Garuda, China Airlines develop cooperation

Antara News, Monday, May 24, 2010 11:14 WIB

Jakarta (ANTARA News) - Garuda Indonesia and China Airlines announced they had been developing operational cooperation in the form of passenger and cargo revenue sharing and exchange of pilot training.

Pujobroto, corporate communications official of the national flag-carrier PT Garuda Indonesia confirmed in Jakarta Sunday that the MoU had been signed by Garuda Indonesia President & CEO Emirsyah Satar and China Airlines President Huang-Hsiang Sun in Taipei, China, on Friday (May 21).

Pujobroto said the cooperation covered passenger/cargo revenue sharing, and frequent flying program.

"China Airlines will be Garuda Indonesia`s first partner in mileage value-added exchange. The cooperation also covers simulator pilot training," he said.

President Director of Garuda Indonesia Emirsyah Satar, Pujobroto said, welcomed the cooperation as it will further develop Garuda Indonesia`s flight operations.

"The cooperation also provides both Garuda Indonesia and China Airlines more options and facilities. It is also a renewal and development of previous cooperation", Emirsyah added.

In the meantime, President Director of China Airlines Huang-Hsiang Sun said the MoU with Garuda would increase air traffic between the two countries and open an opportunity for the development of cooperation between the two airline companies in the years to come.

Previously, Garuda Indonesia and China Airlines established cooperation in operations and codesharing on the Jakarta-Taipei and Denpasar-Taipei routes.

Under the cooperation, China Airlines acted as operating party while Garuda Indonesia as marketing party.

Garuda Indonesia was entitled to sell 45 seats per day on the Denpasar-Taipei return flight, and 30 seats on the Jakarta-Taipei return flight.

In addition, under the joint freighter cooperation between Garuda Indonesia and China Airlines, the United States has become available as destination, and Australia in a not too distant future.

Bali to host workshop on Orangutan conservation

Antara News, Saturday, May 22, 2010 13:31 WIB

Denpasar, Bali (ANTARA News) - An international workshop on orangutan conservation will be conducted in the resort island of Bali from July 15-16, 2010.

The workshop will be organized by the Forestry Ministry`s directorate general of natural conservation and forest protection in cooperation with the Indonesian Orangutan Forum.

Spokesman of Trisakti University`s Orangutan Conservation Service Program, Jamartin Sihite said here on Saturday that the workshop would be conducted as part of similar activities in the past to save the orangutan from extinction.

"We are going to conduct the International Workshop on Orangutan Conservation in our bid to save the protected species from the danger of extinction," Jamartin said.

At the United Nations Framework Convention on Climate Change (UNFCCC) in Bali in 2007, President Susilo Bambang Yudhoyono announced a major initiative to save the nation`s orangutans.

A new study said orangutan numbers had declined sharply and were feared to become the first great ape species to go extinct if urgent action was not immediately taken.

Serge Wich, a scientist at the Great Ape Trust in Iowa, said the declines in the orangutan populations in Indonesia and Malaysia since 2004 were mostly because of illegal logging and the expansion of palm oil plantations.

The survey found the orangutan population on Indonesia`s Sumatra island had dropped almost 14 percent since 2004, Wich said.

It also concluded that the orangutan population on Borneo island, which was shared by Malaysia, Brunei and Indonesia, had fallen by 10 percent.

In their study, Wich and his 15 colleagues said the declines in Borneo were occurring at an "alarming rate" but that they were most concerned about Sumatra, where the numbers show the population was in "rapid decline."

"Unless extraordinary efforts are made soon, the orangutan could become the first great ape species to go extinct," researchers wrote.

Indonesia and Malaysia, the world`s top two palm oil producers, have aggressively pushed to expand plantations amid a rising demand for biofuels which are considered cleaner and cheaper than petrol.

Indonesian Exchange Begins Trading Rupiah Palm Oil Futures

Jakarta Globe, Bloomberg & Reuters, May 21, 2010

The Indonesia Commodity and Derivatives Exchange on Friday started trading a rupiah-based palm oil futures contract aimed at setting a new benchmark and rivaling the dominant market in neighboring Malaysia.

“The ICDX is optimistic about fulfilling Indonesia’s aspiration to become the commodity price reference, especially for crude palm oil,” Megain Widjaja, president director of the exchange, said in a statement.

Indonesia is the world’s largest producer of palm oil, followed by Malaysia, where the benchmark contract is traded.

Palm oil futures in Kuala Lumpur have dropped 6.8 percent this year to 2,481 ringgit ($747) a metric ton on the Malaysia Derivatives Exchange.

The ICDX August CPO futures contract opened at Rp 7,020 per kilogram ($758 a ton).

The launch of the rupiah-based crude palm oil contract marked Indonesia’s second attempt at creating a local price benchmark to rival Malaysia’s. It won’t be easy.

The absence of regular data from Indonesia and most users’ preference for Malaysia’s pricing benchmark will also make it tougher for the Indonesian contract to gain a toehold.

Last year, global vegetable-oil dealers and Southeast Asian plantation firms cited the lack of transparency in industry data as a reason for shunning the trading of physical CPO contracts that debuted on the Jakarta Futures Exchange.

Industry officials and analysts fear the same fate could await the ICDX, even though there is demand for a benchmark price in Indonesia, whose production is expected to rise to nearly 23 million metric tons this year, outstripping Malaysia’s 18.1 million tons.

Unlike Malaysia, however, Indo nesia does not have a strong industry regulator that releases reliable data on monthly production, exports and stocks.

