Only five Internet providers licensed

Only five Internet providers licensed

JAKARTA (JP): More than 20 Internet providers currently operate in the country but only five of them have received licenses from the government, a senior official said yesterday.

Secretary-general of the Ministry of Tourism, Post and Telecommunications Jonathan L. Parapak said that any firms intending to provide Internet services to the public are required to fulfill several conditions.

A private firm is usually awarded a preliminary license to prepare the installation of equipment for Internet services, which the government will evaluate after a six-month period.

Parapak said that the preliminary license can be upgraded into a permanent license to allow the firm to continue its operations.

"Or, the government will cancel the preliminary licenses if the providers are considered inadequate," Parapak said after signing a deal on the hand-over of shares from PT Promindo Global Internet to the Foundation of Indonesian Technology Education.

The government allows only small-scale firms operated by young professionals to provide Internet services.

"Conglomerates don't have any chance of entering the Internet service business," Parapak said.

Commercial use of the Internet in Indonesia was introduced in September 1994. There are currently more than 20 Internet providers in the country. Among those with operational licenses are Promindo Global (Proweb), PT Cyberindo Aditama (CBNet), PT Rajasa Media (Radnet) and PT Pos Indonesia (Wasantaranet).

Promindo's president, Randy P. Panggabean, said that his company handed over yesterday 5 percent of its shares worth of Rp 85 million (US$36,387) to the Foundation of Indonesian Technology Education.

The foundation, which is chaired by Parapak, grants various scholarships to Indonesian youths to undertake non-degree, bachelor, master's and doctoral studies in telecommunications and technology. The foundation plans to give scholarships to 2,000 Indonesian students by 2000. (icn)