statement on Thursday debating a conclusion of a survey by the World Bank's investment arm, International Finance Corporation, on Indonesia's investment climate.
The IFC survey, Doing Business 2009, ranks Indonesia as the 129th out of 181 surveyed in terms of ease of doing business, down two notches from 127 in last year's survey.
The survey ranks Indonesia far below many of its regional peers; Vietnam was ranked 92nd, Brunei Darussalam 88th, Malaysia 20th, Thailand 13th, and Singapore, who topped the list as the most attractive place to do business.
The main reason behind the set back, the IFC said, was because the government had raised the minimum capital to start a company from Rp 20 million to Rp 50 million while other countries already scrapping such limitation.
The Coordinating Ministry for Economy argues in a statement that the survey has failed to acknowledge the context behind the policy, "Our consideration (for the policy) was to enhance business certainty in the country, by filtering company owner's capability and reliability," says the release.
The ministry also cites a record from the Investment Coordinating Board (BKPM), saying that investment growth has been increasing significantly during the year's first semester compared to the same period last year.
BKPM recorded that investment grew by 15.4 percent and 12.8 percent during the years first and second quarter, increasing investment ratio to the Gross National Product by 23.3 percent during the first semester. (dre)
Jakarta Post - September 10, 2008
Ika Krismantari and Aditya Suharmoko, Jakarta – The Indonesian Composite Index slumped Tuesday to its lowest level in 17 months as investors pulled out their money over jitters that lower global commodity prices could slash economic growth.
The commodity-heavy Index dropped by 3.9 percent to 1,958.75 – the first time it fell below the 2,000 mark since April 23, 2007.
Resources-based companies dragged down the Index after crude oil sank further to its lowest level since April, bringing down prices of other commodities, including coal and crude palm oil (CPO).
PT Bumi Resources, Indonesia's largest coal producer, led the slump after retreating by 10 percent to Rp 3,950. PT Astra Agro Lestari, the biggest publicly traded CPO company, dropped by 11 percent to Rp 14,250 – its lowest level since August 2007.
HD Capital analyst Adrian Rusmana said the slump was mostly triggered by fears the economy would grow sluggishly this year as declining commodity prices erode export revenue. Indonesia, Southeast Asia's largest economy, has projected economic growth of 6 to 6.4 percent this year.
"Last week, the BPS (Central Statistics Agency) reported that we're suffering a trade deficit because our imports exceed our exports. The condition will deteriorate if commodity prices continue to fall," he said.
Bloomberg reported that palm oil fell by as much as 5 percent, to 2,346 ringgit ($681) a ton, in Malaysia on concerns that declining oil prices would ease demand for biofuels. The price was above $800 a month ago.
Oil prices slumped to $101 a barrel on Tuesday, as reported by AFP, as the market awaited oil cartel OPEC's decision on whether it would cut output.
"The market responded to falling oil prices," Danareksa Research Institute chief researcher Purbaya Yudhi Sadewa said.
The rupiah also plunged, falling to Rp 9,355 against the US dollar, from Rp 9,284 on Monday, over fears investors would continue pulling most of their "hot money" out of the stock and bond market.
In response to the turmoil, central bank deputy governor Hartadi A. Sarwono said the decline was part of the supply and demand mechanism.
"The rupiah's exchange rate (against the dollar) in the free- floating system is determined by supply and demand. Bank Indonesia will enter the market to prevent extreme volatility," he said.
On Monday, BI governor Boediono said the central bank would be ready with "ammunition" to keep the exchange rate at an acceptable level.
Boediono said he believed money would always look for a better place to grow, saying investors would shift their funds to options offering higher returns.
Jakarta Post - September 10, 2008
Aditya Suharmoko, Jakarta – Improved tax collection by extending the tax base and modernizing the tax system have boosted tax proceeds by 46 percent during the first eight months of this year, Finance Ministry's director general of taxation Darmin Nasution says.
Darmin said tax revenues from the non-oil-and-gas sector jumped to Rp 318,74 trillion (US$34.6 billion) between January and August this year, as compared to Rp 218,33 trillion in the same period last year.
"If we see growth, this is mostly because of improvements in the tax office to boost taxpayer compliancy," said Darmin on Tuesday.
