Govt provides free emission tests ahead of UN conference

Ary Hermawan, The Jakarta Post, Denpasar

As part of a campaign to improve Bali's air quality and in connection with the United Nations Framework Convention on Climate Change (UNFCCC) to be held early next month, the Bali administration and the State Ministry for Environment will provide free emissions tests for vehicles on the island from Nov. 26 to Dec. 2.

"We hope in the future emissions tests will be made obligatory for motorists wishing to apply for or to extend their vehicle registrations," the ministry's Bali and Nusa Tenggara regional office head, Sudirman, said while launching the program in Kedonganan, Badung regency, on Monday.

The surging number of gasoline and diesel-powered vehicles in Bali have deteriorated air quality on the resort island.

The administration, while acknowledging the serious problem, has not yet issued a regulation to ease the rise in vehicle ownership in the province, especially in the crowded Badung and Denpasar regencies.

Lacking a reliable public transportation system, Balinese have been forced to use private motorcycles and cars to go to work and school.

The tourism-based economy has also pushed up motorcycle sales on the island as foreign tourists prefer low-cost motorcycle rentals over hotel buses to explore Bali.

The Indonesian Motorcycles Association (AISI) has reported that Bali and Jakarta are two provinces with the most dense motorcycle population, with 2.8 to 3 people per motorcycle.

In Bali, one household could own three to five motorcycles. The number of vehicles on the island was less than 600,000 in 2002 but that figure has today soared to more than 1,400,000.

"We are all worried about the degradation of Bali's air quality," Bali governor Dewa Beratha said in his written statement, which was read by provincial secretary Nyoman Yasa.

"However, we can do something to stop it by conducting emissions tests on vehicles," the governor said.

Yasa said a lack of regulations, which could help slow down the pace of vehicle-ownership growth, was the main challenge for the province to improve its air quality and help prevent global warming.

"We are happy that Balinese people are enjoying economic growth, but we are also aware of its adverse impacts," he said.

He said in the future the administration would issue a regulation to limit the number of vehicles in Bali.

"I can't give you a specific date. But in time it will become necessary to issue such a regulation," he said.

He hinted Bali could possibly implement a progressive taxation scheme in which a person who owned more than one vehicle would have to pay higher taxes.

"This kind of regulation is applied overseas," he said.

The Bali administration has drafted a master plan of an integrated mass transportation service linking Denpasar, Badung, Gianyar and Tabanan regencies.

It is still unclear when the service, which is being referred to as the acronym Sarbagita, would be launched.

Bali is preparing for the UNFCCC, during which delegates of 191 nations would meet to draft the blueprint of a mechanism to reduce greenhouse gas emissions after the Kyoto Protocol expires in 2012.

All motor vehicles provided by the organizer of the conference in the Nusa Dua resort complex will run on biofuel, which is considered to be more environmentally friendly than regular fuel.

Agus Purnomo, an official from the environment ministry who heads the conference's organizing committee, has assured that tourists staying in hotels in Nusa Dua would not be disturbed by the security arrangements during the conference.

Telkomsel launches mobile wallet

JAKARTA (The Jakarta Post): Indonesia's largest cellular provider PT Telkomsel Selular (Telkomsel) on Tuesday launched the first mobile wallet facility in the country, called T-Cash.

President director Kiskenda Suriahardja said in a ceremony the facility could be used by T-Cash subscribers whether they were Telkomsel customers or not, as an exchange tool to purchase goods or pay for services at selected merchants by sending an SMS to 2828 or showing a T-Cash card.

"We have invested some Rp 50 billion (US$53.30 million) in the establishment of the T-Cash facility," Kiskenda added.

He said T-Cash was the extension of his company's mobile banking program which offered banking services such as money transfers, deposit checks, bill payments and changes to personal identity numbers (PIN) via a banking menu on a cellular phone.(JP/nkn)

PGN in talks to buy gas from ConocoPhillips

Ika Krismantari, The Jakarta Post, Jakarta

State-gas distributor Perusahaan Gas Negara (PGN) hopes to buy natural gas from ConocoPhillips' gas field in Grissik, South Sumatra, following the termination of the company's gas supply contract with Singaporean buyers.

PGN president director Sutikno said Wednesday the company was currently negotiating with ConocoPhillips and the Upstream Oil and Gas Regulatory Agency (BP Migas) to buy gas from the Grissik field.

He said the company offered to buy the gas from ConocoPhillips for between US$3.8 and $4 per million cubic feet per day, with no response so far.

Sutikno said the company planned to sell the gas to a Batam power company, which was currently suffering a gas deficit of 40 million cubic feet per day.

The government terminated the gas export contract with Singaporean firm Island Power (IP) in June, after the company failed to secure a pipeline connection with another Singaporean company, Gas Supply Pte. Ltd. (GSPL), a subsidiary of Temasek Holdings, within a period of time given by the government.

Under the agreement between the government and IP, Indonesia was to deliver 110 million standard cubic feet per day of gas to IP, over a period of 13 years ending 2014.

Under the plan, the gas from ConocoPhillips' gas field in Grissik would be transmitted via a 470-kilometer pipeline across Batam.

At present, Singapore still receives gas from ConocoPhillips and its partners' fields in Natuna. Like Singapore, Malaysia also has a contract for the supply of gas from the Natuna field. This contract runs for 20 years up until 2020.

BPMigas deputy chairman for marketing and finance Eddy Purwanto said in addition to PGN, several companies expressed an interest in buying gas from the Grissik field.

"We are still discussing it. We will see who makes the best offer," Eddy said to reporters after signing an anti-corruption pact with BPMigas executives.

Meanwhile, a subsidiary of the country's largest publicly traded oil company, PT Medco Energy Internasional, has agreed to sell natural gas (around 110 million cubic feet per day) to state-owned fertilizer producer Pupuk Iskandar Muda (PIM).

