EXCLUSIVE - Regions reject gradual transfer of mining rights
Monday, October 30 2000 - 05:30 AM WIB
The regional governments had turned down the central government's proposal to gradually transfer the mining rights to regional governments Purnomo Yusgiantoro, Minister of Energy and Mineral Resources said in a business meeting on Friday here.
"I myself would like to see gradual transfer of power to the regional governments. But the pressure the regional government is very strong. They demand that at the cut-off date of January 1, 2001, all the (mining) rights be transferred (to the regional governments) " Purnomo said.
Purnomo told the business gathering that he had invited some 200 regents from across Indonesia for a meeting on October 12 and 13.
During the meeting, he tried to convince them about the urgency of gradual transfer of power, but the regents were not convinced and wanted the power to be transferred completely on January 1, 2001.
Purnomo said the central government was now facing a dilemma. On one hand, the autonomy law stipulates that starting from January 1, 2001, mining rights must be transferred to regional governments. On the other hand, it was concerned that not all regional governments were ready to implement the autonomy law, especially in the mining sector.
Purnomo also said he had consulted the matter with Minister of Home Affairs Surjadi Sudirdja only to be told by the latter that no such things as gradual authority transfer were stipulated in the autonomy law.
"So, January the first is January the first. And by that time we will have to transfer the mining rights'" he said.
The government, said Purnomo, would like to form a so-called "technical assistance team", whose members would be recruited from the government, mining companies, NGO's and other parties. The main duty of this team, he said, was to give assistance to the provincial or district governments whenever they need help in implementing the autonomy law in mining sector.
However, Purnomo did not specify when the team would be formed.
Purnomo also said that he would like to give clear message to the regional governments to honor the existing contract of work.
"The present contract must be respected by the local government and it can not be changed without mutual consent from the parties involved in the contract," he said. (alex)
