Government plans to sell 15% stake in Sucofindo

JAKARTA (JP): The government will sell about 15 percent of its shares in state-owned surveying company PT Sucofindo as part of the company's privatization plan, a senior executive of the company said.

Sucofindo's president Didie B. Tedjosumirat said here on Thursday that the privatization would be launched in October this year.

"We are currently in the process of appointing a legal consultant who will ensure that the privatization process is done according to the law," he added.

The government owns a 95 percent stake in Sucofindo, with Geneva-based Societe Generale de Surveillance (SGS) owning the remaining 5 percent.

Didie acknowledged that priority would be given to SGS, as Sucofindo's long-time strategic partner, to obtain the 15 percent shares to be divested by the government and would only offer them to other investors if SGS declined.

Many investors had shown an interest in obtaining the shares, including some from France and Switzerland, he added, without disclosing any names.

The company's privatization plan was prepared in early 1998 but its realization has been delayed due to a change in the government's privatization team.

Separately, Minister of Industry and Trade Luhut B. Panjaitan authorized Sucofindo on Thursday to issue a certification for general auto workshops, a certification program launched to ensure more protection for consumers.

Sucofindo was also assigned to monitor certified auto workshops and to give sanctions should they operate out of line with their classification criteria, Antara reported.

The ministerial decree dated June 15, 2001, also stipulated that Sucofindo inform the public on the classifications of auto shops and to develop an information system that could be accessed by both auto workshops and the public.

The surveyor company should also publish a monthly report on classification updates and the results of its monitoring process to the ministry.

Auto workshops are classified based on quality, mechanical expertise, facilities, and information management.

They are also divided into workshop types depending on the kinds of auto repairs and maintenance they are able to provide.

Type A workshops, for instance, provide routine maintenance, minor and major repairs and body and chassis repairs.

The classification will be done in stages and be formalized by the directorate general of metal, machineries, electronics, and various industries of the ministry of industry and trade. (tnt)