Tue, 24 Apr 2001

Governor criticized for budget allocation

JAKARTA (JP): City councillors on Monday criticized the administration's failure to make optimum use of its budget, arguing that most of the money went to needless programs rather than essential development initiatives.

Binsar Tambunan, chairman of the Council's Commission A on governmental affairs, pointed out that Rp 3.925 billion earmarked to promote legal affairs was wasted on ephemeral law enforcement campaigns.

Speaking at a council plenary meeting to discuss the report of the city's 2000 budget surplus, which would be inserted as part of Governor Sutiyoso's accountability statement, Tambunan also lamented the slow pace of restructuring within the administration, despite Rp 500 million allocated for that purpose.

"I found the report disappointing. It seems the administration only cares about making accountable programs without paying attention to their targets and results," Binsar said, as quoted by Antara.

Binsar also pointed out that the Rp 23.57 billion budget for the city's security and order agency was largely squandered, as it was used sporadically without any clear long term program or objective.

Factions in the City Council will present their respective reply to the governor's accountability speech later this week. The governor is scheduled to resume his duties after returning from the United States.

Meanwhile, Dani Anwar, secretary of Commission B which supervises trade affairs, said that the allocation of Rp 1.2 billion to develop the management of city-run companies had not yielded signs of more effective management.

"We see that many city-owned companies and joint venture companies continue losing money. Losses which are due to a lack of professional executives and accurate business projections," he said.

The 2000 budget was initially set at Rp 3.29 trillion but then ballooned to Rp 4.05 trillion after the city administration received revenue totaling Rp 4.894 trillion, Rp 835.36 billion higher than expected.

Joint ventures

Separately, secretary of Commission C on economic affairs, Azis Boeang, proposed that the administration evaluate what he described as its unprofitable cooperation with several joint venture companies.

Boeang said he was very disappointed that the administration had failed to reach its targeted Rp 24.93 billion in revenues from those companies.

He identified joint venture companies PT Alkasa Industrindo, PT Determinan Indah, PT Abbatoir, PT Pembangunan Jaya, PT Jaya Nur Sukses, PT Graha Sahari, PT Pakuan Internasional and PT Waserda Jaya, as among those that needed to be reevaluated.

"If necessary, the unprofitable firms must be dissolved or sold," Boeang insisted.(bby)