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Indonesia News Digest 3 – January 16-23, 2009

News & issues

Actions, demos, protests... Aceh West Papua Human rights/law Labour/migrant workers Environment/natural disasters Women & gender Health & education Corruption & graft Islam/religion Elections/political parties Government/civil service Focus on Jakarta Economy & investment Analysis & opinion

News & issues

Presidential hopeful grilled over 2008 violent protest

Jakarta Post - January 21, 2009

Presidential hopeful Rizal Ramli was questioned by police Tuesday for a second time as a suspect in last year's protests against fuel price increases, which became violent.

A former chief economic minister who has declared his presidential bid, Rizal was grilled about what police considered to be "provocative speeches" he had made prior to the demonstration in June 2008.

The investigators focused on particular phrases in speeches asking people to rally against the government when it planned to increase fuel prices, Rizal said after his seven-hour session at National Police headquarters.

"It is almost ridiculous as they want me to remember exactly word by word the speeches I gave. I don't see any point being made in the interrogation," he told reporters.

The questioning aimed at scrutinizing the speeches the suspect made during discussions and meetings organized by the Indonesia Rise Committee (KIB) which is led by Rizal.

He dismissed his interrogation as "baseless", while many believed the probe was highly politically motivated ahead of the 2009 elections.

For the sake of impartiality in the investigation, Rizal said, the police should also summon other figures who attended some of the gatherings.

"They should also question former Muhammadiyah chairman Syafii Maarif, political personality Taufik Kiemas, former military commander Wiranto and former vice president Try Sutrisno who were all in attendance. So how come it is only me who is being brought to a legal process," he said as quoted by Tempointeraktive.com.

Rizal was named a suspect last week following his earlier testimony at the trial of KBI secretary general Ferry Yuliantoro at the Central Jakarta District Court. That defendant was similarly charged with inciting violent protests, in which activists and students pulled down the fence of the House of Representatives and burnt a car outside the nearby Atma Jaya University.

National police spokesman Insp. Gen. Abubakar Nataprawira denied any political motives behind the legal charges against Rizal, who was the coordinating minister for the economy during the Abdurrahman Wahid administration.

"We declare him a suspect in this case based on clear evidence. So let's wait and see where the investigation process may lead us," Abubakar said.

No political motive in Ramli, Tifatul cases: Jusuf Kalla

Jakarta Post - January 17, 2009

Adianto P. Simamora, Jakarta – Vice President Jusuf Kalla has strongly denied any political motives behind ongoing legal actions against government critics ahead of the elections.

"We don't do such things," Kalla told reporters Friday, commenting on police investigations into former chief economics minister Rizal Ramli and Prosperous Justice Party (PKS) leader Tifatul Sembiring, who have both been named suspects in separate cases.

Kalla added all citizens, no matter their status, had to abide by the law. "As a presidential candidate, [Rizal] should lead by example on how to obey the law. What would voters say about a candidate who was afraid of a police summons?" Kalla went on, referring to Rizal's announcement to contest the presidential election.

Rizal, who chairs the Indonesia Revival Committee, has been named a suspect for allegedly organizing rallies against the fuel price hike in June 2008, spawning violent riots. Tifatul was named a suspect by the Jakarta Police for violating campaign rules and the legislative election law.

The Election Supervisory Committee (Bawaslu) reported him to the police after finding Tifatul had spoken on a party platform during a Jan. 2 protest against the Israeli attacks on Gaza. PKS supporters flaunted the party's banners during the mass protest.

The PKS has emerged as a serious contender to the major parties in the upcoming elections. Its candidates won several key regional elections last year, including the West Java gubernatorial election.

National Police Chief Gen. Bambang Hendarso Danuri also dismissed allegations of any political machinations behind Rizal's arrest and questioning. "The police have no interest in the case. We are just upholding the law," he said.

The country will hold a legislative election on April 9, with the presidential election following on July 28. President Susilo Bambang Yudhoyono has said he would run for reelection, hinting at once again picking Kalla as his running mate.

Kalla, who is also chairman of the Golkar Party, has yet to announce his party's plan of whether to contest the presidential election with a candidate of Golkar's own, or partner with Yudhoyono once more.

Several pollsters are predicting a tight two-horse race between Yudhoyono and the Indonesian Democratic Party of Struggle's Megawati Soekarnoputri in the presidential election.

Actions, demos, protests...

Villagers demand release of those held in Indonesia land row

Agence France Presse - January 22, 2009

Jakarta – Dozens of villagers on Indonesia's Sumatra island began a protest march Wednesday to demand the release of 76 people arrested in a land dispute, a farmers' union leader said.

The eight-day march is being held after a district court ruled Friday that the 76 residents of Suluk Bongkal village in Riau province would remain in detention as they had been caught occupying land that didn't belong to them.

The resident were arrested after clashes in mid-December in which police fired bullets and tear gas. Two children were reported to have died and hundreds of homes destroyed.

"We are protesting the method used by police to seize the land from villagers who have been staying there for years," said Rinaldi, a leader of Serikat Tani Riau, which is organizing the "Long March" protest.

The villagers of Suluk Bongkal have been disputing the land's ownership with pulpwood supplier PT Arara Abadi since 1996, when the forestry ministry awarded the company rights to develop the area.

Carrying Indonesian flags and banners that said "Sack Riau Police" and "Free 76 Farmers," 38 farmers and activists began the 300-kilometer (187-mile) walk after dawn from Tasik Serai village to Mandiangin village in Riau province in Central Sumatra.

Their last stop would be the provincial police station, the governor's and parliamentary offices in the provincial town of Pekanbaru, Rinaldi said. "We will be passing by 11 to 12 villages, and hope to have 100 more people joining us in this march," he added.

NGOs stage anti-Israel rally

Jakarta Post - January 19, 2009

Jakarta – Dozens of members from the Legal Aid and Human Rights Association (PBHI) and the Solidarity for Civilian Victims of Gaza organization staged a rally Sunday at the Hotel Indonesia traffic circle in Jakarta, demanding US president-elect Barack Obama help end Israeli attacks.

"The US is the only country that has the power to stop the genocide being committed by Israeli soldiers against the Palestinians. So the only right thing for Obama to do is use his power to stop the war," Hendrik Sirait, chairman of the Jakarta branch of the PBHI said.

Human rights activist Yenni Rosa Damayanti said she was beginning to doubt the strength of Obama's political will because he had refused to offer any public comment since the conflict began.

"When he refused to speak out, I just knew he could end up the same as his predecessor George W. Bush," she said.

Aceh

Grenade blast damages three cars in Aceh capital

Jakarta Post - January 16, 2009

Jakarta – A grenade exploded in front of a hotel in Peunayong in the Aceh capital of Banda Aceh on Friday at approximately 6:00 a.m. Friday, immolating one car and damaging two others but injuring noone.

Banda Aceh Police chief Sr. Comr. Samsul Bachri said whoever threw the weapon has not been identified. "We have yet to determine the type of grenade. The North Sumatra forensics team is on its way here," he said, as quoted by Antara news agency.

Samsul said one of the parked cars bore the logo of the Aceh Party, a local political party whose members are mostly former combatants from the separatist Free Aceh Movement (GAM). "We are still investigating the motive for the blast," he said.

In September last year, a grenade was set off in front of that party's headquarters in the city. The police have yet to determined who perpetrated that incident. (dre)

West Papua

Billions pour into West Papua

Jakarta Post - January 23, 2009

Nethy Dharma Somba, Manokwari – President Susilo Bambang Yudhoyono visited West Papua on Thursday, pouring hundreds of billion of rupiah in projects around the province.

In his two-day visit, Yudhoyono inaugurated 10 projects, including the development of roads, bridges, river rehabilitation projects and the construction of a Raja Ampat beach wall worth a total of Rp 231 billion (US$19.9 million) in Sorong and Manokwari, the capital city of the province.

Yudhoyono also provided Rp 510 billion for the rehabilitation and reconstruction of the province after an earthquake hit the province on Jan. 4 this year.

The President donated Rp 4.47 billion of his own money to the people in Manokwari and Raja Ampat regency and handed over soft loans from Bank Mandiri of Rp 11.22 billion, from Bank BRI of Rp 16.09 billion and Bank BNI of Rp 8.42 billion.

Yudhoyono also handed over funds of Rp 154.7 billion for the National Self Reliance Community Empowerment (PNPM) program for people in 8 regencies and municipalities.

"The loans are for boats which will belong to the government. The government can then lend the boats to the people for fishing. When the people can afford to buy new boats, they should return them and let other people use the old boats," he said.

With the PNPM fund, Yudhoyono said, people are given a fishing rod. "The fund is given in the districts. It's up to the people to determine how to use the fund, but it should improve their welfare," he said.

PNPM is often criticized for being manipulated by Yudhoyono's Democratic Party as a campaign strategy to earn people's vote. Yudhoyono is likely to run again in the presidential election in October.

However, he said that everything that had been given by the government was aimed only to increase people's welfare, and that people in West Papua could run the programs themselves.

He said the government had given a special autonomy status to the West Papua province through the Law No. 21/2001 and the Presidential Instruction No. 5/2007.

The government has recently disbursed Rp 1.1 trillion in autonomy funds in the 2009 budget for West Papua. That funding is 30 percent of the total autonomy fund of Rp 3.7 trillion as the remaining Rp 2.6 trillion is allocated for Papua province.

The allocation of the Rp 1.1 trillion autonomy fund for West Papua was commensurate with its eight regencies/municipalities compared to the 27 regencies/municipalities in Papua.

Besides inaugurating the projects, Yudhoyono also donated 3000 packages of food staples for Manokwari residents while First Lady Ani Yudhoyono handed over a car and a motorcycle for a school.

Accompanied by Coordinating Minister for People's Welfare Aburizal Bakrie, Home Minister Mardiyanto, State Secretary Hatta Rajasa, Public Works Minister Joko Kirmanto, Social Services Minister Bachtiar Chamsyah and the Indonesian Military Chief Gen. Djoko Santoso, Yudhoyono handed over all the donations to West Papua Governor Abraham O Atururi on Masinam Island, which is 10 minutes by boat from Manokwari.

The President also visited an old well which was once used by an early Christian mission in Papua in 1855 and La Haroi, an old church.

Many residents were disappointed with the tight security during the President's visit. "It seemed that the President no longer belongs to the people. We could no longer shake hands with him," a resident said.

Papua council says police burnt 30 houses

Radio Australia - January 20, 2009

The Papua Customary Council, which represents tribal interests in the Indonesian province of Papua, says some 500 Indonesian police burnt down 30 houses and killed 32 pigs at Tingginere village on Sunday.

The wave of destruction began after police shot dead a local man during a clash with an armed group outside the village two days earlier.

Police deny burning any homes or killing any farm animals but admit searching the village, in central Papua, for weapons stolen from a police post on Thursday.

Police spokesman Senior Commissioner Agus Riyanto says the clash erupted when the armed group stopped a police patrol from entering the village.

They were also investigating whether the men were members of the Free Papua Movement, a poorly-armed separatist group.

Police in Papua say OPM still a threat

Jakarta Globe - January 19, 2009

Markus Junianto Sihaloho – Security officials in Papua have claimed that a clash on Friday between a police unit and members of the Free Papua Movement, or OPM, in Tingginambut, Puncak Jaya district, confirmed the continued presence of armed separatists in the province.

Papua Police Chief Insp. Gen. Bagus Ekodanto said on Sunday that his officers were investigating the incident.

However, Bagus said he was certain that armed separatists were still a threat in Papua, though police do not require military assistance "at this stage."

"It is about a little group of people that do not want to be called separatists, but they attack police and show us that armed separatists still exist in Papua," Bagus said.

As reported by state-run Antara news agency, one of the suspected OPM members, identified as Yendenak Wonda, was shot during the skirmish and later treated at Mulia General Hospital in Puncak Jaya.

"When Wonda was shot, the others ran away," Bagus said. "It was the police who were trying to burn local villagers" houses and the OPM members came to stop them from doing it Ferry Marisan, Elsham

He said the incident started two weeks ago when OPM members allegedly attacked the Tingginambut Police station, wounding Irana Helen, 21, a police officer's wife.

The attackers also took four police guns, Bagus said. "One of [the attackers] was recognized as Yendenak Wonda," he said. He said the OPM members involved in Friday's skirmish had been identified as belonging to a group led by Goliath Tabuni.

Goliath, the alleged leader of the OPM in the area, is believed to have been involved in the killing in October 2004 of several Indonesian soldiers and civilians who were traveling on the road between Wamena and Mulia.

The OPM is considered to be a low-level separatist group involved in fighting for an independent state in Papua.

The harsh approach taken by security forces in dealing with separatism has given rise to allegations of widespread human rights violations in the province.

Ferry Marisan, from the Institute for the Study and Advocacy of Human Rights, or Elsham, in West Papua Province, on Sunday urged police to complete their investigation before claiming that separatists were threatening local communities.

He said that police had never provided evidence that Goliath's group was responsible for the attack on the police. "I say that none of Goliath's men were in the village. The police only found normal villagers," Ferry said.

"It was the police who were trying to burn local villagers' houses and OPM members came to stop them from doing it." Ferry said that the police should not describe OPM members as dangerous armed separatists because they rarely used firearms, instead carrying bows and arrows.

Freeport tightens belt during crisis despite protests

Jakarta Post - January 20, 2009

Markus Makur, Timika – PT Freeport Indonesia (FI), a gold and copper mining company operating in Mimika regency, Papua, is cutting costs despite a workers union protest in response to the global economic crisis and the falling price of copper.

FI spokesman Mindo Pangaribuan told The Jakarta Post that cost- efficiency measures would include a moratorium on recruiting non-essential staff and laying off as many as 75 FI employees at the Jakarta headquarters, among other things.

"The company still has a positive outlook, given the limited global stock of copper and its constant demand. However, we have to respond fast to the reality of short-term economic uncertainty."

"The company has applied cost-saving measures in all areas of our operations which would not likely influence production targets," said Pangaribuan.

He added the workers' retrenchment program had referred to the existing labor law and that FI had coordinated the matter with the government.

Contracting companies affiliated with FI have also carried out cost-cutting measures by laying off some workers, but Pangaribuan is confident this will not have an impact on FI output.

He said FI was expected to produce 1.3 billion pounds of copper and 2.1 million ounces of gold this year.

Based on information gathered by the Post in Timika, a number of contractors have been laying off their workers since December last year.

Leader of the Papua Workers Union, Yohanis Samual Nussy, condemned the firings by FI contractors under the pretext of the global economic crisis as unfair.

Nussy told reporters that job lay-offs disguised as cost- efficiency decisions were unjust because FI and its contracting companies could economize on many other things.

He argued that level III workers who had thus far benefited from company facilities, such as cars and housing, should no longer use them as they already received big salaries and other benefits. Another way to save costs, Nussy said, would be for FI to move its headquarters from Jakarta to Timika.

"Having our headquarters in Jakarta is a very costly option," Nussy said, adding that efficiency measures should target job facilities, job description, annual leave and overtime pay.

Human rights/law

Wrongful arrest officers disciplined

Jakarta Globe - January 23, 2009

Arientha Primanita – Thirteen East Java Police officers have been formally disciplined over an investigation that led to the convictions of two men for a murder they did not commit, a National Police spokesman said on Friday.

"Thirteen police officers from the Jombang district police and Bandar Kedungmulyo subdistrict police have been brought before the National Police commission over breaches of the code of ethics," Insp. Gen. Abubakar Nataprawira said.

The officers were involved in the investigation that led to the trials of Devid Eko Prianto, Imam Hambali and later Maman Sugianto for the murder of a man named Asrori.

A body believed to be that of Asrori, 21, was found in a sugarcane field in Jombang in September 2007. Devid and Iman went on trial for the murder and were sentenced to 17 and 12 years in jail, respectively, while Maman's trial was still ongoing when an unexpected turn occurred.

The one thing [the officers] have in common is that they have to apologize to the victims, directly or indirectly said Abubakar Nataprawira, police spokesman.

Asrori was identified as one of the 11 bodies found buried in the backyard of a home in Jombang, all believed to be victims of high-profile serial murder suspect Verry "Ryan" Idham Henryansyah.

Based on this new evidence, the lawyers of Devid, 19, and Imam, 35, filed for a case review. On Dec. 3, the Supreme Court reversed the convictions of the two men, who had already been detained for some 13 months.

The panel of judges hearing the case against Maman, 28, subsequently acquitted him on Dec. 18.

The three have since said that they had been forced under torture to confess to the murder.

The body found in the sugarcane plantation was later identified as Fauzin Suyatno. Another man, Rudi Hartono, has been arrested by Jombang Police for the murder.

"The head of the local subdistrict police and his chief detective will not be able to conduct investigations for about one or two years," Abubakar said, adding that the penalties given to the 11 other officers would depend on their roles in the case.

"The one thing they have in common is that they have to apologize to the victims, directly or indirectly," Abubakar said.

The police investigators and their assistants were also removed from the detective unit, the spokesman said.

Abubakar said that East Java Police Chief Herman Sumawiredja had handed over compensation money to the three wronged victims – Rp 20 million ($1,780) each for Devid and Imam and Rp 10 million for Maman.

Rights activists have long accused the police of using torture to extract confessions from suspects.

