Category: English
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Lapindo mud wall falls, residents’ sorrows spiral
The Jakarta Post, Sidoarjo – The embankment of the Lapindo mud retaining pool in Sidoarjo, East Java burst on Wednesday evening because of high rainfall in the area, forcing residents, most of whom have not received compensation, to take shelter.
“The burst embankment will be rebuilt 5 meters high. However, residents often blockaded the project, so the embankment, which is still only 3.5 meters high, collapsed and caused water to engulf residents’ homes and flow into the river,” Sidoarjo Mudflow Mitigation Agency (BPLS) spokesman Dwinanto Prasetyo said on Thursday.
Dwinanto said the government had provided a shelter for affected residents at the Gempolsari village hall, which could accommodate around 100 people, or 20 families, from the village.
“We have set up a kitchen and provided blankets, clothing and other supplies at the shelter. However, residents prefer to remain in their swamped homes,” he said.
He added the BPLS had operated two pumps to channel mud to the main retaining pool, from where two dredges would dump the mud into the Porong River.
One of the residents, Sri Asih, 41, said her family refused to stay at the shelter provided by the local administration, since staying at home was far more comfortable.
“Each heavy rain, we are always wary of the condition of the mud embankment, because it has collapsed before and water mixed with mud engulfed my home and damaged the furniture,” Sri told The Jakarta Post on Thursday.
“We prefer moving our belongings, such as furniture, to the shelter at the village hall. If the water level rise further, we will obviously evacuate to the village hall,” she added.
Sri hoped the government would soon fulfill its promises to pay compensation for her house and land, which were included on the map of areas affected by the Lapindo hot mudflow disaster.
The government earlier announced it would pay compensation of Rp 781.7 billion (US$60.2 million).
Many criticized the government’s decision over the compensation as it is actually the responsibility of PT Lapindo Brantas, a company controlled by the family of Aburuzal Bakrie, who is also chairman of the Golkar Party.
PT Lapindo partly owns PT Minarak Lapindo Jaya (MLJ), which conducted gas exploration activities in the affected area leading to a blowout at one of Lapindo’s natural gas wells in 2006.
Lapindo has persistently denied its exploration activity was the cause of the mud flow, instead blaming an earthquake in Yogyakarta, hundreds of kilometers to the west.
Another victim, Ahmadi, 54, expressed hope President Joko “Jokowi” Widodo would not break his promise to immediately resolve the issue.
“We are actually tired of the promises. If the government is still concerned with the fate of the hot mudflow victims, the payment process should not have been complicated,” said Ahmadi.
Commenting on the planned compensation, Dwinanto Prasetyo said that although the government had provided the bailout funds, it must still wait for the completion of auditing by the Development Finance Comptroller (BPKP) before they could be disbursed.
Meanwhile, East Java Governor Soekarwo said the disbursement of the funds for mudflow victims should go through several stages.
Indra Harsaputra
Sumber: http://www.thejakartapost.com/news/2015/03/20/lapindo-mud-wall-falls-residents-sorrows-spiral.html
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Bakrie Telecom agrees restructuring
Creditors of Bakrie Telecom have approved its restructuring plan, after it missed a November 2013 coupon payment on its US$380m 11.5% bonds due 2015, but some bondholders were unhappy that they were barred from voting.
Creditors owed Rp3bn (US$240,000) or more will receive 70% of the principal in mandatory convertible bonds which convert at Rp200 per share. The remaining 30%, as well as smaller obligations, will be paid in instalments over 5.5 years at terms to be agreed later.
The vote required a majority approval from creditors holding two-thirds of the debt, and in the end obtained approval from holders of 94.6%.
However, there was controversy, as an investor said the company had reclassified funds received from one of its issuing vehicles as an intra-company loan, effectively giving the voting rights to the issuer rather than the bondholders. Bakrie Telecom Pte Ltd, a subsidiary registered in Singapore, issued the 2015s and a Jakarta judge agreed with the administrator that it was the only party eligible to vote on behalf of the bonds.
The Indonesian legal process does not work on precedent, but the investor said the tactic was one that bondholders would need to be wary of in future restructurings by Indonesian companies.
Some bondholders claimed they had not been able to vote, but another investor said everyone had been contacted and asked to fill in a disclosure.
“[They] have been quite transparent about the process, in my view,” he said.
Negotiations with bondholders have been ongoing for several months, and a proposal was put forward in September. The two investors said there had been broad agreement for the proposals anyway.
A group of bondholders – Universal Investment Advisory, Vaquero Master EM Credit Fund and Trucharm – which claimed to hold more than 25% of the 2015s, had sued Bakrie Telecom and three subsidiaries in New York for alleged breach of terms after it missed two coupon payments.
Bakrie Telecom did not respond to a request for comment.
Under an earlier proposal, 30% of the current paper would have become a five-year bond with a 1% cash coupon and an additional 3% payment in kind (PIK), while the other 70% was to be converted into an equity-like instrument maturing in 6.5 years, paying no coupon for the majority of its life, and making a 5% per annum payment on its sixth anniversary.
Daniel Stanton, Lianting Tu, Eveline Danubrata
Sumber: http://www.ifrasia.com/bakrie-telecom-agrees-restructuring/21179091.article
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Kalla claims controversial Lapindo bailout a win-win solution
After an allegation that the government’s decision to take over the Bakrie family’s liabilities in the Lapindo mudflow disaster in Sidoarjo, East Java, was the result of a back room political deal, the government defended its decision on Friday saying that it would ultimately benefit all parties involved in the disaster.
“Here’s why, the people [mudflow victims] are facing hardship. PT Minarak Lapindo Jaya could not pay [the compensation anymore], but it still has assets. Therefore, the government decided to give the loan first to calm the people down,” Vice President Jusuf Kalla said on Friday, referring to a firm controlled by the Aburizal Bakrie family, which had been deemed responsible for the disaster.
Kalla, who served as Golkar Party chairman prior to the leadership of Aburizal Bakrie, said that the public should not debate on whether the government was losing money for the misbehavior of a greedy tycoon and should see the loan as part of a trade deal.
“So the company has purchased 1,000 hectares of land [from the disaster victims]. That land is used as collateral for the government. The company is given four years [to settle the loan]. If it can’t payback the loan, the assets will be taken over by the state. So the state doesn’t give money for free,” Kalla said.
On Thursday, President Joko “Jokowi” Widodo decided to bail out the family to settle the remaining compensation for the mudflow victims by providing a Rp 781 billion (US$62 million) loan to Minarak.
The loan will enable the company to pay compensation that has not yet been received by thousands of victims of the mudflow.
The decision has sparked debates over whether the government should spend more money to help ease the burden for the Bakrie family, after spending more than Rp 6 trillion of taxpayer money to handle the aftermath of the disaster.
Kalla further defended the decision saying that the loan would ultimately benefit the state should the company fail to return the money.
“If the mudflow stops, then the price of land will increase. And I can assure you that it will stop at one point,” he said. “If it doesn’t stop [in near future], then just wait for it. Maybe in the next five years or 10 years, [the mudflow will stop].”
Even at its current price, the total price of the land is already much higher than the loan given, Kalla added.
“The land is 1,000 hectares, or 10 million m2. If the current price is Rp 1 million per m2, then the price of the land is actually Rp 10 trillion,” he said.
Besides benefiting the state and the victims, even the company itself would benefit from the scheme, the senior Golkar politician said.
“The company will not lose money if five times the market price.” It pays back the loans now. They will get their money back. The victims are also happy because they are getting paid for their lands, Kalla said.
Kalla also justified the government’s decision by pointing out that the Constitutional Court had ordered the state to force Lapindo to complete the compensation payments.
Golkar deputy secretary-general Lalu Mara Satriawangsa, who is also an Aburizal’s confidant, applauded the government’s decision given that the Lapindo mudflow had been declared a national disaster.
“The Bakrie family has helped local communities by buying their asset with a price higher than that of the market price. If there is some [financial] shortage, that is the fact,” he told The Jakarta Post.
He said that the family has spent so much in the wake of the disaster, which begun in 2006 after a blowout of a natural gas well drilled by PT Lapindo Brantas.
