Waiting for Jakarta's quick action<\/p>\n
By Hyginus Hardoyo<\/p>\n
Today, the people of Lampung celebrate the province's 37th
\nanniversary. Prior to government regulation number 3\/1964 issued
\non March 18, 1964, Lampung was a karesidenan (regency) under the
\nprovince of South Sumatra. Here The Jakarta Post presents the
\ntrials and triumphs of this province.<\/p>\n
JAKARTA (JP): All 31 provinces of the country are currently
\ngrappling with the implementation of regional autonomy, an
\nambitious scheme launched early this year with the aim of
\ndefusing discontent of the people in the regions and the threat
\nof national disintegration.<\/p>\n
The government insists the regions are capable of implementing
\nthe plan, even though critics claim only regions rich in natural
\nresources are ready for it.<\/p>\n
However, the lack of preparedness in its implementation has
\ncaused confusion.<\/p>\n
The unpreparedness is mainly due to inadequate information on
\nhow to execute the regional autonomy in the regions.<\/p>\n
Many regulations on decentralization were also late in
\nreaching local officials, thereby hindering them from making
\ndecisions.<\/p>\n
Despite the setbacks, all regions, including Lampung, are
\neager to make the scheme a success because autonomy will give
\nthem a greater say in the exploitation of natural resources in
\ntheir regions.<\/p>\n
\"For Lampung, autonomy does not constitute a gift, but a
\nchallenge,\" H.R. Mochtar Sany F. Badrie, head of the Lampung
\noffice of the Indonesian Chamber of Commerce and Industry, told
\nThe Jakarta Post.<\/p>\n
Speaking on the sidelines of a meeting with regents and
\nofficials of Lampung province on Sunday, Mochtar said, as there
\nwill no longer be subsidies from the central government, local
\nofficials are required to use their talents in tapping existing
\nresources as effectively as possible.<\/p>\n
With a total area of 35,300 square kilometers and with a
\npopulation of nearly 7.25 million people, Lampung is
\nstrategically located in the middle of the Java-Sumatra line.<\/p>\n
The province is accessible from Java by ferry or ship via the
\nSunda Strait, or by airplane to Radin Inten Airport, which is
\nabout 25 kilometers from Bandar Lampung, the province's capital.<\/p>\n
Data on the utilization of natural resources, released by the
\nLampung Central Bureau of Statistic's office (BPS Lampung), shows
\nthat the province's economy depends heavily on agriculture. As of
\nMarch 1999, about 64 percent of its population is making a living
\nfrom this sector.<\/p>\n
The province, which consists of eight regencies and two
\nmayoralties, is a major producer of agricultural commodities such
\nas palm oil, rubber, coffee, pepper, manioc, molasses, maize and
\ncloves.<\/p>\n
It is home to large-scale oil palm, rubber and sugarcane
\nplantations operated by private and state-owned companies.<\/p>\n
The central and southern parts of Lampung such as Pekalongan,
\nMetro, Talangpadang, Trimurjo, Palas, Pringsewu and Sidomulyo,
\nhave fertile lands, making them the province's agricultural
\ncenter.<\/p>\n
The province is also the third largest livestock supplier in
\nthe country, after East and Central Java. It is one of the major
\nmeat suppliers in Jakarta and West Java.<\/p>\n
The eastern part of the region is suitable for breeding
\nshrimps and fishes in brackish water ponds.<\/p>\n
Lampung is also rich of minerals such as coal, iron, gold,
\nsilver, tin, manganese and uranium. In addition to the mining
\nsector, the province also has abundant marine resources. Most of
\nthem have not been fully exploited.<\/p>\n
It is worthwhile to note that Lampung has a large rainforest
\nrich in flora and fauna. Elephants, tigers and rhinoceroses are
\nsome of its renowned fauna.<\/p>\n
Elephants, tigers and rhinoceroses are successfully bred at
\nthe Way Kambas National Park, which is also famous for its
\nelephant training school.<\/p>\n
Despite its abundant resources, Lampung is classified as one
\nof the poorest provinces in Indonesia. BPS Lampung's data shows
\nthat the per capita income in the province was only Rp 3.01
\nmillion (US$300 at the current rate) in 1999, up from Rp 1.37
\nmillion in 1996. By comparison the per capita income in Jakarta
\nreached Rp 14.5 million in 1999, up from Rp 9.07 million in 1997.<\/p>\n