“It is not easy to launch a futures contract because we have to persuade people to trade here,” said Deddy Saleh, head of supervision at the ICDX. “But we expect the contract will be liquid.”

Posing an additional challenge is a plan by the CME Group, the world’s largest futures exchange, to introduce a dollar-denominated palm oil contract on Monday based on settlement of the Malaysian contract.

The trading of the new rupiah contract comes as the exchange received five new members: PT Asian Agri, PT ED and F Man Indonesia, PT Askap Futures, PT Bakrie Sumatera Plantations and PT Real Time Futures, the exchange statement said.

The existing 20 members include units of Wilmar International, the world’s largest palm oil trader, and PT Sinar Mas Agro Resources and Technology, a unit of Indonesia’s biggest producer, Sinar Mas Group. The bourse started trading gold futures on March 31.

The new contract, using the ports of Dumai and Belawan on Sumatra island as points of delivery, will be traded in 10-metric-ton lots to allow smaller local plantations to participate, Megain said.

Sumatra is the main producing region.

Trading runs from 9:30 a.m. to 5 p.m. on weekdays.

The Jakarta Futures Exchange, established in 2000, offers a palm olein contract in rupiah.

Second ASEM Conference to be held in Yogyakarta

Antara News, Friday, May 21, 2010 17:10 WIB

Jakarta (ANTARA News) - Indonesia is to host the 2nd ASEM (Asia Europe Meeting) Development Conference co-sponsored by the European Commission, in Yogyakarta on May 26-27, 2010, an official said here, Friday.

The dialogue will focus on social cohesion and the future of international cooperation for development in a forum consisting of 43 member countries Asia and Europe, the the EU (Europe Union) and the ASEAN Secretariat.

Foreign Affairs Ministry`s Director of inter America-Europe cooperation, Dian Wirenjurit said that the meeting will be discussing several topics such as the future of Asia-Europe cooperation in sustainable development.

Besides it will also discuss climate change and low carbon development, social cohesion and its role in sustainable development and the role of policy coherence in sustainable development.

Australia and Russia will be attending the conference which will be two member countries in ASEM, besides the EU also invited several countries as observers namely Tajikistan, Srilanka, Hong Kong and Bangladesh.

The second ASEM conference is planned to be opened by the State Minister for National Development Planning, Prof. Dr. Armida S. Alisjahbana and the EU Commissioner for Development Mr Andris Pielbags.

In the meeting, Indonesia would also emphasize the Jakarta Commitment: Aid for Development Effectiveness in Indonesia, Indonesia`s Road Map to 2014 in bilateral aid management cooperation and also to make an explanation on climate change and low carbon development.

The Conference will aim to produce a statement with recommendations. On the basis of this work, it would become possible to design a political document which could be submitted for consideration of the ASEM members and through them, for approval of the ASEM.

Beijing businessman to run hotels in Maluku

Antara News, Friday, May 21, 2010 03:20 WIB

Ambon (ANTARA News) - A Beijing investor is interested in running hotels in Maluku which has many interested tourist objects and destinations, and build a star-rated hotel in there.

He told the head of the Maluku investment coordination agency (BKPMD) Rahman Soumena here Thursday that the foreign investor planned to build a star-rated hotel in an area close to the Liang beach tourist site, Salahutu subdistrict (Ambon island), Central Maluku regency.

The prospective investor had visited Ambon last month along with the provincial administration group in a return visit of Maluku Governor to China on January 12, 2010.

Soumena said the Chinese businessman said he was keenly interested in investment in fisheries, agriculture and tourism in Maluku including the building of a star-rated hotel.

On June 6, 2010, the business group and Governor Henan will visit Maluku to the signing of an MoU with Gubernur Karel Albert Ralahalu.

Following the 2006 economic census, the hotels in Maluku totaled 138 consisting of 15 star-rated hotels and 123 ordinary hotels.

The average stay of foreign tourists at star-rated hotels in Maluku is 3.23 days, and local tourists only 2.29 days.

Hotel occupation of ordinary hotels reached less than 30 percent of the total number of hotel rooms available.

Govt puts 27 oil/gas, coal bed methane blocks on offer

Antara News, Thursday, May 20, 2010 23:40 WIB

Jakarta (ANTARA News) - The government is offering 18 oil/gas blocks and nine coal bed methane (CBM) fields to investors in its first phase tenders in 2010, a senior official said.

Oil and Gas Affairs Director General Evita Legowo announced the offering of the 27 blocks to bidders at the closing of the Indonesian Petroleum Association (IPA) exhibition and convention here on Wednesday.

Energy and Mineral Resources Minister Darwin Saleh officially closed the exhibition and convention which was opened by Vice President Boediono on May 18, 2010.

Legowo said that six of the tenders for the oil and gas blocks were called through a direct appointment mechanism and 12 others through regular tenders.

The blocks offered through direct appointment mechanism were North Sokang, North West Natuna, Titan, Bone, Onin and North Arafura while those offered through regular tenders were Sokang, Singkil, Nias, Sunda Strai II, Sunda Strait III, Sunda Strait IV, Kangean I,Kangean II, South West Makassar, Wokam I, Wokam II and Digul.

For the CBM blocks, four were offered through direct appointment, namely Sijunjung, Kutain Barat, Kutai Timur, and Kapuas, and five were through regular tenders, namely Kampar, Pelalawan, Penajam Pasir I, Penajam Pasir II and Kendang.

Evita Legowo said that the government learned that the development of CBM had received good response from investors.