UN Special Rapporteur concerned about acquittal of former spy

Detik.com - January 23, 2009

Indra Subagja, Jakarta – The United Nations will continue to monitor the case involving the murder of human rights activist Munir. UN Special Rapporteur on Human Rights Margaret Sekaggya has also conveyed her feelings of concern about the acquittal of Munir murder defendant Muchdi Purwoprandjono.

"Ibu Margaret, along with special rapporteurs in other areas will send a communication to the Indonesian government to oversee the process of law enforcement. And, that the acquittal verdict is a form of impunity", said the wife of the late Munir, Suciwati quoting from Sekaggya's remarks.

This was conveyed by Suciwati during a press conference at the offices of the Commission for Missing Persons and Victims of Violence (Kontras) in Jakarta on Friday January 23.

Suciwati, along with activists from the Solidarity Committee for Munir (Kasum) met with Sekaggya in Bangkok, Thailand, on January 19 during a gathering of Asian human rights activists. "The acquittal verdict is one of Ibu Sekaggya's priorities in accordance with her mandate as the UN Special Rapporteur", she explained.

Sekaggya, continued Suciwati, also asked that the case be fully resolved because it represents a test for the Indonesian government in how it treats human rights defenders in its country. "Respect for human rights defenders in itself represents an import parameter of how the Indonesian government handles human rights issues", said Sekaggya, as related by Suciwati.

Sekaggya is also preparing to visit Indonesia at the invitation of the government. "This will be an important meeting to show her commitment to the implementation [of the recommendations] of the previous Special Rapporteur Hina Jilani who also visited Indonesia [in June 2007]", explained Suciwati.

Kasum coordinator Choirul Anam meanwhile rejected suggestions that Sekaggya's actions were a form of foreign intervention. "It should be noted that when Indonesia was at UN forums it was also involved in the formation of the Human Rights Commission, and this is a part of the duties of the UN Human Rights Commission" he explained. (ndr/anw)

[Translated by James Balowski.]

Review of former spy's acquittal should be open to the public

Detik.com - January 23, 2009

Indra Subagja, Jakarta – The public prosecutor handing the case of murdered human rights activists Munir has submitted a judicial review to the Supreme Court via the South Jakarta District Court. The Solidarity Committee for Munir (Kasum) hopes that the Supreme Court will allow the hearings to be open to the public.

"The Supreme Court appeal hearing [should] be open to the public in order to [ensure] independence and so that it is non- discriminative", said Kasum Coordinator Choirul Anam during a press conference at the offices of the Commission for Missing Persons and Victims of Violence (Kontras) on Friday January 23.

Anam said that he also hopes that during the Supreme Court appeal hearing the court would hear the testimonies of witnesses again and not just examine the case files.

"This is in accordance with the authority of the Supreme Court under Article 50 of Law Number 14/1985, where if it is viewed as necessary, the Supreme Court can itself here [the testimony of relevant] parties or witnesses", he explained.

Kasum however does not plan to approaching the Supreme Court itself or send a written request on the matter. "We are only conveying an appeal through the public. If we contact [the Supreme Court] it would be tantamount to making an intervention", he said by way of closing. (ndr/anw)

[Translated by James Balowski.]

Munir case: AGO can't rely on Rohainil's conviction

Jakarta Globe - January 23, 2009

Heru Andriyanto – The conviction of Rohainil Aini last Tuesday could not serve as supporting evidence in prosecutors' attempts to overturn the acquittal of the alleged mastermind in the murder of rights activist Munir Said Thalib, an official said on Thursday.

Rohainil, a former flight attendant with state carrier Garuda Indonesia, was sentenced to one year in jail by the Supreme Court for providing fake flight documents to former pilot Pollycarpus Priyanto, who is now serving a 20-year jail term for his role in the murder of Munir on a September 2004 flight to Amsterdam.

Her conviction was seen by many as a boost to the appeal against the acquittal of former top intelligence official Muchdi Purwoprandjono, who was accused of ordering the murder.

But a senior prosecutor in the Attorney General's Office disagreed, saying Rohainil and Muchdi were tried for different cases.

"Rohainil is convicted of document forgery, while our case against Muchdi is mainly about premeditated murder," said Abdul Hakim Ritonga, deputy attorney general for general crimes.

"I don't think that the fresh Supreme Court verdict on Rohainil will in any way help our appeal in the Muchdi case," he told the Jakarta Globe.

The appeal documents had been completed and would be filed to the Supreme Court before Monday, Abdul said.

The South Jakarta District Court on Dec. 31 acquitted retired army general Muchdi, a former National Intelligence Agency deputy chairman, of charges that he ordered Pollycarpus, who was said to be an undercover agent, to poison Munir with arsenic.

Prosecutors immediately requested an appeal against the acquittal on the belief that the judges had ignored key evidence and testimonies that linked Muchdi to Pollycarpus, who in January last year was sentenced to 20 years for the murder.

Ex-Garuda official convicted of forging assignment letter

Jakarta Post - January 21, 2009

Jakarta – The Supreme Court convicted former Garuda chief secretary pilot Rohainil Aini on Tuesday for providing a fake assignment letter to off-duty pilot Pollycarpus Budihari Priyanto which helped him murder human rights activist Munir Said Thalib.

Rohainil was sentenced to one year in jail for violating Article 263 of the Criminal Code on letter forgery, which carries a maximum prison sentence of eight years.

The panel of justices, led by Artidjo Alkostar, said Rohainil signed the letter despite not having the authority to do so and also without consent from chief pilot Karmel Sembiring.

The verdict overturned the Central Jakarta District Court's ruling in February last year which acquitted Rohainil of all charges. State prosecutors appealed the acquittal immediately.

A verdict handed down by the Supreme Court is binding but a convicted criminal can seek a case review while serving his or her jail term.

In their deliberations, the justices said the Central Jakarta District Court based their decision on incorrect legal grounds.

The defendant made changes to Garuda's operational plans by allowing Pollycarpus to join the crew as a security officer on the flight taking Munir to Amsterdam. Munir was pronounced dead from a toxic dose of arsenic hours before the flight reached Amsterdam's Schipol airport on Sept. 7, 2004.

"The letter provided to Pollycarpus was neither part of the flight's operational plans nor did it fall under the responsibility of the defendant," the verdict stated.

A witness, Garuda crew manager Edi Susanto, told the court Pollycarpus could not have boarded the plane without the letter.

Former Garuda president director Indra Setiawan was also convicted in the Munir case. The Central Jakarta District Court found him guilty in February last year of abetting the remeditated murder and sentenced him to one year in jail.

The judges said Indra failed to cross-check a BIN assignment letter signed by deputy chief M. Asaad for Pollycarpus's duty as a corporate security officer at Garuda.

Rohainil's conviction Tuesday adds to the growing list of suspects being found guilty for their roles in the high-profile murder case, though four years on the real mastermind behind the assassination remains unidentified.

The charges come less than three weeks after the South Jakarta District Court exonerated former State Intelligence Agency (BIN) deputy chief Muchdi Purwopranjono of any involvement in the murder.

The Attorney General's Office has challenged the ruling, citing a connection between Muchdi and Pollycarpus, who was sentenced to 20 years for the murder.

The court revealed 41 phone conversations occurred between Pollycarpus and Muchdi, but the latter claimed his aide looked after his phone. President Susilo Bambang Yudhoyono has expressed his support for an appeal against the Muchdi verdict.

Government to tackle overcrowding in prisons

Jakarta Globe - January 20, 2009

Nivell Rayda – The Ministry of Justice and Human Rights is planning to double Indonesia's prison capacity to battle overcrowding in its facilities, the minister said in an annual address on Tuesday.

Justice and Human Rights Minister Andi Mattalatta said that currently, Indonesia's prisons are designed to hold 88,599 prisoners but the total number of the country's inmates stands at 136,017.

"This creates a lot of problems with security, stress, suicides and sanitation. We sometimes have to pardon some of our prisoners just to reduce the pressure," Mattalatta said.

"We are trying to expedite the building of more facilities and increase the existing facilities by 200 percent. We have submitted our proposal to the Ministry of Finance," he said, refusing to disclose the budget proposed for the project.

Last year, the Justice and Human Rights Ministry managed to increase prison capacity by 2.37 percent. However, this increase was not able to cope with the influx of prisoners, which saw a rise of 6.27 percent.

Prisons are also understaffed, with only 2,655 guards for the 136,017 inmates. "This would mean that each guard is watching 52 inmates. Far from the ideal 25 per guard," Mattalatta said.

Prisons in Indonesia have received much criticism as inmates often escape, enjoy lavish facilities and are asked for illegal fees by the officials.

Dewi Angriani, a social expert, wrote an article about Indonesia's prison system, alleging that prisoners often bribe officials for anything from cell phones to televisions. Some even bribed their way out, Angriani wrote, returning only when there is an inspection by ministry officials.

"We will eradicate those practices," Mattalatta said. "We shall create a blueprint on prison reforms to determine the strategic steps that need to be taken from 2010 to 2015."

Mohamad Fajri, an independent consultant overseeing the blueprint, said that prisons needed to return to their original function of correcting criminals and creating a sense of remorse.

Former BIN deputy chief seeks to 'shut down' Munir defenders

Jakarta Post - January 17, 2009

Desy Nurhayati, Jakarta – Former top spy Muchdi Purwopranjono has confronted supporters of the assassinated Munir Said Thalib, saying he felt humiliated for being called "a killer" even though he was acquitted for the 2004 murder of the noted human rights activist.

Muchdi appeared at the Jakarta Police headquarters Friday for questioning following his legal suit against Usman Hamid, a rights activist and Munir's close friend, whom the retired two- star Army general accused of tarnishing his reputation by calling him a"killer" while on trial for the murder case. Muchdi's team of lawyers filed the lawsuit to the city police on Jan. 8.

"Nobody should have to tolerate being accused of murder. I filed the report as an ordinary citizen and I ask the police to follow up on this case." Muchdi told reporters before his questioning session.

Accompanied by his lawyers Rusdianto and Ismail Tuasikal, the former State Intelligence Agency (BIN) deputy chief said he would not give up the fight against those who ruined his reputation.

Rusdianto said after the questioning session that Munir's supporters had "humiliated" not only his client, but also Muchdi's family.provoked the people attending the trial by yelling at my client. They should not have acted the way they did during the trial," Rusdianto said.

He said no evidence would be required to prove Muchdi's case, adding that all his team required were the testimonies of a few people who attended the trial.

In response, Usman Hamid said he was not deterred by Muchdi's action against him and would never stop seeking justice for Munir.

It is an attempt to shut down my comments and shift the attention away from the main problem, which is solving who was behind the Munir murder," Usman, coordinator of the Commission for Missing Persons and Victims of Violence (Kontras), told The Jakarta Post on Friday. "I am wholly convinced that Muchdi was involved in Munir's death," he added.

Usman said he had also been sued by former BIN chief A.M Hendropriyono for the same reason. "They say I am a suspect, but the police never summoned he said. "The police should understand that in order to obtain justice, the perpetrators of Munir's murder should be caught. Making me the target is a mistake."

Supreme Court elects chief despite criticism about age

Jakarta Post - January 16, 2009

Erwida Maulia, Jakarta – Harifin A. Tumpa, who turns 67 next month, will be the next chief of the Supreme Court, a role many had hoped would be filled by a younger leader who could instill reform.

Harifin secured the coveted chief justice post by a landslide on Thursday, winning 36 of a possible 43 votes. He replaces Bagir Manan who retired in November last year after leading the top judical institution for seven years.

With the controversial Supreme Court law requiring a chief justice to step down at 70, Harifin, the most senior justice, can hold the position only for three years.

As acting chief justice, Harifin came under public scrutiny when he collapsed while inaugurating six new justices last month. The incident appeared to justify criticism leveled against a recent amendment to the Supreme Court law that extended the required retirement age of a justice to 70 from 67. The Indonesian average life expectancy is between 65 and 67 years old.

Unperturbed by the criticism, Harifin dismissed fears that age would affect the Supreme Court's productivity and commitment to reform.

He said that the court, despite its aging justices, settled an average 1,000 cases per month. Harifin also slammed accusations that the so-called court mafia had prevailed in the Supreme Court and tended to acquit corruption suspects.

He said only 65 of 580 graft suspects were exonerated last year. "Of the number, 64 were acquitted by district courts. Therefore in fact we only acquitted one corruption suspect," Harifin said.

The Supreme Court also elected justice Ahmad Kamil, 62, as the deputy chief justice for nonjudiciary affairs; and assistant chief justice for trade civil affairs Abdul Kadir Mappong, 66, as deputy chief justice for judiciary affairs. The election results will be submitted to President Susilo Bambang Yudhoyono for approval.

The Indonesia Corruption Watch (ICW), a constant critic of the court, called Harifin's election "undemocratic". "The election process didn't involve the public. It failed to give us a chance to comment on the track records of the candidates," ICW's Febri Diansyah said.

The ICW has doubted the three elected leaders' commitment to combating corruption, saying they were among justices who filed a judicial review against the 2004 Law on the Judicial Commission. The Constitutional Court eventually scrapped the commission's authority to supervise the performance of judges and justices.

Harifin acquitted several suspects in three graft cases while serving as justice, Febri said.

Ahmad was elected deputy chief justice without challenge, winning 25 votes, or a 58 percent majority.

However, Abdul faced a more daunting challenge. After the first round of the elections he stood in second with 14 votes behind Paulus with 20 votes. Djoko was third with six votes. However, Paulus and Djoko forfeited the race.

Labour/migrant workers

As many as half a million could loose their jobs by mid year

Detik.com - January 20, 2009

Nurseffi Dwi Wahyuni, Jakarta – As many as 500,000 casual, contract and permanent workers will loose their jobs if no orders come in to ensure industrial activity continues.

This was conveyed by Indonesian Employers Association (Apindo) Chairperson Sofyan Wanandi during a break in the 4th International Conference & Exhibition (INDOGAS 2009) at the Jakarta Convention Center on Tuesday January 20. "If there are no orders, half a million casual, contract and permanent workers will be dismissed [by] mid year. This is the last course that we will choose", explained Wanandi.

According to Wanandi, sackings will not take place in the first six months of the year because of activities related to the general elections, which will result in increased consumption. "The elections will use up between 5 and 10 trillion rupiah for the consumption of food, beverages, clothing and flags, and that will assist our industries", he said.

In order to anticipate these dismissals, Wanandi is hoping that the government will allocate a 27.5 trillion rupiah stimulus package to invigorate labour intensive industries. "In addition to this [assistance is needed] for small- and medium scale enterprises and local content so that [we] don't have to import. Such as the continued construction of people's housing", he explained.

Wanandi also conceded that there are already small- and medium scale enterprises that are collapsing. They are unable to survive because they have depleted their capital. "Some are unable to survive because they have no money. But not a large number, there are still many that are surviving because in the first nine months of 2008 we were fortunate", he said.

Wanandi said that 2009 would be a difficult year for business and employers. This can be seen from the drop in the number of orders in sectors such as the automotive industry where there has been a decline of as much as 20-30 percent. (epi/lih)

[Translated by James Balowski.]

Government to take over workers tax liabilities to help firms

Jakarta Post - January 16, 2009

Aditya Suharmoko, Jakarta – As the global economic crisis deepens, the government plans to take over tax liabilities normally paid by companies, to help maintain jobs.

Acting Coordinating Minister for the Economy Sri Mulyani Indrawati said Thursday there was a plan to waive workers' income tax liabilities which were regularly provided by the corporate sector via benefit packages.

By scrapping this cost, Mulyani expects the corporate sector would be encouraged to keep workers on despite hard times.

"We want to prevent unemployment, and it will be better if you (businesses) can create jobs. All of our policies will be directed at that (preventing unemployment)," said Mulyani in a gathering with the Indonesian Chamber of Commerce and Industry (Kadin).

"We will adjust article 21 on income tax so that the incentive to avoid layoffs will be bigger than doing it. We will see which sectors (can receive the incentive)."

Under the Income Tax law, article 21 arranges tax allowance by companies related with salaries, wages, honorariums, allowances and other methods of payment to domestic individual taxpayers which are taxed in respect of jobs, positions, services and activities.

Unlike in other countries, most companies in Indonesia subsidize the income tax liabilities of their workers, creating additional costs which would normally be costs to the workers. "If we eliminate the tax (under article 21), businesses will rethink laying off their workers," Mulyani said.

The Finance Ministry has pledged to provide tax incentives for businesses hit by the global crisis. The government has planned to give out Rp 27.5 trillion (US$2.46 billion) in a stimulus package to promote economic growth.

The details of the pledged stimulus package remains uncertain because the government had yet to decide on priority sectors and allocation of funds to them, while the impact of the global recession is increasing.

Analysts believed the stimulus package was just an election gimic ahead of the April polls for selecting lawmakers and those in July for president. This is because very few concrete actions were formulated until now, so the proposals seemed very vague.

Mulyani said the government expected to reduce the jobless rate to 7.4 percent, but if the stimulus failed to work as anticipated then the figure might be above 9 percent.

The government also aims to lower the poverty rate from 15.4 percent to 12 percent by the year's end, she said. Therefore, she added, the government would focus on strengthening the financial sector and protecting food and energy businesses.

Bambang Prijambodo, the macroeconomic planning director at the National Development Planning Agency, said in order to reduce unemployment and generate economic growth, the stimulus should be implemented focusing on economic activities with multiplier effects.

Trade Minister Mari Elka Pa ngestu said the government would stabilize the price of staple foods to stimulate the economy and curb inflation.

