Wed, 12 Jul 2000

Government cannot simply shut Indorayon plant: Minister

JAKARTA (JP): State Minister of Environment Sony Keraf reiterated here on Tuesday that the government's decision last month to reopen the pulp unit of publicly-listed PT Inti Indorayon Utama is final.

"The government cannot simply meet the demand of a group of local people in North Sumatra for the complete closure of the Indorayon plant," Sony told reporters on the sidelines of a seminar.

Sony added the May 20, 2000 decision to order the reopening of the pulp plant in Porsea near Lake Toba had been taken after thoroughly assessing various aspects.

The government decided at a Cabinet meeting last month to close the rayon unit of Indorayon but to allow its pulp unit to resume production, arguing that the pulp production process did not cause as much environmental damages as rayon production.

The reopening of the pulp unit is, however, subject to the tough evaluation of the impact of its operations on the environment and the health conditions of the local people. The pulp factory can be closed again after one year of production if the evaluation finds enough evidence of serious environmental damage.

Asked about the recent violent reaction by a group of local people to the government's decision, Sony said that closure of the pulp plant could also incite a similar reaction from another group.

He warned against the possibility of violent conflict between those who support and those who oppose the reopening of the pulp unit.

Earlier, in a speech at the seminar, Sony urged industrial enterprises to be completely honest and transparent in their environmental management.

"We want industrial companies to use only environmentally friendly technology," he added.

Sony reiterated that without honesty and transparency on the part of industrial manufacturers, it would be impossible to manage the environment effectively. (vin)