The gas would go to PIM's fertilizer plant in Nanggroe Aceh Darussalam under a seven-year contract beginning 2010.

Upstream Oil and Gas Regulatory Agency's chairman Kardaya Warnika on Tuesday said PT Medco Exploration and Production (E&P) would sell the gas to PIM at a price of US$5 per million British thermal unit (mmbtu).

He said the deal also included an agreement to raise the price, should the price of fertilizer in the global market exceeded $360 per ton.

PIM has been unable to operate to full capacity for the last three years due to the gas shortage.

BP Migas to cut mandatory exploration period

Ika Krismantari, The Jakarta Post, Jakarta

The Upstream Oil and Gas Executive Agency, or BPMigas, is considering shortening the mandatory exploration period in the oil and gas sector to three years from 10 years to speed up exploration at newly awarded oil and gas blocks.

BPMigas chairman Kardaya Warnika said here Tuesday if oil and gas companies failed to find oil or gas reserves during the three-year period, they would have to return the concession areas to the government.

Should the companies succeed in finding oil or gas reserves during the period, they would be not be given deadlines for conducting drilling activities, he said.

Under the current regulation, oil and gas contractors are given 10 years to carry out exploration and drilling activities, or the government will revoke their rights.

"We plan to exclude drilling activities from the list of commitments stated in the exploration stage. We are aware that drilling can be done only if the feasibility study proves that reserves are available. If there are not any, we don't have to do the drilling," Kardaya said.

He hoped that under the new arrangement, the government would be able to meet its target of a 30 percent increase in oil and gas production by 2009.

The country's oil production has been suffering a downward trend, with oil production declining from 1.3 million barrels per day in 2001 to about 950,000 barrels per day this year, according to data from the Energy and Mineral Resources Ministry.

Indonesian gas production has also declined, from 8.6 billion cubic feet per day in 2003 to 8.1 billion cubic feet per day in 2006 and an estimated 8 billion cubic feet per day this year.

This decline in production is mainly the result of falling production at aging oil and gas fields.

In another effort to boost the country's oil production, the government said earlier it planned to offer companies developing new oil and gas concessions in deep sea and frontier areas more favorable production splits.

Director general of oil and gas Luluk Sumiarso said recently that under the planned production sharing scheme, oil and gas companies operating in deep sea and remote areas would receive 49 percent of the net production, while the government would take 51 percent.

This offer is far better than the government's current arrangement, under which investors receive 15 percent and 30 percent, respectively, from oil and gas production.

With those plans on the table, Kardaya was optimistic oil production would increase to around 100,000 barrels per day next year, meeting the production target of 1.03 million barrels of oil set by the government in the 2008 state budget.

BNI to Acquire Banks

Monday, 26 November, 2007 | 16:22 WIB

TEMPO Interactive, Batam: PT Bank Negara Indonesia Tbk. (BNI) is preparing to acquire several consumer-based private banks also small- and medium-scaled enterprises.

Bien Subiantoro, BNI's Director of Syariah Commercial and Business, said that the acquisition will be begun this year and last until 2008.

One of the banks to be acquired is a bank whose head office is in Denpasar, Bali, and the negotiation process with the bank is almost completed.

“There's a possibility that late this year it'll be completed,” he said, however refused to name the bank.

“What is clear is the bank has a strong micro credit network in Bali, with a market segment under Rp50 million,” he said after opening the “Capacity Building Socialization and Training of Partnership and Environment Reservation Program” event in Batam last week.

In addition to this bank in Denpasar, another bank being aimed at is a private bank based in Semarang.

BNI's Managing Director, Sigit Pramono, previously made a similar statement.

Since the beginning, the bank he leads has decided to grow through two paths, organic and anorganic.

Through the anorganic path, bank consolidations are carried out through mergers or acquisitions.

Bien went on to say that acquisitions were carried out to strengthen BNI's plan to add to the financing portion for non-corporate credit.

This consisted of financing for small- and medium-size business credit; consumers and syariah.

BNI has set a target of disbursed credit to finance this segment to be 60 percent.

The remainder will be channeled for corporate credit.

By to the end of this year, BNI's non-corporate credit is targeted to be around Rp17.5 trillion, a 24 percent increase compared to last year's Rp13.8 trillion.

Bien said he was optimistic that this target will be met.

The reason for this was that up to September, disbursed credit had already reached Rp16.5 trillion.

DEWI RINA

Children's conference focuses on bullying

Agnes Winarti, The Jakarta Post, Jakarta

Thirty-six elementary school students from around the archipelago are participating in the 7th National Children's Conference organized by children's magazine Bobo from Nov. 25 to 29, focusing on the problem of bullying.

Students were selected from 1,515 fourth to sixth graders who submitted writings about bullying to the magazine.

Selected students come from Bandar Lampung, Banten, Jakarta, Bogor, Bandung, Yogyakarta, Malang, Bali, Banjarmasin, Riau, Nias, Pekanbaru, Kupang, Manado and Papua.

"There is a considerable possibility that every child has experienced being bullied physically, verbally or non-verbally at some stage. Yet, only a few people are aware of what exactly bullying is, its impact and how to handle it," Bobo chief editor Koes Sabandiyah said Monday.

"Bullying can cause depression and trauma in a bullied child, while the bullier can grow into a violent person with no empathy. For the sake of our smart generation of future leaders, we want to take an active role in campaigning 'Stop Bullying' among children," she said.

On the last day of the conference a declaration to end bullying, drafted by the 36 student attendees, will be presented to the wife of Indonesia's vice president, Mufidah Yusuf Kalla.

The Children's Conference has been an annual event of Bobo magazine since 2001.

