Irianese oppose PT Freeport's expansion plan
JAKARTA (JP): Irianese tribal groups living near PT Freeport Indonesia's Grasberg copper and gold mine are not letting up in their opposition to the mining company's plan to increase production.
Tribal representatives urged the government on Friday to reject the expansion plan because they believed it would cause intolerable ecological damage. They contended the firm was unable to protect the environment even at lower production levels.
"What will happen if they raise ore output to 300,000 tons per day when they still fail to protect the environment with the current production level?" Matias, chief of the Ekari tribe, told visiting State Minister of Environment Panangian Siregar and several members of the House of Representatives' Commission V for mines and energy, environment, industry and trade, manpower and cooperatives.
The minister and the legislative delegation headed by Sunardjo visited Timika on Thursday through Friday to gauge local tribe members' opinions on the plan.
They were accompanied by Irian Jaya's vice governor Bram O. Atururi and Freeport's vice president Agus Kafiar during the meeting with chiefs of the Moni, Nduga, Dani, Ekari and Damal tribes.
The subsidiary of U.S.-mining company Freeport McMoRan Copper & Gold is licensed to produce 160,000 tpd of ore, but is currently producing above 200,000 tpd as part of its trial operation to reach the 300,000 tpd goal.
"Those of us living in the highlands are still lucky. How about those living in the lowlands?" Matias was quoted by Antara as saying.
He alleged that several members of the lowland Komoro tribe became ill after consuming fish taken from Freeport's tailing.
There was no explanation concerning the absence of the Amungme and Kamoro, the largest tribes around Grasberg who are lowland dwellers.
Amungme's chieftain Tom Beanal told The Jakarta Post late last month that life in the area was "hellish" under current production conditions and he opposed any expansion.
Matias modestly advised the minister and House members to consult with "knowledgeable people" on the plan instead of the "ignorant" local people.
Freeport recently agreed to raise royalties to the government in return for the license for its expansion.
It agreed to double its copper royalties from between 1.5 percent and 3.5 percent to between 3 percent and 7 percent. It also agreed to triple its gold and silver royalties from 1 percent to 3 percent of sales.
The royalty scheme will be backdated to Jan. 1, 1999, but it only takes effect if Freeport's ore output exceeds 200,000 tpd.
Minister of Mines and Energy Kuntoro Mangkusbroto earlier said the ministry would not issue the expansion license until negotiations were completed with the company on protecting the environment.
Catholic priest Yustinus Rahangiar, who was also present at the meeting on Friday, said the expansion would provide larger earnings to the government, but cautioned it was no guarantee of betterment of the tribes' welfare.
Moni's chief Lazarus Somonaung accused Freeport of failing to fulfill the promise it made 30 years ago to increase the welfare of the tribal people.
"Please, look back to the agreement made by the company 30 years ago," he said.
Duga's chief was concerned by the prevalence of alcohol in the area, which he blamed on the firm.
"Freeport should stop distributing alcohol here since it makes tribes fight against each other."
Freeport's data show Irian Jaya received an average of US$27.6 million per year in royalties from the company between 1995 and 1997. The amount accounted for about 70 percent of the province's domestic income. (jsk)