If included with the tax revenue from the oil and gas sector, the total figure for 2008 reaches Rp 367.63 trillion, up by 49.5 percent from Rp 245.8 trillion.
Darmin said the overall tax revenue figure for 2008 was already at 68.78 percent of the full-year target of around Rp 534.53 trillion, which should be collected by the directorate.
Between January and August, the collection of income tax in the non-oil-and-gas sector soared by 36.68 percent to Rp 167.9 trillion, value-added tax (VAT) and luxury tax by 63.51 percent to Rp 131.85 trillion and land and property tax by 27.6 percent to Rp 13.70 trillion.
The directorate also reported that tax refunds reached Rp 21.25 trillion, mostly from VAT, land and property tax.
As part of improving tax compliance, the directorate has thus far banned 43 taxpayers from traveling overseas due to their failure in paying taxes amounting to more than Rp 100 million.
The tax office will also team up with the State Development Comptroller (BPKP) to squeeze more taxes from the construction and real estate sectors, as well as the financial sector.
Darmin said many companies operating in these sectors paid taxes below the benchmarks estimated by the directorate.
In the proposed 2009 state budget, the directorate will intensify tax collection from the pulp and paper sector, in addition to this year's focus on the plantation and mining sectors.
"Tax revenue in 2009 can grow about 20 percent (from this year's revenue)," he said, adding that the figures took account of Rp 40 trillion in potential lost revenue, as the result of amendments to improve the income tax law.
Next year, the tax directorate is tasked with collecting Rp 650.29 trillion of taxes.
Kompas - September 8, 2008
Jakarta – The national banking industry appears to be controlled by foreign interests. The proportion of foreign ownership has steadily risen to almost half of the total capacity of the banking industry. And the higher the portion of foreign ownership, the more difficult it becomes to control the banking industry in pursuing its function as the primary supporter of economic growth.
Research by Infobank Magazine notes that as of June 2008, foreign ownership of national banking industry assets had reached 47.02 percent. This means that banking interests under foreign control have reached 960 trillion rupiah out of at total asset value of 2,041 trillion rupiah.
Conversely, the proportion of government ownership represented by state-owned banks and private banks has progressively declined to just 35 percent. Whereas previously, state-owned banks controlled more than half of the banking industry.
Late last week, the general chairperson of the Indonesian Banking Association (Perbanas), Sigit Pramono, said that such a situation is extremely dangerous bearing in mind that the banking industry represents the heart of the economy.
The proportion of foreign ownership has progressively grown since the 1998 economic crisis. By 2005, the proportion of foreign ownership of banking assets stood at 42.33 percent, triggered by the widespread sell-off of large privately owned national banks by the Indonesia Bank Restructuring Agency (IBRA). At the time, major banks that had previously been owned by national businesspeople such as BCA, Danamon, Bank Indonesia International, Niaga, Permata and Lippo, were bought by foreign investors, particularly from Singapore and Malaysia.
As long as control of the banking industry was still in the hands of the nation itself, foreign ownership is actually beneficial, particularly in a situation where there are minimal funds available for domestic investment. Foreign investors usually brought in fresh capital and new innovations that enriched the domestic banking industry.
But without such control, foreign ownership can increase economic risk. Banking observer Iman Sugema says that the banks owned by foreigners have a greater tendency to expand into the consumption sector. Whereas what is needed to stimulate quality and uninterrupted growth is investment credit and working capital.
Bank Republik Indonesia economist Djoko Retnadi says that up until now, the banking industry has played a significant role in determining the mechanisms of monetary policy. If however ownership is dominated by foreign interests, it will of course make it more difficult for Bank Indonesia ((the central bank) to direct monetary policy. Whereas monetary policy is vital to maintain economic stability.
House of Representatives Commission IX member Dradjad Wibowo says that this situation will result in foreign parties having greater access to domestic data and economic networks. "The impact is, it that is becoming progressively easier for foreign interests to penetrate the Indonesian economy, which in the end will result in increasing dependency on foreigners", he said. (FAJ)
[Translated by James Balowski.]
Jakarta Post - September 8, 2008
Aditya Suharmoko and Alfian, Jakarta – Businesses have praised the newly endorsed income tax law, saying it will boost the competitiveness of Indonesia's economy amid tougher global competition.
