Pertamina accused of using residents' land

Monday, June 26 2000 - 04:00 AM WIB

Residents of the West Dumai district in Riau have given Pertamina until June 30 this week to settle the compensation payment of their land used by state owned oil and gas company to build a housing complex.

The residents said that if the company did not settle the compensation payment on the deadline, they would occupy the properties. "We have waited for more than a year and now we have lost our patience," one of the residents told Riau Pos daily.

The landowners have demanded the company to pay between Rp 50,000 and Rp 60,000 per meter for the 1,300 hectares land site. The state oil and gas company has refused to pay the compensation because many parts of the land are claimed by more than one owners.

Pertamina has received a series of protests from the local residents lately, mostly demanding the company to pay a fair compensation for the land used by the company. Last week, the local people took control of the Dumai shipyard as the company refused to meet their demand. (*)

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