IFC and the World Bank Involve Multi Stakeholders to Promote Sustainable Palm Oil Sector

Antara News, Wednesday, May 19, 2010 18:46 WIB

Jakarta, Indonesia, May 18, 2010 (ANTARA) -- IFC and the World Bank held consultations with multiple stakeholders in Indonesia in Medan, Pontianak, and Jakarta May 3-7, 2010, as part of a broad global consultative process to develop the World Bank Group Palm Oil Strategy. 140 participants from civil society organizations, affected communities, large and smallholder producers, goverment, and researchers took part in the consultations.

"IFC and the World Bank seek to promote sustainable practices in the sector that will benefit the poor and preserve forests, biodiversity and forest communities," said Adam Sack, IFC Indonesia Country Manager. "The challenges in the sector are vast and require coordinated efforts by multiple stakeholders. The current consultative process is a beginning of what we hope to become an on-going dialogue and partnership with a range of stakeholders as we work together towards common objectives," he added.

The participants of the consultations in Indonesia expressed support for the World Bank Group's continued engagement in the palm oil sector alongside other partners seeking to promote solutions to move the sector to sustainable footing. Social and governance issues in the palm oil sector dominated the discussions, focusing on land use, land disputes, unified and transparent laws and regulations as well as their effective enforcement.

Other issues discussed included giving fair economic opportunities for smallholder producers, preserving natural resources, and protecting the rights of indigenous communities. There was an overall consensus on the need to support smallholder producers through increased access to finance, better inputs and production practices, and improved contractual relations with larger companies.

Attendees from civil society groups included Sawit Watch, Greenpeace, Setara Foundation, Borneo Child Aid Society, and Tenaganita. Representatives from the private sector included Sinar Mas, Bank Mandiri, Rea Kaltim, Musim Mas dan Wilmar. Researchers from CIFOR, Zoological Society of London and Indonesian Palm Oil Palm Research Institution among others participated in the consultations. The National Planning and Development Agency (BAPPENAS), Ministry of Agriculture and Ministry of Trade officials, representatives from the Indonesian Plantations Association (IPA), Indonesian Palm Oil Association (IPOA) and Malaysian Palm Oil Association also attended.

The consultations in Indonesia are a part of a global outreach by the World Bank Group to seek input into developing its global strategy of future engagement in the palm oil sector. Until this strategy is in place, the World Bank Group is refraining from developing new projects in the sector. Consultations with multiple stakeholders have been held in Washington DC, USA and in San Jose, Costa Rica. Further consultations are being planned in Accra, Ghana and Amsterdam, Netherlands. For further information about the World Bank Group multi stakeholder palm oil strategy development process, please visit: www.ifc.org/palmoilstrategy

For further information, please contact:

In Jakarta:

Novita Wund, IFC
Phone: (+62) 8118400438
E-mail: NWund@ifc.org

In Washington, D.C.:

Irina Likhachova, IFC
Phone: (+1) 202 473 1813
E-mail: ILikhachova@ifc.org

Astra Group increases educational grants

The Jakarta Post, Jakarta | Wed, 05/19/2010 10:57 AM

JAKARTA: Indonesia’s largest automobile group, PT Astra International, and its subsidiaries significantly increased their educational grants to more than 2,700 primary school children and dozens of teachers and donated 50 personal computers and 54 motorcycles to primary, secondary and high schools.

The grants were distributed to commemorate National Education Day, which falls every May 2, at a ceremony here Tuesday that also named one of the five educational foundations run by Astra and its subsidiaries after Astra’s late chief executive officer Michael D. Ruslim.

“The commissioning of Yayasan Pendidikan Astra Michael D. Ruslim was done in honor of the former Astra CEO, who had a strong commitment to the development of education,” Astra’s chief of corporate communications Arief Istanto said. — JP

Pupuk Kaltim set to build two urea plants in North Sumatra

Nani Afrida, The Jakarta Post, Jakarta | Wed, 05/19/2010 10:57 AM

State owned fertilizer company PT Pupuk Kalimantan Timur (Pupuk Kaltim) will build two fertilizer plants and develop oil palm plantations in North Sumatra in cooperation with two state owned plantations firms PT Perkebunan Nusantara (PTPN) IV and PTPN V, the fertilizer producer’s top executive has said.

Pupuk Kaltim’s president director Hidayat Nyakman said in Jakarta on Tuesday that the three companies would soon set up a joint venture to operate the two fertilizer plants and to develop oil palm plantations which would absorb an initial investment of about Rp 500 billion (US$55 million).

Pupuk Kaltim will have a 51 percent stake in the joint venture which will be named Nusantara. PTPN IV which is based in North Sumatra, will have a 35 percent stake and PT PTPN V in Riau province will control the remaining 14 percent.

“The construction of the two fertilizer plants will cost about $18 million,” he said adding that the fertilizer factories would have a combined production capacity of 200,000 tons a year.

The joint venture will also spend up to Rp 39 billion to develop the plantations, which will cover an area of between 12,000 and 13,000 hectares, Hidayat said.

He also said that part of the fertilizer production would be used for the joint venture’s plantations, and the rest for the two plantation companies’ own plantations.

Last year, Pupuk Kaltim also established a joint venture with a state plantation company. Joint venture PT Kalianusa is developing 13,000 hectares of oil palm plantations in East Kutai, East Kalimantan.

Besides establishing new joint ventures with several state plantations, Pupuk Kaltim is also building a Nitrogen, Phosphorous, and Potassium (NPK) fertilizer plant, and a new urea plant (Kaltim V) as well as a new coal-fired power station its industrial compound in Botang, East Kalimantan.