Indonesia's economy is domestically driven, with almost 70 percent contributed by consumption, with the rest comprising exports and investment.

Environment/natural disasters

Greenpeace urges Indonesia to check party funding

Agence France Presse - January 22, 2009

Jakarta – Environmental group Greenpeace urged Indonesia's election watchdog Thursday to investigate funding for political parties linked to deforestation ahead of parliamentary polls in April.

About 40 Greenpeace activists carried a banner saying, "No Forests for Elections – Stop Deforestation" in front of the election committee (KPU) office in Jakarta.

"We call on the KPU to check which parties use funding from deforestation," Greenpeace Southeast Asia forest campaigner Bustar Maitar told AFP.

Maitar said there was a "strong link" between political funding and deforestation, although he provided no evidence.

"We fear that the funding comes at the cost of big companies getting the rights to destroy the forests. Many leaders of the political parties are government officials," he said.

Greenpeace said Indonesia, the world's biggest producer of palm oil, was destroying its rain forests faster than any other major forested country.

Tropical forest destruction is responsible for nearly a fifth of global greenhouse gases blamed for climate change, making Indonesia the world's third biggest greenhouse gas emitter behind the United States and China.

The forestry ministry was unavailable to comment on the allegations.

Palm oil frenzy threatens to wipe out Indonesia's orangutans

Associated Press - January 19, 2009

Robin McDowell, Tanjung Puting National Park, Indonesia – Hoping to unravel the mysteries of human origin, anthropologist Louis Leakey sent three young women to Africa and Asia to study our closest relatives: It was chimpanzees for Jane Goodall, mountain gorillas for Dian Fossey and the elusive, solitary orangutans for Birute Mary Galdikas.

Nearly four decades later, 62-year-old Galdikas, the least famous of his "angels," is the only one still at it. And the red apes she studies in Indonesia are on the verge of extinction because forests are being clear-cut and burned to make way for lucrative palm oil plantations.

Galdikas worries many questions may never be answered. How long do orangutans live in the wild? How far do the males roam? And how many mates do they have in their lifetime?

"I try not to get depressed, I try not to get burned out," says the Canadian scientist, pulling a wide-rimmed jungle hat over her shoulder-length gray hair in Tanjung Puting National Park. She gently leans over to pick up a tiny orangutan, orphaned when his mother was caught raiding crops.

"But when you get up in the air you start gasping in horror; there's nothing but palm oil in an area that used to be plush rain forest. Elsewhere, there's burned-out land, which now extends even within the borders of the park."

The demand for palm oil is rising in the United States and Europe because it is touted as a "clean" alternative to fuel. Indonesia is the world's top producer of palm oil, and prices have jumped by almost 70% in the last year.

But palm oil plantations devastate the forest and create a monoculture on the land, in which orangutans cannot survive. Over the years, Galdikas has fought off loggers, poachers and miners, but nothing has posed as great a threat to her "babies" as palm oil.

There are only an estimated 50,000 to 60,000 orangutans left in the wild, 90 percent of them in Indonesia, said Serge Wich, a scientist at the Great Ape Trust of Iowa. Most live in small, scattered populations that cannot take the onslaught on the forests much longer.

Trees are being cut at a rate of 300 football fields every hour. And massive land-clearing fires have turned the country into one of the top emitters of carbon.

Tanjung Puting, which has 1,600 square miles, clings precariously to the southern tip of Borneo island. Its 6,000 orangutans – one of the two largest populations on the planet, together with the nearby Sebangau National Park – are less vulnerable to diseases and fires.

That has allowed them, to a degree, to live and evolve as they have for millions of years.

"I am not an alarmist," says Galdikas, speaking calmly but deliberately, her brow slightly furrowed. "But I would say, if nothing is done, orangutan populations outside of national parks have less than 10 years left."

Even Tanjung Puting is not safe, in part because of a border dispute between the central government, which argues in favor of a 1996 map, and provincial officials, who are pushing for a much smaller 1977 map. If local officials win, the park could be slashed by up to 25%.

Galdikas, of Lithuanian descent, was an anthropology student at the University of California in Los Angeles when she approached Leakey, a visiting lecturer, in 1969. She follows on the heels of Goodall, who today devotes virtually all of her time to advocacy for chimps, and Fossey, who was brutally murdered in her Rwandan hut in 1985.

Two and a half years later, she and her then husband, Rod Brindamour, arrived in Tanjung Puting and settled into a primitive thatch hut in the heart of one of the most biodiverse regions on the planet, with millions of plant and animal species.

Twice featured on the cover of National Geographic Magazine, she wrote an autobiography, "Reflections of Eden," describing how she fell in love with the sound of cicadas, and marveled at the sudden shifts of light that in an instant transformed drab greens and browns into translucent shades of emerald.

Her first challenge was simply finding the well-camouflaged orangutans in 100-foot-high trees. But eventually she was able to track them, sometimes for several weeks at a time.

She discovered that female orangutans give birth when they are around 15 and then only once every eight or nine years, making them especially vulnerable to extinction. They also have one of the most intense maternal-offspring relationships of all mammals, remaining inseparable for the first seven or eight years.

While orangutans are at first very gregarious, as adults they live largely solitary lives, foraging for fruit or sleeping. Orangutan" means "man of the forest."

One of her main projects today is her rehabilitation center in a village outside Tanjung Puting, overflowing with more than 300 animals orphaned when their mothers were killed by palm oil plantation workers.

With forests disappearing, the red apes raid crops, grabbing freshly planted shoots from the fields.

"Many come in very badly wounded, suffering from malnutrition, psychological and emotional and even physical trauma," says Galdikas, as she watches members of her staff prepare six young orangutans for release one overcast Saturday afternoon.

It is a three-hour journey along bumpy roads to the release site. By the time they arrive, it is raining and the last gray light is feebly pushing its way through the deep canopy of trees.

After years of being cared for, fed and taught the ways of the woods, the young orangutans scramble nimbly to the tops of trees. Branches snap as they make their nests for the night.

"It is getting harder and harder to find good, safe forest in which to free them," says Galdikas, who today spends half her time in Indonesia and most of the rest teaching at Simon Fraser University in British Columbia.

Forestry Minister Malem Kaban says the government is committed to protecting Indonesia's dense, primary forests and that no permit should be granted within a half-mile of a national park. Even so, one palm oil company has started clearing trees within Tanjung Puting's northern perimeter, leaving a wasteland of churned-up peat and charred trunks. Four others are seeking concessions along its eastern edge.

Derom Bangun, executive chairman of the Indonesian Palm Oil Association, says while his 300 members have vowed to stay clear of national parks, others have been known to operate within areas that should be off-limits. Sometimes it is not their fault, he notes, pointing to the need for better coordination between central and local government on border issues.

Galdikas, a passionate field researcher, says one of her great regrets is that she does not share Goodall's skills in raising awareness and funds for the great apes. But she is happy Tanjung Puting has over the years grown into a popular tourist destination. She says there's no better advertisement for conservation than being in a rain forest.

Some visitors are even lucky enough to come face to face with an orangutan on a slippery jungle trail.

"As he passes you, you nod and he nods back to you and continues on his way," she says, adding that looking in the eyes of a great ape, it instantly becomes clear that there is no separation between humans and nature.

"If they go extinct, we will have one less kin to call our own in this world," says Galdikas, who is also president of the Los Angeles-based Orangutan Foundation International. "And do we really want to be alone on this planet?"

Indonesia delays forest-carbon rules

Reuters - January 19, 2009

David Fogarty – Indonesia has delayed releasing complete regulations on using carbon credits to protect rainforests, preferring to fine-tune rules that could earn the country billions of dollars and curb the pace of climate change.

A report sponsored by the World Bank and Britain's Department for International Development says up to 84 percent of Indonesia's carbon emissions come from deforestation, forest fires and peatland degradation.

The rules, believed to be the first of their type, have been through numerous drafts over the past year to govern a surge of investment in projects that aim to save millions of hectares of forest in return for tradable carbon credits.

The World Bank says there are now nearly two dozen Indonesian forest-carbon projects under various stages of development under the UN-backed scheme called REDD, or reduced emissions from deforestation and degradation.

But the Ministry of Forestry has not finalized all the rules on how to share revenue from forest-carbon projects or how to link the various layers of government and has ordered a review.

Investors had hoped the minister would sign all the rules in December. Instead, the ministry issued a set of preliminary regulations covering demonstration activities, and also created a working group on climate change.

"We are still discussing how to differentiate between private investment and public investment," said Wandojo Siswanto, a senior adviser to the forestry minister. "For example, if a private company wants to sell its REDD credits, where does the money go? To the local government, to the provincial government, the federal government?" he told Reuters. The brief, preliminary rules were signed on December 11.

"Demonstration projects are an investment designed to show how you can reduce carbon emissions by managing forest land, such as reducing deforestation, preventing forest fires, restoring degraded forests," said Josef Leitmann, Environment and Disaster Management Coordinator at the World Bank in Jakarta.

The government, holders of a license to use timber-forest products, private forest owners and traditional forest managers can conduct these projects, which have to be approved by the ministry, said Luke Devine of Baker & McKenzie's member firm Hadiputranto, Hadinoto & Partners, in Jakarta.

The ministry has yet to formally sign the remainder of the regulations, which in earlier drafts enshrined the creation of a REDD commission that will review and approve projects. Sorting out how to share revenues from projects has been passed to the finance ministry, which will issue a separate decree.

The Indonesia Forest Climate Alliance estimates that REDD revenues could range between $500 million and $2 billion annually.

The ministry is also finessing which type of forests are suitable for REDD projects, methods to monitor the forests to ensure they remain standing and how to verify CO2 reductions.

"There are 20 different REDD demonstration projects at various stages of development around the country. The market is clearly responding," said Leitmann.

"There is also a legitimate concern by the government, which doesn't want a lot projects going ahead by unscrupulous developers that, should they backfire, will pollute the market and reduce the image of Indonesia in the market."

A present, most REDD projects are conducted by the voluntary carbon market and the credits are bought, for example, by corporates seeking to offset their emissions. Offsets are usually priced between $4 and $10 a tonne of CO2 saved.

But the United Nations wants to include REDD in the next phase of the Kyoto climate pact from 2013, meaning REDD credits could greatly expand the UN's existing carbon credit scheme and drive large-scale forest protection in developing nations.

A key part of REDD is to ensure local communities get a substantial share of the revenue as an incentive to keep the forests standing and to provide alternative livelihoods.

"The regulations need to be clear as to the roles of the various levels of government," said Devine.

"There has been a theme of central government control running through the various drafts to date, requiring all projects to be approved by central government bodies before being licensed as REDD projects," he told Reuters.

He said there also needed to be clarity on the sharing of REDD benefits between developers and government and also how the government's share is further distributed.

Global environmental group WWF backed the need for the rules but said they should also tackle the drivers of deforestation.

"Drivers of deforestation can come the forestry sector, it can come from agriculture, plantations, mining and infrastructure," said Fitrian Ardiansyah, WWF's program director for climate and energy in Indonesia. (Editing by Michael Urquhart)

Women & gender

Transvestites stay unprotected

Jakarta Post - January 23, 2009

Dicky Christanto, Jakarta – Discrimination remains a major stumbling block for transvestites and gay communities across the country, especially for those with HIV/AIDS or other sexually transmitted infections, despite a heightened campaign for equality and rights, a discussion heard Thursday.

"We are here with high hopes that legislators will articulate the grievances of our fellow transvestites and gay people whose social, economic and health rights are neglected," Yulianus Rettoblaut, head of the Indonesian Transvestites Communication Forum (FWKI), told a hearing with members of the House of Representatives' Commission IX, which oversees citizenship, health, labor and transmigration affairs.

The group said prevalent discrimination and stigmatization against transvestites had deprived them of healthcare services and often fair chances for employment.

Based on a 2007 Compact Surveillance on Biology and Behavior report issued by the Health Ministry, the group found at least one out of every three transvestites in Jakarta was infected with HIV, due to the lack of adequate healthcare for the group.

The situation was worse in the West Java capital of Bandung, where half of the transvestite population was infected with gonorrhea or some other STI.

"Many of us are simply rejected because of our given condition and sexual orientation that differs from that of the mainstream," Fifi, a transvestite from Denpasar, told The Jakarta Post.

"Such discrimination often happens at workplaces and offices where we seek healthcare services or citizenship administration. More than that, we are also prone to sexual abuse and harassment. What an unfair world."

In response to the complaints, Commission IX member Rudianto Chen said there was nothing new in the list of problems unveiled by the group.

"We discussed these matters last year," he said. "We then asked the manpower minister to pay serious attention to complaints about unfair chances for jobs. We reached a win-win agreement at the time."

However, he admitted the commission had failed to monitor implementation of the agreement. "This is partly our fault for not monitoring the implementation of the agreement. That's why we plan to facilitate another meeting between ministry officials and transvestite groups," he said.

Rudianto added the commission would seek a new system that would allow the ministry to conduct oversight of the agreement on a daily basis.

"So, for instance, if they still fall victim to discrimination or are stigmatized at hospitals or government offices, we suggest they file a report with us as soon as possible so we can do something about it," he said.

PAN calls for 14% of jobs to be allocated to transgenders

Jakarta Globe - January 22, 2009

Dessy Sagita – A senior legislator from the moderate Islamic National Mandate Party, or PAN, said he wanted to ensure that as many as 14 jobs out of every 100 are allocated to members of Indonesia's large transgender community.

"If [the government] can allocate one out every 100 jobs for people with disabilities, then it should also apply the same rule for transgender men and women," Rustam Effendy told a delegation of transgenders at the House of Representatives on Thursday.

Rustam is proposing a 14 percent job allocation ratio for the transgender community.

Manpower and Transmigration Minister Erman Suparno had promised to issue a regulation that would allow transgenders to work in both the formal and informal sectors, Rustam said.

"We will keep on nagging the government until it sticks to its promise," he said.

The legislator said he believed transgender workers would be able to make a significant impact in the textile and garment industry. I have just returned from India where there are many transgender factory workers," he said. "Why can't we do that here?"

Rustam, a member of House of Representatives' Commission IX, which oversees health and social issues, said the commission could urge the government to push for legislation that would specify a quota for transgender employees in every company.

The comments were made after the commission received members of Indonesia's transgender community on Thursday. They arrived at the House to protest the discrimination and violence they said they endured on a daily basis in the country.

Transgenders from 23 provinces are gathering in Bogor, West Java Province, from Sunday to Friday to come up with an approach toward improving their social and legal standing and to seek an end to discrimination.

Government neglects transsexuals' rights: lawmaker

Jakarta Post - January 22, 2009

Jakarta – Dozens of transsexuals attended a meeting Thursday at the House of Representatives' Health and Manpower Commission to discuss their discriminatory treatment by the government.

"The Constitution guarantees our rights," head of the Indonesian Transsexuals Communications Forum (FKWI) Yulianus Rettoblaut said, as quoted by tempointeraktif.com.

The government, she added, has neglected the rights of transsexuals. She cited discriminatory treatment in the application process for government identity cards and the limited availability of access to health care and employment opportunities.

Health and Manpower Commission member Sonny Sumarsono concurred, arguing that such neglect was driven by the ambiguous nature of transsexuals' in society.

"They are not listed in the Manpower Law. Their status, therefore, needs clarification," he said. According to Rettoblaut, there are at least seven million transsexuals currently living in Indonesia.

KPU insists on 'free seats' for women at legislative bodies

Jakarta Post - January 21, 2009

Adianto P. Simamora, Jakarta – The General Elections Commission (KPU) vowed to issue a regulation to award more legislative seats to women should the government fail to enact a government regulation in-lieu-of law (Perppu) on the matter.

KPU member Andi Nurpati said Tuesday the poll body was upholding the mandate to endorse legislative seats for deserving candidates, which according to the Constitutional Court are those who win the most votes. "We have already drafted a KPU regulation if the government fails to issue the Perppu," she said.

The legislative elections will take place on April 9, with about 12,000 candidates from 38 political parties contesting 560 House of Representatives seats. Female candidates account for about 30 percent of the aspirants.

The KPU has proposed the Perppu, measures enacted in the event of emergency, after the Constitutional Court annulled an article in the 2008 legislative election law which allowed political parties to assign legislative seats to their loyal members.

While many hail the court ruling as a victory for democracy, women's groups have lashed out at the verdict, calling it a contradiction of earlier action taken to improve female representation at legislative bodies.

Andi expressed hope the government could immediately respond to the KPU's request, saying the national poll body would need time to explain the Perppu, if there were to be one, to the regional election bodies (KPUDs).

To help settle the controversy, State Minister for Women's Empowerment Meutia Hatta held a series of meetings Tuesday with the KPU and Justice and Human Rights Minister Andi Mattalatta.

Meutia, quoting Mattalatta, said the government might turn down the KPU request because the Perppu would be deliberated immediately in the House anyway.

"According to Pak Andi, there are a number of regulations that justify greater female representation in the legislative bodies, and they may all work smoothly," Meutia said.

She warned that issuing the KPU regulation would create new problems, mainly because it contradicts the Constitutional Court ruling. "The best thing that could be done would be to persuade the elite in political parties to issue internal measures on female representation," she said.

Campaigners have long sought for a ruling to ensure a minimum 30 percent of legislative representatives are women, to put an end to the male-dominated decision making process in the country.