“The family has spent more Rp 8 trillion [for compensation], just compare this with the remaining Rp 750 billion that we have not paid,” Lalu Mara said.
Political analyst Agung Baskoro of Jakarta-based Poltracking Institute, meanwhile, suggested that the government’s decision to bailout Lapindo was motivated by its increasing need of political support from Golkar, the leader of the opposition Red-and-White Coalition.
“The government has currently been dealing with complicated issues, like fuel-price hikes and the weakening rupiah. They are in dire need to gain support from lawmakers,” he said.
Hans Nicholas Jong and Hasyim Widhiarto
Sumber: http://thejakartapost.com/news/2014/12/20/kalla-claims-controversial-lapindo-bailout-a-win-win-solution.html
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In surprise move, govt bankrolls Bakries in Lapindo disaster
The government has finally agreed to go another extra mile to bail out the powerful Bakrie family to settle the remaining compensation for victims of the Lapindo mudflow disaster in Sidoarjo, East Java.
Public Works and Housing Minister Basuki Hadimuljono confirmed on Thursday that the government would provide a Rp 781 billion (US$62 million)-loan to PT Minarak Lapindo Jaya, a firm controlled by the family that is handling the disaster.
“Lapindo said that it could not pay the compensation by buying the land [owned by the disaster victims]. So it was decided that the government would lend them to buy it,” said Basuki at the State Palace.
“The company will be given four years to settle the loan, or we will seize their assets [land in the affected area].”
Basuki, a career bureaucrat, explained that the loan would be taken from the strategic fund allocated in next year’s state budget.
He said that he had already called Nirwan Bakrie, who represented the family in dealing with the disaster, and that the family had agreed to the loan settlement plan.
The family’s scion, Aburizal Bakrie, who is also Golkar Party chairman, has enjoyed government assistance between 2007 and 2014 related to the Lapindo disaster, which many believe was caused by drilling conducted by Lapindo, the family’s firm, in 2006.
Former president Susilo Bambang Yudhoyono’s administration allocated more than Rp 6 trillion to compensate villagers living in the vicinity of the so-called “affected area map”, which was legalized via a presidential decree in 2007.
Yudhoyono established the Sidoarjo Mudflow Mitigation Agency (BPLS) to handle and control the mud eruption, relocate people, recover infrastructure and supervise Lapindo in handling compensation for villagers in the affected area.
Such generous financial protection for the Bakries was among the reasons Golkar helped the Yudhoyono government remain stable in the face of nationwide protests at the president’s generosity to the conglomerate.
Golkar is now the second biggest party, after the Indonesian Democratic Party of Struggle (PDI-P), which supports President Joko “Jokowi” Widodo. Jokowi and the PDI-P have been trying to lure Golkar to join their coalition and form a majority in the House of Representatives, but to no avail.
Cabinet Secretary Andi Widjajanto said that the decision to award the loan was entirely based on the government’s commitment to help the victims, who had been left in limbo for eight years.
He also said that the government had yet to mull any sanctions against Lapindo for its inability to pay the compensation.
“The President has yet to consider [the sanctions] as the people have already been waiting for the compensation,” said Andi.
A Constitutional Court ruling issued earlier this year ordered the government to force Lapindo to complete the compensation payments.
Ina Parlina
Sumber: http://thejakartapost.com/news/2014/12/19/in-surprise-move-govt-bankrolls-bakries-lapindo-disaster.html
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Lapindo must pay losses of victims: VP
Vice President Jusuf Kalla affirmed on Wednesday that although the government planned to buy the assets of PT Minarak Lapindo Jaya, the company should still pay compensation to the victims of the mudflow.
“The government will buy the assets, not pay the compensation. It [the compensation] is still the responsibility of Lapindo because it is a civil case,” Kalla said on the sidelines of a ceremony to commemorate International Human Rights Day.
Earlier this year, the Constitutional Court issued a ruling ordering the government to force Lapindo to complete the payment of compensation to the victims of the disaster.
The company recently claimed that it still needed to pay around Rp 781 billion (US$63.26 million) of a required Rp 3.8 trillion in compensation to more than 4,000 victims who lived in the affected area.
Earlier this week, Public Works and Public Housing Minister Basuki Hadimuljono revealed the government’s plan to buy the assets of the company worth Rp 781 billion so that it could pay the long overdue compensation. (***)
Sumber: http://www.thejakartapost.com/news/2014/12/11/lapindo-must-pay-losses-victims-vp.html
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Head in the sand mentality bodes ill for Golkar
If ever an organisation was in need of regeneration and a policy makeover, it would be Golkar. For all of its past history as the late president Suharto’s political machine, it remains the largest and best organised party in Indonesia, with the potential to dominate again.
Yet, after surviving Suharto’s downfall in 1998, when at one point it looked to be going down with him, it has failed to come to terms with the democratic era and remains, 16 years later, rooted in the past and a prisoner of personalised politics.
Under Vice-President Jusuf Kalla and now the increasingly-autocratic tycoon Aburizal Bakrie – both leftovers from Suharto’s New Order rule – the once all-powerful party has seen its share of the national vote plunge from 22 to 14 per cent.
Now, after winning its lowest number of seats, failing to nominate Mr Bakrie as a presidential candidate and ending up in the opposition for the first time in its 50-year history, the party has elected him to a second term.
Anywhere else, a political leader with that sort of record would have either resigned or been forced from office. But not Mr Bakrie – and not Golkar, where a winner-takes-all mentality continues to trump democratic decision-making.
By calling last week’s Bali convention ahead of schedule and crafting rules that among other things did away with a secret ballot, Mr Bakrie was playing with a stacked deck that forced all six of his rivals out of the race.
Leaving aside allegations of intimidation and payoffs, the final spectacle of all 543 provincial and district delegates voting for Mr Bakrie by acclamation could have been taken from the old New Order playbook.
There was more to it than that, of course. As events have shown throughout this election season, the underlying motivation of some influential party elders in keeping Mr Bakrie in the driving seat has been purely personal.
Advisory council head Akbar Tanjung could have joined the revolt against the chairman, but instead supported him – first in taking the party into Mr Prabowo Subianto’s majority opposition and now in his re-election.
Like Mr Bakrie, Mr Akbar is miffed at President Joko Widodo for not choosing him as his running mate. But mostly he detests Mr Kalla for deposing him as chairman after the Susilo Bambang Yudhoyono-Kalla ticket won the 2004 presidential election.
That’s why, for all of his so-called peace-making efforts in Bali, he was clearly against Golkar entering Mr Joko’s ruling coalition, which would have been unlikely, in any case, to chop and change the new Cabinet to accommodate a latecomer.
One of Mr Bakrie’s rivals, former House Speaker Agung Laksono, had already said he would join the government if he won. The others had the same thoughts, worried about the party’s chances in 2019 if the party stays in opposition.
Among them were four politicians in their 40s and early 50s, led by deputy party treasurer Airlangga Hartarto and former vice-speaker Priyo Budi Santoso, who will now have to wait even longer to make a clean break with the past.
Mr Bakrie’s motives are easier to understand. A wide body of opinion believes that without the chairmanship of Golkar, and its still-powerful influence over Indonesia’s political and business life, the tycoon is finished.
That’s hard to swallow, particularly for someone as teflon-coated as Mr Bakrie, whose Indonesian ethnicism has helped him survive a face-off with Suharto, a near-bankruptcy and an environmental disaster. But it does explain the desperation with which he is clinging on.
Certainly, there is nothing either he or Mr Kalla have done to set Golkar on a new path. Remembering the sparse largesse Mr Kalla offered during his earlier term as vice-president, many in the rank-and-file would have seen little to gain this time from following him into government.
Mr Bakrie has understandably been less than generous too. Listed in 2007 as Forbes magazine’s richest Indonesian, with a net worth of US$5.4 billion (S$7 billion), his fortunes have slumped to a point where he didn’t even make this year’s Top 50.
Not only did he fail to follow through on his 2009 promise of financing a 25-floor party headquarters and a 1 trillion rupiah (S$107 million) trust fund, but election candidates were also told to cough up for his expenses if they wanted him to campaign for them. Mr Bakrie appears to have redeemed himself somewhat with many of the regional branches by taking the leadership role in the opposition coalition and pushing through a law ending direct elections for governors, district chiefs and mayors.