Last year the conference was held with the theme "Disaster Concern", while in previous years it was "Saving Energy", "If I was President", "Making Friends in the Context of Pluralism", "Healthy Living" and "The Environment".

The conference is hoped to provide a forum for children to gain an awareness of youth issues and to practice voicing their opinions.

Parents and teachers accompanying the selected students are also involved in the conference by participating in a discussion led by a team of psychologists to learn more about bullying.

Febrina, 34, a part-time lecturer and a mother of one of the selected students from Pekanbaru, Riau, said, "I don't think there are any teachers and parents back in my town who know the term 'bullying'. I've just learned about it also, right here, right now."

More information visit:

www.konferensianak.com

Bobo Magazine Secretariat Gd. Gramedia Majalah 1st Fl.
Jl. Panjang No. 8A Kebon Jeruk, Jakarta
Ph: 021-5330150, 5330170, #32126

Women turn waste into handicrafts

The Jakarta Post, Jakarta

One hundred housewives from Greater Jakarta joined a two-day workshop on garbage recycling that would earn them some income while helping protect the earth.

Josef Bataona, human resources and corporate relations director from Unilever Indonesia, which organized the event last week, said the workshop taught women to turn discarded plastic into handicrafts such as bags, hats and waste bins.

"We will help them sell the products in the local market and possibly overseas," he said.

Sartiti, a city environment official, said housewives could play a big role in recycling because they had more time to do it.

"I hope that by selling the products they can earn additional income for their families," she said.

On day one of last week's workshop participants listened to motivational talks on how to become an entrepreneur. The next day they received lessons on how to create handicrafts from plastic garbage using sewing machines.

"We provide 10 machines to the participants who are divided into 10 teams," said Josef.

Winarsih and six other housewives from Ciracas district in East Jakarta were enthusiastic because the machines would help them make the handicrafts more quickly.

"I can only make one of the handicrafts a day manually. Hopefully we can produce more with this machine."

Winarsih and her friends did not worry about selling the crafts because Unilever promised to market them at home and abroad.

"They promise to help us promote our products in supermarkets," she said.

The workshop is part of the company's program called Jakarta Green and Clean that started two years ago after the success of a similar campaign in Surabaya, East Java, in 2001.

In Jakarta, the program involves around 1,000 neighborhoods, according to Josef.

Previously the company cooperated with neighborhood units to teach them how to separate dry and wet garbage and recycle wet garbage into compost.(ewd)

Indonesia`s Duta Graha eyes construction projects in middle east construction

Jakarta (ANTARA News/Asia Pulse) - Construction company PT Duta Graha Indah said it is bidding for an office building project in Bahrain and an apartment project in Ryadh.

The contract value of the office building project in Bahrain alone is estimated at around Rp500 billion (US$55.5 million), Duta Graha Finance Director Laurensius Teguh said. "We are taking part in the tenders for the two projects.

Hopefully we will emerge as winner and could start work in the two Middle East countries next year," he added.

Information ministry gets ready to become ICT hub

The Jakarta Post, Jakarta

The Communications and Information Ministry says it should drive any attempts to establish an information and communication technology (ICT) culture in Indonesia.

"The culture of information and communication technology should be started from the ministry itself," said Communications and Information Minister Muhammad Nuh during the opening of the ministry's three-day national coordination meeting on Monday.

The main purpose of the meeting is to establish a new policy for the ministry in its efforts to accelerate the national ICT development program in 2008.

The national program itself is aimed at developing a prosperous, civilized and knowledge-based information society that is synergic and integrated nationally.

Nuh said that in order to be a reliable hub for the program, there were three things the ministry should do.

"First, improve the quality of human and other resources. Second, enhance the value system, including good governance and innovation, that can support its tasks," he said.

"Third, eliminate all performance burdens, including incapable human resources."

The minister also emphasized the need to provide concrete suggestions for revamping regulations related to foreign or joint businesses in the ICT sector.

"Any improvement must embrace both economic and political views," he said.

He also said that 2008 was an important year because it would mark the beginning of preparations for the 2009 presidential election.

"The Communications and Information Ministry will hold a big responsibility in making the election successful."

Another speaker at the meeting, Dr. Made Suwandi from the Home Ministry, explained the importance of information and communication technology in the implementation of the central government's decentralization program.

"The role of information and communication technology is very important for Indonesia's administration reform efforts, and finally for its economic development," he said.

"Progress in structural reform, both bureaucratic and institutional, is needed for improving the investment climate in Indonesia.

"More specifically, information and communication technology development is also needed for encouraging the development of small and medium enterprises, reforming the financial sector, and also for making a success of the national poverty reduction program."

Another speaker, Alex Bambang Riatmodjo from the Coordinating Ministry for Political, Legal and Security Affairs, said ICT had an important role to play in maintaining national security and defense, especially counterterrorism efforts. (uwi)

Bird Flu laboratory opens in Surabaya

Indra Harsaputra, The Jakarta Post, Surabaya

Airlangga University in Surabaya, East Java, opened a new avian influenza laboratory Monday, giving the region a new weapon in the fight against the disease that has killed 91 people across Indonesia.

University rector Prof. Fasich presided over the opening ceremony, which was also attended by Hiroshi Ota, vice president of Japan's Kobe University and dozens of bird flu experts from both countries.

The research facility, housed in the Tropical Disease Center compound of the University, is the second bio-safety level III laboratory in the country. The other is at the Eijkman Institute of Molecular Biology at the State Ministry of Research and Technology.

"The Health Ministry has only a bio-safety level II laboratory," the new lab's head, Chairul Anwar Nidom, said.

He said the new lab was built to international standards and was equipped with the same high-tech instruments as the avian influenza lab in Hong Kong, which until now has been the Indonesian government's primary bird flu referral laboratory.