“Those projects require Rp 11 trillion in total investment,” Hidayat said. “The projects are financed with our own funds and bank loans. We can also sell bonds if needed,” he added.

Last year, Pupuk Kaltim issued bonds worth about Rp 1.3 trillion partly to finance projects.

The company, which produces three kinds of fertilizers; urea, NPK and ammonia, expects to book net profits of Rp 1 trillion this year, higher than the Rp 832.2 billion recorded in 2009.

Pupuk Kaltim supplies two-thirds of the country’s urea fertilizer production. This year, it expects to produce about 3 million tons of urea, a slight increase over the 2.94 million tons produced in 2009.

Pupuk Kaltim expects that the new Kaltim V urea fertilizer plant will boost the company’s urea fertilizer production nationally to 3.4 million tons a year. At present total domestic consumption of fertilizer reaches about 14 million tons per year. The government predicts that by 2025 Indonesia will need about 23.2 million tons of fertilizer per year to meet growing demand.

Govt names winners of 14 oil, gas block tenders

Antara News, Saturday, May 15, 2010 00:08 WIB

Jakarta (ANTARA News) - The government has named the winners of contracts on 14 oil and gas blocks offered in the second phase of its 2009 tendering-out program, an Energy and Mineral Resources Ministry official said.

The 14 blocks consisted of 11 offered through direct tenders and three through regular auctions, Edy Hermantoro, the ministry`s upstream oil and gas director, said here on Friday.

"The auction results this time are quite encouraging particularly those of the blocks offered through direct tenders," he said.

The promising bids for the blocks were inseparable from the improved global economy and the favorable oil price of US$80 per barrel, he said.

The auction results also indicated that Indonesia was still a promising investment destination including in the oil and gas sector, he said.

"The other indication is that such experienced companies as Black Gold and Respsol are among the tender winners. Repsol came back to Indonesia after leaving in the 1990s," he said.

He said only three bidders for 12 blocks put to regular auctions were named winners.

"This is because of risky regions so comprehensive knowledge of geology is needed," he said.

The other cause was a relatively short time so that it influenced the bidders` evaluation, he said.

"In the next tenders we will give investors enough time so they can make a comprehensive study," he said.

The winners of the blocks offered through direct tenders are PT Sargas & Vega for Puri Block, Cakra Nusa Darma (SKKMG) Ltd for Sakakemang Block, a consortium of Komodo Energy LLC-Niko Resources (Overseas XI) Ltd for Sunda Strait I Block, a consortium of PT Baruna Recovery Energy-Awe Ltd for North Madura Block, a consortium of PT Bumi Hasta Mukti-Fortune Empire Group Ltd for Mandala Block, PT Leogryph Indonesia for Karapan Block, PT Kalisat Energi Nusantara for Long Hubung Long Bagun Block, PTT Exploration and Production Public Co Ltd for Malunda Block, and a consortium of Talisman (Asia) Ltd-PTT Exploration and Production Public Co Ltd for South Mandar, Sadang, and South Sageri Blocks.

The winners of three blocks offered through regular auctions are a consortium of Repsol Exploracion SA-Niko Asia Ltd for Cendrawasih Bay II Block, and a consortium of Black Gold Ventures LLC-Repsol Exploracion SA for Cendrawasih Bay II and Cendrawasih Bay IV Blocks.

A total of 24 blocks were put to the second phase of tenders in 2009, consisting of 12 blocks offered through direct tenders and 12 blocks through regular auctions.

Historical buildings repainted as part of heritage revamp

Agnes S. Jayakarna, The Jakarta Post, Surabaya | Tue, 05/11/2010 10:07 AM | The Archipelago

A nationwide campaign to preserve cultural heritage has begun in Surabaya with the Balai Pemuda building, or De Simpangsche Societeit, built by the Dutch in 1903, being repainted.

The campaign was officially launched last Friday by world paint producer AkzoNobel in cooperation with the Surabaya municipality office and Surabaya Heritage.

Cities to follow include Bandung (West Java), Makassar (South Sulawesi) and two in Kalimantan and Sumatra, which will be decided at a later date.

Jeremy Paul Rowe, the managing director of AkzoNobel Decorative Paints Southeast Asia and Pacific, said that Surabaya was chosen to mark the program this year because of the numerous historical buildings in the city.

Rowe praised the Surabaya municipal administration for its efforts to preserve its historical legacy.

Attending the opening ceremony were Surabaya Mayor Bambang Dwi Hartono, executive director of Surabaya Heritage Freddy Istanto and Jerry Goei, the president director of AkzoNobel Decorative Paints Indonesia.

The Balai Pemuda building was selected as the first to be repainted, according to Rowe, because of its unique history and structure.

Built in 1907 by Dutch architect Westmaes, right at the heart of the city on Jl. Gubernur Suryo, the building was a favorite place for the Dutch community living in Surabaya to meet and gather and play three-ball snooker.

It was built on a plot of 17,000 square meters. Its main building has double domes shaped like the crown of a Dutch queen.

During the Indonesian fight for independence, the building was used as a meeting point for the nationalist movement. It was once the headquarters of the Youth of the Republic of Indonesia (PRI), a movement to maintain independence.

Given its part in the nation’s history, the building’s name was altered from De Simpangsche Societeit to Balai Pemuda. It currently functions as a multi-purpose building and has also been listed among the city’s 163 preserved heritage sites.

Angela Tan, head of communications at AkzoNobel Southeast Asia and the Pacific, said it would take two weeks to finish repainting the Balai Pemuda building.