The House of Representatives endorsed last week the income tax law in a plenary session, with lawmakers boasting it is one of the most business-friendly laws they have ever enacted.
"The (new) income tax law is in line with businesspeople's aspirations. It will promote a favorable investment climate," M.S. Hidayat, chairman of the Indonesian Chamber of Commerce and Industry (Kadin), said last Friday.
In the new law, income tax for corporations will be set at 28 percent flat in 2009, replacing the existing progressive system which could go up as high as 35 percent. The rate will be further reduced to 25 percent in 2010.
The rate will be reduced a further 50 percent if the company concerned is categorized as a micro enterprise, or a small and medium enterprises (MSME) – or is classed as a company earning less than Rp 50 billion per year.
With a 14 percent rate in 2009 falling to 12.5 percent in 2010, MSMEs are expected to grow further.
"The 25 percent income tax (for corporations) will make Indonesia relatively competitive compared to the income tax level in other ASEAN countries – Singapore 19 percent, Thailand 25 percent, Vietnam 24 percent, Malaysia 25 percent," Hidayat said. While tax rate cuts in 2009 will cause some falls in revenue, overall tax revenue will increase, as it is anticipated that more taxpayers will be tax compliant, he said.
The government has estimated it may lose Rp 40 trillion (US$4.26 billion) in tax revenue next year due to new tax cuts.
However, government expects to collect Rp 726.3 trillion in tax revenue next year, in the proposed 2009 state budget, up by 19.2 percent from Rp 641 trillion expected this year.
"There is nothing negative in the (new) tax law," Hidayat said, adding that Russia's state revenue grew by 400 percent after the country cut corporate income tax from 40 percent to 15 percent.
Investment Coordinating Board (BKPM) chairman M. Lutfi said the new tax law would help attract investors to Indonesia. Lutfi said many local investors had previously invested in Indonesia through foreign companies to avoid high income tax.
House of Representatives' member Dradjad H. Wibowo said the law would support all kinds of businesses, while at the same time being "stiff on any violations".
The new law will also support companies that list at least 40 percent of their shares on the Indonesia Stock Exchange. They will get their tax rate cut by a further 5 percent.
The central bank will start paying income tax of 30 percent next year and 28 percent in 2010, but only if it has a budget surplus.
Individual taxpayers will also be pleased that the taxable income threshold for them has been raised from Rp 13.2 to Rp 15.84 million per year in a bid to help ease the burden of low-income families, who spend nearly 70 percent of their income on food, while food prices are increasing.
The House and the directorate general of taxation have also agreed to improve the income tax rates for individuals. The rates did vary from 5 percent to 35 percent and this ceiling is now being reduced to 30 percent.
To tap more taxpayers, the directorate general of taxation will phase out the Rp 1 million exit tax starting 2009 for registered taxpayers. The exit tax will be eliminated by 2010.
| Analysis & opinion |
Jakarta Post Editorial - September 11, 2008
Trial by the press, or the press on trial? Those were two viewpoints that emerged when the Central Jakarta District Court ruled Tuesday that Tempo magazine had defamed Asian Agri in a January report that accused the agribusiness giant of tax evasion.
Judges called the Tempo report "malicious and unbalanced", describing it as trial by the press.
We stand together with all echelons of civil society in expressing regret over the verdict, which from the beginning was marred by inappropriate use of the law.
The court's failure to judge the case under the 1999 press law created a faulty pretense under which the facts and circumstances of the case could not be fully appreciated.
Perhaps the single greatest struggle of the Indonesian media since the fall of the Soeharto government has been the recognition of a free press under the jurisdiction of a special law as defined in Law No. 40/1999 on the Press.
Failure to use this law amounts to criminalizing the press irrespective of the grievance brought by Asian Agri against Tempo.
The media has no immunity, and should be accountable to the general public in carrying out its duty as the fourth estate. However, judgment should be passed in accordance with the appropriate parameters as set under national laws.
The tendency to ostracize the Press Law is arguably the most onerous element of this particular case.
The Indonesian press has been on a topsy-turvy roller-coaster ride over the past decade – from systemic censorship to unbridled freedom, threats of thuggery to tacit acceptance of free expression.
As the boundaries of freedom are forever being negotiated, it is important to persistently remind a media-literate public of the values of a free press.