Articles concerning female candidates

Article 53

List of provisional legislative candidates submitted by a political party must ensure that 30 percent of the nominees are women.

Article 55

The list must ensure that of every three legislative candidates, at least one of them is female candidate.

Article 214

The allocation of legislative seats for a political party is based on the number of votes won in electoral districts, with the priority given to candidates who win 30 percent of the minimum votes required to secure a legislative seat. [The Constitutional Court annulled this article and ruled that seats go to candidates with the most votes.]

Source: Law No. 10/2008

Woman-specific seats undemocratic: MK

Jakarta Post - January 19, 2009

Adianto P. Simamora, Jakarta – The Constitutional Court (MK) claims a proposal by the General Elections Commission (KPU) to award seats to female candidates regardless of votes is a constitutional violation.

The KPU is seeking a government regulation in-lieu-of law (Perpu) to require parties that win three seats in an election district to award one seat automatically to a female candidate.

The request was made amid public outcry against a court ruling which states political parties are to assign legislative seats to the candidates who win the most votes. Critics argue the ruling contradicts an election law on gender equality at the legislative level.

The MK has called for the KPU to drop the plan, arguing that it cannot deny the candidate who wins the most votes their seat simply because they wish to increase the representation of women in legislative bodies.

The court's deputy chief, Abdul Mukthie Fadjar, warned that if the KPU went ahead with its proposed action it would be violating the constitution.

"The court's ruling allows voters to elect their favorite candidates, irrespective of their gender," Abdul told The Jakarta Post at a three-day discussion organized by the MK.

"The ruling will leave the KPU responsible for determining which candidates are elected, so why do they want to make it difficult for themselves?"

A number of political parties, including President Susilo Bambang Yudhoyono's Democratic Party, have opposed the KPU plan.

The Indonesian Women's Coalition (KPI) threw its weight behind the KPU initiative.

"We know it is hard because a party may be unable to win three seats in one election district, but we will persuade party leaders to take it one step further by awarding one of every two seats in an electoral district to a female candidate," KPI secretary-general Masruchah said.

She said the coalition would also push the KPU to issue a regulation on extra legislative seats for women. "We will work hard to persuade both party leaders and the KPU," she said.

The 2008 law on legislative elections requires parties contesting the election to ensure women account for 30 percent of their eligible candidates. Only four of the 38 parties contesting the polls fail to comply with the ruling.

The KPU has registered nearly 12,000 candidates competing for 560 seats at the House of Representatives on April 9.

Action was taken to increase women's representation in legislative bodies ahead of the 2004 elections, but the polls only resulted in 62 House seats being awarded to women, or 11 percent of the 550 total seats up for grabs.

Abdul said to increase female representation, it would be better for political parties to encourage voters, particularly women, to choose female candidates. "The measure is simply a temporary solution. It ultimately depends on the voters," he said.

Another MK justice Akil Mochtar said the KPU had digressed too far from its predominant task of organizing the elections by proposing this plan.

"The court's ruling is executable and binding. There is no need for the KPU to seek a Perpu to determine which candidates deserve the House seats," he said, adding the KPU should instead focus on providing the logistical support for the election to prevent delays.

Although the number of female legislators has increased since the 1999 polls, many critics still protest the low representation of women in the House. Those supporting the plan claim an increase in female legislators would not only improve the House's performance, but also reduce corruption.

Political parties' commitment to women put to the test

Jakarta Post - January 19, 2009

Departing from a contentious Constitutional Court ruling on the allocation of legislative seats, the General Elections Commission (KPU) has suggested political parties award one of three seats won in an electoral district to a female candidate. The KPU has even suggested asking the President for support through a governmental decree to ensure the measure is enacted. The Jakarta Post's Adianto P. Simamora spoke with the Executive Director of the Center for Electoral Reform (Cetro) Hadar N. Gumay Yabout this issue. Below is an excerpt.

Q: What does the Constitutional Court ruling mean for democracy?

A: Under this ruling, legislative seats are now awarded to the candidates who win the most votes. Now, our electoral system resembles that in traditionally democratic countries. Under this revised system, the authority of political parties is limited to selecting and nominating candidates to compete in the legislative elections. They have no right to handpick its representatives at the legislative bodies.

The voters now hold the power and sway to determine their representatives, and political parties must listen to their people and choose the appropriate candidates.

What consequences will this ruling have on political parties?

It will overturn the predictions and expectations made by the parties before the court ruling was handed down. Many parties have maintained a list system to allow them to appoint loyalists as their representatives in parliament, a practice very susceptible to vote buying and nepotistic practices.

We have also seen that many parties are not serious about increasing the political representation of women at the House. While many parties claim they have complied with the elections law and granted 30 percent of candidacy slots to women, this is in fact very misleading.

A study by Cetro found only two parties, the Indonesian Democratic Party of Struggle (PDI-P) and the Democratic Party, actually implemented the ruling at the electoral district level.

Now that the court has confirmed the open list system, it is time for the parties to prove their commitment to democratic elections and take action to promote greater women's representation at the House.

Do you think the KPU plan to help female candidates win more seats is in line with earlier moves to promote women in politics?

I respect the KPU proposal for female candidates to have a greater number of seats, because it is important to have more women in the House and political arena in general.

But in reality, the idea is problematic and has little chance of getting off the ground because it is unlikely any political party will win three seats in any one electoral district.

In the 2004 elections, for example, only 31 out of 69 electoral districts saw a political party win three seats. Back then, the majority of parties only managed to secure one or two seats in an electoral district.

We need to remind the KPU about why the Constitutional Court ruling is an effective regulation. The polls body should prevent making a measure which is vulnerable to conflict and lawsuits.

It should also avoid issuing a regulation which is beyond its authority and in violation of a higher law.

There is no merit in introducing a plan simply to impress the public when it will surely turn out to be ineffective in the fight for promoting women's rights in politics.

The Constitutional Court ruling already provides equal room for male and female candidates to win in the elections. If the KPU wants to take specific action and push this measure through in the fight for female representation, it must propose an amendment to the law.

I would prefer if the KPU sought a government regulation in-lieu-of-law (Perpu). However, it must be careful because a judicial review filed against the Perpu is also widely open to exploitation.

So, what is the best way out to promote women's representation in politics?

That depends on the political party in question. The parties could produce an internal regulation to allocate a certain percent of legislative seats to women.

If a party wins 100 legislative seats, for example, and promises to set aside 20 percent for female candidates but can't garner the votes for their female candidate, the party could apply an article in the election law that allows elected candidates to withdraw from the legislative body and give the seats female candidates.

It is a legal move and would improve the public image of parties overall.

Women candidates stand a great chance

Jakarta Post - January 17, 2009

Wahyoe Boediwardhana, Malang, East Java – The Constitutional Court ruling that requires political parties to assign legislative seats to aspirants who win the most votes gives enough room for female candidates to secure political jobs, a major party leader says.

National Mandate Party (PAN) chairman Soetrisno Bachir said Friday he had found that women candidates had more time to meet constituents at the grassroots level, worked harder and performed better than their male counterparts.

issue now is how female candidates seize the opportunity to secure as many votes as possible. Demography-wise, female candidates stand a better chance because most voters are women," Soetrisno said on the sidelines of his tour of East Java.

The PAN was dismissing criticism from women's activists over the Constitutional Court's decision, which overturned the legislative election law article on the party list election system.

Women's groups and legislative candidates have lashed out at the Court's ruling, which they say contravenes the affirmative action to allocate 30 percent of legislative seats to women.

Women have been underrepresented in politics in the country generally, despite the fact that Indonesia is among one of the few democracies that has ever elected a female president.

As if to appease the public's concern, General Elections Commission (KPU) member Andi Nurpati suggested that parties that won three legislative seats could award one of the seats to a female candidate.

Soetrisno deemed the compromise was neither fair nor workable because no candidates would be willing to sacrifice the seats they had won after spending so much money and energy winning them.

Democratic Party deputy chairman Anas Urbaningrum concurred with Soetrisno, saying the Constitutional Court verdict was "very clear" and did not need any interpretation.

"Because votes have no gender, whoever wins the most votes is entitled to the legislative seat," Anas said, adding that Andi's advice was not binding.

He suggested, however, the lawmakers consider that affirmative action be made mandatory for the 2014 elections.

President Susilo Bambang Yudhoyono's Democratic Party and the PAN were among the parties that proposed an open party list system of election during the deliberation of the legislative election law last year, but major parties like Golkar and the Indonesian Democratic Party of Struggle (PDI-P) resisted the proposal.

A number of party leaders have expressed fear that the court ruling could spark an internal rift as the new system requires candidates to fight not only aspirants from rival parties but also fellow party members.

Health & education

Education suffering under politics

Jakarta Post - January 21, 2009

Erwida Maulia, Jakarta – Around half the education agency heads across the country's 33 provinces are "incompetent" and only secured their positions because of campaigning they conducted for incumbent administration chiefs, a survey says.

The Indonesian Teachers Association (PGRI), which conducted the survey, said in Jakarta on Tuesday most education office heads in regions are former members of political teams linked to incumbent governors, mayors and regents.

"50 percent of them do not have the sufficient technical competency to head these education agencies," PGRI chairman Sulistiyo said after meeting with President Susilo Bambang Yudhoyono at the presidential palace in Jakarta.

"Some of them are former heads of local civilian police units, others are former heads of parks, special planning and public cemetery agencies or even former district heads. In short, many have never handled education issues before," he said.

Sulistiyo was accompanied by National Education Minister Bambang Sudibyo, himself a senior politician from the National Mandate Party (PAN) and a graduate from the Economics Faculty at the Gadja Mada University.

Sulistiyo said this phenomenon in appointing education heads came about after the enforcement of regional autonomy in the early 2000s.

He blamed 'bureaucratic behavior' on the part of local elite leaders as one of the major factors contributing to the poor quality of education in the country.

"We believe that any matter handled by people lacking expertise is doomed for downfall. We want the public to know about this, even though I think many have suspected it for a while, so we can improve the quality of the education environment," Sulistiyo said.

He said the PGRI reported the findings to the President during the Tuesday meeting, while recommending several criteria for candidates wishing to head local education agencies.

The criteria included a solid understanding of education issues, commitment to improving the quality of education and preferrably having had experience in the education sector at some point throughout their careers.

Sulistiyo also discussed the reluctancy of many regions to allocate enough funding for education, as required by the education law, with the President.

He said since the Constitutional Court ruled in early 2008 that teachers' salaries be incorporated in the education budget, many regional administrations allowed salaries to consume most of their annual education expenditures.

"PGRI has found that in many regions, only 10 percent of the education budgets are allocated for other posts, with the majority going to teachers," Sulistiyo said.

"[The constitutional mandate to allocate] 20 percent of the regional budget to education is simply not enough. We should also examine whether funding levels are sufficient enough to build quality education."

National Education Minister Bambang Sudibyo, speaking at the same the press conference, said local administrations should not incorporate teachers' salaries into their education budgets because the payments were distributed from central government funds.

The amended 1945 Constitution stipulates local administrations and the central government should allocate 20 percent of their budgets to education, which means regions should use their own funding to calculate how much mandatory funding they require, he said.

Bambang said he had asked the Finance Ministry to issue a regulation regarding the calculation of education spending in regions.

The minister said the central government had allotted around Rp 207.4 trillion to the education budget this year, with more than 80 percent going to regions in the form of general allocations while special funds would be set aside for the building and renovation of schools.

Regions should not include these central government funds into the calculation of their education budgets, he added.

Corruption & graft

Don't blame others for your own sins

Jakarta Post - January 23, 2009

Jakarta – Anti-corruption activist Teten Masduki said the Indonesian Ulema Council's threat to sue Transparency International Indonesia would be counterproductive in the fight against corruption.

In a survey published Wednesday, the council was cited as one of the country's most bribery-addled institutions in 2008.

"Transparency's announcement is an index of people's perception about these institutions, including the council. People think that way because they experience extortion when dealing with these organizations, or hear or know about it from media," Teten, a 2005 recipient of the Philippines' Ramon Magsaysay ("Asian Nobel Prize") award for public service, told The Jakarta Post on Thursday.

"It's a reflection of people's feelings and is supposed to be used as feedback to be a better organization. So, rather than laying the blame on someone else for the mistakes, they'd better show that they are willing to change."

Other institutions named in the survey were the National Police, the Customs and Excise Office and the Immigration Office.

The report said that 10 percent of the ulema council's 177 transactions were settled using bribery. "The threat to sue Transparency is a fallacy of thinking," Teten said. "People have the right to pass judgment because they pay their tax to the state."

Government foundations 'vulnerable' to graft

Jakarta Post - January 23, 2009

Erwida Maulia, Jakarta – The control of state assets by government-linked social foundations to help them operate and raise funds may lead to corrupt practices, a study has found.

The study, conducted jointly by the Jakarta-based Freedom Institute and Washington D.C.'s Brookings Institution in 2008, revealed that while 34 out of 36 surveyed foundations used state assets, most of the foundation executives interviewed did not understand that the assets belong to the state.

According to the study, the executives considered the foundations independent from the state and therefore resisted a regular audit by the Supreme Audit Agency, raising fears they could misuse the money for their own benefits.

Defying the main purpose of their establishment, which is to improve the welfare of employees of state agencies or institutions, many of the foundations appeared to run business units to seek profits, which are believed to be channeled to their board of executives.

"Since the executive boards of these foundations are also state officials, it is very difficult to avoid conflicts of interest during, for example, in the bidding process involving the foundations," Freedom Institute researcher Karaniya Dharmasaputra said on Thursday.

"The executive are sometimes shareholders of the business units competing in the tenders which are organized by state institutions, while on the same time they have overlapping function as government officials in the institutions," he said.

The government-linked foundations were set up by state department agencies and are led by government officials. The 2004 law on foundation bans state officials from holding executive posts at foundations controlled by their insitutions.

Besides aiming to improve the welfare of the state institutions' employees, the foundations are usually involved in social activities, including in the fields of education and healthcare.

The joint study tried to examine why major graft scandals often evolved from the management of state funds that went to the foundations. The embezzlement of Rp 100 billion in Bank Indonesia's Indonesia Banking Development Foundation (YPPI) funds by senior BI officials and a number of scandals involving State Logistics Agency (Bulog) were among the cases that had sparked the study.

The study discovered at least 50 foundations which are affiliated with 22 state departments and institutions, most of which were established during the New Order era.

Brookings Institution researcher Lex Rieffel said while the government should not no longer allow the establishment of such foundations, it could not just dissolve the existing ones before inventorying state assets controlled by the foundations in advance in a bid to avoid the loss of the state assets.

Police most corrupt institution: TII survey

Jakarta Post - January 22, 2009

Dicky Christanto, Jakarta – The police force is seen by the business community as the most bribe-riddled institution, while corruption at judicial institutions is the most costly, according to a survey revealed Wednesday.

The study was conducted by Transparency International Indonesia (TII) between September and December last year, and involved 3,841 respondents, mainly business executives.

Most respondents considered bribery necessary to smooth out bureaucracy, obtain business permits and contracts, and win favorable court decisions.

TII research and policy manager Frenky Simanjuntak said 48 percent of respondents admitted to paying an average of over Rp 2.2 million (US$200) to bribe police officers.

The police had also booked first place in TII's 2007 survey, with a corruption perception index of 4.2.

National Police spokesman Insp. Gen. Abubakar Nataprawira questioned the methodology used in the survey. "Of course we respect the results and are going to use it to improve ourselves, but the sole question is what methodology is used for the survey?" he said.

Coming second in terms of the occurrence of graft was the customs and excise office, followed by the immigration office and municipal administrations, according to the 2008 survey.

While courts rated better in the occurrence of bribes, the average bribe paid was Rp 112.4 million per deal – the highest value among the institutions in the survey. "The amount of money has provided us with a clear reason to doubt the judiciary's willingness to reform and improve its performance," Frenky said.

TII also listed Yogyakarta as the least corrupt city in Indonesia, followed by Palangkaraya in Central Kalimantan and Banda Aceh in Aceh province, while Kupang in East Nusa Tenggara was rated the worst.

The survey also said out of 1,074 public servants who were asked whether they would accept bribes, only 58 percent said they were certain they would not accept one.

"Many civil servants are starting to feel insecure whenever we bring up programs that may require firm punishment if they fail to accomplish them," said Wiharto of the State Ministry for Administrative Reforms.

KPK tightens noose around courts over bank accounts

Jakarta Post - January 22, 2009

Abdul Khalik, Jakarta – The Corruption Eradication Commission (KPK) expressed its commitment Wednesday to investigate the 102 illegal accounts belonging to the Supreme Court.

KPK chairman Antasari Azhar underlined the antigraft body would track down the source of the money in the accounts, the motives behind the opening of the accounts, the individuals responsible for them, and the intended purpose of the money.

The KPK will press ahead with a criminal investigation if there are any indications of embezzlement of funds in the accounts, he added.

"The team tackling the investigation into the accounts has worked fast," Antasari said, adding his office had questioned three officials from the Supreme Court, the institution accused by the Finance Ministry of having the most illegal accounts.

Earlier this month, the ministry handed over information on more than 260 illegal bank accounts, with total deposits of Rp 314.2 billion (US$29 million) and $11 million.

The accounts include 102 belonging to the Supreme Court, 66 to the Justice and Human Rights Ministry, 36 to the Home Ministry, 32 to the Agriculture Ministry, 21 to the Manpower and Transmigration Ministry, one to the Social Services Ministry and two to the Upstream Oil and Gas Executive Agency (BPMigas).