But it may come at a cost, with the formerly-supportive Democratic Party widely expected to change tack and vote for Dr Yudhoyono’s last-hour presidential decree – issued in response to a public outcry – which scraps the controversial legislation.
The fallout from that could see the Democrats and perhaps the National Mandate Party moving to the centre and leaving the opposition without the majority it enjoys now. One Golker insider says: “It may be the undoing of the coalition.”
As the consummate apparatchik, who helped rescue Golkar from the post-Suharto doldrums, Mr Akbar is no doubt aware that Mr Bakrie will lead Golkar nowhere, even if he has cut the size of the central board from 380 to a still-unwieldy 199.
If Golkar falls into further disarray, it could well finish in single digits in 2019 – except for the fact that no other party, least of all Ms Megawati Sukarnoputri’s dithering Indonesian Democratic Party – Struggle, looks capable of gaining any dominance.
The bottom line to all this has become depressingly clear. While Indonesia’s citizens have wholeheartedly embraced democratic rule, the political parties have not. They remain locked in the past, constrained by vested and familial interests and unwilling to regenerate or move with the times.
“The whole political party system needs an overhaul,” says one veteran Golkar politician. “The government should be part of the solution, but how does it do that without being interventionist?”
John Mcbeth [email protected]
Sumber: http://www.straitstimes.com/news/opinion/more-opinion-stories/story/head-the-sand-mentality-bodes-ill-golkar-20141209 -
Govt to ‘Help’ Lapindo With Mudflow Compensation, Offers to Buy Assets
Jakarta. Victims of the Lapindo mudflow disaster in Sidoarjo, East Java, are one step closer to being compensated for losses — eight years after dozens of villages and hundreds of hectares of farmland were swamped.
The government announced on Monday that it would buy assets from the company accused of triggering the disaster, Lapindo Brantas, which could then use the proceeds to pay out Rp 781 billion ($62 million) due to victims this year.
Minister of Public Works Basuki Hadimuljono said the government would buy about 20 percent of the company’s assets, which was mostly land, in affected areas.
The announcement comes just days after President Joko Widodo — through cabinet secretary Andi Widjajanto — ordered Lapindo Brantas to wrap up payments to victims of the mud volcano. On top of the Rp 781 billion owed to residents, the company, which is affiliated with the family of Golkar Party chairman Aburizal Bakrie, must pay Rp 500 billion to affected businesses in 2015.
“They still have around Rp 1.4 trillion to pay,” Andi said. “We’re waiting for it.”
The government’s decision to buy assets from Lapindo Brantas is bound to raise questions about why money from the state budget was essentially being used to compensate a mistake made by the company.
The government is already required to pay Rp 300 billion compensation to victims whose land is located outside the map of affected areas. A 2012 judicial review which sought to have the company cover all compensation costs in areas affected by the mudflow was rejected by the Constitutional Court.
Andi said buying the company’s assets was part of the government’s effort to “help” Lapindo Brantas fulfill its responsibilities.
Lapindo Brantas was conducting gas exploration in the Sidoarjo area in 2006 when one of its natural gas wells blew out, causing a mud flow which destroyed hundreds of homes, swamped 720 hectares of land and displaced thousands of people.
Scientists blame drilling activities by the company for triggering the eruption, but the government at the time decreed it a natural disaster.
Ezra Sihite
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Bakrie 2019: The return of Soeharto
Kornelius Purba
Golkar Party chairman Aburizal Bakrie easily won his reelection as party boss in Bali this week because of, among other reasons, his convincing assurance that he would make local party leaders in 415 cities and regencies and 34 provinces across the country become mayors, regents or governors. They would not need to make any preparations or woo voters. Voters would be meaningless. His mantra was enticing: let us repeat what Soeharto did for the country!
During his 32-year rule, Soeharto’s Golkar completely controlled the country. Only Soeharto had the right to decide on regents, mayors and governors and on nearly all aspects of life in Indonesia. The glorious era of Soeharto and Golkar should be restored was the message in Bali. And Golkar is very close to the goal of reviving Soeharto’s heyday. Now, when party members want to get lucrative local government positions, they only need two things: Aburizal’s blessing and money!
How about Aburizal’s own future? The business tycoon — some of his companies are reportedly facing serious financial problems — aims to replace President Joko “Jokowi” Widodo in 2019. Aburizal expects it to be a very smooth win. Even when 150 million voters do not want him to lead the country, he can ignore them. In 2019, Aburizal believes, Golkar will fully control the country at all levels. It will be very easy for him to get full control of the country into his own hands.
Just ignore the Constitution, which mandates a direct presidential election. As the second-largest political party after the Indonesian Democratic Party of Struggle (PDI-P), Golkar, Aburizal firmly believes, will be the final arbiter in all political aspects of the country by means of indirect elections. There will be no more direct elections. Since 2005 Indonesian voters have had the right to directly elect their mayors, regents and governors. And since 2004, voters have had the right to choose their head of state and government. The Golkar-led Red-and-White Coalition rejects the people’s constitutional right.
Indonesians will be denied their right to determine the future of the nation. The coalition leaders apparently believe that God has entrusted Aburizal and the loser of the July presidential election, Prabowo Subianto, with the authority to abolish the direct-election system because it is too costly and too complicated for them (in their eyes, Indonesians are probably too stupid to practice democracy). Golkar under Aburizal’s leadership will take all necessary means to enforce the Law on Regional Elections. His success is almost guaranteed.
Shortly before ending his term of office in October, then president Susilo Bambang Yu-dhoyono issued a government regulation in lieu of law (Perppu) to annul the law that reinstated indirect local elections. To me, Yudhoyono is a traitor to our democracy. His Democratic Party fully supported the law. He became president for 10 years thanks to the direct-election system. He issued the Perppu simply because people were angry with his party’s support for the law. He is a great pretender; a genius soap opera actor.
The law was supported by Golkar, the Democrats, Gerindra, the Prosperous Justice Party (PKS), the National Mandate Party (PAN) and the United Development Party (PPP). The House of Representatives will decide the fate of the Perppu early next year and, Insya Allah (God willing) the Red-and-White Coalition believes, it will face no serious opposition to annulling the Perppu and restoring the indirect-election system.
Let me give a few examples. Next year the popular Surabaya Mayor Tri Rismaharini will end her first five-year term. She would easily win reelection under the direct-election system. But now chairman of Golkar’s Surabaya chapter Adies Kadir knows for sure he stands a great chance of taking over the mayor’s position simply with Aburizal’s consent and of course money. The money is needed to buy the votes of 50 members of Surabaya Legislative Council. It is much cheaper and easier for Adies because he does not need the votes of actual Surabaya citizens. As long as the 50 legislators are happy with him, and as long as Aburizal likes him, Rismaharini can do nothing to beat him.
Jakarta Governor Basuki “Ahok” Tjahaja Purnama will end his term in 2017. From this point on Golkar chairman of Jakarta chapter Zainudin should accumulate his financial resources. Of course he must also make sure that Aburizal does not change his mind and pick another person to contest the 2017 gubernatorial election.
Isn’t it so very easy? Thanks to Soeharto, Aburizal believes that he will also be able to pursue his dream of becoming president. In public of course he must hide his ambition. From now on he just needs to concentrate on how to amend the Constitution and in 2019 there will be no more direct presidential elections. The People’s Consultative Assembly (MPR) will take over the voting right of Indonesians to elect their president. The MPR comprises the 560-member House and the 132-member Regional Representative Council.
Changing the Constitution apparently is just a technicality for Aburizal, as he pointed out in a recent interview with a national newspaper how an indirect presidential election was possible.
Aburizal only needs to find effective ways to eliminate his potential rivals, including Prabowo, in the 2019 (indirect) presidential election. With former Golkar chairman Akbar Tandjung as his chief advisor, it seems that Aburizal will not face any hurdles to realizing his promise and dream: indirect elections. The Jokowi camp, the Great Indonesia Coalition, is trying to weaken the Red-and-White Coalition. At least for a while, Aburizal and Prabowo are still in full control of the coalition. So, Soeharto’s complete return in 2019 is almost guaranteed.
