Experts bemoan legislators' role in privatization<\/p>\n
Berni K. Moestafa, The Jakarta Post, Jakarta<\/p>\n
Experts called on legislators on Wednesday to refrain from
\nmeddling with state asset sales, saying it slowed down the
\ngovernment's privatization program at a time the country was in
\ndire need of funds.<\/p>\n
Senior economist M. Sadli said legislators oftentimes
\noverstepped their rights when discussing asset sales with the
\ngovernment.<\/p>\n
Imposing conditions on a planned divestment hinder the
\ngovernment's ability for decisive action, he said.<\/p>\n
"Legislators should get their act together; there must be a
\nconcession on what constitutes a national priority," Sadli said
\nprior to a discussion on privatization.<\/p>\n
He said asset sales were a vital element in pushing the
\ncountry's economic recovery. By law, the government is not
\nobliged to secure the House's approval on privatizing firms.<\/p>\n
But legislators now play an active role in deciding asset
\nsales, slowing the process to the point of risking missing
\ndeadlines.<\/p>\n
"The general complaint is that the DPR's (the House of
\nRepresentatives) decision-making process is too complicated. It
\nlacks discipline, everybody just talks as they please, and there
\nis no accountability to it," he said.<\/p>\n
Sadli said seeking the legislators' approval started out under
\nformer finance minister Bambang Sudibyo, as a way of securing
\npolitical support.<\/p>\n
"Now it has turned into a habit, and it will take political
\nwill to break it," he said.<\/p>\n
Political observer Wimar Witoelar pointed out that many state
\nfirms were serving as cash cows for political parties.<\/p>\n
This vested interest then translates into public campaigns
\nagainst the sale of specific state firms, he explained.<\/p>\n
"It's not enough to be right, you must also be perceived as
\nbeing right," he said, calling this the "battle of perception".<\/p>\n
American business consultant James Castle said the government
\nand the legislators should agree on a set of guidelines for state
\nasset sales.<\/p>\n
Since privatization is financing the budget, legislators
\nshould voice their objections on specific assets sales before the
\nbudget is approved, he said.<\/p>\n
"Everything else is up for sale. They (legislators) should
\nonly review the fairness and the transparency of the process," he
\nsaid.<\/p>",
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