Pertamina will go ahead with its plan to privatize subsidiaries

State owned oil and gas company Pertamina will go ahead with its plan to privatize some of its subsidiaries although the privatization plan has been opposed by workers? unions, the company?s spokesman Ridwan Nyak Baik said in Jakarta late last week.

"The privatization is intended to further develop business activities of the subsidiaries. The privatization will not affect Pertamina?s social mission because it would directly affect its subsidiaries," he was quoted as saying by Kompas daily on Monday.

Ridwan said that the privatization would be carried on companies, which have no direct links with public such as hospitals or Pertamina?s ship docking operation. He denied that the privatization would be made due to World Bank?s country director Mark Baid. "It has long been prepared on companies which do not have any direct business links with Pertamina, he added.

According to Pertamina?s initial report, the combined profits the company booked from its subsidiaries reached Rp 116.676 billion in 2001 and US$1.961 million. Patra Jasa booked profit of Rp 6.484 billion, PT Pertamina Tongkang (Rp 41.318 billion), PT Elnusa (Rp 10.258 billion), PT Pelita Air Service (Rp 37.625 billion), PT Patra Dok Dumai (Rp 777 million), PT Elnusa Harapan (Rp 3.349 billion), PT Rumah Sakit Pertamina Pusat (Rp 16.865 billion), and Pertamina Energy Trading Ltd (US$1.961 million).

During the first semester of this year, the combined profits reached Rp 105.633 billion and US$3.186 million. PT Patra Jasa booked profit of Rp 1.670 billion, PT Pertamina Tongkang (Rp 19.715 billion), PT Elnusa (Rp 21.943 million), PT Air Pelita Service (Rp 16.529 billion), PT Patra Dok Dumai (Rp 1.466 billion), PT Elnusa Harapan Rp 1.515 billion, PT Rumah Sakit Pertamina Pusat (Rp 42.795 billion) and Pertamina Energy Trading Ltd (US$3.186 million). (*)