The writer is senior managing editor of The Jakarta Post
Sumber: http://www.thejakartapost.com/news/2014/12/07/bakrie-2019-the-return-soeharto.html
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Aburizal could be forced to settle Lapindo mudflow
The House of Representatives on Monday unanimously passed into law a bill that allows president-elect Joko “Jokowi” Widodo to force chairman of the Bakrie Group, Aburizal Bakrie, to fulfill his Rp 781 billion (US$65 million) financial obligation to the victims of the Lapindo mudflow disaster in Sidoarjo, East Java, next year.
Aburizal, who is also Golkar Party chairman, has lost the privileges he has enjoyed between 2007 and 2014 courtesy of President Susilo Bambang Yudhoyono’s administration.
The President had allocated more than Rp 6 trillion to compensate villagers living in the vicinity of the so-called “affected area map”, which was legalized via a presidential decree in 2007.
Such generous financial protection for the Bakrie Group was among the reasons why Golkar helped the Yudhoyono government remain stable in the face of nationwide protests at the President’s generosity toward the conglomerate.
However, the 2014 state budget, which was passed during Monday’s plenary meeting, no longer mentions such spending. Instead, Article 16 (2) only stipulates that “the [central] government can give a grant to local governments for post-disaster rehabilitation and reconstruction.”
Indonesian Democratic Party of Struggle (PDI-P) lawmaker Rieke Diah Pitaloka applauded the absence of an article stipulating that the government take over the financial burden caused by disaster, which was allegedly caused by PT Lapindo Brantas, an oil and gas company affiliated with Golkar chairman Aburizal, during its drilling operations in 2006.
“Lawmakers and the government should have erased the article long ago. It doesn’t make sense if taxpayers take over responsibility [for paying] from the company that triggered the disaster in the first place,” she told The Jakarta Post.
Lalu Mara, deputy secretary general of Golkar and Aburizal’s close aide, declined to comment on the House’s decision.
“It’s better to contact Pak Andi Darussalam to seek a comment on the matter,” he said, referring to the vice president of Lapindo Minarak.
There have been several efforts to stop the mud eruption, including a relief well method and the insertion of concrete. However, none have been able to stop the flow of mud, which many geologists believe could last up to 30 years.
In 2007, the government also established the Sidoarjo Mudflow Mitigation Agency (BPLS) to handle and control the mud eruption, relocate infrastructure, recover infrastructure, and supervise Lapindo in handling compensation for villagers in the affected area.
Lapindo, via its subsidiary PT Minarak Lapindo Jaya, recently claimed it needed to pay another Rp 781 billion of the required Rp 3.8 trillion in compensation to more than 4,000 victims who used to live within the affected area.
Public Works Minister Djoko Kirmanto, who leads the BPLS advisory board, said last week that the agency had recommended the government use the 2015 budget to help pay the remaining compensation.
However, Finance Minister Chatib Basri reiterated over the weekend that according to a Constitutional Court ruling issued earlier this year, the government was obliged to force Lapindo to complete payment of compensation to victims of the mudflow disaster.
Another PDI-P lawmaker, Arif Budimanta, reminded Jokowi and his incoming administration to ensure that outgoing President Yudhoyono, who proposed next year’s state budget, did not spread funds for compensation among the budgets of certain ministries or other state institutions.
“We need to make sure that those who caused it [the mud disaster] take responsibility for what they have done,” Arif said.
Hasyim Widhiarto
Sumber: http://www.thejakartapost.com/news/2014/09/30/aburizal-could-be-forced-settle-lapindo-mudflow.html
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Sidoarjo victims still striving for justice
Temporary fix: Workers from the Sidoarjo Mudflow Mitigation Agency (BPLS) dig a temporary canal for the smooth flow of mud in Gempolsari village, Porong, Sidoarjo, East Java, on Wednesday. The dam collapsed recently and affected many houses in the village. Despite the threat of overflowing hot mud that may engulf their house at any time, Suwandi, 75, and his wife, Saniakah, 70, insist on staying in Gempolsari village, Porong district, Sidoarjo regency, East Java.
They even remained indifferent to news that some embankment spots had been recently damaged.
“On Wednesday morning, a section of the embankment was damaged and the mudflow almost reached my house. I’ve lost count of the number of times damage has been caused to the embankment,” he told The Jakarta Post on Thursday.
Sidoarjo Mudflow Mitigation Agency (BPLS) spokeperson Dwinanto Hesti Prasetyo said there were dozens of vulnerable spots in the mud reservoir. They included spot No. 34, where the mudflow surface was only 50 centimeters lower than the top of the embankment, and spot No. 22, which was only 25 cm lower.
“Spot No. 21 is the riskiest because it is located by Jl. Raya Porong and the railway track. This is worrying because according to the BMKG [the Meteorology, Climatology and Geophysics Agency], we will enter the rainy season in October,” he said.
He explained that the embankment that surrounded the mudflow remained damaged because his agency could no longer channel the mud into the Porong River as it was prevented from doing so by the affected residents.
“Residents who have not yet received compensation have blocked BPLS workers from channeling the mud into the Porong River to ease the burden of the mud reservoir,” Dwinanto said.
Reno Kenongo subdistrict secretary Subakri said people had blocked the agency workers as they were dismayed by the government’s and PT Lapindo Brantas’ promises of compensation.
“We will continue our struggle by doing whatever is necessary to fight for our rights,” Subakri said.
On May 29, 2006, the lives of residents in Porong were changed forever following an eruption of a mudflow. The previously green area was turned into a huge, deserted expanse covered with dried mud.
The eruption took place near a drilling site belonging to Lapindo Brantas. This triggered speculation that Lapindo may have been negligent during its drilling process.
Lapindo, however, cited a number of scientists’ arguments that the mudflow was triggered by a 6.3 Richter scale earthquake that had hit Yogyakarta two days before the eruption took place.
A spokesperson of the joint secretariat of Lapindo mudflow victims, Khoirul Huda, said 3,200 of 13,200 documents proposed compensation worth Rp 780 billion (US$65.7 million) that had not yet been paid by PT Minarak Lapindo Jaya as the cashier of Lapindo Brantas.
Ahmad Khozin, another victim of the mudflow, said the victims were glad to learn that the Supreme Court had told the government to take responsibility for the payment of the compensation.
“Yet up until now, there’s been no clarity on this,” he said.
In frustration, he said the compensation had to be paid soon or all activities on the embankment must cease immediately.
Suwandi said if the mudflow did not exist, he and his wife would have been spending their old age peacefully by taking care of a chicken farm, but they had to forget that dream amid the mud-strewn landscape.
He said Lapindo Brantas had stopped supplying clean water to local residents in 2010. Since then, he had bought clean water for daily consumption.
“We just want justice from the government and Lapindo Brantas,” he said.
Indonesian Forum for the Environment (Walhi) East Java branch executive director Ony Mahardika warned that the government should consider giving attention to the residents’ health as the groundwater had been heavily contaminated with metal and polycyclic aromatic hydrocarbons (PAH) that had surpassed the normal level.
Sumber: http://news.asiaone.com/news/asia/sidoarjo-victims-still-striving-justice
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Victims still await full settlement after eightyears
Victims mark eight years of the devastating mudflow in Sidoarjo, East Java, Thursday. Thousands of displaced residents asked the visiting Joko “Jokowi” Widodo to pay the compensation that the government had promised them. (JP/Wahyoe Boediwardhana) Tjarwadi, 68, a resident of Siring village, Sidoarjo regency, East Java, had not previously known 65-year-old Sadawi Priadi of nearby Glagah Arum village.
However, they shared the same fate when their homes and all their belongings were engulfed by the hot mudflow originating from the Panji I oil well drilling conducted by PT Lapindo Brantas Inc. in 2006.
Lapindo is partially owned by the Bakrie family, which is under the patronage of Golkar Party chairman Aburizal Bakrie.
Neither Tjarwadi, a trader, nor Sadawi, a driver for a shoe factory, have received the full compensation long promised by the government.
“Whereas in fact, President Susilo Bambang Yudhoyono personally promised to compensate every one of the victims of the Lapindo mudflow by February 2010, this has not happened in reality,” Tjarwadi told The Jakarta Post during the commemoration of the eight anniversary of the eruption of the mudflow on Thursday in Sidoarjo.
