Sat, 26 Feb 2005

Airport told to pay up by Tangerang

Multa Fidrus, The Jakarta Post, Tangerang

The Tangerang municipality complained on Friday that PT Angkasa Pura II, operator of Soekarno-Hatta International Airport, had not fulfilled its promise to spend at least 5 percent of its net profit to build public facilities in subdistricts surrounding the airport.

"Through a memorandum of understanding signed by then mayor M. Thamrin with Angkasa Pura II, the firm promised to give 5 percent of its net profit to the municipal administration in the form of community development funds each year," municipal secretary Harry Mulya Zain told The Jakarta Post on Friday.

He said community development funds from Angkasa Pura would help the administration finance the construction of public facilities such as roads, schools, sewers and health clinics, as well as the installation of street lighting in Batu Ceper, Benda and Neglasari districts, which are in the vicinity of the airport's 1,800-hectare compound.

However, PT Angkasa Pura II spokesman Waspan denied the airport operator had to set aside 5 percent of its net profit for the Tangerang municipality each year.

"It's not true, there is no regulation stipulating that," he told the Post.

Nanang Hernawan, head of the municipal administration's finance department, said Angkasa Pura had handed over to the administration ad and parking revenue amounting to Rp 300 million in 2003 and Rp 370 million in 2004.

"It's not easy to ask for parking and ad revenue from the state company. It is a long, winding road to travel," he said.

Separately, Tony Wismantoro, director of Tangerang Government Watch, said the airport management had disbursed Rp 16 billion in community development funds to the administration in 2002.

It also spent Rp 29 billion in the same year on financing land clearance for the construction of the four-kilometer Jl. Suryadarma II that connects the airport to the municipality.

He added that Angkasa Pura II also disbursed in 2002 another Rp 10 billion to finance the construction of Jl. Juanda.

"Total funds Angkasa Pura II has spent on community development totals Rp 55 billion. The company has yet to disperse another Rp 10 billion to Tangerang," he said.

He said based on financial reports submitted by Angkasa Pura II, the company made a Rp 245 billion net profit in 2000, Rp 390 billion in 2001, Rp 372 billion in 2002 and Rp 284 billion in 2003.

"That means the company's net profit over the past four years reached Rp 1.3 trillion, and the Tangerang municipality should get at least Rp 65 billion of it," he said.