Indonesian Political, Business & Finance News

Govt to issue rules on Aceh reconstruction

| Source: JP

Govt to issue rules on Aceh reconstruction

Rendi A. Witular and Muninggar Sri Saraswati, The Jakarta Post, Jakarta

President Susilo Bambang Yudhoyono is expected in the next few
days to sign a number of regulations that should provide a legal
framework for rehabilitation and reconstruction programs in Aceh
and Nias.

The regulations will enable the government to propose and
allocate reconstruction funds during the upcoming revision of the
2005 state budget at the House of Representatives next month.

"The government needs to issue the regulations to make sure
that the reconstruction of Aceh and Nias is conducted under a
strong legal framework and is accounted for," State Secretary
Yusril Ihza Mahendra announced at the State Palace on Thursday.

The announcement came on the heels of the Supreme Audit Agency
(BPK) findings that billions of rupiah in relief money for Aceh
and Nias was still unaccounted for.

One of the edicts will be a presidential regulation on the
reconstruction blueprint for Aceh and Nias, another is the
government regulation in lieu of law on the formation of the
agency for rehabilitation and reconstruction of Aceh and Nias and
the final one is a presidential decree on the members of that
agency. All of them are set to be finalized by the end of next
week.

Yusril said the government completed the blueprint last week
after consulting with and getting approval from people in Aceh
and Nias, some of whom were deeply affected by the Dec. 26
catastrophe. Over 126,000 have been confirmed killed in the
disaster.

The blueprint spells out a comprehensive, wide-ranging
redevelopment program, which prioritizes the community, economy,
infrastructure and administrative institutions.

It will also provide guidelines regarding the disbursement of
the funds and their accountability, with the state budget and
international donors being the main sources of the funding.

Yusril said the government was seeking political support from
House of Representatives factions for the draft regulations with
a number of major political factions at the House of
Representatives, although it was not mandatory.

"From the discussion, we expect the House to agree with the
reconstruction process and approve the government regulation in
lieu of law on the reconstruction agency," said Yusril.

The government also expects the House to support the financing
of the reconstruction projects, which is earmarked at some Rp
46.1 trillion (US$4.9 billion) over the next five years.

Yusril said the government opted to issue a government
regulation in lieu of law for the reconstruction agency because
of its emergency nature.

"The reconstruction agency is an emergency body tasked to
immediately restore all the damaged facilities in Aceh and Nias.
We want to be able to effectively coordinate the implementation
and financing of the reconstruction programs," said Yusril.

The agency, which is expected to feature a combination of
professionals, former bureaucrats and civil servants, will
consist of three separate divisions -- an advisory division, a
supervision division and an implementation division.

The agency's term of service remains a question, but the
government expects it to last up to five years.

View JSON | Print