Echoing Milton's and John Stuart Mill's centuries-old concept of an open marketplace of ideas, it has thus become integral that any true democracy have a free press to facilitate the citizens' right to decide, based on their own reasoning, on a course of action.
We may forget that during Indonesia's own struggle for independence, the press played a strategic role in fostering the ideals of nationhood and addressing the offenses of colonial powers. That is why Article 4 of the 1999 law clearly guarantees the inherent right to press freedom.
But we must also recognize the ideals of a responsible press – one that does not glamorize violence or promote prejudice. Our press and its supporting law do not simply shelter defamers, rather than the defamed.
Hence Article 1 of the Press Law also sets out the responsibilities of the press vis-a-vis its public, such as an individual's right of reply and the responsibility of the press to correct any errors or oversights in its reportage.
The culture and history of Indonesian journalism is one of not sacrificing private reputation for the sake to a free press.
Even the Press Code of Ethics acknowledges the duties of the press in maintaining balanced reporting and the presumption of innocence.
We do not believe it is sacrilegious to indict the media for false reporting. However, only when the appropriate laws and articles are applied can we say that justice has been done.
While the application of the Criminal Code in the case against Tempo is of concern, it is premature to frame the court ruling as a sign of the demise of press freedom.
We are of the firm opinion that the national political will remains strong enough to ensure press freedom is a transcendent value.
This case, in fact, should lead to national activism to put an end to persistent infractions – the improper application of laws and the unholy trinity of power, money and the courts – which have become a pox on the body politic.
For its part, the press must spare no effort to reinforce its professionalism and bolster its integrity.
It must persistently assess its own consistency in staunchly applying the principles of balanced journalism and ethical reporting.
We, the Indonesian press, must realize that freedom of the press is a qualified liberty, beholden to the trust of the general public.
In the end, neither media nor might has a monopoly on what's right.
Jakarta Post - September 10, 2008
Ignas Kleden, Jakarta – A political party is there, first of all, to transpose the needs and aspirations of its constituents into a political program. This is a minimum rationale for its existence.
How this transposition is done depends to a large extent on the way a political party understands itself: What it actually is and what it should be like. You may call it party ideology, but if the term is not convenient, call it party platform.
For most of the 34 political parties that have been verified by the National Election Commission (KPU) and the four political parties that became eligible through their appeal to the Administrative Court, the platform still is a serious problem. If we test them by asking probing questions, it is very likely we will only receive indistinctive answers that will hardly enable us to guess which party one belongs to.
Ask them what is their official stand on matters pertaining to market economy, globalization, minority groups, women's political participation, corruption and social justice, environmental depreciation, educational reform, inter-ethnic conflicts, territorial and social integration and parliamentary or presidential system – and you will receive answers which might be very general at best and very vague at worst.
The lack of a clear party platform has resulted in at least two situations.
First, a party member can easily quit his or her party and join another party without much conflict. It does not matter if someone changes his/her party membership, because there are no basic differences between parties in terms of their platforms.
Second, a party can easily change its coalition ally to help a candidate win an executive position. In a direct election of a regent/mayor or governor, the coalition building is very fluid. Party A, for example, joins party B in the election at the district level, but this coalition can change in the election of a governor at the provincial level.
If we ask the said parties why they changed their coalition the answer is that what matters for them is primarily the prospect of a winning candidate. If Mr X is most likely to win in district D, this owing to the dominant support of party A, parties B or C tend to make a coalition with party A.
In contrast to that, if in province P candidate Y is more likely to win because of strong political support from party S – which happens to be the rival of party A – it is very predictable that party B or C will join party S to help the candidate win hence beating party A – but party A may become their ally at the district level election.
The question may arise as to whether or not there is an ideological conflict in having one party as partner in the coalition at the district level while fighting against this same party at the provincial level. If one poses this question to the parties that are involved in the changing coalitions, one might get an answer that has something to do with two related, but yet different topics.
The first pertains to why a party decides to support a candidate for the position of regent or governor. In the second matter, what are the criteria with which to join another political party in the struggle for a winning candidate?
In reality no serious attention is given to the reasoning for joining one party or another in the effort to help a candidate win. The most decisive consideration seems to be whether or not a candidate has a real opportunity to win. This means a party is more inclined to campaign for a candidate who may win versus working to help their chosen candidate whom they originally believed was the one worthy of their political support.