"The new laboratory will be staffed with Indonesian experts and four Japanese experts. With the operation of this facility, samples taken from suspected (bird flu) patients can be processed here. There will be no need to send them to Hong Kong any more," he said.

The Japanese government supplied the instruments and equipment for the laboratory, which is worth Rp 15 billion.

"This laboratory has the ability to process blood samples as well as samples taken from other parts of human and animal bodies," he added.

Workers at the laboratory will also investigate the patter of avian influenza's distribution across the country to construct a comprehensive picture of the disease.

"This will be a gigantic task," Chairul said.

The laboratory is the latest addition to Airlangga University's Tropical Disease Center. The center also has research facilities for hepatitis, dengue fever and HIV/AIDS.

SME expo organized to boost local products

The Jakarta Post, Jakarta

A five-day expo featuring the products of more than 300 small and medium enterprises will open Wednesday in a new trade center in Tanah Abang, Central Jakarta.

The annual event, which will take place in Mall UKM on Jl. KH Mas Mansyur, has been organized by the city administration for the second time to boost local products.

The expo will offer handicrafts, batik clothing, garments, furniture, souvenirs, accessories, leather products, herbal products and food and beverages.

Fashion shows, musical performances and talks on SME will also be held during the event, which will open to the public from 10 a.m. to 5 p.m.

Head of the Jakarta Cooperative and SME Agency, Mara Oloan Siregar, hopes the expo will benefit both entrepreneurs and visitors, while at the same time promote Mall UKM, which accommodates more than 500 SMEs in its six-story building.

"We hope the expo will provide the chance for entrepreneurs to meet local and foreign buyers," Siregar said Monday, adding the expo would also allow participants to get to know their customers' tastes and needs.

Siregar said SMEs play an important role in the country, constituting 99.98 percent of the total economic players, with 90 percent of the economic activity in Jakarta involving SMEs.

"That's why such an event is important to boost local products, especially when many people now prefer to buy imported products," he said.

He added the expo and the new trade center would offer buyers cheaper prices, as the latter could purchase items directly from the producers.

"We guarantee customers will get high quality products at reasonable prices," he said.

For example, Siregar said, batik clothing that is sold at Sarinah Jaya department store for around Rp 750,000 (US$ 81) a piece can be purchased at the UKM Mall for only Rp 250,000 a piece.

Siregar said his team carefully selected the participating entrepreneurs. The participants had to pass several assessments before they could display their products in the expo and run their businesses in the mall for a period of two to three years for free.

"We selected those who are hardworking, persistent, target-oriented and who have the ability to produce high quality items."

He said one of the constraints facing SMEs is finding places to promote their products. Taking part in an exhibition is costly and entrepreneurs are only able to promote their products there for a few days.

"That's why we provide free-of-charge spaces for the SMEs to display their products in the mall, where people can go everyday," he said.

One of the entrepreneurs participating in the expo is Lindawati, who runs a marquisa (passion fruit) syrup business. Before the mall was opened, she had been selected by the city administration to participate in an exhibition in China.

"I had the chance to promote my products on the international market and got some export offers," said Linda, who started her business in 1998.

"This is much better. I used to take my products from one shop to another," she said, adding the city administration also provided her and other entrepreneurs with several workshops on marketing, management and technology. (dia)

Pertamina, Petroecuador ink exploration agreement

Ika Krismantari, The Jakarta Post, Jakarta

State oil and gas company PT Pertamina will team up with Ecuador's national oil firm, Petroecuador, for the preliminary exploration of three blocks in the Latin American country.

Witnessed by Indonesian President Susilo Bambang Yudhoyono and Ecuador's President Rafael Correra Delgado, the two state firms on Monday signed a memorandum of understanding on the cooperation at the State Palace in Jakarta.

Later in the day, on the sidelines of a luncheon with Ecuador's president, Pertamina president director Ari H. Soemarno said his company was exploring the possibility of expanding its overseas operation to Ecuador and was set to spend US$50 million during the first year of operation to gather technical data on the three blocks' reserves.

The names of the three blocks, according to Ari, are Guanta, Dureno and offshore Lago Agrio.

Petroecuador executive president Carlos Pareja Yannuzzelli said the partnership with Pertamina was forged to realize the government of Ecuador's goal to increase its oil production.

Ecuador, which was just granted membership to the Organization of Petroleum Exporting Countries during a recent summit in Riyadh, Saudi Arabia, has produced about 500,000 barrels of oil per day this year.

"We will give Pertamina 90 days to gather all the technical data, and after that we hope Pertamina can submit their offer for the actual exploration development plan," Yannuzzelli said.

He said the form of the partnership and the share composition between the two companies in each block would be decided later, pending the results of the preliminary exploration.

Refusing to give exact figures, he estimated the investment for the projects would involve "hundreds of millions of U.S. dollars".

Monday's agreement bodes well to Pertamina's intention to pursue overseas expansion, to help improve its output and global standing.

It just won an oil block in Qatar, in which it holds a 25 percent interest, with partner Wintershall -- the world's largest German-based oil and gas drilling company.

Pertamina is also the operator of two oil blocks in Libya, onshore and offshore, and the holder of a 15 percent share in an offshore oil field in Sudan operated by China National Petroleum Corporation and a local partner.

Commenting on the company's recent bid for an oil block in Iran, Ari said the company had been outbid by other companies.

"However, the Iranian government is still considering having us as its partner on other projects. We are still discussing it," he said.

Regions to get due share of global warming fund

Urip Hudiono, The Jakarta Post, Jakarta

Regions hosting environmental projects will receive a share of money allotted to Indonesia under a planned global warming mitigation and adaptation fund to be discussed at the upcoming international conference on climate change in Bali.

