Pertamina gets new chief<\/p>\n
Fitri Wulandari, The Jakarta Post, Jakarta<\/p>\n
The government has named Ariffi Nawawi as president director
\nof state-owned oil and gas firm Pertamina to replace Baihaki
\nHakim, raising concern among some that the firm, once infamous as
\nthe country's largest den of corruption, could regain that
\nreputation.<\/p>\n
Roes Aryawijaya, deputy to the minister of state-owned
\nenterprises, said on Wednesday that Pertamina had officially
\nbecome a limited liability company and a new board of directors
\nhad been named.<\/p>\n
\"Pertamina will be led by Ariffi Nawawi. The regulation to
\nchange the company into a limited liability company has been
\nsigned by related ministers,\" he said.<\/p>\n
Ariffi was previously a Pertamina director.<\/p>\n
The appointment shocked many oil and gas analysts, as well as
\ncorruption-watchers in the country, as Baihaki is known as a
\nclean figure, while Ariffi has featured in at least one graft
\ncase involving Pertamina.<\/p>\n
There is not as yet any evidence to prove Ariffi's involvement
\nin the case, but his appointment has prompted questions as to
\nwhether the current administration is serious in stamping out
\ncorruption in the firm or else wants to abuse it again as a cash
\ncow, just as former President Soeharto's administration did for
\nseveral decades.<\/p>\n
Baihaki, the former president of PT Caltex Pacific Indonesia,
\na subsidiary of American energy giant ChevronTexaco, is lauded by
\nmany parties for his efforts to curb corruption in the firm.<\/p>\n
Apart from Nawawi, the government also appointed Hari Purnomo
\nas new downstream director, Bambang Nugroho as upstream director
\nand Alfred Adrianus Rahimone as finance director. Hari was
\nPertamina's former fuel distribution director, who, in that
\nposition, had good connections with gas station owners.<\/p>\n
The government has also named Minister of State Enterprises
\nLaksamana Sukardi chief commissioner, with Roes Aryawijaya,
\nIndonesian Bank Restructuring Agency head Syafruddin Temenggung,
\ndirector general of budget affairs at the Ministry of Finance
\nAnshari Ritonga and director general of oil and gas at the
\nMinistry of Energy and Mineral Resources Iin Arifin Takhyan as
\ncommissioners.<\/p>\n
According to Roes, the regulation for the appointment of
\nPertamina's new board of directors and commissioners was signed
\nby President Megawati Soekarnoputri, Laksamana, Minister of
\nEnergy and Mineral Resources Purnomo Yusgiantoro and Minister of
\nFinance Boediono.<\/p>\n
At least one legislator was quick to criticize the reshuffle.<\/p>\n
Djusril Djusan, of House of Representatives Commission VIII
\nfor energy and mineral resources, said he was concerned that
\nAriffi had been mentioned in Pertamina graft cases.<\/p>\n
According to Djusril, Ariffi's name came up in a case related
\nto the procurement of additives for the Balongan refinery,
\nIndramayu, West Java. He confirmed that the case was among 11
\nrelating to Pertamina being probed by the House Special Working
\nCommittee on Pertamina.<\/p>\n
The committee was set up on Sep. 27, 2001, to probe alleged
\ncorruption at Pertamina in a bid to recover state losses and
\neradicate corruption at the company.<\/p>\n
In June this year, the committee published a report stating
\nthat the 11 cases could have caused US$1.4 to $1.7 billion in
\nlosses to the state.<\/p>\n
\"Over the next two years, Pertamina won't become the company
\nthat we might have hoped for -- one that could compete with
\ninternational companies,\" Djusril told The Jakarta Post.<\/p>\n
Another commission member, Priyo Budi Santoso, acknowledged
\nthat Ariffi's past history could pose a credibility problem.<\/p>\n
However, he said, Ariffi, who is a Pertamina career official,
\nshould be given a chance to prove himself.<\/p>\n
\"There is no evidence yet that he (Ariffi) was involved in the
\ncase. So, let's just see how he will perform,\" Priyo told the
\nPost in a telephone interview.<\/p>\n
Meanwhile, Ariffi said he would continue with the programs of
\nthe previous board of directors.<\/p>\n
\"We shall carry out programs from the previous board of
\ndirectors but the focus will be on organization, human resources
\nand marketing,\" Ariffi announced.<\/p>\n
For marketing, Ariffi said Pertamina would be more consumer-
\noriented.<\/p>\n
Pertamina would also focus on the petrochemicals industry,
\nwhich, he said, should promise more lucrative returns to the
\ncompany.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/pertamina-gets-new-chief-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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