Surabaya Heritage’s executive director Freddy Istanto, expressed pride the city was selected as one of the cities to receive assistance in maintaining cultural heritage.

“The Balai Pemuda compound is very lively. It has become a center for different supporting communities including the artistic community,” Freddy said.

He added that apart from being repainted, the Balai Pemuda building would also be revitalized without changing its original structure and aesthetic.

He expressed hope the repainting would make locals more aware and appreciative of the importance of preserving heritage buildings in their town.

“That way the care of heritage buildings will not just stop at the physical matter, but will be more connected to the historical value of our heritage,” he said.

Qatar Established $1b Indonesia Investment Fund

Jakarta Globe, Janeman Latul, May 11, 2010

Qatar Holding, the investment arm of Qatar’s sovereign wealth fund, has set up a $1 billion Indonesian fund to invest in infrastructure and natural resources in Southeast Asia’s biggest economy, officials said on Monday.

Gita Wirjawan, head of Indonesia’s investment coordinating board, said that the local investment vehicle, PT Qatar Holding Indonesia, was set up few days ago.

“The main focus area will be on mineral resources and infrastructure projects,” Wirjawan added.

Hilmi Gasim, an assistant to Alwi Shihab, the President Susilo Bambang Yudhoyono’s special envoy for the Middle East, said that originally Qatar and Indonesia had planned to set up a jointly owned fund with Qatar holding an 85 percent stake, but that Qatar eventually opted for a wholly owned fund.

Qatar Holding, which just last week bought the famous London department store Harrods, is estimated to control about $70 billion in assets and has interests in many leading companies in Europe and Unites States.

Reuters

Government to Manage Sub-District’s Internet Tender

Tempo Interactive, Monday, 10 May, 2010 | 18:15 WIB

TEMPO Interactive, Jakarta: The government has required the winners of the universal service obligation (USO) tender to implement internet development in the sub districts on time. “Everything must be completed six months after the contract is signed,” said Communication and Informatics Ministry’s Public Relations chief, Gatot S. Dewabroto, in Jakarta yesterday.

Exceptions were given to the 9 packages due to geographical barriers. The 9 package contracts (Maluku, North Maluku, West Papua, and Papua) was signed on April 15 between the Village Telecommunication and Informatics Agency and PT Lintas Arta. Both parties also signed an agreement on the 7 packages(Bali and Nusa Tenggara), and the 8 packages (all provinces in Kalimantan).

On May 7, another contract was signed by the Village Telecommunication and Informatics Agency and PT Telekomunikasi Indonesia for package 1 (Nanggroe Aceh Darussalam and North Sumatera), package 10 (North Sulawesi, Gorontalo, and Southeast Sulawesi), and package 11 (West Sulawesi, South Sulawesi, and North Sulawesi).

BOBBY CHANDRA

Taiwan Targets Students With ‘Cheap’ Offer

Jakarta Globe, Heru Andriyanto, May 10, 2010

Taiwan is aiming for a bigger slice of the Indonesian student market with an offer hard to resist: the cheapest learning costs among competitors such as the United States, Australia, Singapore and even mainland China.

“What it takes for an international student to earn a master’s degree in Taiwan is spending of just $6,000 to $9,000 a year, according to the discipline the student is choosing. And that includes the living expenses,” said Chen Tsang Yao, director of Elite Study in Taiwan (ESIT), whose task is to net foreign students for more than 160 higher education institutions in Taiwan.

But he was quick to add that cost saving was not the main advantage his government could offer students.

Chen claimed Taiwan’s higher education and training were among the world’s top five in 2006 and 2007, based on a survey by the World Economic Forum, thanks to its highly advanced research facilities.

“We are offering an option to Indonesian students willing to study abroad who mostly consider the US, Australia, Singapore, Japan or the Netherlands,” he said.

The recruitment team visited Jakarta last week “to test the water” in its first official student recruiting program in Indonesia.

It is planning a much bigger introductory and marketing event involving local universities in October.

Indonesia is seen as a key partner in Taiwan’s ambition to internationalize its universities. Even before the formal marketing campaign is launched, there are already quite a number of Indonesians studying for degrees in Taiwan.

“In 2009, the total number of Indonesian students studying in Taiwan was 2,275,” Chen said.

That figure represents about 10 percent of the number of international students from 113 countries studying in Taiwan.

But while the major disciplines selected by international students are engineering and business management, 877 Indonesian students went to Taiwan to study Mandarin.

“Now we need to explain here that Mandarin language is not the only thing we are best at,” said Chung Tsair Wang, co-chairman of ESIT. “Taiwan universities have world-class research facilities in engineering and technology and we look forward to seeing more Indonesian students in those disciplines.

“I have visited several Indonesian universities and met students with great talent in those areas. In Taiwan, international students with excellent performance enjoy many advantages, including generous scholarships from the government and even free accommodation.”

Another thing to consider, he said, is that the fast-growing Taiwanese investment in Indonesia offers great job opportunities for graduates from Taiwan.

“It is only natural that Taiwanese companies operating in Indonesia will prefer to select Indonesians graduating from our universities as their employees, with high salaries and other benefits,” Chung said. “And there are many joint Taiwan-Indonesia projects here in the fields of energy, petrochemicals, engineering and so on,” he told the Jakarta Globe.

Among the top Taiwanese universities Indonesian students can select from are Asia University, Chung Hua University, Chung Yuan Christian University, National Central University, National Cheng Kung University, National Sun Yat-sen University, National Taipei University, National Taiwan University, National Taiwan University of Science and Technology and St. John’s University , Taipei campus.