The central government will disburse the money through the state budget's revenue sharing mechanism, Finance Ministry secretary general Mulia P. Nasution said, although the details are still to be discussed.

"It will still depend on whether the projects are business-to-business or government-to-government," he told reporters Monday.

"It's still too early to talk about how much will be allocated to each region, but the matter is expected to be agreed upon in due time."

Indonesia has been actively supporting a new proposal called the Reduced Emissions from Deforestation in Developing Countries mechanism, which is expected to provide more fair incentives -- meaning developed nations will also help -- for the better management of forests in developing countries.

The scheme will complement the Kyoto Protocol's Clean Development Mechanism, which requires developed nations to reduce their carbon emissions to invest in green projects, which are considered to be more feasible if implemented in developing countries.

The carbon trading scheme requires 2 percent of each project's proceeds -- which can fetch up to US$10 for every one ton of carbon dioxide reduced -- be set aside for a mitigation and adaptation fund. This global fund will be managed by a multilateral agency to support the development of sustainable technologies and help nations directly affected by global warming.

Related financial issues and sustainable development policies are expected to be discussed in a meeting of world financial ministers on the matter on Dec. 10 and 11, which will run in conjunction with the climate change conference from Dec. 3 to 14.

Indonesia has recently launched a campaign to plant 79 million trees in regions across the country, worth some Rp 1.28 trillion ($137 million).

Forestry Minister M.S. Kaban has said Indonesia may need up to Rp 216 trillion to replant all of Indonesia's forests that have been damaged.

Although not directly related to the climate change issue, the government has also been engaging in "debt-for-nature swap" schemes with creditor countries.

A recent program involved Indonesia providing 12.5 billion euros for forest conservation efforts in return for debt relief of 25 million euros.

China Shenhua plans US$4 bln bid for Indonesian coal producer

Hong Kong (ANTARA News) - China's biggest coal producer, China Shenhua Energy, is planning a 4 billion US dollar bid for a controlling stake in an Indonesian coal producer, the South China Morning Post said Monday.

China Shenhua was asked earlier this year to buy a small stake in Adaro Indonesia ahead of its 750 million US dollar listing on the Jakarta bourse next year, the newspaper was quoted by Thomson Financial as saying, citing unnamed sources.

"They were holding out for more," the report quoted one of its sources as saying.

The cashed up China Shenhua, which raised 68 billion yuan from an initial public offering in Shanghai in September, has been looking at possible acquisitions overseas.

Earlier this month, the company was reportedly holding talks about joining a key coking coal project in Mongolia.

Government to build 207-MW steamed-power plants in NTB

Mataram, West Nusa Tenggara (ANTARA News) - Three steam-powered electricity plants (PLTU) with a combined capacity of 107 megawatts will be built in West Nusa Tenggara (NTB) in an effort to anticipate power shortages and attract foreign investment in the province, a local government said.

Head of NTB`s Regional Development Planning (Bappeda) H. Lalu Fathurrahman said here on Monday that one of the PLTU would be built in Teluk Endok village, West Lombok district with a designed capacity of 75 MW.

Besides in Teluk Endok village, a 100-MW PLTU will also be developed in East Lombok district in partnership with the state power company PLN. Preparations for its construction would be made in 2008 and its physical construction will start in 2009.

He said that the development of the PLTU in East Lombok was expected to cost Rp1 trillion.

The other PLTU development plan included the one to be built in Sumbawa Island with a capacity of 32 megawatts.

"We hope that with the completion of the PLTUs construction the problem of power stages would no longer happen in 2010," Fathurrahmans said.

He said that other facility that would be built in NTB included NTB`s international airport in Tanak Awu, Pujut subdisrict in Central Lombok.

"This is an effort to attract investors," he added.

NGOs form disaster network

PADANG, West Sumatra (Jakarta Post): Twenty-five non-governmental organizations in West Sumatra have established a joint communications network aimed at coordinating disaster mitigation efforts across the province.

The network is officially called "Palanta Siaga Bencana".

"Prior to the establishment of this network, we always found difficulty in coordinating our programs. Consequently, we couldn't synergize our programs to provide the maximum benefits for the target communities," Tsunami Alert Community (Kogami) director Patra Rina Dewi said Sunday.

The establishment of Palanta was agreed upon during the a workshop on integration for disaster preparedness last week in Bukittinggi. Kogami co-organized the event with UNESCO.

"Palanta plans to organize a number of joint programs, including training, publication and the setting up a demographic database," she said. -- JP

Campaign says no to plastic, yes to alternatives as trash piles up

Prodita Sabarini, The Jakarta Post, Denpasar

Expatriates and locals concerned about the fast build-up of plastic waste in Bali launched a consumer-level waste reduction initiative this year.

The six-month-old campaign -- "Say No to Plastic" or "Bali Cantik Tanpa Plastic" -- has seen retailers in Ubud start to offer affordable alternatives to plastic shopping bags while educating their customers about the plastic problem.

Bali produces more than 5,000 tons of garbage per day, 30 percent of it solid and 70 percent organic.

Each year garbage output goes up 5 percent according to the Bali Environmental Impact Assessment Agency.

Alex Ryan, behind the waste reduction campaign, said people were frustrated with the way trash keeps piling up.

"What we are trying to do with this campaign is to reduce the amount of waste," she said.

"Plastic is a big problem because it takes so long to break down."

She said it takes between 15 and 1000 years for nature to break down a plastic bag -- which is made of petroleum materials -- and the process creates methane which contributes to global warming.

Some 20 stores in Ubud have joined the campaign. They display no-plastic posters and offer packing alternatives such as reusable cloth bags.

At Juice Ja, a cafe and art shop on Jl. Dewi Sartika in Ubud, the idea has caught on.

The cafe has been able to persuade customers to buy cloth bags to carry home their other purchases. "A lot of the customers are already aware about reducing plastic waste," said one of the staff.