He claimed that Lapindo should have already paid Rp 635 million (US$54,588) for his 235-square-meter plot and 135-square-meter house, but Tjarwadi and his wife Saropah, 55, have so far only received Rp 247 million.
“The initial payment was 20 percent of the total amount, while the rest was to have been paid in installments at Rp 15 million per month, but that happened for eight months only. I’ve received no cash transfers for the past year,” said Tjarwadi.
The same tale was also related by Sadawi who lost 887 square meters of land and a house measuring 165 square meters. He should have received compensation of Rp 1.1 billion, but has only received Rp 320 million as of now.
Thousands of people swarmed on top of embankment 22, located west of the gush point, bordering the railway line and the Porong-Sidoarjo highway to commemorate the eighth anniversary of the Lapindo mudflow.
Presidential candidate Joko “Jokowi” Widodo also attended the commemoration and met the mudflow victims on Thursday.
Jokowi, who has been nominated by the Indonesian Democratic Party of Struggle (PDI-P), the NasDem Party, the National Awakening Party (PKB) and the Hanura Party, also signed a political contract with various civil society groups if elected as president.
“The Lapindo hot mudflow case must be settled. The state must be manifest among the people. If this was resolved it would indicate the state is there for the people,” Jokowi addressed the crowd.
Jokowi will run in the presidential election on July 9 against Prabowo Subianto who has been nominated by several parties, including the Gerindra Party and the Golkar.
According to the National Development Planning Board (Bappenas) the mudflow has caused Rp 27.7 trillion in losses. It has buried more than 600 hectares of land, displacing 39,700 people and submerging three subdistricts, 12 villages, 11,241 buildings and 362 hectares of rice paddies.
Both Tjarwadi and Sadawi were of the same opinion when they were asked about presidential candidate Jokowi.
“I don’t care about his party. I only see his character. I believe he would not be as hesitant and be able to speed up the compensation process through the state budget,” said Sadawi.
If he was elected as president, added Sadawi, Jokowi would be the same as when he led Surakarta (Solo) and Jakarta.
Sadawi said he was drawn to what he believed to be the humble personality of Jokowi, and he believed him to be close to the people.
Wahyoe Boediwardhana
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Lapindo innuendo
After nearly eight years, justice has been delayed and, hence, denied, for many people affected by the mudflow disaster stemming from gas drilling activities in the East Java regency of Sidoarjo. The Constitutional Court’s verdict favoring those affected last week has provided relief as it holds the state responsible for compensating those made to suffer without discrimination.
The Finance Ministry says it needs time to study the ruling, but as the court’s ruling is final and binding, the question now is when the people will have their rights fulfilled.
The unanimous decision to grant the plaintiffs’ demand for the revision of the 2013 state budget is a testament to the state’s failure, if not reluctance, to protect citizens afflicted by disaster. Siti Askabul Maimanah, Rini Arti, Sungkono, Dwi Cahyani, Tan Lanny Setyawati and Marcus Johny Ranny had challenged the state budget for not allocating compensation despite the severity of the mudflow damage.
Presidential Regulation No. 14/2007 requires PT Lapindo Brantas as the operator of the gas well to pay Rp 3.83 trillion (US$ 338 million) in compensation to residents of 12 villages near the epicenter of the disaster, Rp 3.04 trillion of which has been paid. The government, according to the regulation, is accountable for compensating residents outside those villages.
Whatever the motive behind the sharing of the burden between the government and Lapindo, partly owned by the family of Golkar Party chairman and presidential candidate Aburizal Bakrie, all the victims deserve compensation. Regardless of the government’s demarcation to divide the responsibility, all victims are entitled to equal treatment.
The court’s ruling provides legal certainty to mudflow victims of their right and justification for the government to push Lapindo to fulfill the compensation payments. Any attempt to buy time or negotiate the implementation of the verdict will amount to violation of the rule of law, which will only cost the government its credibility.
It is unlikely that the government will dare turn a deaf ear to the verdict. The political year will force President Susilo Bambang Yudhoyono’s administration to do its utmost to take any measure possible to uphold the Constitution.
With or without pressure, the government bears the responsibility to protect people affected by a disaster, either natural or man-made, as soon as it strikes. The long road the six mudflow victims took to reach justice would not have happened if state protection was guaranteed in the first place.
The Supreme Court has unfortunately declared the mudflow in Sidoarjo a natural disaster, but as far as the Constitutional Court verdict is concerned, Lapindo cannot escape the responsibility of rehabilitating the lives of those displaced and the local economy hurt by the mudflow.
The mudflow disaster shows the price we have to pay for allowing politics to blur efforts to mitigate disaster, which is a matter of humanity.
Source: http://www.thejakartapost.com/news/2014/04/02/editorial-lapindo-innuendo.html
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Mud volcano to stop ‘by decade’s end’
By Jonathan Amos Science correspondent, BBC News, San Francisco
Scientists say the eruption of the Lusi mud volcano in Indonesia should be all but over by the end of the decade – much sooner than previous estimates.
The assessment is based on satellite data that records the rate at which the ground is changing in response to the material spewing up on to the surface.
Researchers say the system is losing pressure rapidly.
The eruption, which began in the Porong subdistrict of Sidoarjo in East Java in 2006, is the largest of its kind.
The gooey, noxious muck has displaced tens of thousands of people with economic costs that exceed $4bn to date.
Initially, more than 100,000 tonnes a day was oozing to the surface. This has decreased tenfold, and an analysis based on Japanese satellite observations of ground subsidence suggests a further tenfold decrease can be expected in the next few years.
“By 2017, it should be more or less over,” said Prof Michael Manga from the University of California at Berkeley, US.
“In real numbers, that’s 1,000 tonnes a day – a thousand pick-up trucks per day of mud. Small enough that it won’t be a hazard, [but] maybe interesting enough still to be a tourist destination,” he told BBC News.
“I expect [then] that if the eruption rate drops below some number, that it will just plug itself and stop erupting.”
Previous best estimates had indicated Lusi could go on erupting for 25 years or more.
Prof Manga was speaking here in San Francisco at the American Geophysical Union (AGU) Fall Meeting, the world’s largest annual gathering of Earth scientists.
He and colleagues have used a technique known as interferometric synthetic aperture radar (InSAR) to assess the evolution of the eruption.
This involved combining a series of repeat images of the volcano acquired from space by Japan’s ALOS satellite to measure ground surface height changes around the volcano.
Over the course of several years, the surrounding land is recorded falling tens of centimetres as a result of material deep in the Earth being driven up and out on to the surface. However, the rate of subsidence has declined dramatically, indicating Lusi is losing its vigour.
And this is reflected in the changed behaviour that can be observed at the surface.
“There isn’t a constant eruption there anymore; it’s actually pulsing now,” said Prof Richard Davies from Durham University, UK. “And that pulsing is a very good sign that the pressure itself has dropped off. What’s driving the eruption now is a burping from all the gas that’s coming up.
“The gas makes it behave like a geyser, almost – a bit like Old Faithful in Yellowstone National Park. You can almost set your watch by these pulses.”
Lusi is thought to have been triggered by a drilling operation that went wrong.
An expert panel convened at a meeting of the American Association of Petroleum Geologists in Cape Town in 2008 concluded that drilling fluid used to maintain pressure in the well was too dense for the strength of the surrounding rock. The resulting blow-out, or “kick”, re-activated old faults, creating new pathways for water and sediment to rise up to the surface.
Groups have tried to argue that an earthquake two days prior to the mud volcano’s appearance was responsible. But most geologists say this tremor was too small and too far away (280km) to have had any effect.
Prof Manga cautions that there will always be some uncertainty about the future course of the eruption, and any forecast is made on the assumption that the system continues to behave in the same way it has in the past. But he adds that the latest evidence ought to be more encouraging for those who live in the region.
“In the scientific literature, for this particular eruption, there are three fundamentally different models for where the mud is coming from, where the flow is coming from, and what’s happening,” he told BBC News.
“So, even though we have great data available, it’s not clear yet whether we understand exactly how this eruption works.
