Telkom moves to help KSO Divre III unit<\/p>\n
The Jakarta Post, Bandung<\/p>\n
State-owned telecommunications company PT Telkom announced on
\nMonday it had decided to implement an independent management plan
\nin the West Java and Banten telecom region (KSO Divre III), to
\nensure the smooth functioning of its operations.<\/p>\n
\"Since AriaWest has refused to operate the KSO unit, and has
\nalso refused to transfer control to Telkom, there is no other
\nalternative for Telkom than to implement independent management,\"
\nKomarudin Sastrakusumah, Telkom's director for operations and
\nmarketing, said in a press release.<\/p>\n
Under the plan, Telkom will grant a mandate to the management
\nof the KSO Unit to use the unit's funds to pay daily operational
\nexpenses.<\/p>\n
The decision was taken due to the worsening dispute between
\nTelkom and its partner in West Java and Banten, PT AriaWest
\nInternational.<\/p>\n
The dispute between the two companies started in 1996, after
\nTelkom had awarded AriaWest a 15-year contract under a joint
\noperation scheme (locally called KSO) to provide
\ntelecommunications facilities in the two provinces.<\/p>\n
However, the two sides have been swapping allegations of a
\nbreach of contract since then.<\/p>\n
The tug-of-war between the two reached a higher level in May
\nwhen AriaWest filed for arbitration with the Paris-based
\nInternational Chamber of Commerce (ICC), demanding US$1.3 billion
\nfor losses incurred as a result of Telkom's alleged breach of
\ncontract.<\/p>\n
Less than three months later, Telkom lodged a counterclaim
\nagainst AriaWest with the ICC, also alleging breach of contract.<\/p>\n
\"By taking these actions, we hope to protect Divre III's
\ncustomers, suppliers and employees, and also to restore quality
\nservices in West Java and Banten,\" Komarudin said.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/telkom-moves-to-help-kso-divre-iii-unit-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}