The Finance Ministry insists all the money in the accounts must be returned to the state as nontax revenue.

On Tuesday, after being questioned by the KPK for seven hours, Supreme Court finance head Darmawan S. Jamian said that in addition to the 102 accounts reported by the Finance Ministry, there were another 1,130 similar accounts belonging to district and high courts across the country.

He said the accounts were established to store fees charged to defendants and plaintiffs whose cases were tried in the courts.

"Not all the 102 accounts belong to the Supreme Court," he stressed. "Only two belong to us, the rest are spread over 54 courts across the country. Beside, they are just a small fraction of all accounts within the courts, because there are 1,130 accounts belonging to district and high courts."

He added he did not remember the total amount of money placed in the accounts.

Besides questioning Darmawan, the KPK has since Monday also interrogated Supreme Court secretary-general Rum Nessa and legal and public relations head Nurhadi.

On Wednesday, Supreme Court spokesman Djoko Sarwoko refused to reveal the total amount of money deposited in the accounts, but did not deny they existed. "The KPK has done the investigation. It's now up to them to decide whether the accounts are legal or not. You should ask them [about it]," he said.

With each account containing an estimated minimum Rp 5 billion, Indonesia Corruption Watch (ICW) says the value of the deposits in the 1,130 accounts could reach trillions of rupiah.

Yuhus Hussein, head of the Financial Transaction Reports Analysis Center (PPATK), a financial intelligence body, said his office had begun working to track down the accounts to find out the amount of money involved.

"We will help, but we have just begun," he said. "We still have no idea how much money we are talking about."

MUI one of the country's most frequent bribe seekers: TII

Detik.com - January 21, 2009

Jakarta – According to Transparency International Indonesia (TII), the Indonesian Ulama Council (MUI) has become one of the institutions that most frequently accept bribes. Most of this alleged bribery is related to management of halal (kosher, permitted under Islam) certificates.

According to TII Research and Policy Manager Frenky Simanjuntak, out of the 171 respondents that were interviewed from food and cosmetic companies, as many as 10 percent admitted to being asked for money in relation to their businesses.

"So it is closely linked to how companies submit halal certificates", he said during a press conference at the Kartini Public Hall on Jl. Gatot Subroto in South Jakarta on Wednesday January 21.

The survey was conducted between September and December 2008 in 50 cities comprising 33 provincial capitals with an additional 17 major cities.

Simanjuntak went on to explain that the initiative for this bribery originated from public officials. Like it or not, businesspeople sometimes have to go along with these demands. "Nevertheless this is still categorised as bribery", asserted Simanjuntak.

Nevertheless, Simanjuntak said he did not know if the results of the survey could be pursued by the relevant authorities. In his view, the survey simply serves as a reference. "Going in that direction (an investigation), that's beyond the authority of the survey results", he concluded. (mok/iy)

Notes:

The ultra-conservative Indonesian Ulama Council or Majelis Ulama Indonesia (MUI), a council of Islamic religious leaders that functions as the National Islamic Law Deliberation Board, portrays itself as the "moral guardian" of the country and advocates the enactment of Sharia or Islamic based laws a way of eradicating the rampant corruption that pervades all levels of Indonesian society.

[Translated by James Balowski.]

Kupang the most corrupt city: Survey

Jakarta Post - January 21, 2009

Jakarta – The Indonesian chapter of Transparency International has named Kupang, the capital of East Nusa Tenggara, as the most corrupt city in Indonesia in a list released Wednesday.

Kupang scored lowest on the list, with 2.97 (out of 10), followed by Tegal, Central Java, (3.32), Manokwari, West Papua (3.39), Kendari, Southeast Sulawesi (3.43) and Purwokerto, Central Java (3.54).

"Kupang scores lowest because it has seen numerous corruption cases involving top administration official and lawmakers for years," a spokesman for the organization said in a press release.

The list also ranked Yogyakarta, with a score of 6.43, as Indonesia's least corrupt city, followed by Palangkaraya, Central Kalimantan (6.1), Banda Aceh, Aceh (5.87), Jambi City, Jambi (5.57) and Mataram, West Nusa Tenggara (5.41).

Yogyakarta was considered successful in providing one stop quality public service.

The survey was conducted in 50 cities; 3,841 businesspeople and civil figures were used as respondents.

KPK, AGO lack killer instinct: Experts

Jakarta Post - January 16, 2009

Irawaty Wardany, Jakarta – The Corruption Eradication Commission (KPK) won praises from many circles last year for its role in sending several high profile figures to jail.

The anticorruption agency helped indite senior prosecutor Urip Tri Gunawan and Bank Indonesia senior officials, among them former governor Burhanuddin Abdullah.

The achievements put to sleep lingering public doubts about the credibility and integrity of new KPK chairman Antasari Azhar, a former Attorney General's Offi ce (AGO) spokesman.

However, 2009 has not seen a continuation of the commission's previous success. The KPK failed this month to have former legislators Hamka Yandhu, Anthony Zeidra Abidin and Al Amin Nur Nasution jailed for alleged bribery. However, the Corruption Court found the defendants guilty of their second indictment – receiving gratuity, which carries a lighter sentence.

"The KPK and the AGO tend to only reveal cases but are not able to follow through on them," Zainal Arifi n Mochtar, director of the Center for Anticorruption Studies at Gadjah Mada University, told The Jakarta Post. He said the two law-enforcing bodies generally failed to find incriminating evidence, citing the Hamka-Anthony cases as an example.

Hamka and Anthony were among 50 legislators on Commission IX overseeing financial and banking issues at the House of Representatives who allegedly received a total of Rp 31.5 billion (US$28 million) from Bank Indonesia (BI) in 2003 as payment for smoothing the political settlement of a loan scandal involving BI and an amendment to the BI law.

However, most of the 50, including current State Minister for National Development Planning Paskah Suzetta and Forestry Minister Malam Sambat Kaban, remain free.

Only Hamka and Anthony have been sentenced in the BI scandal. They were handed down 3- and 4-and-a-half-year prison sentences, respectively.

Al Amin was also convicted of receiving gratuity in two protected forest conversion projects – one in Banyuasin, South Sumatra, and another in Bintan, Riau Islands – and of blackmail in a procurement project at the Forestry Ministry. He was jailed for eight years for the charges.

In the two cases, Zainal said, KPK prosecutors had failed to prove that BI was willing to transcend the law by paying out bribes to House members.

"I don't know if this is a sign of things to come for the KPK, but it will probably have an effect," he said. Zainal called on the public to encourage the KPK to focus on developing a killer instinct to follow through on a case once they had uncovered it.

University of Indonesia's Court Monitoring head Hasril Hertanto said the KPK had to follow the money to the culprits. He cited as example the implication of several national figures, including minister Paskah and Supreme Audit Agency head Anwar Nasution, in the same BI graft case.

Anwar was among the BI board of directors who also signed the 2003 approval to disburse the money for the Commission IX legislators. "Why haven't they become KPK's targets? It seems like the case will end with Hamka and Anthony," he said.

Hasril said part of the problem was that there were no justices dedicated to fighting graft. "It is understandable because [Corruption Court justices] have no real expertise in those cases as they have to handle so many kinds of cases.

Besides that, both career justices and ad-hoc justices still have to do their day-to-day jobs outside of the Corruption Court," he said.

Islam/religion

PPP seeks Islamic coalition

Jakarta Globe - January 23, 2009

Camelia Pasandaran – The United Development Party, or PPP, is pushing for the formation of a coalition of Islamic parties in order to shift the balance of political power in the country, party officials said on Friday.

Rommy Hermiji, deputy secretary general of the PPP, said that there were too many Islamic parties at the moment, which worked against their own interests.

The proposal came after several survey firms suggested that Islamic parties could languish at or near the bottom of this year's legislative elections.

The independent Indonesian Survey Institute recently released a poll showing three parties – Golkar, the Democratic Party, and the Indonesian Democratic Party of Struggle – opening up a clear lead over the rest of the field ahead of April's legislative elections.

The poll showed only 3.3 percent of respondents supporting the PPP, while the National Awakening Party, or PKB, led all Muslim- based parties with support from a mere 4.8 percent of respondents.

A coalition of Islamic parties means that we can present an alternative presidential candidate said Rommy Hermiji, deputy secretary general of the PPP. A coalition would consolidate support for all Islamic parties and turn it into a major political force, the PPP said.

Rommy said that while forming a coalition of Islamic parties ahead of this year's elections was not possible, the parties could unite in the future to come up with the 25 percent of total votes necessitated by law for a party or coalition of parties to field a presidential candidate.

"A coalition means that we can present an alternative presidential candidate," Rommy said.

Emron Panggapi, organization division head of the PPP, said that voters in this year's presidential elections would be plagued by a lack of alternative options. "Voters can only choose between [former president] Megawati and [incumbent] Susilo Bambang Yudhoyono," he said.

The difficulty of forming a coalition from among Indonesia's doctrinally and ideologically diverse Muslim parties was not lost on PPP officials, however. Rommy said that an attempt to form a coalition these days would have to be different from past attempts.

"This time, Islamic parties should be allowed to band together at their own bidding," he said. "In the past, the government pushed Islamic parties to form a coalition. As a result, several parties were forced to abandon their identity and ideology."

Under former president Suharto's rule, the PPP was one of three officially sanctioned political parties, and acted as an umbrella for a variety of Muslim-based groups.

Despite their 2004 performance, in which the PPP only mustered less than ten percent of votes, party leaders maintain that the PPP could grab up to 15 percent of the electorate with the return of several high-profile Islamic leaders to its fold.

"Zainuddin MZ and Rhoma Irama have thousands of followers," Emron said.

Ulema council mulls bans for yoga, vote boycotting

Jakarta Post - January 22, 2009

Jakarta – Controversial issues ranging from yoga to abstaining from voting will head the agenda when 700 ulema from throughout the country meet in the West Sumatra town of Padang Panjang, starting Friday.

Deputy chairman of the Indonesian Ulema Council (MUI) Ma'ruf Amin said Wednesday the council would issue edicts on the matters at the conclusion of the four-day meeting. The council has allocated the second and third days to discuss whether to ban yoga and abstaining from voting.

"We will not decided via a vote. The edicts we will issue will take into consideration the interests of all Muslims in the country," said Ma'ruf, who heads the council's edict commission. An edict constitutes a religious obligation rather than a law.

Debate on yoga arose when the MUI's Malaysian counterpart announced a plan to ban the popular exercise last year. The Malaysian ulema later dropped the proposal.

"Yoga, for example has sparked a debate as some say it's just an exercise but others say it involves a religious ritual. Our findings confirmed the controversy," Ma'ruf said.

Choosing not to vote is also expected to incite a heated debate when the ulema meet. A Nahdlatul Ulama (NU) group has insisted everyone has the right to abstain from voting.

Former NU chairman Abdurrahman Wahid is one of a number of prominent Muslim figures who have announced they will abstain from voting.

Poll watchdogs have predicted a lower voter turnout in the April elections compared to in 2004 due to poor governance and a failure to raise awareness of the event. The General Elections Commission has predicted voter turnout to be 70 percent of the number of eligible voters.

Ma'ruf said the MUI considered the selection of national leaders through the legislative and presidential elections a crucial agenda.

"Our edict will not differentiate legislative, presidential and regional elections. Through elections we select leaders who will articulate our interests and fight for them," Ma'ruf said.

The plan to issue an edict banning smoking has split the council. "There will be a lengthy debate on whether smoking is lawful, unlawful or tolerable. The pros and cons will shift to the issue of protecting children and fetuses from the hazards of smoking," he said.

A number of local governments have imposed restrictions on tobacco purchases.

The council will also discuss early marriage, which is considered a crime. Vice President Jusuf Kalla will open the meeting, the third since 2003. Previous meetings produced edicts on bank interest, suicide bombing, terrorism and 'premium' SMS.

Gaza war fuels anti-Israeli anger in Indonesia

Associated Press - January 16, 2009

Anthony Deutsch, Jakarta – Indonesia Islamic hard-liners enraged by Israel's assault on the Gaza Strip marched to the synagogue's gates chanting, "Go to hell Israel!"

The only Jewish religious site in the world's most populous Muslim state – which has no rabbi and only a few followers – then closed its doors.

Across Indonesia, Malaysia and Pakistan, sentiments are running high about the conflict, fueled by disturbing TV footage of Palestinian casualties.

"This is the way to show our solidarity for the Palestinian people and to condemn the Israeli attacks," said Abdusshomad Buchori, a local leader of the Ulema Council, which is pushing for the permanent closure of Beth Hashem synagogue in Surabaya, Indonesia's second-largest city.

"If Israel refuses to stop its attacks and oppression of the Palestinian people, we don't need to defend (the synagogue's) presence here," said Buchori, who led about 100 hard-liners to the synagogue, where they burned an Israeli flag.

The woman who has run the synagogue since the 1970s went underground after the Jan. 7 incident, in which Buchori also threatened to drive any remaining Jews out of town.

The incident was not unique: An outlet of the American fried chicken chain KFC was shut on Sulawesi island after protesters upset with Washington's Middle East policies hurled chairs and overturned tables. And thousands have rallied in the capital, Jakarta, waving Palestinian flags and shouting insults outside the US Embassy.

"The Israeli attacks against Palestine and Lebanon have resulted in increased anti-Semitism," said Hendardi, chairman of the Setara Institute for Democracy and Peace, a human rights group. Like many Indonesians, he uses a single name.

The government of President Susilo Bambang Yudhoyono, which is seeking re-election in April, donated millions of dollars in aid, sent doctors and humanitarian workers to Gaza and offered peacekeepers – moves that could win votes.

Smaller radical groups seeking to create an Indonesian Muslim state staged publicity stunts where they claimed to be signing up martyrs for a jihad, or holy war, to combat Israeli troops.

Despite the calls for volunteers and a message from Osama bin Laden urging Muslims to fight in Gaza, there are no known cases of Indonesians leaving to defend the Palestinians.

Emotions have nonetheless been stirred by the media coverage. One Indonesian broadcaster, tvOne, has been running ads showing footage of Palestinian parents weeping over dead children under the heading, "Tears for Palestine."

The vast majority of Indonesia's Muslims practice a moderate form of the faith and do not advocate violence against Israelis, but they support the creation of a Palestinian state. Jakarta hosts a Palestinian embassy but has no political links with Israel.

Other major Muslim countries in Asia have also seen an outpouring of support for Palestinians since Israel began its Gaza offensive Dec. 27.

Malaysian leaders called for a boycott of iconic American brands like McDonald's and Coca-Cola, and pro-Palestinian charities and newspapers have collected millions of dollars in aid.

Lawmakers sharply criticized Israel's use of force in a six-hour-long debate and tens of thousands of people held prayer sessions for Palestinians. The conflict is a topic of heated discussion across Malaysia.

"We are Muslims. We are very angry," said Zaiton, a 50-year-old Malaysian teacher who declined to give her full name while attending a protest with her four daughters and grandson. "You see the (Palestinian) children. Looking at the newspaper, it's enough to break your heart."

In Pakistan, there are near-daily protests from the southern city of Karachi to towns on the border with Afghanistan.

Protesters have burned US and Israeli flags and effigies of Israeli leaders. Some of the protests have been dominated by women or children. However, most have been limited in size and marshaled mainly by an Islamist political party.

"All the Muslims of the world should stand united against Israel," said Qari Shafiq, a principal at an Islamic seminary. "But unfortunately we are divided into countries and sects." Associated Press writers Ashraf Khan in Karachi, Sean Yoong in Kuala Lumpur, Niniek Karmini in Jakarta contributed to this report.

Elections/political parties

Prabowo favors Suharto's iron-fisted approach

Jakarta Globe - January 23, 2009

Markus Junianto Sihaloho – Ret. Gen. Prabowo Subianto is seeking the support of his former in-laws, the still-influential family of the late President Suharto, in his unlikely bid to become the next president.

Summoning the spirit of the authoritarian ruler who held power here for 32 years, Prabowo, who rarely gives interviews or speaks on the record, called current politicians naive and said that Suharto's strong-man style suited the country.

Prabowo made the remarks late on Wednesday after attending the launching of "A Testimony of Indonesian History: From Pak Harto to Indonesia," a book written by Probosutedjo, Suharto's stepbrother. Pak Harto was the nickname of the former president, who died last year.

The controversial retired officer said that he was approaching the so-called Cendana clan – informally named after the street where Suharto's private residence is located in Menteng – to seek their support, and that several members of the former ruling family of Indonesia had vowed to back his presidential bid.

"I cannot say what is really going on inside the mind of the Cendana family," Prabowo admitted. "I cannot claim that I already have their votes because they have not officially announced their aspirations."

At the same event, Probosutedjo, a powerful businessman during the Suharto era who was later jailed on corruption charges, claimed that the Suharto family saw Prabowo as the man to carry on the late president's legacy.

"With Prabowo, I will have the opportunity to say what Pak Harto's real wishes were for the development of Indonesia," Probosutedjo said.

Divorced from Suharto's second eldest daughter, Siti "Titiek" Hediyanti, Prabowo is running for president on a ticket from the fledgling Great Indonesia Movement Party, or Gerindra.

Although the Suharto family and its cronies were forced to lay low following the resignation of the patriarch during the political turmoil of 1998, they still have considerable influence.