“But with the data we have and the data we will collect in the future, I’m sure we’re going to learn more.”
At some point the eruption rate should fall to a point where the Earth simply plugs itself.
Sumber: http://www.bbc.co.uk/news/science-environment-25188259
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Shifting strategy? A reflection of seven years of Lapindo mud
By Anton Novenanto
[This is the original English version of an article published in German entitled “Sieben Jahre des Lapindo-Falls: Eine Rücksau”, translated by Melinda Sudibyo, appeared in Suara Watch Indonesia! Vol. 1 (October), 2013 (pdf file of the German version)]
Lapindo Mud
I understand mud-volcano disaster in East Java as not merely environmental problem, but rather as a political ecological matter. The root of all the aftermath problems of such disaster is related to the political ecological context in Indonesia. It, then, represents a political ecological disaster in Indonesia (Batubara 2010; McMichael 2009; Schiller et al. 2008).
On May 29, 2006, hot mud erupted in Porong, Sidoarjo as a result of a drilling activity for oil and natural gas exploration of Lapindo Brantas Inc. [Lapindo] in Banjar Panji 1 Well. Until now, the mudflow is still erupting. It becomes a threat for people who live surrounding that area. Nobody can be sure about if it will still occur and stop in the near in the future. A group of geologists predicts that it will occur at least for three decades (Davies et al. 2011), while during fieldwork I heard rumours within people of Porong saying it will remains for a century and some others said that it will not stop at all.
Nevertheless, thousands of people have lost their livelihood. They were forcedly displaced, as it is impossible to return to old homes. The mudflow has engulfed dozens of villages and every public and commercial facility (factories, toll road, schools, government offices, etc.) on those areas. It has forcedly displaced more than 30,000 inhabitants of those villages. Ten factories have been covered by mud so that they must stop their activities, and were forced to dismiss thousands of their workers. The disconnection of Porong-Gempol toll way has disrupted transportation between Tanjung Perak port in Surabaya (East Java capital) and other industrial areas in southern and eastern East Java (e.g., Pasuruan, Probolinggo, Malang, Jember, Lumajang, and Banyuwangi), plus Bali and Lombok. For that reason, the impact of this hazard is not only affecting the local communities in Sidoarjo, but also influencing environmental, social, and economic lives in the other regions in East Java (Badan Pemeriksa Keuangan Republik Indonesia 2007; Danareksa 2006; McMichael 2009; Schiller et al. 2008).
However, the handling of the disaster aftermath has never been well designed since the beginning. The situation is getting worst on the grounds that ambiguous position of the leading figure of Lapindo’s shareholders, Aburizal Bakrie, who was also the Minister of Public Welfare. Once, in February 2008, Aburizal led the cabinet meeting about the handling of the mudflow impacts for 45 minutes, replacing the President Yudhoyono who had to leave earlier (Setyarso et al. 2008). Aburizal was acting, on one hand, as the State representation (Minister of Public Welfare) and, on the other, as prominent figure of The Bakries, Lapindo’s holding company.
Natural vs. Man-Made Disaster
The politicisation of disaster is started from its scientific explanation (see Anderson 2011; Button 2010), it is also occurred in the case of mud-volcano disaster in East Java. Although there are contradicting scientific claims concerning the birth of such mud-volcano, the geologists agreed about the distinction between ‘cause’ and ‘trigger’ (Batubara 2009). For the cause, geologists have agreed that the geological land structures in Sidoarjo, East Java are conducive for the birth of mud-volcano. These geological conditions are proven by the existence of other mud-volcanoes in the surroundings of the one in Porong. But, what was the trigger for that mud-volcano birth? Such question is still highly debated and competed.
According to daily report of Energi Mega Persada [EMP], Lapindo’s parent company, Lapindo started to spud the Banjar Panji 1 Well in Renokenongo Village, Porong, Sidoarjo, on March, 9, 2006 (Adams 2006; Wilson 2006). It means that the drilling was barely four months when mud and gas begun to erupt on May 29, 2006 in Siring Village, about 150-200 meters from Banjar Panji 1 Well. The next day (May 30, 2006), Kompas Daily raised the issue in its national pages by quoting a statement from Syahdun, the foreman of PT Tiga Musim Mas Jaya, the subcontractor for Lapindo’s drilling in Banjar Panji 1 Well, who said that the leaks were linked to the drilling activities in that well (LAS 2006). So, the breach was due to industrial accident. In other words, it is man-made disaster.
The discourse of “man-made disaster” was getting stronger after Medco Brantas [Medco], who had 32 percent shares in the well, issued a letter entitled “Banjar Panji 1 Well Drilling Incident” to Lapindo on June 5, 2006 (Medco 2006). In that letter, Medco claimed that the incident in that exploration well occurred due to the “gross negligence” of the Operator, that is, Lapindo. Medco claimed that Lapindo did not follow the drilling procedure that had been agreed before. Prior to the well incident, Medco had warned Lapindo about the instalment of safety casing as the borehole reached the depth of 8,500 ft. [ca. 2,591 m], but Lapindo neglected that warning. The mud and gas from the Earth’s belly came out from the cracked borehole walls that were not protected by a proper safety casing (cf. LAS 2006). Such claim was strengthened by two reports from third parties—by TriTech Petroleum (Wilson 2006) and by Neal Adams Services (Adams 2006). Both reports were ordered and funded by Medco. Critically, we can assume that Medco was trying to escape from the incident consequences by saying “Lapindo had made a gross negligence”. But, somehow, the discourse of “man-made disaster” has already arisen and has remained as “public truth” in the Lapindo case.
In mid-October 2008, there was a meeting of the American Association of Petroleum Geology (AAPG) in Cape Town, South Africa, in which one of the panels focused on discussing the birth of mud-volcano in East Java. As there was no final conclusion, the forum took a vote to decide about the trigger of that mud-volcano birth. More than half of the voters (42 of 74 people who had rights to vote in that conference) voted for the drilling argument; three voted for the earthquake argument; 13 voted that the mud-volcano’s birth was combination of both drilling and earthquake; and the remains said that the discussion was not to be concluded (Batubara 2009; Mudhoffir 2008). However, voting mechanism is a non-scientific process of decision-making; rather, it is political mechanism. Such mechanism of deciding scientific truth has downgraded the scientific process of finding about the nature of a natural phenomenon. One could say that the voting is a totally scandal for the geological, scientific forum. Thus, the reproduction of the voting result that had been winning the drilling argument could be used a boomerang for the argument’s proponents. The critical question arises as to how can in a scientific forum exist on the basis of power and domination of the majority over the minority? Scientific debate has to be solved in a scientific way, that is, by doing further scientific research, not by voting. In short, expert debate and its conclusion have muddied the truth about the mud-volcano (cf. Batubara 2009).
Batubara (2009) gives two different scenarios laid behind that expert debate. First, if the geologists had agreed to the drilling argument, then all the liabilities caused by the mud-volcano would be borne to Lapindo solely; and second, if the experts had agreed to the earthquake argument, then the government would cover all the liabilities. According to Presidential Decree No 14 Year 2007 (Perpres 14), Lapindo had to pay up to IDR 3.8 trillion [c.a. USD 241m] for the purchasing of the impacted lands and buildings as per March 22, 2007. However, since the mudflow has not stopped yet, the impacted areas have grown larger and larger. Schiller et al. argue that it is obvious that Lapindo, with its modalities, tried to withdraw all the responsibilities related to the mud-volcano with “a substantial public relations effort using the mass media, academic conferences and seminars, and paid ‘experts’ to tell its side of the story” (Schiller et al. 2008: 62–63); that is, framing the mudflow not as man-made disaster but as natural disaster.
