Government allows sand exports to continue

Government allows sand exports to continue

The Jakarta Post, Jakarta

Backing away from its promise to ban sand exports to
Singapore, the government has issued a regulation allowing
existing sand exporters to continue operating to meet their
purchase orders.

The new policy is stipulated in the joint ministerial decree
issued on Thursday by Minister of Industry and Trade Rini M.
Soewandi; Minister of Fishery and Maritime Affairs Rokhmin
Dahuri, and State Minister of Environment Nabiel Makarim,
according to Antara news agency.

The decree, which will come into effect on Monday, will only
withhold new licenses for new sand companies.

Sand exporting companies are allowed to continue their
operation as long as they can prove that they have sale and
purchase contracts to fulfill, the news agency quoted the new
legislation as saying.

Companies which were awarded with sand quarrying and exporting
licenses by the central or provincial governments must submit a
report on their sale and purchase contracts to the local
governor.

"Those who received licenses from regencies or mayoralties
have to submit such a report to the local regent and mayor," the
new legislation said.

For several days last week, the Ministry of Industry and Trade
launched intensive campaigns criticizing sand quarrying
operations in the Riau province, which is the country's main
exporter. All the sand exported to Singapore goes toward backing
up the city state's construction sector.

At the peak of the campaign last week, Rini, accompanied by
Army Chief of Staff Endriartono Sutarto and Navy Chief of Staff
Indoroko Sastrowiryono, visited Riau to inspect sand quarrying
operations in the province.

The presence of both top military men was apparently meant to
deter members of the military, who have reportedly been active in
backing up the sand quarrying activities.

During the visit, Rini promised to ban sand exports from the
province, citing the environmental damage caused by the sand
quarrying activities, and the low price set by Singaporean buyers
for the commodity.

Singaporean buyers today buy sand from the province at between
S$1.4 and S$1.6 per cubic meters.

"The sand exports have hurt the pride of our nation," Rini
said.

Several small islands in the Riau archipelago have reportedly
disappeared due to the sand extractions which have after-effects
lasting for years.

Under the new legislation, the government would not issue new
licenses for about three months, until it has developed a way to
ensure an environmentally sound system for sand quarrying
activities throughout the country.