Before his death, Suharto lived as a recluse at his Cendana residence, but received a steady stream of visitors, including former and current government officials. Despite several attempts, no charges against him for corruption were ever proven and he was never forced to appear in court.

In his remarks at the book launch, Prabowo said he favored Suharto's model of iron-fisted development.

He said politicians leading the country after Suharto's fall have been "too naive" in trying to apply Western political theories to local governance. He argued that despite allegations of human rights violations during Suharto's rule, the people benefitted.

Prabowo still aiming for the presidency

Jakarta Globe - January 22, 2009

Markus Junianto Sihaloho – Prabowo Subianto, who chairs the Great Indonesia Movement Party, or Gerindra, says he still intends to run for president, rather than seeking the number two slot on a ticket with former President Megawati Sukarnoputri.

"Gerindra has selected me as its presidential candidate," Prabowo said. "We still have to see the results of the legislative election."

The elusive former commander of Indonesia's feared Special Forces, or Kopassus, who was once married to one of former President Suharto's daughters, Siti "Titiek" Hediati Hariyadi, was responding to questions about his meetings with Megawati and Sultan Hamengkubuwono X, and with another presidential aspirant, former Jakarta Governor Sutiyoso, in Jakarta last week.

He said that neither Megawati nor her husband, Taufik Kiemas, had formally asked him to be the her running mate in the upcoming election.

It is unlikely that Prabowo will be able to muster sufficient political backing to contest the presidential elections. Candidates must have the official sup port of a party or coalition of parties that secure 20 percent of the seats in the House of Representatives or 25 percent of the popular vote.

Prabowo said, however, that he would be eager to accept an invitation to meet Megawati. He said that he shared many similarities with the former president, including shared views on nationalism and a focus on the need to fight for Indonesian sovereignty.

He also said that although his family was part of Suharto's New Order, he had always maintained a good relationship with Megawati, who became president after running on a platform of reform.

Commission sets July 8 as presidential election date

Jakarta Post - January 23, 2009

Adianto P. Simamora, Jakarta – The national polls body agreed Thursday that the presidential election will take place on July 8, 2009, with a runoff, if needed, to be held on Sept. 8.

The General Elections Commission (KPU) said the decision had been reached at a meeting attended by all seven members of the body.

"We agreed to schedule the presidential election for July 8. But the official announcement will be made through a KPU regulation," commission member Abdul Azis told The Jakarta Post.

He said the agreement came after a review of technical points, including the preparations for logistics tenders, and registering and verifying documents on presidential and vice presidential candidates.

The KPU earlier said the presidential poll would be held on July 9.

KPU member Andi Nurpati said the time line had been set without considering the target pledged by the Constitutional Court to settle possible election disputes within 21 days at the most. The election law gives the court a maximum period of 30 days to settle them.

However, the KPU insists that the court cut the settlement period to a maximum of 17 days to ensure the presidential elections can be held in early July, or else risk a possible runoff taking place after the incumbent ends his term on Oct. 20.

The KPU says it will announce the results of the April 9 legislative elections on May 9.

The commission also decided Thursday to issue a regulation allocating a quota of seats for female legislative candidates. Under the regulation, female candidates will get at least one of three seats won by a political party in every electoral district during the legislative elections.

"We will apply a 2:1 mechanism in the distribution of legislative seats for women," said KPU member Endang Sulastri.

She added the KPU had finished drafting the regulation and was awaiting a response from the government about its proposal on a government "regulation-in-lieu-of-law" as a legal umbrella for such a plan.

The regulation was proposed shortly after the Constitutional Court ruled that legislative seats would automatically go to candidates who won the most votes.

The ruling is seen as detrimental to the chances of women hoping to win seats at the elections, despite an existing "affirmative action" mechanism already in place.

Megawati most popular among workers

Jakarta Post - January 23, 2009

Erwida Maulia, Jakarta – Former president Megawati Soekanorputri and the current Vice President Jusuf Kalla are the most preferable among workers compared to the incumbent President Susilo Bambang Yudhoyono, according to a survey released Thursday.

It said Yudhoyono is seen by most workers as "unfriendly" to them as he failed to improve their welfare.

The survey, conducted last year by the Federation of United State Enterprise Worker Unions, shows that 30.7 percent of 5,123 respondents, from across the country's 33 provinces, consider Megawati as the best figure who will be able to improve the conditions for Indonesian workers.

Coming second in the survey is Kalla with 19.6 percent of support, followed by Yudhoyono with 12.7 percent.

Another presidential hopeful, Prabowo Subianto, a retired three- star Army general, is the fourth most popular with 7.7 percent of support, and Yogyakarta governor Sultan Hamengkubowono X ranked fifth with 6.5 percent.

When asked whether the respondents would vote for Yudhoyono in the July presidential election for a second term in office, 80.6 percent of them said "no" and only 17.2 percent said "yes".

Federation chairman FX. Arief Poyuono, when announcing the findings, said most workers believed their economic condition under the Megawati administration was better than under the current Yudhoyono government.

"The workers use a simple way to measure the performance of the government. What they see is that the price of Indomie (instant noodles), rice and public transport have now more than doubled compared to when Megawati was president," he said.

Confirming this statement, the survey found that 65.7 percent of the respondents considered their household economic condition under Yudhoyono's administration to be worse than under Megawati.

About 80 percent said transportation, education and health are more costly, and 58.7 percent said Yudhoyono has failed in his term to fight poverty and unemployment.

Kalla, however, is dubbed friendlier than Yudhoyono because he responded better to labor issues.

"He has established better communication with labor unions, and is ready to directly call them when hearing about some problems. Perhaps because he is a businessman, he knows how to cope with labor's problems better," Arief said.

Megawati's Indonesian Democratic Party of Struggle (PDI-P) also leads the survey, with 26.7 percent of the respondents seeing it as the best party to help improve their condition.

Kalla's Golkar Party ranked second with 20.1 percent of the vote, followed by Prabowo's Greater Indonesia Movement (Gerindra) with 10.9 percent, the Prosperous Justice Party with 9.7 percent, and the United Development Party with 7.3 percent.

Yudhoyono's Democratic Party only came seventh with 6.3 percent of the vote.

Golkar told to announce candidates ahead of polls

Jakarta Post - January 23, 2009

Dicky Christanto, Jakarta – The Golkar Party must name its presidential candidate soon or risk losing its most popular figures to other party alliances, its leader says.

Golkar deputy chairman Agung Laksono said Thursday with the presidential election nearing, the party may lose the opportunity to select its best potential candidates as many would seek alternative routes and alliances to secure power in the July polls.

Agung made the statement after a Wednesday night meeting between Golkar advisor Sultan Hamengkubuwono X and Indonesian Democratic Party of Struggle (PDI-P) leader and presidential candidate Megawati Soekarnoputri.

The two were reported to have tentatively arranged another meeting in Yogyakarta on Monday.

Golkar chairman Jusuf Kalla, also the Vice President, has repeatedly brushed aside suggestions the party should name its presidential and vice presidential candidates before the legislative elections in April in order to allow for a larger time frame in which to campaign.

"We should question the central board's decision to put on hold the selection of Golkar presidential and vice presidential candidates," Agung said.

His statement may have been designed to pressurize Kalla into putting beyond doubt speculation that he will run as President Susilo Bambang Yudhoyono deputy for a second term under the banner of Yudhoyono's Democratic Party.

Other major contenders, such as the People's Conscience Party (Hanura) and the Greater Indonesia Movement Party (Gerindra), have announced their respective presidential candidates and begun intensive campaigns.

Presidential and vice presidential candidates must be nominated by political parties, according to the law.

Agung said the sooner Golkar selected its candidates, the more big names in the party would still be around to answer the call. He said the PDI-P's move to approach Hamengkubuwono should serve as a warning for Golkar to act fast. "But we realize that the sultan does not represent Golkar," Agung said.

A number of recent popularity polls have placed the sultan as the favorite for both president and vice president posts. If Hamengkubuwono accepts PDI-P's offer to run with Megawati, he will emulate Kalla's decision to team up with Yudhoyono in 2004 without Golkar's support.

Other Golkar members who have announced their presidential bids include Marwah Daud Ibrahim, Yuddy Chrisnandi and Gorontalo Governor Fadel Muhammad.

Political expert Yudi Latif said Agung's statement represented the view of Golkar leaders who were anxious about its prospect to have one of its own candidates elected president.

"After responding emotionally to the Democratic Party's move to claim the credit for the SBY administration's success, this may constitute Golkar's second public complaint," Yudi told The Jakarta Post.

He said the party should show courage by acting on the statement and immediately announce its presidential and vice presidential candidates. "Golkar should act fast and precisely in naming candidates, or else it will pay dearly," he said

Voters still uncertain of procedure

Jakarta Globe - January 22, 2009

Febriamy Hutapea – If the legislative election scheduled for April 9 were held today, more than 50 percent of the votes cast would be declared invalid because Indonesians do not know how to mark the ballot papers correctly, a survey from an international election assistance organization shows.

The news is the latest blow to the embattled General Elections Comission, or KPU, which is struggling to meet preparation deadlines and inform the public about the upcoming elections.

In a voting simulation exercise involving 200 people in Jakarta from Dec. 11-13, the International Foundation for Electoral Systems said 51 percent of the respondents still used marks other than a tick or a hole punch to select their preferred political party or candidate.

"We want the KPU to address this issue so that no matter kind of mark made by the voter, as long as it clearly shows the intention of the voter to select their preferred political party or candidate, the vote should be valid," Adam Schmidt, IFES country director for Indonesia, said on Thursday.

"Indonesia should be prepared to rectify this situation. A more complicated electoral system may be prone to errors and we don't want the number of invalid ballots to climb higher in the forthcoming election," Adam said.

In the 2004 legislative elections, voters used a nail to punch a hole in the ballot paper. In the wake of criticisms and confusion over how voters were to select their parties and candidates, the KPU recently adopted new regulations that allowed voters to use either a tick or a nail to mark their preferred party or candidate.

Schmidt said it made sense to review the restrictive procedure, which meant that voters could not use other marks to indicate their preference.

The government said last week that it was still drafting a government regulation aimed at minimizing invalid voting.

Party leaders step up maneuvering

Jakarta Post - January 22, 2009

Adianto P. Simamora, Jakarta – As elections draw closer, political party leaders have intensified communications between them, but avoided early talks of possible coalitions.

Chairman of the United Development Party (PPP) Suryadharma Ali held a rare meeting with Vice President Jusuf Kalla, who chairs the Golkar Party.

"As both Suryadharma and Kalla are party leaders, they also discussed about politics, including the possibility of a coalition," Lukman Hakim Saifuddin, who heads the party's faction at the House of Representatives, told The Jakarta Post on Wednesday.

Lukman said a coalition with Golkar was quite likely as both parties envision to promote a similar vision to build the country.

"The coalition is widely discussed. Pak Kalla says there is no different between the yellow and green," he said, referring to the colors of the two parties.

However Suryadharma and Kalla are committed to waiting for the results of legislative elections, on April 9, before any coalition decisions.

During the meeting, Suryadharma invited Kalla to attend the party's 36th anniversary, on Jan. 24 Asked whether the PPP had invited Kalla to take part in the PPP listens program, Lukman said "no".

"The program is dedicated only to presidential hopefuls. We have yet to hear any statement from Kalla about his presidential bid," said Suryadharma, who is the minister of cooperatives and small and medium enterprises.

The PPP has invited popular figures, including Yogayakarta sultan Hamengkubuwono X, chairman of the People's Conscience Party (Hanura), Wiranto and chairman of the Greater Indonesia Movement Party (Gerindra) Prabowo Subianto.

The party is also set to invite President Susilo Bambang Yudhoyono to the 'PPP listens' program. Yudhoyono has declared his plan to seek reelection and compete again for the presidency and has hinted at Kalla as his running mate.

Suryadharma criticized some presidential candidates contesting the elections as only searching for popularity. "Many presidential candidates fail to gauge their prospects," he said "They cannot estimate their capacity either."

Indonesia will hold the presidential election in July. The results of the legislative elections, to be held in April 9, would be used to determine the eligibility of parties to meet the threshold to promote their own presidential and vice presidential candidates.

The 2008 presidential law says only a party or coalition of parties securing 20 percent of seats at the House of Representative or 25 percent of the popular votes in the general election will be eligible to promote their own candidate.

Golkar finished first in the 2004 legislative elections with 20.6 percent of the vote, while the PPP came fourth out of the major parties.

The two parties, and the Indonesian Democratic Party of Struggle (PDI-P), are the parties that survived the New Order era, when democratic elections were absent.

The PDI-P said its national meeting in Surakarta, Central Java next week would select the candidates for Megawati's running mate. "One of the agenda items is to discuss the vice presidential candidate. Hopefully, we can name the candidate," Ganjar Pranowo, legislator from the PDI-P said.

Hamengkubuwono and Sutiyoso, who have both declared their bids for the presidency, have been widely touted as strong candidates to be Megawati's running mate.

Sutiyoso, however, expressed pessimism that the PDI-P would be in a position to announce the vice presidential candidate at this time. "We can only see the political map after the legislative elections," Sutiyoso, who is a former Jakarta governor, said.

A number of surveys have concluded that Megawati and the incumbent, Susilo Bambang Yudhoyono, will probably square off in the presidential election.

Voters not convinced by posters and banners

Jakarta Post - January 21, 2009

Abdul Khalik, Jakarta – Along the East to North Jakarta stretch of Jl. Gen. D.I. Panjaitan, barely a blank space can be seen among the sea of campaign posters and banners covering the roadside for the 3,000 legislative candidates fighting for seats in the Jakarta legislative bodies.

If one was to travel anywhere else in the city, they would be met with a similar scene.

It seems most candidates believe plastering the streets within their electorates with as many posters as possible means they have conducted a thorough campaign, or have successfully lured voters ahead of the April 9 national and legislative elections.

But for many citizens of Jakarta, mere posters and banners mean nothing at all, particularly when they do not recognize the faces they depict. "They [candidates] seem to just put their faces everywhere. But how we can vote for them if we don't know who they are," Kemal Said, a resident of Cililitan, East Jakarta, said.

Dahlia Umar, a member of the Jakarta Election Commission, predicted an increasing amount of campaign material would be displayed throughout the city as the elections draw nearer. "We just hope they don't litter the city too significantly in the process," she said.

At the national level, with hundreds of thousands of people racing to become legislators at central and regional legislative bodies, areas have been flooded with posters and banners for candidates, creating confusion and irritating many civilians.

"Suddenly, posters cover my neighborhood. Posters, for somebody I don't even know, have been placed right in front of my home. Who are they? They just make my surroundings dirty," Rosmawati, a resident at the Puri Gading residential estate in Bekasi, West Java, said. "They can forget my vote. The posters just frustrate me," she said.

With a total of over 5,000 candidates competing in the city and regency of Bekasi, the competition to outstrip opposition with promotional material has been fierce throughout the region.

Political communication expert at the University of Indonesia Effendi Ghazali said many candidates mistakenly believed that by erecting posters everywhere imaginable, they have somehow introduced themselves to voters.

"I think candidates panic when they are confronted with large posters of their opposition everywhere. So, they feel they must match that efforts by distributing as much campaign material as possible, whereas this may actually be counterproductive in the long run," he said.

A recent law passed by the Constitutional Court, which rules that the candidate who wins the most votes in a region for his party automatically wins a seat, has triggered panic among competing individuals, Effendi said, and led to even more furious campaigning and advertising across the country.

"Now, they are competing with both their party colleagues and also opposing parties," he said.

Effendi said candidates had forgotten people will eventually grow tired and frustrated with this technique of mass campaigning, and also with having their surroundings being polluted. "The posters and banners will, in fact, drive voters away," he said.

Effendi said candidates within parties should work together to design a pamphlet containing their individual profiles, history and vision for voters, as opposed to spending huge amounts of money on posters and banners.

"They should visit homes within their regions with the brochures so they can introduce themselves personally," he said. The more candidates make the effort to visit their voters directly, the more likely they were of attracting voters in the upcoming elections, he said.

Muhammad Iqbal, a resident of Pasar Minggu, South Jakarta, said none of the candidates in his area ever visited his neighborhood or introduced themselves, to the point where he did not even know the names of any potential leaders.

"It would be great if they came, talked to us, and listened to our questions. If that occurred, we would probably vote for them," he said.

2008 regional elections a success: Court chief

Jakarta Post - January 21, 2009

Irawaty Wardany, Jakarta – The regional elections in 2008 have been quite successful considering the low number of election disputes filed with the Constitutional Court, says the Court chief.

"During 2008 we received only 27 complaints on election disputes. Of the complaints, we examined only four cases," Court chief Moh. Mahfud MD told the press here Tuesday.

He said the 23 other cases were rejected because plaintiffs failed to provide evidence that fraud had taken place in their regional elections.

Mahfud said the low number of filed disputes showed that losing candidates in the regional elections have begun to accept their defeat.

"There are defeated candidates who tried to find loopholes in the process and reported it," he said. But most of them failed to present convincing evidence in court.

"Seeing the pattern of regional election disputes, we can say that the implementation of the elections was quite well organized, and the regional election commission have been quite successful conducting the elections," he said.

He also came into conclusion that Indonesian people were actually ready for the democratic system, "it is the political elites that still find it hard to accept their defeats."

Some plaintiffs came to the court with allegation that there had been money politics in the elections but most of these cases could not be proven because people probably had taken the money but did not vote for the candidate who gave it to them.

