Govt quarrel with people over community development fund

The Hulu Sungai Utara regency in South Kalimantan province is in dispute with its people over how to manage the community development fund provided by coal mining firm PT Adaro.

Regent Suhailin Muchtar admitted on Wednesday that the status of the fund was not yet clear on whether it should goes first into the local administration budget before disbursing it into the community or should it be directly managed by the community.

Banjarmasin Post reported that the local people wanted the fund to be channeled directly without parking it first in the administration budget.

General affairs manager of Adaro Eddy Suwignyo admitted that the fund was still in the hands of the company.

He said that Adaro has not channeled the funds because it's not yet clear whether the company should channel it directly or should it be managed by the local administration.

Suhailin said that the regency was planning to form a special team to manage the community development program.

He welcomes non-governmental organizations to provide input for the team. (*)