Distorted Information
One strategy for the successful construct of environmental issues is to control public debate in the media (see Button 1996, 2002; Gamson & Modigliani 1989; Hannigan 1995: 77–78). In mid-2008, The Bakries occupied Surabaya Post Daily’s shares, one of the prestigious newspapers in Surabaya. The Bakries set two prominent figures of Minarak Lapindo Jaya[1] (Bambang Prasetyo Widodo and Gesang Budiarjo) as the managing directors of the newspaper (Tapsell 2010: 9). After that acquisition, some journalists were complaining about the change of the organisation culture until the naming of such event. Dhimam Abror Djuraid, Surabaya Post’s chief editor, the Post was very conscious in naming that event. Referring to Lapindo’s legal status in this incident, Djuraid said in an interview:
If I called it Lumpur Lapindo [Lapindo Mud], I’m attributing all the guilt to Lapindo. But the facts are not that simple. The court trial is still in progress, it hasn’t been decided that Lapindo is guilty for this disaster. (in Novenanto 2009: 17)
Similarly, such effort to not using the term Lumpur Lapindo was found in other media group (television) affiliated to The Bakries. Karni Ilyas argues that the naming of a disaster event must refer to the place, not the company. Ilyas gave Bhopal, Chernobyl, and Buyat, for examples (Ambarwati, 2007 in Andriarti 2010: 80). At the time of the interview [2007], Ilyas was Anteve’s chief editor. Recently, he is TVOne’s news director in chief. Both Anteve and TVOne are subsidiaries of The Bakries.
Both Ilyas and Djuraid assured that the naming of the incident, as Lumpur Sidoarjo, was not under direct order from the owner of their media, The Bakries. However, they were very aware that the term Lumpur Lapindo was highly associated with the making of public opinion concerning the full responsibility of Lapindo in the mud incident.
In both media (TVOne and Surabaya Post), there has been “special treatment” [perlakuan khusus] for any news about Lapindo. There is an internal censor mechanism for any news about Lapindo.[2] Andriarti (2010) tracked down that some TVOne’s journalists—from reporter level to producer level—had been trying very hard to stick idealistically with journalism principles in making news on Lapindo. Still, the organisation rules [the structure] of TVOne were too strong for those actors’ manoeuvres. Based on her interviews with some journalists of TVOne, Andriarti (2010: 112–115) discovered that any news materials about Lapindo were “being monitored” [selalu diawasi]. For such news, as it could be predicted, the people in Jakarta office would take any measures needed to secure the image of TVOne’s shareholders. The similar internal censorship can also be found in the Surabaya Post, as the chief editor has decided not to write any (bad) news about Lapindo (Novenanto 2009: 40; Tapsell 2010: 9). A Surabaya Post journalist, confirmed this position, as that journalist said:
It is true that we have been told to not write bad things about Lapindo in relation to the mud-volcano. Bosses have said, “don’t write the details”, like if there is a rally against Lapindo. Mostly we are pressured to use sources from our own company, those that are also involved with Lapindo. (in Tapsell 2010: 9)
Reflection
Elsewhere I had argue, instead of constructing a concrete imagination, the media are deconstructing imagination of Lapindo case (Novenanto 2008, 2009, 2010a, 2010b). In addition, the more complicated Lapindo case represented in media, the more public surfeits to follow the detail and the origin of such case (Lim 2013: 13–14). Such condition is beneficial for The Bakries and Lapindo.
According to my observation, I witness that most people, especially new comers to Lapindo case, only see the case partially. Bakrie factor is the easiest to see and the most appealing element in the case. Most of them are using Lapindo case as ammunition to attack Aburizal’s political and economy agendas, but less of them are focusing on the completion of the disaster aftermath, the comprehensive handlings of the victims, and further risk reduction mitigation strategies for the ecological degradations in Sidoarjo.
The media reportages concerning Lapindo case are whirling public opinions around the issues of unfinished payments, Lapindo legal status, and the controversy of the trigger (see Suryandaru 2009). I argue, although the Lapindo case is a facticity, highly newsworthy, yet there is no single media organisation which has a clear agenda setting about how this case should be solved. Thus, the reportages on Lapindo case are only re-writing old issues and, if any, emerging new problems.
I totally understand why such conditions occurred. Many people have exhausted in following the case. Many activists have declared their losses of defending the case on behalf of the victims. It needs a special militancy for anyone who wants to study the case. However, I propose that Lapindo case could not be resolved by hit-and-run tactic; rather, I argue it should be cracked down from inside, the Trojan horse tactic. But, all in all, my subsequent question would be: who wants to be sacrificed by sent inside that Trojan horse, without being defeated by the enemy first?
Reference:
Adams, N. 2006. Causation Factors for the Banjar Panji No 1 Blowout. Jakarta.
Anderson, M. D. 2011. Disaster Writing: the Cultural Politics of Catastrophe in Latin America. Charlottesville & London: University of Virginia Press.
Andriarti, A. 2010. Relasi Struktur dan Agen dalam Produksi Berita (Sebuah Studi terhadap Kasus Lapindo di Sebuah Televisi Berita). University of Indonesia, Depok.
Badan Pemeriksa Keuangan Republik Indonesia 2007. Laporan Pemeriksaan Atas Penanganan Semburan Lumpur Panas Sidoarjo – Ringkasan Eksekutif. Jakarta.
Batubara, B. 2009. Perdebatan tentang penyebab lumpur Sidoarjo. Disastrum 1, 13–25.
––––––– 2010. Pendahuluan: defisit pengetahuan global menghadapi “man-made disaster” dan implikasinya bagi warga di negara berkembang. In Bencana Industri: Relasi Negara, Perusahaan, dan Masyarakat Sipil (eds) B. Batubara & H. Prasetya. Jakarta: Yayasan Desantara.
Button, G. V. 1996. The negation of disaster: the media response to oil spills in Great Britain. In The angry earth (eds) A. Oliver-Smith & S. Hoffman. New York & London: Routledge.
––––––– 2002. Popular media reframing of man-made disasters. In Catastrophe and Culture (eds) A. Oliver-Smith & S. Hoffman, 143–158. Santa Fe: School of American Research.
––––––– 2010. Disaster Culture: Knowledge and Uncertainty in the Wake of Human and Environmental Catastrophe. Walnut Creek: Left Coast Press.
Danareksa 2006. Bakrie Group: Riches to rags riches to … Jakarta.
Davies, R. J., S. Mathias, R. E. Swarbrick & M. Tingay 2011. Probabilistic longevity estimate for the LUSI mud volcano, East Java. Journal of the Geological Society, London 168, 517–523.
Gamson, W. A. . & A. Modigliani 1989. Media discourse and public opinion on nuclear power: a constructionist approach. American Journal of Sociology 95, 1–37.
Hannigan, J. 1995. Environmental Sociology. Oxon: Routledge.
LAS 2006. Sumur gas bocor, penduduk diungsikan [Gas well leaked, residents evacuated]. Kompas, 30 May (available on-line: http://www2.kompas.com/kompas-cetak/0605/30/daerah/2687880.htm, accessed 24 May 2009).
Lim, M. 2013. Many clicks but little sticks: social media activism in Indonesia. Journal of Contemporary Asia 1–22.
McMichael, H. 2009. The Lapindo mudflow disaster: environmental, infrastructure and economic impact. Bulletin of Indonesian Economic Studies 45, 73–83.
Medco E&P Brantas 2006. Banjar Panji-1 Well Drilling Incident.
Mudhoffir, A. M. 2008. Berebut Kebenaran: Governmentality pada Kasus Lapindo. University of Indonesia, Depok.
Novenanto, A. 2008. “The Lapindo case” by mainstream media. Indonesian Journal of Social Sciences 1, 125–138.
––––––– 2009. Mediated Disaster: the Role of Alternative and Mainstream Media in the East Java Mud-Volcano Disaster. Leiden University, Leiden.
––––––– 2010a. Kasus Lapindo, keterbukaan informasi publik, dan peran media massa. In Keterbukaan Informasi Publik dalam Kasus Lapindo. Surabaya: Aliansi Jurnalis Independen; Wahana Lingkungan Hidup Indonesia, Jawa Timur.
––––––– 2010b. Agenda-agenda terbayang untuk kasus Lapindo. In Menggugat Hak Warganegara: Kasus Lumpur Lapindo di Sidoarjo. Surabaya: Pusat Studi Hak Asasi Manusia, Universitas Surabaya.
Schiller, J., A. Lucas & P. Sulistiyanto 2008. Learning from the East Java mudflow: disaster politics in Indonesia. Indonesia 85, 51–77.