In October, representatives from various Taiwanese universities are expected to join the ESIT team for its first major marketing program in Indonesia.

“We are still approaching local universities to be hosts of the program,” Chung said.

“We are currently at talks with the University of Indonesia, Gadjah Mada University, North Sumatra University and Brawijaya University.”

To show its seriousness in attracting more Indonesian students, the ESIT has opened an online application service at www.esit.org.tw, from which students can go one-stop shopping for their preferred university and discipline. The site includes institutions with an English-instruction international program, application forms, class schedules and even information on finding a place to live.

But it seems that the Indonesian marketing program will not be an easy task for the Taiwanese delegation.

“The cheap price tag of course started with the more famous ‘made in Taiwan’ products, but I don’t think that the concept will work when it comes to education,” said Theresia Sulis, 43, a housewife in Cimahi who is seeking a school for her son, a recent high school graduate.

“Maybe the school expenses there are cheaper than other countries, but what’s the point in sending my son there if local universities in Bandung or Jakarta have better quality?”

“And it’s still much cheaper for him to study in local schools,” she added.

“If I finally decide to send my son abroad to study, I will consider France, Australia or Singapore, which are also less expensive than the US or Britain, but equally offer big advantages in the post-school job search.”

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Australia builds shools in Mamuju

Antara News, Monday, May 10, 2010 22:43 WIB

Mamuju, West Sulawesi (ANTARA News)- Australia built ten junior secondary schools in Mamuju regency, West Sulawesi province, under a cooperation scheme with the Indonesian government.

The head of the Middle Education Division of the Mamuju regency education agency said on Monday Australia under the school development cooperation project with the Indonesian government may build more schools in Mamuju.

The schools which had been built under the cooperation project in 2008 and 2009, were those in Bonehau subdistrict (two), and one each in Simkep, Papalang, Sampaga, Tobadak, Topoyo, Korossa, Tommo, and Tapalang subdistricts.

The schools were also equipped with prayer facilities, libraries, and labarotories.

Under the cooperation scheme with the Indonesian government, Australia this year planned to build four more schools in each in Simkep, Papalang, Tommo and Tapalang subdistricts.

"The program was preceded by the Mamju administration by holding a workshop involving shool masters, school committees, school supervisors, teachers and parents of the students, for an evaluation of the quality of education under the cooperation project between the Australian and Indonesian governments," he said.

US commerce secretary to visit RI

Antara News, Monday, May 10, 2010 22:37 WIB

Jakarta (ANTARA News) - United States Secretary of Commerce Gary Locke and a select group of US business leaders are scheduled to visit Indonesia May 25-26,

According to a press release received here on Monday, the first cabinet-level trade mission of the Obama Administration`s visit to Indonesia was aimed to deepen the commercial and technology partnerships and exchanges that lead to increased trade and investment in clean energy development.

Building a solid foundation for President Obama`s new National Export Initiative and his commitment to creating substantive partnerships with growing economies such as Indonesia, US Commerce Secretary Locke will engage with Indonesian officials and private sector representatives on advancing bilateral trade and to pave the way for Obama`s upcoming visit to Jakarta that will mark a new chapter for US trade and partnership with Indonesia.

Secretary Locke and his staff will lead select American companies on this clean energy mission to assure them of the deep US commitment from the Obama administration to emerging Asian economies and to ask the host countries to open their doors to reliable US partners who can join them in building jobs, economic growth and a better environment in their respective countries.

The delegation will be in Jakarta where Coordinating Minister of Economy Hatta Rajasa will host the Secretary of Commerce and the business leaders to meet with key Indonesian ministers, legislative leaders and private sector representatives. The group is also expected to see President Susilo Bambang Yudhoyono who is a firm advocate of a clean and secure energy future for Indonesia and a proponent of a meaningful strategic partnership with the US. The group will also be hosted by KADIN, the American Chamber of Commerce and US Ambassador Hume as well as the University of Indonesia.

In speaking about this mission, Secretary Locke said, "America`s economic future will depend on how well it competes to meet the rising global demand for clean energy in the 21st century; the business leaders joining me on this trade mission understand the urgency of that global competition". Locke noted that Indonesia represents a key partner for US companies that is ready to compete in the clean energy and energy efficiency sectors and find mutual benefits in Asia.

The US Ambassador to Indonesia, Cameron Hume, during his presentation at an ASEAN clean energy summit in Manila said last week that Indonesia is to be applauded for its integrity in openly addressing the distortions and losses from subsidies to fossil fuel consumption that divert funds from education, health and defense.

He recognized that Indonesia seeks to balance the social demands for cheap energy with the reality that now they are a net energy importer that like the US they must find the means to efficiently use their rich renewable resources like geothermal, sunshine, geography and their people to embrace cutting edge clean technology tools from the US and locally to achieve a bright future for Indonesians.

Trade directly and indirectly supports millions of jobs globally. Trade and open collaboration in technology transfer, development and use of advanced energy equipment and high level education and skills are an increasingly important part of the knowledge economy and a key component of the Obama Administration`s efforts to create jobs and economic balance in the US and globally.

The administration has stated its commitment to aggressive trade promotion strategies and in March, President Obama issued an executive order creating a new initiative that aims to enhance US trade and international engagement leading to millions of jobs and economic vibrance for the US and its partners.

In addition to Jakarta, the group will visit Hong Kong, Shanghai, and Beijing. The delegation also includes other US economic and trade agencies such as the US Export Import Bank, US Overseas Private Investment Corporation, US Trade Development Agency and US Foreign Commercial Service.