This is the case with the direct executive election. In the case of legislative elections there are more complications. In the first place the whole election procedure is designed for party election and not for figure election. The campaign is to be conducted by political parties, for political parties.
But now three political parties (National Mandate Party, Golkar and the Democratic Party) have decided to implement majority rule in the sense that people who receive the most votes will win. The question is how should a candidate campaign for himself/herself, while he/she is obliged to campaign for the party?
Besides that, one cannot rule out the party list of candidates, because the KPU will accept only the party list. The trouble is what criteria is used in deciding which names to include on the list? If it is based on numerical or alphabetical order the rank and file will tend to choose the top names.
The second major problem is the number of candidates a party can propose for an electoral district. According to Election Law 10/2008, a party can have up to 120 percent of the seats allocated to an electoral district. If there are 10 seats available, the candidates from all parties for that particular electoral district will be 38 x 12.
For parties that stick to the party list it is easier to select the would-be candidates. For parties that apply majority rule it will become more difficult because the candidates will fight in a double front.
On the one hand they have to fight for the victory of their party over other parties, while at the same time each candidate has to engage in an internal battle within the party to persuade his or her fellow party members.
To make a long story short: The proportional elections should not give leeway to the aspirations of district elections and vice versa, otherwise there will only be unnecessary disorientation.
[The writer, sociologist, is Chairman of Indonesian Community for Democracy (KID).]
Jakarta Post Editorial - September 10, 2008
Some analysts have again expressed serious concern over increasing foreign ownership of banks in Indonesia, arguing this makes it more difficult for Bank Indonesia (the central bank) to guide monetary policies and bank lending for national economic development.
The issue surfaced again when Infobank monthly magazine announced the results of research last week showing that foreign ownership of the country's banking assets has increased to 47 percent as of June this year, compared to less than 20 percent prior to the 1997 economic crisis.
Foreign investors have expanded their ownership of banks in the country after the economic crisis forced the government to nationalize all major private banks and bail out the state banks.
When economic rationality and the need for good corporate governance eventually required government to sell almost all of the nationalized banks to the private sector, it was mostly foreign investors who won the competitive bids, thanks to their financial strength and technical and managerial competence.
But we don't see the increasing foreign ownership of banks as really being the issue. Rather the trend indicates the positive perceptions of foreign investors as to the country's long-term economic prospects. Foreign investors would not have been interested in putting up a larger capital stake in our banking industry if economic conditions had not been improving, because a bank can only be sure of robust growth in an expanding economy.
We instead welcomed the government's decision in the early part of the decade to gradually reduce its direct involvement in the banking industry and instead focus resources on strengthening the regulatory framework and supervisory systems for the whole financial service industry.
The experience of many countries including South Korea, Thailand, Malaysia and Mexico highlights the positive benefits of entry into domestic financial services markets of major international banks with a sound reputation in terms of development of good governance.
Look at how almost all of our best professional bankers were formerly executives of foreign banks in Indonesia or overseas, or have built up years of working experience with foreign banks.
A bank is not simply an ordinary business entity, given its vital role as a purveyor of lifeblood (credits) for the economy as well as its fiduciary responsibilities and the multiplicity of transactions it is involved in.
This is precisely why the principles of good corporate governance for banks are much tougher and more elaborate than those for many other business sectors. That is why not everybody who can put up adequate capital can have the controlling ownership of a bank. Those who want to become controlling owners and members of the management and supervisory boards of banks (as commissioners) have to pass the "fit-and-proper test" by the central bank to assess their technical competence, business vision and philosophy and integrity.
Put another way – banks are among the most heavily-regulated and supervised industries in the world.
Good governance and corporate responsibility are prerequisites for the integrity and credibility of financial market institutions. Banks are institutions founded on trust. By building confidence as well as good governance banks can gain access to external finance and are able to make reliable commitments to depositors, creditors and shareholders.
Given the special role and character of bank operations, banks are put under a multilayered supervisory mechanism and are subject to the Indonesian Banking Sector Code of Corporate Governance.
This code requires banks to set up audit and risk policy committees and the internal auditor of a bank must be approved by its commissioners. The audit committee has to ensure the adequacy and effectiveness of internal control systems to facilitate prudential banking practices and in compliance with auditing standards.