He predicted that there would be massive complaints filed with the court during the 2009 legislative and presidential elections.

"But remember, any indivual cannot file a complaint with the Constitutional Court. It is only a party than can file the objection on behalf of their members," he said.

Mahfud added the court anticipated a big jump in complaints during and after the upcoming elections, saying the court had coordinated with the National Election Commission (KPU) on how to handle these complaints quickly, and was going to use teleconferences to allow them talk directly with witnesses from across the country.

Candidates spend up big along the road to legislative elections

Jakarta Post - January 20, 2009

Adianto P. Simamora, Jakarta – A legislative candidate from Lampung, Atte Suganda, says he never thought people would ask him directly for funds to repair a road and football field themselves.

During his ongoing campaign, a group of young men asked for money to clean up a soccer field and to buy refreshments for a soccer competition. "It is fact. You will find many people proposing such repairs," Atte, an incumbent lawmaker from the Democratic Party, said.

Atte is contesting for a seat at the House of Representative within the Lampung electoral district.

He said he encouraged the villagers to ask the provincial administration for the funds to repair the roads in their areas. "If you don't know the game, you will be 'finished' by 'potential' voters," he said.

Atte is among thousands of candidates spending huge funds on their campaigns ahead of the legislative elections in April.

The Constitutional Court recently ruled that only candidates with the most votes would win legislative seats, leading to a blow up of candidate campaign budgets.

Atte said he had spent hundreds of millions of rupiah since his campaign started in July last year. The money has gone toward making street banner and other campaign materials, and to pay his "success team", which consists of about 1,000 people.

"The biggest expense will be paying for witnesses to observe ballot counting at each polling station during the upcoming elections," he said.

"It is just like planting trees. We have to water and fertilize it to keep it growing. When they produce fruit, we have to witness them, otherwise other people will take it."

Atte said he's total budget for the campaign was about Rp 1 billion. "'Rich' candidates could spend up to Rp 4 billion, paying for campaign advertisements on national television," he said. Atte said he preferred to pay for campaign ads on local TV.

There are about 12,000 candidates competing for 560 seats at legislative elections on April 9, 2009.

A senior legislator from the Indonesian Democratic Party of Struggle (PDI-P), Ganjar Pranowo, acknowledged the high cost for political campaigns ahead of the elections

"It is very dangerous, I wonder how candidates will recover their 'investment' after they win elections," he said. "A friend of mine contesting at the regency level (DPRD) has allocated Rp 1 billion for his campaign. If he wins, he will only receive a salary of about Rp 600 million over five years."

Asked about his own campaign budget, Ganjar, who will join the race for the Central Java electoral district, said, "I have just provided calendars for constituents so far.

"I am also printing examples of ballot papers and I will teach them how to cast their votes," he said. He said he also planned to advertise on local television, which would cost him Rp 1.5 million per 30-minute slot.

The General Elections Comission (KPU) is drafting the schedule for "open door" campaigns to allow candidates to campaign in open spaces for 16 days prior to the election day.

The Indonesian Broadcasting Commission (KPI) said legislative candidates would air massive TV campaign ads days before the elections to win public support.

"We will see huge violations on TV, especially among rich candidates. They will campaign much more than the five minutes allowed by the law," KPI member Izzul Muslimin told the Post on Monday. Common campaign materials include banners, stickers and T-shirts.

1998 activists will not support the Sultan

Tempo Interactive - January 20, 2009

Muh Syaifullah/Pito A. Rudiana, Yogyakarta – The 1998 activists grouped in the Benteng Kedaulatan (Sovereignty Fort) prefer to support Bugiakso, the grandson of National Hero General Sudirman, rather than Sultan Hamengku Buwono X.

"We are not supporting the Sultan because he is part of the New Order politics," said Yusrol Hana, head of Benteng Kedaulatan in Yogyakarta, yesterday.

According to Yusrol, the 1998 activists will not support the Sultan because they think he has not achieved much in local politics. One of them concerns the unclear status of Yogyakarta.

Bugiakso's candidacy is also supported by the Kedaulatan Party. They chose him as an alternative candidate for his declared stance as pro-people and involvement in religious social activities.

Kari Tri Aji, a Benteng Kedaulatan activist, said the support goes to Bugiakso because he shares their vision and mission. Bugiakso said he was approached by seven political parties, three of which are willing to support him. He will reveal the names of these parties when he declares his candidacy on February 1.

Children are barred from elections

Jakarta Post - January 20, 2009

Jakarta – Political parties participating in the 2009 general election are barred from recruiting children for their political campaigns and other political activities on the field and in commercials, Elections Supervisory Body (Bawaslu) chairman said Tuesday.

"Bawaslu has found indications of children being involved in political campaign commercials and we've warned the party involved," Nur Hidayat Sardini said, as quoted by Antara newswire.

He said the inclusion of children, namely those under the age of 17, was against the 2008 Election Law.

Under the law, all campaign-related initiatives are barred from enlisting citizens with no right to vote, which includes children. Violation of this principle is considered an election crime.

National Commission for Child Protection chairman Seto Mulyadi added that children should not be involved in the election, as they have rights that need to be respected.

"We really hope children are not involved in the campaigns. A child's right to receive protection needs to be respected, let's not use excuses to bring along children just because there are no babysitters to look after them," Mulyadi said, adding that political parties should not use children as a political gimmick.

"That's manipulation. Political education for children should not follow methods for adults," he said.

Group attacks election law, rallies to get voters list

Jakarta Post - January 19, 2009

Jakarta – A citizen group has criticized the general election commission (KPU) and its Jakarta chapter (KPUD) for having a regulation that keeps the public in the dark regarding their registration as voters.

Under the 2008 general elections law, the final list of voters (DPT) is only available to legislative member and political party candidates.

Urban Poor Consortium (UPC) coordinator Wardah Hafidz said the public had a right to know whether they were registered on the list of voters.

"The regulation has to be revised," she said. "It cannot reject the basic right of citizens to know whether they are registered voters or not.

"It is a good thing they are willing to vote. Why deny them access to the voters list? It is just wrong if the list is only available to political parties."

The general election will be held in less than three months, with the final list of voters finalized in November 2008.

According to the KPUD, more than seven millions voters have registered in Jakarta. They will pick their legislative members in the first round of the general elections in April at 17,048 voting locations (TPS) throughout the city.

The number of legislative member candidates for Jakarta province reached 2,268 from 44 political parties – who will compete for 94 seats. Furthermore, Jakarta will choose 41 candidates for the Regional Representative Council (DPD).

On Thursday, the UPC protested the KPU and the KPUD for violating the principles of transparency and public participation. The organization hosted rallies at both offices.

Eko Sujarwo, a UPC research and development officer, said the organization had asked the KPUD for the final voters list about a month ago, but was denied access.

Eko said UPC might take the case to the Judicial Commission to review the general elections law.

"KPUD Makassar, Surabaya, Pare Pare and Yogyakarta had no trouble releasing the list. We gave them a flash disk and was given the data instantly," Wardah said.

"Only KPUD Jakarta and the National KPU rejected our request. KPUD have given the data to us now, but why did we have to rally for it?" she asked.

Why all the secrecy?

Sumarno, member of KPUD Jakarta, said, "We agree that the DPT is public data, but the law states the DPT can only be disclosed to political parties."

He said KPUD was not intentionally denying the public access to UPC. The reason KPUD did not hand over a copy of the list when asked by the UPC, he said, was they could not give out a hard copy version because of the size of the data of more than seven million people.

The permanent voters list contains details of names, sex, birthplace, date of birth, home address and ID numbers, Sumarno said. "If the information falls into the wrong hands, it could be misused. We will not, however, deny any credible organization access to the list."

The KPU has urged the government to issue a government regulation in lieu of law, to allow those not on the voters list to register themselves, Sumarno said,

"The KPUD has actually let the public check their registration by sending them their names and ID numbers through SMS" before the list had been finalized, he said.

The temporary list of voters was published at every subdistrict office before the list was finalized, he said. Wardah said the UPC would fight for those who had already registered but did not appear on the list. (iwp)

Elections will see more violence: Panwaslu

Jakarta Post - January 16, 2009

Andra Wisnu, Bali – The Constitutional Court's decision to allow candidates with the most votes to claim seats has triggered internal conflicts in parties, an official stated.

During a meeting with the Bali Police chief and the Bali Regional Elections Commission (KPUD) in Denpasar on Wednesday, the Bali election supervisory committee (Panwaslu) warned of even more political clashes this year than during the 2004 election.

"Because this year, we will not only see parties campaigning against parties, but also legislative candidates within one party competing against each other," said Panwaslu chairman I Wayan Juana.

The campaign season, which began unofficially on July 18 and will become more intense on March 16 when parties hold their caucuses, has seen Bali emblazoned with various campaign material advertising political parties and legislative candidates.

Juana said this competitive atmosphere may turn violent due to a court ruling that allows the legislative candidates who secure the most votes to gain a legislative seat, which seemed to have the unintended consequence of pitting legislative candidates within one party against each other.

In that ruling, the court annulled two articles that would have allowed political party leaders to handpick their close supporters to represent the parties in the national and regional legislatures, rather than having the seats going to the individual candidates who won the most votes.

In effect, Juana said, legislative candidates had begun campaigning for themselves outside of their party's official line and discrediting other legislative candidates from within their party.

He said some candidates even went as far as vandalizing their rivals' campaign advertisements and marking their campaign territory.

"We have already seen campaign advertisements that were vandalized, slashed with some sort of sharp object," he said. "Sadly, I believe it will only get worse once we get closer to voting day."

Juana said there had been 500 campaign violations leading up to voting day, 30 of which were for destruction of campaign material and vandalism.

He predicted cases of campaign law violation to be twice the number of legislative candidates, or 9,908 cases in Bali alone this year compared to the 4,954 legislative candidates competing for seats in the Bali Provincial Representatives Council (DPRD) and the Regional Representatives Council (DPD).

In comparison, Panwaslu data showed that the 2004 election saw 8,013 campaign violations nationally.

His warning came in line with the Bali Police Chief Teuku Ashikin Hussein's earlier warning, who predicted more security threats in the 2009 election.

When asked about the police's preparations for any security threats, Ashikin said he planned to gather the Bali KPUD and all political parties for a meeting in early February at the latest. "We'll tell them the consequences of violating campaign rules," he said.

Government/civil service

Where have all the lawmakers gone?

Jakarta Post - January 20, 2009

Dicky Christanto, Jakarta – New Year has brought no change to the House of Representatives, which is struggling to fight its chronic problem of absenteeism, despite mounting legislative work in the final nine months of its term.

A nearly empty House plenary session marked the start of legislative work Monday, with only 163 out of 550 lawmakers registered for the meeting. More legislators were seen streaming into and some others leaving the hall as the session proceeded, only to miss the House speaker's complaint about the lack of discipline among the politicians.

More legislators seemed to turn a deaf ear to Speaker Agung Laksono as they received and sent text messages or conversed with people outside the House via their telecommunication gadgets as Agung was delivering his opening speech.

At the end of the plenary, 315 were registered in the presence list, with 90 lawmakers formally asking for the day off.

Agung called on the lawmakers to improve their discipline now they would have to divide their attention between legislative duties and party commitments ahead of the elections in less than three months time.

"Public concern that less and less legislators attend hearings and carry out legislative work should serve as a wake-up call for us. I want all factions to uphold discipline, especially in the final months of our tenure as legislators," Agung said.

Article 6 of the House code of ethics requires legislators to physically attend all meetings and plenary sessions, but only threatens punishment against lawmakers who skip meetings three times in a row.

With most of the lawmakers seeking reelection in the April 9 polls, there has been concern that the House will ignore crucial bills.

Political observer Tommy Legowo suggested the House should mandate the Disciplinary Council to monitor everyday activities of the legislators, if necessary tracking down their whereabouts when they are absent from mandatory meetings on crucial bills.

"The Council and House leaders should not tolerate errant lawmakers and hand down firm punishments," Tommy said. The Council once proposed a plan to name lawmakers who made no-shows too often, but this never materialized.

Legislators neglecting 'crucial' bills

Jakarta Post - January 16, 2009

Abdul Khalik, Jakarta – With the legislative elections fast approaching, most House of Representatives members have begun campaigning in their respective electoral districts, leaving dozens of crucial bills untouched in Jakarta.

The House's standing session period will begin next Monday, and some 35 bills, including the crucial Corruption Court bill, military court bill and others on finance and the economy, await deliberation.

However, passage for those bills is unlikely to come anytime soon, as the House is expected to remain largely vacated, with some lawmakers predicting only a third of the 550 House members will remain in Jakarta.

Ganjar Pranowo of the Indonesian Democratic Party of Struggle (PDI-P) said bill committee meetings had been unable to approve bills since December last year because there were simply too few legislators present during the meetings.

"We will begin our standing session next week. But I doubt we can get quorum to make a decision in each bill meeting. Almost no one has returned from their electoral districts," he said.

The House's standing session period will last until March 20. The legislative elections are scheduled for April 9. Incumbent legislators will retain their seats until the newly-elected legislators are inaugurated in October.

However, observers have said the current tenures of the legislators will effectively end on March 20.

After that date, they said, the lawmakers will be too engrossed in the elections to concentrate on bill deliberating and they will be lame ducks in the five months leading up until October.

Harry Azhar Azis of the Golkar Party admitted there had been difficulties in passing bills ahead of the elections because the legislators were prioritizing reelection. Some legislators have reduced their activities in Jakarta to save their energy for regional campaigning.

Idrus Marham, a legislator with the Golkar Party, for example, recently resigned from his post as deputy head of special committee for a bill on composition of the House, the city council and the Regional Representative Council, to concentrate on wooing voters in South Sulawesi.

Chairman of the Prosperous Justice Party (PKS) faction at the House, Mahfudz Siddiq, said some crucial bills would not be passed before October.

"The Corruption Court bill is very crucial as it will define the future of the country's fight against graft. The Constitutional Court has given us time to pass the [bill] this year. But if we continue like this, I am afraid we won't finish it," he said.

Mahfudz urged party leaders to order their members to dedicate time to deliberating bills. "We can't let the court be put under the district court. The bill should classify it as a special court outside of the jurisdiction of the Supreme Court to guarantee its independence," he said.

Ganjar said a ruling by the Constitutional Court that gives seats to candidates who win the most votes has created a free-for-all within a number of political parties.

"We are all dedicating our resources and time to win voters as none of us is guaranteed a seat. Many of us think all other matters, including bill legislation, are secondary," he said.

Focus on Jakarta

Recession set to spark crime wave in Jakarta, say experts

Adnkronos International - January 19, 2009

Jakarta – Over a million Indonesians will lose their jobs in the global economic downturn and many will head to the capital, Jakarta, swelling the city's already overcrowded shanty towns with potential to provoke a crime wave, experts told Adnkronos International (AKI).

"Crime has already been rising since the economy has worsened, and the outlook is not bright," security expert Aleksius Jemadu told AKI. Jemadu heads the political science faculty at Indonesia's Pelita Harapan University.

The Indonesian business association has forecast that almost 1.5 million people will lose their jobs in the next five months as the global recession dampens demand for Indonesian exports. For many of these people, unemployment will mean acute poverty.

Almost 45 percent of Indonesia's 240 million inhabitants live on one or two dollars a day. Of the country's 110 million workers, 70 percent do not have a regular job, according to official statistics.

Crime has already risen by 12 percent this month in some areas of Jakarta, according to the city's police. The most common offences are armed robberies carried out by gangs on the street and car thefts.

The link between poverty and criminality is hard to deny, but neighbourhood crime bosses ('preman') and incompetent policing are also fuelling the crime surge, according to Beni Sukardis, director of Indonesia's Institute for Defence Studies (LESPERSSI).

"The culture of the preman is dominant and it is tolerated," he said. "Moreover, the public and politicians should put pressure on the police to make sure they do their job," he added.

"They currently carry out operations on an ad hoc basis, forgetting in between times that their primary duty is to protect citizens, " Sukardis continued.

Transjakarta satisfied with work, NGO says hold on

Jakarta Post - January 16, 2009

Desy Nurhayati, Jakarta – Transjakarta pledged to work toward improving their service in response to passengers' criticisms on the deteriorating quality of the busway system.

Coordinating with NGO Indonesian Institute for Transportation and Development Policy (ITDP), the busway operator held a press conference Thursday to coincide with its fifth year of service.

Transjakarta's head of Administration Department, Anton Parura, said there were many improvement plans for the future. "Hopefully, we can finally open three new corridors – Corridor 8 to 10 – by early February at the latest," Anton said.

At least 50 buses will be deployed for Corridor 8, which will serve the Lebak Bulus in South Jakarta-Harmoni in Central Jakarta route, he said.

Transjakarta has considered using a camera on each bus to monitor service on board, he said. "At the shelters, we can use fiber- optic lines to connect the cameras to our central monitoring server, but it is a bit harder to set up a real-time camera system on board mobile buses."

Head of Transjakarta Public Service Body D.A. Rini said that over the past five years, the company had managed to continuously improve on their targets and achievements. "We have managed to cover over 50 percent of our operating expenses and sell more tickets each year.

"Despite the fact that 2008 has been satisfactory performance- wise, we still have a lot to do. We need to continue working on our performance and service," Rini said.

Some members of the public believe it is too early for Transjakarta to call their performance "satisfactory".

