Seaunion Energy demanded to pay compensation

Tuesday, June 12 2001 - 04:17 AM WIB

At least 13 families in the Kemangtanduk and Tanjungmenang vilages in Muaraenim, South Sumatera have demanded Pertamina?s joint operation partner Seunion Energy Limited (SEL) to pay compensation for the damages caused by pollution from the company?s oil fields in the area.

Sriwijaya Pos reported on Tuesday that the villagers demanded SEL to pay compensation of Rp 6,000 for every meter of land damaged by the company?s pollution. But the company refused to meet the demand.

SEL spokesman Faried Andrian said that the compensation demanded by the villagers was rejected because it was not longer realistic.

He said that the company had increased its offer to pay the compensation from as low as Rp 2,500 per meter to as high as Rp 3,800 per meter. But the villagers ignored the company?s good faith.

Faried said that if the company met the demand to pay Rp 6,000 per meter, it would violate the local regent?s ruling, which capped the compensation payment at Rp 3,500 per meter. (*)

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