House threatens to endorse FTZ bill without govt consent<\/p>\n
Rendi A. Witular, Jakarta<\/p>\n
Angered by the absence of key ministers during a hearing to
\ndeliberate on a bill about the free trade zone (FTZ) for Batam
\nIsland, a senior lawmaker warned the government on Tuesday that
\nthe House of Representatives would endorse the bill without the
\ngovernment's consent.<\/p>\n
Surya Dharma Ali, chairman of the special House committee
\ntasked to deliberate the FTZ bill, said the absence of the
\nministers might put at risk efforts to endorse the bill by the
\nSept. 14 deadline.<\/p>\n
\"The House and the government have agreed that the bill should
\nbe endorsed this month in order to increase the confidence of
\nforeign investors and ensure legal certainty for companies
\ncurrently operating on the island,\" said Surya.<\/p>\n
\"Like it or not, the House will try to endorse it without
\nconsulting first with the government,\" he said.<\/p>\n
The hearing on Tuesday was supposed to be attended by Minister
\nof Trade and Industry Rini Soewandi, Minister of Finance
\nBoediono, Minister of Home Affairs Hari Sabarno, and Minister of
\nJustice and Human Rights Yusril Ihza Mahendra.<\/p>\n
However, only Attorney General MA Rachman showed up on Tuesday
\non behalf of Yusril, who is on an overseas trip.<\/p>\n
Boediono and Hari did not give any reason for their absence,
\nwhile Rini said that her decision not to attend the meeting was
\ndue to the absence of Yusril, and due to the fundamental
\ndifferences between the government and the House regarding three
\narticles in the proposed bill.<\/p>\n
In a letter sent to the House, Rini said the articles included
\nthe government's proposal to grant FTZ status, but only in
\ncertain industrial areas on the island, known also as \"enclave
\nFTZs\", while the House recommends the whole of Batam Island be
\ngranted full FTZ status.<\/p>\n
The other articles are on the authority to manage seaports and
\nthe airport in Batam, and on how to determine the neighborhood
\nunits (locally known as RT) and community units (known as RW).<\/p>\n
The letter by Rini also suggested that the House cancel the
\nhearing until further notice, or unless all key ministers agreed
\nto attend the hearing.<\/p>\n
Surya said the decision by Rini and other ministers not to
\nattend the hearing was a form of \"sabotage\" on the part of the
\ngovernment to prevent the House from endorsing the bill.<\/p>\n
Surya said the special committee would give the government
\nanother chance to show up at an upcoming meeting scheduled for
\nThursday, or else the committee would propose to the House
\nplenary meeting to immediately endorse the bill.<\/p>\n
The House and the government have each proposed separate
\nbills, one of the few times in recent years that such an instance
\nhas occurred. A bill is usually proposed by either the government
\nor the House.<\/p>\n
The House, which is empowered by the Constitution to draw up a
\nbill, completed its draft several years ago. However, the
\ngovernment refused it and instead drafted its own version, which
\nwas completed earlier this year.<\/p>\n
A further delay in defining Batam's FTZ status carries with it
\nthe fear that it will harm the investment climate on the island
\n-- one of the most modern investment destinations in the Asia-
\nPacific region.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/house-threatens-to-endorse-ftz-bill-without-govt-consent-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}