He said the cloth bags with "Say No to Plastic" and "I bring my own bag!" logos were popular even though they cost Rp 20,000 each.

Ryan said her group of eight volunteers had done outreach activities in eleven banjar (traditional neighborhood organizations)in Ubud.

"And the response is very positive."

In September last year, the Bali provincial government launched a similar campaign. Sixteen major supermarkets joined the campaign, with Tiara Dewata becoming the first in Bali to provide shoppers an alternative to plastic.

Supermarkets in countries like Italy, Sweden, the Netherlands, France, Spain and Germany regularly charge customers for carry bags, instead of giving them away.

The resort island faces major waste management problems, with rivers and mangroves forests becoming unofficial garbage dumps.

Garbage piles up on river banks and chemicals leach into streams. The Suwung Dam area near Sanur and the mangrove forests on the line between Denpasar mayoralty and Badung regency are strewn with garbage, mostly plastics.

Nearby, the city landfill is overflowing with garbage from Denpasar and Badung.

The Bali provincial government is currently building a Rp 10 billion (US$1.10 million) waste management center in Bangklet village, Bangli regency. The five hectare-compound with a capacity of 1,000 cubic meters per day will function as an organic waste recycling center.

Bali airport gears up for global conference

Wasti Atmodjo, The Jakarta Post, Denpasar

The Ngurah Rai international airport is undergoing a refurbishment ahead of the arrival of thousands of delegates to the upcoming United Nations Framework Convention on Climate Change (UNFCC) in Nusa Dua, Denpasar.

Ngurah Rai Airport Authority director Nyoman Suwetja Putra said that the refurbishment included the installation of four new scanning machines, bringing the total number to 21.

To speed up the immigration process, 16 more computers would be installed at the immigration counters in the airport's international arrivals terminal. Currently, immigration officers have only ten computers at their disposal.

The immigration service will also establish two special counters dedicated solely to the UNFCC delegates, who will start arriving later this week.

"We also will set up a command and information post, which will be operating three days prior to three days after the conference," he added.

The authority says it is paying serious attention to security and safety issues at the airport. Up to 106 CCTV cameras have been installed as part of a plan to ultimately equip the airport with 200 cameras.

The authority had also placed at least 1,245 staff members, including those in charge of the airline and ground-handling sections, on stand-by status, ready to be deployed at a moment's notice.

"The above-mentioned figure does not include police and military personnel. The security authorities have informed us that they will position sharpshooters and armored vehicles at the airport," Suwetja said.

"It will be arranged in such a way as to enable all activities continue as usual without any disruption," he said.

He further explained that in order to prevent the airport from being overwhelmed with passengers, the authority would close the airport to charter flights, except those transporting the delegates, for the duration of the conference, which runs from Dec. 3 through Dec. 14.

The authority had set aside ten out of the available 38 aircraft parking spaces for aircraft used by foreign dignitaries and heads of state.

"The power supply to the airport is secure. PLN have are providing us with more than 10,000 KVA. We also have our own generators in case of a blackout. The combined capacity of the generators is 6,000 KVA, which is actually more than we need," he said.

City promotes water-harvest installations

The Jakarta Post, Jakarta

In an effort to avert floods, Jakarta's Environment Management Board has asked university students and companies to help residents make percolation pits and biopore absorption holes to harvest rainwater.

The board's head of environmental damage control Daniel Abbas told The Jakarta Post over the weekend this household intervention could help compensate for water catchment areas being lost to new homes, offices and apartments.

The environmental board hopes 4,000 people -- students and more than 24 companies -- will join the program, which will be launched by Governor Fauzi Bowo at the Sumantri Bojonegoro Stadium, South Jakarta on Dec. 8.

"We are asking the universities to let students assist in the installation of household percolation pits or biopore holes, while companies can use their CSR budgets to help with the financing," said Daniel.

There are at least 12 different types of percolation pits for draining rainwater. The cheapest and simplest is a 100-centimeter deep, 10-centimeter wide hole filled with compost. As worms, insects and fungi work together to decompose the waste, they create pore spaces, allowing rainwater to seep more quickly into the aquifer.

Daniel said residents could choose between percolation pits and biopore absorption holes depending on their budget and the height of the local water table.

"A percolation pit with a capacity of one cubic meter costs around Rp 1 million while creating a biopore hole requires only a drilling tool."

A biopore absorption hole can be as simple as a hole with a diameter of 10 centimeters and depth of 30 centimeters filled with organic waste.

As percolation pits are deeper than biopores they are suitable only in areas not located below sea level.

"Residents in North Jakarta will not be able to build percolation pits because the water level in the area comes within a half meter of the surface," said Daniel.

He suggested that universities make the program a part of the community service curriculum, which is mandatory in most schools.

"Students can transfer knowledge (of the conservation technique to the general public) while getting credit for the program," he said, adding that several universities including University of Indonesia and Trisakti University had confirmed their involvement.

The water-harvesting effort could be fast-tracked, said Daniel, if university students and companies got behind the 10-year program that covers five municipalities.

Water-harvesting is mandated under a 2002 ordinance requiring all building owners, regardless of building size, to set up percolation pits or biopore holes.

However, the environmental board said, so far, there are only about 100,000 pits, while the target is some 2 million pits. (lln)

Indonesia, Korea build training center

JAKARTA (Jakarta Post): The groundbreaking for the Indonesian-Korean Cooperation Center for Technique and Culture was held Friday in Ciracas, East Jakarta. The center is to become a training grounds for expatriate workers.

Officiating at the ceremony, Manpower and Transmigration Minister Eman Suparno said the center would help Koreans adapt to work conditions in Indonesia and do the same for Indonesian workers headed to Korea.

