Dispute between Newmont and regency may soon end with win-win solution
Saturday, March 4 2000 - 04:00 AM WIB
The months-long dispute pitting gold mining company PT Newmont Minahasa Raya against Minahasa regency in North Sulawesi may soon end with a win-win solution, Manado Post daily reported.
The paper said the regency had turned "soft" in its demand for taxes from Newmont following a meeting at the Ministry of Mines and Energy's office in Jakarta on Feb. 25, involving several ministers.
During the meeting, which was presided over Minister of Mines and Energy Susilo Bambang Yudhoyono, the ministers agreed to endorse the suit filed by Minahasa regency against Newmont over the C-class tax on its overburden.
"The meeting finally agreed that the suit filed by the Minahasa regency was a suit by the Indonesian government. Thereby, the central government, (North Sulawesi) governor and (Minahasa) regent are expected to speak the same language to push Newmont to pay the C-class taxes," head of legal section at the Minahasa regency Jerry Pattilima said.
Minahasa regent Dolfie Tanor said he was happy with the result of the meeting.
"Had the minister taken such a tough measure long time ago, the regions should have well grown," Dolfie said.
According to Dolfie, another meeting aimed solving the dispute will be held on Tuesday next week.
"Let's see the results. If it is beneficial to the Minahasa people, we shall be ready to accept it," the regent said.
According to the paper, following the Feb. 25 meeting, the regency was now ready to receive US$3 million or around Rp 21 million in the C-class taxes from Newmont, as against their initial demand of Rp 61 billion.
Meanwhile, spokesman of the Tondano District Court, which is examining the dispute, N Pomolango said thus far Head of the Manado High Court OH Simarmata had yet to decide on the provisional ruling issued by the district court ordering Newmont to suspend its gold mining operation in the province.
He said Simarmata could not quickly decide on the ruling as he had to study the case carefully.
The provisional ruling, which has sparked criticism from many parties cross the country, had to be approved by Simarmata as head of the High District Court to be implemented. (*)