Pasir legislature reports Kideco to House on royalty issue
Monday, September 12 2005 - 03:09 AM WIB
Due to the alleged malpratices in reporting coal production by PT Kideco Jaya Agung, East Kalimantan's Pasir regency lost royalty amount of around Rp 6 billion, the Bisnis Indonesia newspaper reported in its Monday edition.
It is suspected that the company's actual production value reached Rp 30 billion but it reported only Rp 24 billion.
Pasir regency's Regioanl Legslative Council team came to Jakarta to report the case to the House of Representatives' Commission VII on mining affairs.
Pasir team member Suhaimi Abdullah, who is also the Commission A chairman, urged the government to evaluate the performance of Kideco, which is causing losses for the regency.
"This must be examined because the production volume of Kideco is not in line with the its license. In the end we will get more ash and less royalty," Suhaima said.
There was no comment from the Kideco on the allegations.(*)