He said the new building, equipped with language training facilities, would not only fill the need for skilled labor but also strengthen bilateral relations.

The Korean government donated US$3,000,000 for the project through the Korean International Cooperation Agency. -- JP

CP Prima inks deal with local shrimp farmers

The Jakarta Post, Jakarta

PT Central Proteinaprima (CP Prima), a member of Neptune consortium that manages Asia's top aquaculture company -- PT Dipasena Citra Darmaja, has signed a key agreement with local shrimp farmers.

CP Prima, the world's top integrated shrimp producer and Indonesia's market leader in shrimp fry, shrimp feed and fish feed production, signed Friday the partnership agreement with the farmers, who are grouped under PT Wachyuni Mandira (WM) in an arrangement called a "core-plasma" scheme.

This means WM acts as a nucleus for making loans, training and supervising the farmers and they in turn sell their produce to the company.

The agreement also establishes standard operating procedures for profitable, sustainable shrimp farming, according to a media statement.

"After two months of intense discussion we have come to an agreement on the substance. This will of course provide business certainty that benefits both parties," said Rizal Shahab, CP Prima's corporate communication director, in the statement.

He did not elaborate on the substance of the agreement.

The farmers will now work on some 20,000 hectares of dedicated land with some 3,220 shrimp ponds.

CP Prima is currently also in the process of securing the license to develop another 30,000 hectares of land, according to Rizal.

Herwindo, chairman of the Indonesian Fishery Entrepreneurs Association, welcomed the deal, saying this would benefit all stakeholders involved, including the government.

He also thinks the other, smaller companies in the industry may be able to apply the partnership model developed by CP Prima.

CP Prima's operations extend to frozen shrimp, probiotics, poultry feed and poultry day-old-chick (DOC) farming.

Company-wide, CP Prima now has 50,000 hectares active in shrimp farming and provides over 38,000 jobs, including for 12,500 full-time workers.

Pertamina to build new oil refinery with Wahan

Jakarta (ANTARA News/Asia Pulse) - State oil and gas company PT Pertamina will team up with local company Wahana Universal to build an oil refinery in East Java at an estimated cost of US$20 million.

Pertamina owns all seven oil refineries in the country, but its production is not enough to meet domestic oil fuel requirements. Pertamina Exploration and Production Director Hestu Bagyo said the two companies had signed an agreement to build the refinery, which would have a total processing capacity of 6,000 barrels of crude oil per day.

Construction will start in October 2008 and is to be completed in December in the same year.

Nemangkawi Mining Institute: Planning for the future

Jakarta Post

The Institut Pertambangan Nemangkawi (Nemangkawi Mining Institute), worth more than US $11 million, was established in 2003.

"The goal of the institute is to provide pre-apprentice, apprenticeship and advanced career opportunities, primarily for Papuans," reads the institute's student brochure titled From Will to Skill.

PT Freeport Indonesia granted the building and operating funds to develop the world-class mining institute, which is located outside Timika. Its annual operating costs are between $7 million and $10 million, according to the institute's Papuan-born superintendent -- and another woman in a leading role -- Vivi Ayorbaba.

Vivi said the institute was built by Freeport Indonesia apprentices; further development is ongoing, including additional wings and underground training simulation tunnels.

The project is part of Freeport's 2007 commitment of $8.6 million for underground equipment and the expansion of the Underground Training School in the highlands and the Nemangkawi institute.

"Having the apprentices build this takes a lot longer, but all the trades -- such as electrical, mechanical and building -- possess the hands-on experience of creating this. There is great pride in this achievement," she said.

Ensuring the highest possible rate of participation by seven Papuan sukus, the institute offers pre-apprenticeship training that addresses literacy and numeric skills. This opportunity enables individuals -- who may otherwise have fallen through the education net -- to gain the needed skills to take their place in full employment.

Rather than using traditional tests, the institute uses the Q-test ability testing format.

To maintain its standing as one of the best mining institutes in the world, the Nemangkawi Mining Institute has a strict 100 percent achievement score. To date, 2,000 students have passed through its doors; 90 percent of graduates and ongoing apprentices are Papuans, said Vivi.

The Nemangkawi institute offers free apprenticeship training over three years combining on-the-job training with Freeport Indonesia's Grasberg mine and classroom training sessions.

At the end of their apprenticeships, however, students are not indentured to the company that funded their education and paid a monthly stipend of at least Rp 1.5 million.

"They have the choice of working with PT Freeport or choosing to work for other mining companies across the country or overseas. These apprentices hold world-class tickets in their fields," said Vivi.

The apprentices' skills are already being noticed by companies in Australia, which are wooing potential employees from among the institute's graduates.

"All the apprentices are trained under best practice models. This includes not only manual work such as heavy equipment and electrical trades, but also Master of Business Administration (degrees) in association with the Bandung Institute of Technology and ... the Business Administration Program at the Semarang State Polytechnic," Vivi explained.

Through the Nemangkawi institute and other affirmative action programs, PT Freeport Indonesia has expanded the number of its Papuan employees from 600 in 1996 to more than 4,000 this year.

Cambodia Forms New Flag Carrier With Indonesian Firms

Windsor Genova - AHN News Writer, November 23, 2007 10:25 p.m. EST

Chiang Mai, Thailand (AHN) - Cambodia expects to have a new national airline in six months after Phnom Pehn signed a joint venture deal with two Indonesian companies to form its flag carrier.

The Thailand-based Burmese news website The Irrawaddy reported on Saturday that Cambodian Deputy Prime Minister Sok An and officials of the Rajawali Group and PT Ancora International signed a memorandum of understanding to set up the airline company.

Cambodia has no national flag carrier since the Royal Air Cambodge closed shop due to stiff competition and mismanagement more than five years ago.