On top of all this, a bank must still have a compliance director specially in charge of ensuring that bank activities comply with laws and regulations, internal procedures and directives from the central bank.
No other businesses are required to have a compliance director in the same way. So why worry about the nationality of bank owners.
All these supervisory and regulatory frameworks mean we can rest assured that it is not the nationality of bank owners that matters as much as the capital resources, business philosophy, technical competence and integrity of the bank and its major or controlling interests.
Even if a bank is controlled by national interests, neither the government nor the central bank can intervene directly, for example, to direct its lending to particular clients, because this would take us back to the bad old days and to banking practices that could lead to another banking crisis, like the one in 1997-1998.
It is of paramount importance that the government should continue to strengthen the legal and regulatory framework of the banking industry and steadily improve the investment climate by reducing business risks and attendant risks of non-performing bank lending.
Jakarta Post Editorial - September 9, 2008
For millions of ordinary Indonesian people, it is difficult to understand how President Susilo Bambang Yudhoyono, the holder of a doctorate degree in agricultural economics from a prestigious state university, could be so easily lured by his advisor Heru Lelono into believing that seawater could be converted into fuel and that the production of an untested new rice variety could yield twice as much as others.
These two embarrassing scandals, however, are only the tip of the iceberg of much deeper problems in this country regarding our leaders' behavior and widespread abuse of power among those who are in power or those who are close to the power center.
The President has become a source of jokes after the revelation of the two hoaxes which were based on "scientific findings", i.e., "Supertoy HL2" rice and "Blue Energy" alternative fuel. Even many elementary school children laugh to hear how easily the President was fooled by Heru who reportedly told him about these two "miracles". Despite the desperate "damage control" efforts by Agriculture Minister Anton Apriyanto and presidential spokesman Andi Mallarangeng, people are still at a loss about what to think of their leader.
Either Heru is very lucky or he is too valuable to President Yudhoyono because he remains on the President's list of favorites, even though Yudhoyono's own party, the Democratic Party, has urged the party's founder to dismiss him. Heru is still in a safe position, probably because the two hoaxes have brought minimal financial loss to the state.
In their book, All the President's Men, The Washington Post's Carl Bernstein and Bob Woodward describe how Richard Nixon's men used all means, including illegal wire tappings, to ensure Nixon's victory in the presidential campaign against Democratic Party nominee George McGovern in the 1972 race. In contrast to Nixon's staff, those in Indonesia who belong to the president's inner circle are more accustomed to lucrative opportunities through what is popularly known here as KKN (corruption, collusion and nepotism).
Journalists who are familiar with presidential affairs will not be surprised by Heru's behavior, because since Soeharto's presidency many people around the president are geniuses in enriching themselves or in accumulating power.
In its Monday headline, "SBY-linked scams smack of nepotism", The Jakarta Post categorized the rice and energy scandals as belonging to "Nepotism". This is basically saying that nepotism, the N part of KKN, is still very much alive in Indonesia today – but that it can also kill your political career when it comes back to haunt you.
We detect nepotism not only in the presidential office, but also in the way parties are selecting candidates for next year's parliamentary elections. And, without being too specific, perhaps nepotism is also evident in the appointment of top military positions and in promotions.
Soeharto openly gave lucrative projects or bank credits to his own children, his cronies and loyalists. Many of these projects have now become our burdens as they were rife with KKN elements, while those who were responsible for these huge economic losses are still as free as birds.
Besides incumbent President Yudhoyono, Soeharto's other successors – B.J. Habibie, Abdurrahman Wahid and Megawati Soekarnoputri – were not free from KKN, although their dirty practices were conducted in more "sophisticated" ways. They often promoted their own friends or relatives to lucrative or prestigious positions, bypassing more qualified candidates.
But again, KKN is not just the monopoly of our presidents. Just look at the list of our parliamentary candidates. Many children or relatives of senior politicians are at the top of the list merely because they are siblings or relatives of influential politicians.
Indonesians typically have a short memory and have forgotten that it was nepotism, along with corruption and collusion, that brought down Soeharto's regime. We as a nation are still repaying the huge debts they created, and we will continue to bear the burdens caused by our leaders' corrupt behavior.