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.