PDI-P seeks to review Adaro's contract of work
Friday, January 5 2001 - 05:00 AM WIB
The Indonesian Democratic Party Struggle (PDI-Perjuangan) in the Hulu Sungai Utara regency, South Kalimantan proposed on Thursday to change the contract of work (COW) held by coal mining company PT Adaro Indonesia, saying the terms of the COW was no longer compatible with the spirit of the regional autonomy.
The proposal was voiced by the party's faction during the budget plenary meeting held by the regency's council.
Faction spokesman Soekardjo Yusuf said during the meeting that the COW had been made based on the Mining Law No. 11/1967, which would be reviewed by the House of Representatives.
"We call on other factions at the Hulu Sungai Utara council to support this proposal. If necessary, the council needs to recommend that Adaro's COW be revised to make it compatible with the regional autonomy's spirits and maximally beneficial to the Hulu Sungai Utara regency," he was quoted by local daily Banjarmasin Post.
He said thus far Adaro's COW only benefited the central government.
He also regretted the fact that Adaro had thus far turned down the request for donations from "third parties" but he did not specify what he meant by "third parties".
"Our faction can not accept the excuse made by Adaro that it can't give donations to third parties because it has conducted community development programs," Soekardjo said.
He suggested Adaro be given penalty for refusing to give donations to the third parties.
A local non-governmental organization called Gempur laid its weight behind PDI-P's proposal for the review of Adaro's COW. (*)