Setyarso, B., Gunanto & M. Syaifullah 2008. Lumpur meluap, fulus mengucur [mud overflowed, money poured]. Tempo Magazine, 3 March.
Suryandaru, Y. S. 2009. Laporan Analisis Media Kasus Lumpur Lapindo.
Tapsell, R. 2010. Newspaper ownership and press freedom in Indonesia. In The 18th Biennial Conference of the Asian Studies Association of Australia. Adelaide.
Wilson, S. 2006. Preliminary Report on the Factors and Causes in the Loss of Well Banjar Panji-1.
[1] Minarak Lapindo Jaya (MLJ) is a new company, established to deal with any matter related to the transactions of Sidoarjo residents’ lands and buildings. Based on the villagers’ documents, they mentioned that the transactions were between the villagers (as the sellers) and MLJ, not Lapindo Brantas or The Bakries (as the buyer).[2] However, internal censorship had also been a measure for other directors-related-news about Century affair, which was connected to Erick Thohir, chief director of TVOne (Andriarti 2010: 109). -
Bakrie oil arm acquires field in South Africa
Jakarta listed PT Energi Mega Persada, arm of the widely diversified Bakrie group, sealed a deal to acquire an oil and gas block in South Africa.
Energi Mega announced on Friday that it had acquired a 75 participating interest in Buzi EPCC Block in Mozambique.
The company will be a new partner to the Mozambique government, which owns the remaining 25 percent stake through its Empressa Nacional de Hidrocarbonetos (ENH).
Energi Mega said the acquisition of the block, which is expected to start production in 2017, had been valued at US$175 million.
Energi Mega president director Imam Agustino said the Buzi block was a high value asset with measurable risk.
“A number of large multinational companies are actively exploring, appraising and developing their gas discoveries into LNG [Liquefied Natural Gas] projects in Mozambique. We are happy that our entry to Mozambique is in the early stages of gas development and our partner is the government,” Imam said in a written statement.
Energi Mega said it would finance the acquisition with internal cash and loan financing.
The company’s head of investor relations Herwin Hidayat said Energi Mega’s internal cash would finance almost 50 percent of the $175 million needed to acquire interest in the block.
He said that the Buzi block was a good prospect.
The Buzi block, one of many fields in Mozambique known for its gas reserves and resources, is reported to have 283 billion cubic feet of proven and probable gas reserves.
Moreover, the block also has 3.4 trillion cubic feet of gas prospective resources.
It is also surrounded by other producing gas fields, such as the Pande, Temana and Inhassoro oil fields.
Moreover, proper infrastructure of gas pipeline from Mozambique to South Africa will secure its distribution.
Demands are also in place, both export and domestic, including for Mozambique’s electric generation and petrochemical industry.
According to the ENH website, the previous 75 percent stake owner was Buzi Hydrocarbon.
A report from Reuters said ENH in 2009 sold its 75 percent stake to PT Kalila Production in a deal worth $30 million.
It said that Kalila Production would be represented locally by a 100 percent owned subsidiary called Buzi Hydrocarbons. Reuters also reported Kalila Production had operations in Indonesia as well as in the United States.
According to Energi Mega’s website, in 2004 the company acquired Kalila Energy Ltd. and Pan Asia Enterprise Ltd., the owners of 100 percent stake in Lapindo Brantas, which has a 50 percent working interest in and is the operator of the Brantas PSC (oil block).
However, in 2008, according to the website, Energi Mega converted a loan from Minarak Labuan Co. Ltd. into equity in Kalila Energy Limited and Pan Asia Enterprise Limited. Consequently, Energi Mega’s stakes in Kalila Energy Limited and Pan Asia Enterprise Limited were diluted to 0.01 percent.
Herwin said that Energi Mega acquired the 75 percent stake in the block from a company named Greenwich International Ltd. “It’s an independent company. The acquisition was carried out this October,” Herwin said.
Shares in Energi Mega, which are traded on the Indonesia Stock Exchange (IDX) under a code ENRG, ended 4.35 percent lower at Rp 88 on Friday compared to a day earlier.
Sumber: http://www.thejakartapost.com/news/2013/10/19/bakrie-oil-arm-acquires-field-south-africa.html
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Indymedia amplifies voice of minorities
By Luh De Suriyani
More than 20 independent community-media (indymedia) activists from across the country gathered on Oct. 21-22 in Pulau Serangan, Bali, to discuss how their movement could promote the aspirations of those ignored by mainstream media.
The participants included web-based media such as Desantara from Depok, West Java; Angkringan from Yogyakarta; and E-Tabloid from Aceh as well as community radio stations like Primadona FM from North Lombok and Horasuta FM from North Sumatra.
The discussions included issues surrounding the lesbian, gay, bisexual and transgender (LGBT) community; the economy; public services; pluralism, and human rights.
Rere Krisdianto from Kanal News Room explained how victims of the Lapindo mud flow in Sidoarjo, East Java, could obtain information from the multi-platform media.
“Mainstream media outlets broadcast issues that are irrelevant and tend to be similar, such as whether or not the victims have received compensation,” he said.
Rere claimed that Kanal provided in depth and comprehensive information about the Lapindo incident and they championed the victims’ rights.
Kanal, through korbanlumpur.info, offers news, feature articles, opinion pieces, pictures and via Twitter — @korbanlapindo and Facebook it links to stories from mainstream media.
Kanal also established a community radio station to reach those without Internet access. The name of the radio station — Kanal Besuki Timur — was the name of one of the villages that is no longer in the area because of the affects of the mud. Kanal has also established a SMS service and to mark the four-year commemoration of the tragedy in 2010, Kanal launched a book that contained feature stories and poetry by local children.
Meanwhile, Amron Risdianto from Angkringan shared information about his community’s MK160 program, which mobilized people in Timbulharjo village in Bantul, Yogyakarta, to utilize SMS to exchange information.
Citizens send SMS — topics included environment, healthcare, budget allocation, etc. — to a server and the community forward them to the whole village. They also produce a bulletin that compiles all these messages, with prizes on offer.
“SMS technology combined with a database of the residents resulted in relative information and effective distribution,” Amron said.
Although the tariff for sending a SMS is higher than using the Internet, people are more familiar with SMS technology.
COMBINE Resource Institution and ICT Watch, the event organizer, said that a media bottleneck was apparent in Indonesia: although the number of media establishments had increased, they were owned by only a few.
The organizers said that this threatened the diversity of news content.
“We need alternative sources of information to ensure the voices of the real people are heard,” Imung Yuniardi, a comittee, said.
Sumber: http://www.thejakartapost.com/bali-daily/2013-10-23/indymedia-amplifies-voice-minorities.html
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Earthquake cause for mud volcanoes draws criticism
A fresh study of the Lusi mud volcanoes in East Java, which began erupting in May 2006, concludes that the disaster was caused by a natural phenomenon, but has been met with widespread public scepticism in Indonesia, with one prominent local geologist questioning its validity.
According to the study, published in Nature Geoscience on 21 July, the mud eruption was caused by seismic waves that travelled from Yogyakarta earthquake in Java, Indonesia, two days prior to the eruption.
But careless gas drilling has also been blamed for the mudflow that continues to spew boiling mud, inundating 13 villages and displacing over 30,000 residents. Some experts believe it will continue to erupt for decades. (more…)
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Mud Eruption In Indonesia: Was Disaster Blamed On Drilling Activity Actually Caused By Quake?
A catastrophic mud eruption in Indonesia blamed on drilling by an oil company might instead have natural causes, new research suggests.
In 2006, the largest mud volcano on the planet was born when steam, water and mud began erupting on the Indonesian island of Java. At its height, it spewed 6.3 million cubic feet (180,000 cubic meters) of boiling mud per day, enough to submerge a football field under nearly 110 feet (34 m) of earth. The mud volcano still erupts with outbursts like a geyser. (more…)
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Bakrie to Settle Lapindo Debacle for Upcoming Presidential Race
TEMPO.CO, Jakarta – This year, Golkar Party chairman and presidential candidate Aburizal Bakrie is planning on settling the debts caused by the Lapindo mudflow in Porong, Sidoarjo. The party deputy chairman Agung Laksono said that the effort is conducted to pave the way for Aburizal in the 2014 General Elections. (more…)