East Kalimantan demands Rp 16 trillion from local wealth

East Kalimantan governor Suwarna Abdul Fatah has asked the government to give the province a large share from the government?s revenues obtained from the local natural resources. This year, the portion that must be paid to the provincial administration should be increased to Rp 16 trillion (US$=Rp9,000) from only about Rp 7.1 trillion last year.

"We want at least 20 percent of the regional GDP should be given to the province," he said in a seminar on economic recovery in Jakarta on Friday.

The governor said that the East Kalimantan would not demand the full autonomy as implemented in Aceh or Papua but the local people deserved a larger share from the province?s wealth. "This year, East Kalimantan should receive at least Rp 16 trillion," he added.

The governor said that the province is deserved a large share from the revenues raised from its natural resources such as oil and gas production, or from mining activities and forestry sector. According to him, the province?s GDP will further increase to reach at least Rp 150 trillion.

According to the existing regulations, provincial administrations receive 30 percent and 15 percent, respectively, from the government?s revenues from gas and oil. The province receives a bigger share from mining and forestry sectors. (*)