Adaro refuses to pay channel fee
Friday, August 31 2001 - 01:34 AM WIB
The giant coal mining company PT Adaro Indonesia has objected to plans by the South Kalimantan administration to impose a retribution fee of US$0.25 per ton of coal shipped through the Barito Channel, according to the local Banjarmasin Post daily in its Friday edition.
The paper quoted Adaro shipping superintendent Anton Tri Agung Gagola as saying that the planned fee was too high.
He also said that the company would only agree to pay a fee if the company?s coal vessels could pass through the channel 24 hours without disruption.
Adaro is the largest coal mining company with annual production of 20 million tons of coal.
Adaro?s rejection followed similar refusal made by other companies including shipping association.
The Barito Channel is being dredged by a company called PT Sarana Duta Prima Putra, which had proposed the controversial retribution fee to the South Kalimantan administration.(*)