Private firms include Capstone Turbine Corporation, Caterpillar, Echelon Corp., Emerson Electric, General Electric Company, Lockheed Martin Global, Inc., Oshkosh Corporation, Peabody Energy, Pratt & Whitney Power Systems, Inc., and Prime Engineering, Inc.

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President: Follow up education reform with innovation

Talking science

The Jakarta Post, Antara | Mon, 05/10/2010 3:56 PM

Talking science: President Susilo Bambang Yudhoyono (right) welcomes Bruce Alberts, the US special envoy for science and technology, at the State Palace in Jakarta on Monday. The meeting was to discuss possible cooperation between the two countries in science and technology matters. Antara/Widodo S. Jusuf

Govt ready to facilitate Greenpeace case

Antara News, Saturday, May 8, 2010 13:21 WIB

Jakarta (ANTARA News) - The agriculture ministry is ready to facilitate a meeting between Greenpeace and PT Sinar Mas Agro Resources & Technology Tbk. (PT SMART) to clarify issue on environmental destruction by oil palm plantations.

Bayu Krisnamurthi, deputy agriculture minister, said here, Friday, that in a meeting between Greenpeace activists and Agriculture Minister Suswono on Friday, the international environmental NGO said it did not oppose the oil palm plantations in Indonesia.

"They are not against oil palm, but against deforestation activities. They are also against illegal logging activities," Bayu Krisnamurthi said.

Greenpeace also opposed the conversion of peat land which was not in accordance with the government`s regulations, he said.

The deputy minister said Greenpeace in the meeting with the agriculture minister, proposed that oilpalm plantations should be opened in barren land used to be forest area, he said.

Greenpeace Southeast Asia campaigner Bustar Maitar said Indoensia has one of the fastest rates of forest destruction on the planet, with palm oil and pulp and paper plantations being major causes. As a result, it is now the world`s third largest greenhouse gas emitter, after China and the United States.

To avert catastrophic climate change, he called for an end to deforestation and, to begin with, the government must declare an immediate moratorium on destroying Indonesia`s rainforests and carbon-rich peatlands, he said.

President Susilo Bambang Yudhoyono has an ideal foundation to implement his commitment expressed during the Copenhagen Climate Change Summit, to forest protection in order to reduce gas emissions, he said.

Greenpeace has recommended an establishment of a global funds to stop deforestation in countries such as Indonesia an Brazil, by requesting advanced countries to invest US$45 billion annually for forest protection.

Construction starts on Riau coal power plant

Rizal Harahap, The Jakarta Post, Pekanbaru | Sat, 05/08/2010 10:46 AM

Construction started on a 20-megawatt coal-fed steam power generating station in Peranap, Indragiri Hulu, Riau, that will illuminate the regency by mid 2012, said PT Bukit Asam managing director Sukrisno at the station’s inauguration on Thursday.

PT Bukit Asam, the state-owned coal mining firm, would build the plant near its coal mine in Semelinang Tebing village, 250 kilometers south of Pekanbaru, the capital of Riau, he added.

Construction of the PLTU Peranap power plant would cost an estimated Rp 300 billion (US$32.6 million), he added.

Exploratory studies that date from June 1985 were finally realized after the company decided to use its own money to speed up construction of the plant, said Sukrisno.

The power pant was just the first part of Bukit Asam’s plan to foster development in Riau, he added.

The company would also build additional infrastructure needed for the station, such as schools, housing for new employees and additional power lines.

Power produced by PLTU Peranap would eventually be sold to the public by PT Perusda, which is operated by the regency administration.

The coal mining firm had decided to distribute power outside the state-owned electricity company’s network to reach users in six neighboring districts, said Sukrisno.

The plant will end the power crisis in Indragiri Hulu and promote small business in Riau, he added.

Bukit Asam’s potential coal reserves of 370 million tons in Peranap had given the company an opportunity to develop its coal export business and would fuel two additional power plants that it planned to build in Riau in the near future, said Sukrisno.

The Peranap mine had previously produced 12 million tons of coal per year and would be able to fuel seven stations similar to PLTU Peranap, and produce 200 megawatts, he said.

“We plan to build additional power plants with a total combined output of 300 megawatts by 2015 and maximize use of Peranap’s coal potential.”

Bukit Asam manages coal mines in South Sumatra, West Sumatra and East Kalimantan and the coal mine and power generation station in Peranap are part of an expansion program, said Sukrisno.

The company had a concession to mine coal in a 17,000-hectare area of Peranap. Bukit Asam had already acquired 80 percent of the land, he added.

Indragiri Hulu Regent Mujtahid Thalib said he had promised to help build a network to distribute power to residents in remote areas.

Riau Deputy Governor Mambang Mit said that when completed, the power plant would minimize the Riau’s chronic power crisis.

Reports say Riau province produces 150 megawatts and faces a power deficit of 42 percent during peak hours.

Riau’s ratio of available power to demand is the lowest in Indonesia. The province will face a power deficit of 1,100 megawatts in the next five years without new power stations.

Indonesia opens its first women’s university

The Jakarta Post, Jakarta | Sat, 05/08/2010 10:28 AM

JAKARTA: Women’s Empowerment and Child Protection Minister Linda Amalia Sari Gumelar inaugurated the International Women’s University in Bandung, West Java, on Friday.

The first of its kind in Indonesia, the university aims to offer high level education for women, according to the university’s rector Sri Redjeki Sumaryoto.

“We want to increase the number of highly competent, professional women who will work for government bureaucracy, legislative bodies, NGOs and other sectors,” Sri Redjeki told Antara state news agency.

