Governmental Regulation on autonomy to be launched on May 7

Friday, April 28 2000 - 05:00 AM WIB

The government would issue the regulations for the implementation of the Autonomy Law No. 22/1999 and the Intergovernmental Fiscal Balance Law No: 25/1999 on May 7 this year, a top official was quoted by Bisnis Indonesia as saying on Thursday.

State Ministry of Autonomy's deputy of regional capacity development Affan Gaffar said the regulation would specify the rights of the central government and regional administrations.

Both laws give wider rights for the regional administrations to rule their respective areas, manage their natural resources and obtain greater revenues from their natural resources.

A spokesman of state oil and gas company Pertamina L Harijanto said it was necessary to soon implement both laws so that foreign oil and gas contractors can operate peacefully.

He said foreign oil and gas contractors were now troubled over the numerous new taxes levied by the local administrations on them.

"The spending has soared due to the unclear taxes. We are confused. This is unfavorable to Pertamina and to the government," Harijanto said. (*)

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