Adaro?s contractors criticized for not paying heavy equipment tax

Contractors of South Kalimantan-based coalminer PT Adaro Indonesia have been criticized for not paying heavy equipment tax to the local government, local daily Banjarmasin Post reported Monday.

Provincial administration officials in late 2002 met with representatives of the Adaro?s contractors and explained to them about their tax obligations. The contractors included PT Pama Persada Nusantara, PT Buma and PT Rahmat Adijaya, the paper quoted Didi Bukhari, an NGO leader as saying.

Didi said that based on Law No. 34/2000, the local provincial government issued regulations requiring contractors to pay heavy equipment tax.

But Pama?s spokesman Rijali denied allegations the company had violated any tax ruling. He said that the company was still unclear about the the heavy equipment tax requirement.(*)