\"Even though our province is not as rich as the others, I'm
\nproud to be a native of Lampung,\" Mochtar said.<\/p>\n
\"What we need now is accurate data compilation to utilize the
\nuntapped resources. Without accuracy (of data), investors will
\nnot be interested in entering our province,\" he said.<\/p>\n
\"Therefore we have to change our bureaucrats into
\nentrepreneurs. Everything has to be clear-cut and transparent for
\nthe sake of meeting the principle of trade,\" he said.<\/p>\n
A. Sjariffuddin Effendi, head of Lampung investment, culture
\nand tourism promotion, told the Post that the economic growth of
\nthe province was projected to reach about 3 percent this year. It
\nreached 4.12 percent in 1997, but plunged to minus 8 percent
\nduring the economic crisis in 1998.<\/p>\n
\"To meet the target, we need investments amounting to Rp 475
\nbillion,\" he said.<\/p>\n
He expressed confidence that the target could be realized
\nbecause in the first two months of this year alone his office had
\napproved several domestic investment projects with combined
\ncommitments of about Rp 400 billion.<\/p>\n
\"The implementation of the investment projects depends mainly
\non the political condition in the country,\" he said,
\nacknowledging that the current situation is not conducive to
\ndoing business.<\/p>\n
Both Mochtar and Sjariffuddin expressed concern over the
\ninability of the central government to contain the political
\nbickering among the elite as it greatly affected nearly all
\naspects of live in the regions.<\/p>\n
\"How can businessmen invest if there is no security
\nguarantee?\" Mochtar asked.<\/p>\n
Lampung was too ambitious during the sixth Five-Year
\nDevelopment Plan (1994\/1995-1998\/1999), declaring that it wants
\nto become an industrial development area. The industrial sector,
\ndespite its growth, contributed only about 15 percent to the
\nlocal gross domestic product, far below the 31.29 percent from
\nthe agricultural sector in 1997.<\/p>\n
The province's exports were dominated by coffee (with foreign
\nexchange earnings of US$228.44 million in 1999), followed by
\nshrimps ($103.59 million), vegetables ($71.16 million) and pepper
\n($45.77 million).<\/p>\n
The industrial development plan managed to attract
\nconglomerates from Jakarta to begin capital-intensive
\nagroindustry and agribusiness projects.<\/p>\n
Initially it was believed such investments would benefit and
\nsave marginal local farmers, but it did not live up to its
\nexpectations. The Lampung resources were arbitrarily tapped with
\nprofits sent to Jakarta, leaving only problems and wastes behind.<\/p>\n
Ali Ibrahim, dean of the Agriculture School at Lampung
\nUniversity, was quoted as saying in 1999: \"Neglecting agriculture
\nis suicide. Those involved in the industrial development are only
\nlaborers whose numbers are very limited. Farmers act only as
\nspectators.\"<\/p>\n
His statement was backed by the fact that only a handful of
\nlocal people were employed in the agroindustrial estate in
\nBakungudik and Gunungbatin villages. Others, who had \"sacrificed\"
\ntheir land to make way for the project, could only watch.<\/p>\n
This imbalance ended in conflict. Disappointed locals
\nfrequently destroyed and looted the estate, for example about 500
\nhectares of sugarcane plantation ready for harvest in the
\nBakungudik village was burned down.<\/p>\n
Until today, there are disputes over land ownership between
\ninvestors and local residents, prompting investors to relocate
\ntheir businesses to other regions.<\/p>\n
Many large-scale companies, which created jobs and foreign
\nexchange earnings, have reportedly halted their operations here
\ndue to security concerns.<\/p>\n
\"Investors were also disappointed that the local government
\ndid not do anything to stop the disputes,\" an investor was quoted
\nby Antara as saying early this month.<\/p>\n
Mochtar said such disputes could be settled if the central
\ngovernment ended the political bickering among the elite.
\n\"Political stability and security in Jakarta can influence the
\nregions,\" he said.<\/p>\n
\"Just maintain security in the country and investors will
\nautomatically return to the regions,\" he reiterated.<\/p>",
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