Transportation NGO INSTRAN criticized the busway operator for failing to provide the passengers with better services after five years of operation, particularly concerning interconnectivity and comfort.

During a press conference Thursday, INSTRAN highlighted the long and inconsistent waiting period, leaving passengers stranded at shelters which quickly become overcrowded.

"According to our survey, most passengers complain about discomfort. Some of them have to wait for an hour for the bus and feel uncomfortable in the overcrowded buses and shelters," INSTRAN director Darmaningtyas said.

Therefore, he said the busway operator should add more buses, as well as develop an integrated feeder service to serve more passengers. "The operator can also build bicycle and pedestrian lanes connecting each shelter."

The group also pointed out the operator's failure to achieve the targeted number of passengers. The initial target was set at 5 million passengers per day via 14 planned corridors by 2010, but it has only managed to attract 230,000 passengers per day on seven corridors.

INSTRAN said the group had calculated that for the busway system to continue operating, Transjakarta needs more than a Rp 500 billion subsidy. Darmaningtyas said the city receives Rp 5 trillion each year in revenue from vehicle taxes. He said this tax revenue should be used as a subsidy for the busway system. (hdt)

Economy & investment

Banks cut lending rates to accelerate real sector

Jakarta Post - January 21, 2009

Aditya Suharmoko, Jakarta – Indonesia's top banks Bank Mandiri and Bank BNI have started cutting their lending rates in response to the central bank's rate cut.

As of the end of November last year, Mandiri and BNI together channeled over Rp 270 trillion in loans, making up just over 20 percent of total credits extended by the banking sector.

In a statement sent late Monday, Mandiri corporate secretary Sukoriyanto Saputro said the bank would cut lending rates up to 0.5 percent, starting Tuesday, to help stimulate the real sector.

"Mandiri has reviewed lending rates thoroughly and decided to cut the rates of rupiah-based loans in all segments up to 50 basis points," he said.

Meanwhile, BNI made a more aggresive cut. President director Gatot M. Suwondo said BNI would cut its lending rates, also starting Tuesday, between 0.5 percent and 1 percent for all segments. BNI's lending rates currently range between 13 and 17 percent.

"What is most important is to accelerate real sector growth. The lending rates will always be monitored by considering the risk factor," Gatot said.

Besides cutting lending rates, BNI also cut the deposit rates by 0.5 percent on average. The central bank cut its interest rate by 50 basis points to 8.75 percent earlier this month.

The economy is relying heavily on the banks to keep channeling loans to help it grow by between 4.5 and 5.5 percent this year, slower than the estimated 6.2 percent last year.

Danareksa Research Institute chief researcher Purbaya Yudhi Sadewa said with BI likely to cut its rate further to between 7.5 and 8 percent, banks would have no choice but to follow the trend.

If the BI rate hovers at 8 percent, banks "may cut their lending rates to slightly below 13 percent, the lowest in history, just like what happened in 2008 when the BI rate stood at 8 percent", he said.

Amid the protracted worldwide credit crisis, the nation's banking sector is in for probably the toughest year since the 1997-1998 crisis. However lending is still likely to grow at 18 to 20 percent, but slower than last year's 30 percent.

Other indicators used to gauge a bank's financial health such as capital adequacy ratio and non performing loans are also set to indicate weaker positions.

Indonesian billionaire takes on the Jakarta Post

International Herald Tribune - January 18, 2009

Peter Gelling, Jakarta – That it is probably the worst time in history to start a daily newspaper is not, at least for the moment, on the minds of the people behind The Jakarta Globe.

The Globe, an English-language paper that hit the newsstands in November, is an unusual sight in this era of the shrinking – or disappearing – newspaper: It is a 48-page broadsheet, big enough to cover your desk when unfolded and painted head to toe in color.

The paper is backed by the billionaire James Riady, deputy chairman of the powerful Lippo Group and one of the wealthiest people in Indonesia, with interests including real estate, banking and retail.

Riady is also a budding media mogul. He owns the Indonesian business magazine Globe and is developing a Web portal and a cable television news channel.

"I think they are serious about creating a media empire, becoming the Rupert Murdoch of South East Asia," said Lin Neumann, The Globe's chief editor.

The Globe, which has a print run of 40,000, will be going up against The Jakarta Post, which celebrated 25 years this year and has survived numerous attempts to unseat it over the past decade. It also survived the Asian financial crisis in 1998, which obliterated half a dozen other English-language publications.

This time, however, those behind The Post, which also has a print run of about 40,000, are nervous. Both papers are sold on newsstands and in hotels and restaurants, in addition to having home subscribers, and both seek the same audience – the country's rising middle class.

"They are spending lavishly," said Endy Bayuni, The Post's chief editor. "They are full-color, they run prestigious syndicated columns. But the question is about sustainability: How long is Riady willing to spend all this money? At the end of the day, they have to be commercially viable."

The newspaper business in Jakarta and throughout the country is fiercely competitive for both English and Indonesian papers. The relaxation of media restrictions after the fall of the country's longtime authoritarian ruler, Suharto, in 1998 has led to a boom in smaller, nondaily publications, but major dailies have struggled because the market is so small and has not grown at all in at least two decades.

"I don't think the market is big enough for two English-language dailies," said Yopi Hidayat, editor of Kompas, one of the largest dailies in Indonesia. "There have been so many other English newspapers launched in the last three or four years that have failed because they couldn't break into the market, which has long been controlled by The Post."

Kompas itself has had virtually the same circulation, 500,000, for the past 25 years, serving only a tiny fraction of the country's 240 million people. Total circulation for all the daily newspapers in the entire country totals only six million, according to the Indonesian Newspaper Association.

Neither The Post nor The Globe would discuss advertising revenue or circulation figures. Bayuni said The Globe had not yet cut into The Post's circulation.

The papers' editors, however, both pointed to Bangkok as an example of a market that has been able to sustain two English- language broadsheets, although Bangkok is a much bigger market than Jakarta. Both said they would aim at the growing Indonesian middle class – a group that is increasingly learning, working and reading in English. More than half of The Post's readers are Indonesian, as opposed to expatriate, and The Globe, recognizing this trend, is betting on the local population to increase its market share.

"English proficiency here is growing and there is a higher level of sophistication," Neumann said. "Indonesians are using English more now than ever and so we believe there is a market for both papers."

The two papers are fighting over journalists as well as readers. Finding experienced, English-speaking local journalists is not always easy here and the competition for them is high. The papers, however, are taking different approaches.

The Globe has put together a team of about 60 Indonesian reporters, recruiting from wire services like Agence France- Presse and Reuters. One of its deputy editors is Bhimanto Suwastoyo, who worked for AFP for more than 20 years and is widely considered one of the best local journalists.

The Post, on the other hand, has long been a training ground for local reporters looking to get their start in the industry. The paper offers a training program in exchange for service of as long as two years.

Often, Bayuni said, those reporters move on to more prestigious or lucrative positions. Bloomberg News employs six former Post reporters.

The Globe, which pays far better, hired several defectors from The Post before the paper hit the streets, fueling the rivalry between the two.

"I think The Globe is one of the first very serious media ventures in Indonesia in a long time," Hidayat said. "I think Riady as the owner is very committed to spending the money to bring in the best professionals in the field. He is pouring tons of money into this business and that might, in the end, allow it to survive."

Bayuni, the editor of The Post, said that if The Post spent as much as it appeared The Globe was spending, the paper would last three to six months at the most. He declined to speculate on how much money The Globe was spending.

On the streets, things have occasionally gotten nasty. When The Globe was introduced, subscribers of The Post were finding free copies mysteriously tucked inside their morning papers. The two have also fought over distribution agents.

"Things could get ugly, I guess," Bayuni said. "But they are the aggressor, we are on the defensive."

The Globe has faced questions about its ownership, as Riady has at times been a controversial figure. The Post has already run several stories about corruption within Riady's business circles, one of them on the front page, and just last week reminded everyone that the businessman had paid $8.6 million in fines to the United States for illegally contributing to Bill Clinton's election campaign in the early 1990s.

So far, however, The Globe has not shied away from covering Riady, and Neumann said he had had no interference from upstairs. "When we started, skepticism was pretty high that it would be under the corporate thumb, but it hasn't been, which I am really happy about," he said.

Bayuni, who acknowledges that The Post had gotten comfortable as the only game in town, said competition with the caliber of The Globe has been something of a wake-up call.

The company introduced a redesigned newspaper and Web site this month, though Bayuni said the timing had nothing to do with The Globe's arrival.

For both papers, coverage of the national elections this spring could go a long way toward giving one an upper hand over the other. "The elections will be a defining moment for both papers," Bayuni said. "We will see whose coverage, whose features and opinions, lead the way."

Analysis & opinion

Fuel prices fall, SBY's party rises to the top

Jakarta Post - January 19, 2009

Riyadi Suparno, Jakarta – President Susilo Bambang Yudhoyono has learned the lesson the easy way. When he cut fuel prices twice in December, his popularity rose sharply – and so did that of his Democratic Party (PD).

To widen his lead over his opponents, the President further cut fuel prices last week, with subsidized Premium and diesel fuel now at Rp 4,500 (40 US cents), as opposed to Rp 6,000 in November.

Fuel price cuts are real incentives the people enjoy. And people respond to incentives rationally. As a result, those who are happy with the price cuts will likely vote for President Yudhoyono and his Democratic Party – as indicated by recent surveys.

Three surveys by noted research institutions, that is, the Indonesian Survey Institute (LSI), the Reform Institute and the Institute for Economic and Social Information, Education and Studies (LP3ES), have predicted Yudhoyono will win the presidential election in a landslide.

The three surveys also put Yudhoyono's Democratic Party at the top of the list, defeating the country's two traditional biggest parties – the Golkar Party and the Indonesian Democratic Party of Struggle (PDI-P).

It is indeed a big surprise that the Democratic Party, which in 2004 came in at a distant third (with 7 percent, as opposed to Golkar's 20.5 percent and PDI-P's 18 percent), now sits at the top.

Many do not believe it, and they succumb to the temptation to question the surveys' validity. But when three surveys reveal similar results, there must be some truth in it.

Their disbelief is not without reason. Before December, all surveys consistently put the Democratic Party at number three, after PDI-P and Golkar.

Also, Yudhoyono's popularity continued to fall – especially after the government increased fuel prices in May of last year – and at one point he even slipped to number two behind Megawati Soekarnoputri, chairperson of PDI-P.

Fuel prices are indeed at play here. But the bigger question is why Vice President Jusuf Kalla and his Golkar Party did not benefit from the cuts.

Apparently, voters – or in this case survey respondents – do not see Kalla as having a role in the price reductions, although in some cases he made statements about possible cuts even before the government announced them.

Furthermore, voters do not see Golkar as an integral part of the government. Again, there is some truth here. Unlike the Democratic Party, which always stands behind all government policies, Golkar is choosey in what it supports. In some cases, it even goes against the government.

Fuel price cuts are in fact an obvious means of vote buying. PDI-P knows that, Golkar knows that and all politicians know that. The problem is these parties and politicians cannot criticize the fuel price cuts. Any move voicing opposition to this would be unpopular.

Yudhoyono has also given other incentives to voters. These include cash transfers to low-income people, school operational assistance, microcredit loans and various employment creation programs.

All these programs have born fruit, that is, rising popularity for Yudhoyono and his party. But maintaining popularity is a lot harder than gaining it.

The real challenge will be during the next three months leading up to April 9, when voters will cast their votes in legislative elections. During this time, the domestic economic situation will be a key determinant for Yudhoyono and the Democratic Party.

Fuel price cuts are indeed a good vote booster, but Yudhoyono has to do more to prevent the economy from drastically slowing down. Early indicators show that, in the first quarter of this year, the economy is already starting to slide.

Yudhoyono must have realized this was happening, and that's probably why he asked his finance minister to increase spending to stimulate the economy.

If and when Yudhoyono fails on the economy, his opponents will benefit. This is decisively the time for undecided voters to decide.

Analysis: Tough times force the foreign workers out

New Straits Times - January 18, 2009

[Indonesia is bracing for the return of hundreds of thousands of 'tenaga kerja Indonesia' as the economic crisis sets in. Amy Chew, Siti Nurbaiyah Nadzmi and Santha Oorjitham explore the impact on both Indonesia and Malaysia, where foreigners make up about 20 per cent of the workforce.]

In many Western countries, there is the social welfare service to look after the old, the sick and the unemployed. Here in Asia, there is also care for the old, the sick and the unemployed – a huge private enterprise known as "filial piety".

It is this deep sense of duty towards parents and family that compels millions from impoverished and developing countries to toil in a foreign land to earn money to pay for food, housing, healthcare and education for their loved ones back home.

Migrant workers remitted a staggering US$283 billion (RM1 trillion) to developing countries last year, according to the World Bank.

"I sent half my salary back home," says Indonesian Norida Abdul Karim, who earned RM800 a month working 12 hours a day, five days a week at an electronics factory in the Klang Valley. Her employer provided her with hostel accommodation and medical care at the factory's clinic.

Indonesian migrant workers, who make up the bulk of the estimated 2.1 million workers in Malaysia, send an estimated US$4-US$5 billion back home annually.

Remittances from migrant workers are crucial in helping to fight hunger and poverty as they feed millions and exceed Overseas Development Assistance (ODA) from foreign governments to poor countries.

In Indonesia, many villages have been transformed by the remittances – houses with mud floors are rebuilt into permanent structures and thousands of children complete their education funded by the toil of their migrant worker parents.

The prudent use their hard-earned money to set up small businesses which generate income for the rest of the family.

But as the global economic crisis bites, migrant workers are being retrenched in record numbers as factories shut down, construction projects come to a halt and oil palm plantations reduce capacity.

Norida was among the first wave of 22 Indonesians retrenched at the electronic factory in Selangor where she worked. "I think they wanted to terminate people because of the economic crisis," she says.

More than 400 Indonesian migrant workers have been retrenched from the company and the last of them were terminated this week. However, a few thousand Malaysians still work at the factory.

When she was axed, Norida and her fellow Indonesian workers received no retrenchment benefits.

Norida suspects that if her employer made any contributions to the Employees' Provident Fund (EPF), the money was pocketed by the agency that placed her at the factory.

Her employer just informed the agency of her dismissal. Norida has had no work since then, although her agency promised to find her a new job.

Indonesian labour organisations predict a flood of migrant workers will be repatriated as the economic crisis bites.

"This year, we expect hundreds of thousands of Indonesian workers to be sent back. The bulk of them will return from Hong Kong, Singapore, South Korea and Taiwan where many factories are closing down," says Yulienzah, vice-chairman of Scala Brini Migrant Solidarity.

Yulienzah herself was a former migrant worker in Hong Kong and speaks fluent Cantonese. "From Malaysia, we expect thousands of illegals to be deported."

Malaysia is currently working with foreign embassies to ensure a smooth and speedy process to repatriate foreign workers.

"This includes those who have overstayed and those without valid documentation – in other words, those who have been staying and working illegally in this country," says Home Minister Datuk Seri Syed Hamid Albar.

The International Organisation for Migration (IOM) has called upon developed countries to recognise the contributions made by migrant workers towards their economic growth and recovery and to resist the temptation to close the doors on them in times of an economic slowdown.

"Although the economic crisis is still unfolding and its full impact remains unclear, it would be counter-productive for governments in developed countries to close their doors to migrants," said IOM director-general William Lacy Swing on International Migrants' Day last month.

"It becomes ever more crucial to ensure that ODA levels do not drop at this time, to ensure that poverty and development gaps aren't exacerbated by this economic crisis.

"If they are, then the pressure on people to migrate by whatever means they can find will increase."

To date, the government has no plans to cut down on the employment of foreign workers, according to Syed Hamid.

"But personally, if I had my way, I would do away with the employment of foreign workers which would eliminate a host of problems that comes with it, such as illegal immigrants, overstaying, abused workers and other issues.

"Nevertheless, the employers are adamant about employing foreign workers instead of locals for various reasons."

His ministry has received thousands of applications to bring in foreign workers in various sectors and the numbers are growing. "It is perilous to be heavily dependent on a foreign workforce," he warns.

The returning workers are expected to swell the ranks of the unemployed in their respective home countries. In Indonesia, unemployment will be a serious challenge as its own domestic manufacturing sector is forecast to shed 500,000 to a million workers.

"We expect unemployment to be around nine to 10 per cent of the 100 million labour force," says Standard Chartered chief economist Fauzi Ichsan in Jakarta.

The Indonesian Employers Association urges the Indonesian government to implement its stimulus package as soon as possible. "We need to speed up the stimulus package and infrastructure projects to create jobs," says Sofyan Wanandi, its chairman.

Last week, Indonesia's well-respected Finance Minister Sri Mulyani Indrawati said the government would spend US$6.5 billion (RM23 billion) on infrastructure and other projects to boost economic growth.

While the news was welcomed by the market, Norida has little to cheer about. With only four months left on her work permit, she thinks it is unlikely any other factory will hire her.

But if she leaves now, her agency wants her to reimburse the remainder of the foreign worker levy (RM100 per month). "I don't want to pay that because they promised they would send me back if there was no work."

And the agency is demanding an additional RM500 for her fare home. When she first arrived, she was told the RM2,000 fee she paid to come to Malaysia included her roundtrip fare. Still, Norida says: "I just want to go home. I think it is going to be a long economic crisis."


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