She said the establishment of the university was in line with the law that requires that 30 percent of seats in the government and legislative bodies be allocated to women, whom now make up 51 percent of the whole population. Sri Redjeki said that despite its name, the university would also have male students.

The university will offer undergraduate programs in science and technology, communications and social sciences. — JP

Indonesia Eyes Gas Promised to Japan

Jakarta Globe, Reva Sasistiya & Bloomberg, May 07, 2010

A tanker being loaded with LNG at Bontang in Kalimantan. Domestic gas shortage may prompt to state to revise deals with Japan. (Bloomberg Photo)

As Indonesia continues to suffer from a shortage of liquefied natural gas, the government said on Friday that an existing contract to supply LNG from Central Kalimantan to Japanese buyers would likely be revised to enable more fuel to be allocated to the domestic market.

Energy Minister Darwin Zahedy Saleh said the government may alter the contract to provide Japanese buyers LNG from the Bontang project in Central Kalimantan.

“We’re able to revise the contract supply since the gas is our resource,” Darwin said. He acknowledged the possibility of penalties from buyers if Indonesia failed to meet its agreement, but he asked for understanding from Japanese companies. “We’re still considering it.”

The LNG contract from Bontang was signed on Feb. 13, 2009 between operators PT Pertamina, Total EP Indonesia and Inpex Corporation and six Japanese buyers: Chubu Electric Power; Kansai Electric Power Co.; Kyushu Electric Power; Nippon Steel; Osaka Gas and Toho Gas.

The agreement covers a 10-year period starting in 2011. For the first five years, three million tons a year would be allocated to the Japanese buyers with two million tons a year allocated for the second five years. Currently, Japanese buyers are taking 12 million tons a year from Bontang.

Raden Priyono, head of upstream oil and gas regulator BPMigas, said as the amount of Bontang gas exported to Japan would be lower next year, there would be excess output of 2.5 million tons.

“The gas will be allocated to the domestic market, but if the infrastructure is not ready, we will have to find another buyer.”

Currently, it’s estimated Indonesia is suffering from a 2.5 billion standard cubic feet of gas a day deficit.

Meanwhile, Evita Legowo, director general of oil and gas at the Ministry of Energy, said final government approval of the Donggi-Senoro LNG plant may not take place until near the end of the year, meaning the plant would now not be finished until 2014. The facility was originally supposed to be completed this year.

The plant is 51 percent owned by Japan’s Mitsubishi. Pertamina holds 29 percent and PT Medco Energi Internasional owns the rest.

At issue is who will be allowed to purchase the gas. In January 2009, the operating consortium agreed to supply one million tons of LNG annually to Chubu Electric Power and one million tons per year to Kansai Electric over 15 years.

But last July, then-Vice President Jusuf Kalla instructed the energy minister and Pertamina’s president director to allocate the gas to domestic buyers.

The fate of the gas has been unclear since then, with the government and the consortium partners at odds over whether the gas should be sold domestically, where it would bring a lower price, or on the international market.

One Japanese buyer pulled out in August and prospective buyers from Japan and South Korea this week threatened to walk away if the government didn’t decide soon how the gas would be allocated.

The decision will be Vice President Boediono’s. Darwin said he would meet with Boediono to discuss it on Monday.

Evita said the decision could be made before the end of the month.

Government Introduce New Transparency Law on Mining

Tempo Interactive, Friday, 07 May, 2010 | 18:53 WIB

TEMPO Interactive, Jakarta: The government announced that it has introduced a new regulation on transparency of state revenue from extraction industry to regulate revenue reports off all parties involved in mining idustry from the regional authorities to state mining firms.

Coordinating Minister for the Economy Hatta Radjasa said on Friday (7/5) the Presidential Regulation No.26 of 2010 paves the way for the formation of an enforcement team that will monitor and ensure transparent revenue reporting by the end of this year.

Under the regulation five institutions and one person will become the directors of the policy which include the Coordinating Ministry for the Economy, Energy and Mineral Resources Department, Finance Department, Home Affairs Department, the Finance and Development Comptroller and former Environment Minister Professor Emil Salim.

In the execution level, there were all lower officials with the above institutions, the Oil and Gas Regulatory Body, Pertamina and representatives from regions where extraction of natural resources occurred.

Hatta said the government is expected to complete formation of the team which will start working in 2011. He said the same measure is possible for forestry sector but now the government is focusing on the most destructive industry because it relates to the sustainability of the resources.

RIEKA RAHADIANA

US ready to help Southern Trans-Java highway project

Antara News, Friday, May 7, 2010 15:45 WIB

Jakarta (ANTARA News) - The Millennium Challenge Corporation (MCC), a United States donor institution, is ready to give a soft loan of US$300 million for the construction of the southern trans Java highway.

"We are to conclude a formal agreement with the MCC to approve the soft loan of US$300 million," Public Works Ministry`s Bina Marga Director General Djoko Murjanto said here on Thursday.

He explained that MCC`s intention to assist to southern Java trans highway project was under discussion at the US Senate, and if being agreed, the design process would be made in 2011 and then continued with physical construction for three years.

Murjanto said the soft loan would be used for the construction of 300-km road of a total 1,567,195 km in the southern coastal area of Java island.

He said the US donor institution had an interest to help develop the southern trans Java road to have an access to the isolated areas.

Murjanto said the soft loan would also be allocated for the construction of a road linking Banten province and West Java province.

He said the proposal for the grant had been handed to the National Development Planning Board (Bappenas) to be discussed further.