Government warns 42 firms
Tiarma Siboro, The Jakarta Post/Jakarta
The government on Monday warned 42 companies, some of them state- owned, to radically improve their protection of the environment within six months, otherwise they would face severe punishment, including a freeze on their operations.
"The 42 companies have violated a series of requirements set by Law No. 23/1997 on the environment," State Ministry of Environment Rachmat Witoelar said.
"We have the right to immediately bring them to court without further investigation, but we will consider educating them by giving them time to improve," he added.
The 42 companies were put in the "Black Category" -- the worst -- for their poor environmental practices and their operations that have caused social problems for local people.
Rachmat said the firms that ignored the warning would be punished, ranging from administrative sanctions and legal suits to the revocation of their operational permits.
"It is regrettable that some of these companies are owned by the state. They should be more embarrassed than the others because their operations have been funded by the public, but in return they cause pollution for the society and environment," he said.
The 42 were part of 251 companies operating in a wide variety of sectors, including energy, mining, textiles, paper, forestry and plantations. Each was scrutinized by the office of the State Ministry of the Environment from January 2003 through September 2004.
At least 77 of the 251 companies are controlled by foreign investors, 98 others are wholly domestic and the remaining 76 are state-owned firms.
The ministry classified these companies into four groups based on their environmental records -- Green Category, Blue Category, Red Category and Black Category.
Some of the more well-known companies in the Black Category include textile firm PT Batamtex in Ungaran, Central Java; paper manufacturer PT Aspex Kumbong in Bogor; PT Sasa Inti seasoning company in Probolinggo, East Java; natural gas company PT DOH NAD in Langkat, North Sumatra; mining firm PT Jorong Barutama Greston in South Kalimantan; state-owned palm oil plantation company PTPN VI PKS Pinang Tinggi in Jambi; and PT Jabar Utama Lumber in Tangerang.
These firms apparently ignored all of the requirements stipulated by the environmental regulations, particularly in waste management systems.
The Green Category was reserved for companies that abided by all the articles in the environment law as well as other related regulations on water management, air pollution control and waste management systems.
The nine companies grouped in the Green Category included PT Unilever Indonesia based in Surabaya, East Java and Cikarang, West Java; construction companies PT Indocement Tunggal Perkasa and PT Semen Cibinong in Bogor, West Java and Cilacap, East Java, respectively; and chemical firm PT Nippon Shokubai Indonesia in Cilegon, Banten.
The Blue Category was for companies failing to fulfill one or two requirements set by the environment regulations. There were 114 companies categorized as Blue.
Meanwhile, 86 companies were grouped in the Red Category for failing to obtain permits for their waste processing management.
"Regrettably, none of the 251 examined companies were placed in the Gold Category, which shows their total commitment to the society and environment," Rachmat said.