The Indonesian partners are in cigarette, cement, telecommunications, hotel, resort, mining and airline business. They will hold a 49 percent stake in the still unnamed airline with the Cambodian government owning the rest. But the foreign partners, who will provide the capital, will get 70 percent of the profits and Phnom Pehn 30 percent.

Rajawali Group chairman Peter Sondakh said the new airline will be competitive with its better planes and better service. PT Ancora International managing director Vichit Ith said the new airline will support Cambodia's tourism industry.

Cambodia's tourism ministry said tourist arrivals in the country will reach 1.7 million this year. From January to September, 1.4 million tourists arrived in Cambodia, 19 percent more than the same period last year.

Bekasi to build monorail line

The Jakarta Post, November 23, 2007

BEKASI: The Bekasi administration will begin the estimated Rp 5 trillion (US$554 million) construction of a monorail line in January.

Bekasi Mayor Mochtar Mohamad was quoted by Tempo Interaktif news portal on Thursday as saying, "Next week, the investor will start surveying the location of the monorail station and its route."

During a Wednesday meeting between the Bekasi administration and the investor, agreements were reached on several points, including that the administration would provide three hectares of land for a monorail station, either near the sports stadium on Jl. A. Yani or at the Bekasi bus terminal on Jl. Juanda.

When completed, the monorail will connect Bekasi, Jakarta and Tangerang. -- JP

Indonesia`s Adam Air looks to expand fleet to 50-60 jets within five years

Jakarta (ANTARA News) - Indonesian low cost carrier Adam Air is embarking on a fleet expansion plan that could see it flying 50 to 60 jets within five years, a spokesman said Friday.

Privately-owned Adam Air began operations in 2003 and is the largest discount airline by passenger number in Indonesia's fragmented market.

"We plan to add more planes to our fleet, around four or five additional aircraft each year. So in five years we will have about 50 to 60 aircraft. Right now we have 23," spokesman Danke Dradjat was quoted by Thomson Financial as saying.

He said that it was undecided yet whether Adam Air would continue to fly only Boeing 737 series jets or switch to Airbus, but it would depend on "terms and conditions" offered by the two main manufacturers.

He could not give an estimate of how much the carrier would spend but said the rapid expansion of low cost carriers in India and China meant planes were getting more difficult to lease so costs were soaring.

Adam Air opened a new domestic route this week to Banjarmasin, the capital of South Kalimantan province on Borneo island, and was studying opening flights to Ambon and Kupang in the east, Dradjat said.

Passenger numbers had bounced back in the wake of one of its jetliners crashing into the sea on New Year's Day, with average passenger loads at 92 percent, the spokesman said. The January disaster killed 102 people.

"We had quite a bad time the first and second month after the accident, but then conditions rebounded very quickly, especially after the Garuda accident when people saw it could happen to any airline," Dradjat said.

Sido Muncul to go public

Ungaran, C Java (ANTARA News) - PT Sido Muncul, Indonesia`s largest herbal medicine maker, will soon sell its shares to the public to finance business expansion, its president director said.

"We are in the middle of preparing everything to go public," Irwan Hidayat said Friday.

But he stopped short of revealing when exactly the company would sell its shares to the public, saying the company was making an inventory of its assets, including land and buildings, and cash to pay back its banking debts.

"It is now easy to sell shares to the public as the government is giving privileges to companies wishing to list their shares at the stock exchange. If all qualifications have been completed we can list our shares at the Jakarta Stock Exchange in three months` time," he said.

Govt prepares to plant 79 million trees

The Jakarta Post, Jakarta

The government is very optimistic that its effort to present a gift to the world by planting 79 million trees next week will make a significant contribution toward curbing global warming.

The planting, to take place on Nov. 28, has been designed a national event in which people at around 79,000 locations all over Indonesia will plant trees at exactly the same time.

President Susilo Bambang Yudhoyono will kick off the action from Jonggol, West Java, at 9 a.m., while people in the middle and eastern parts of Indonesia will carry out the planting at 10 a.m. and 11 a.m., respectively.

Forestry Minister M.S. Ka'ban said the campaign related to Indonesia's role as the host of the United Nations Framework Convention on Climate Change (UNFCCC) talks in December.

During the Bali meetings, Indonesia will propose a scheme called Reducing Emissions from Deforestation in Developing Countries (REDD). The scheme is expected to provide an opportunity for countries willing to conserve their forests be compensated financially for each ton of carbon gas the forests absorb.

"Over the next three years, the trees can be expected to grow to around two meters high and start effectively absorbing carbon dioxide (CO2). One hectare of land packed with six-year-old trees can absorb around 200 tons of CO2 per year," Ka'ban said during a press conference at the Forestry Ministry on Friday.

He hoped the world would see the effort as a strong signal that Indonesia was serious about the REDD proposal. He added that it would be unfair if Indonesia had to bear the responsibility of preserving its forests, losing its right to benefit from them, while other countries enjoy the outcome for free.

"At least Rp 216 trillion is needed for replanting all of Indonesia's forests that have been damaged," he said.

He explained that the total cost for the 79-million-tree planting campaign would be around Rp 1.28 trillion (US$136.7 million). "The fund was generated from forestry businessmen all over Indonesia, while almost all of the seedlings come from the Forestry Ministry stockpiles."

The committee chairman for the campaign, Soetino Wibowo, explained that the target number of 79 million trees was based on the total number of state institutions throughout Indonesia that would participate.

"We have around 79,000 state institutions, the national, provincial, regental, district and sub-district and municipal levels, as well as the police and military branches. Every institution will plant at least 1,000 trees. However, we are sure that they can do more," Soetino said.

He also said that the planting campaign would be followed up by efforts to care for the trees over the next three years. "The first three years are the most critical period of growth," he said. (uwi)