PPP calls for greater House control in budget

JAKARTA (JP): The United Development Party (PPP) suggested yesterday that the People's Consultative Assembly (MPR) empower the House of Representatives to control state expenditures.

Muhsin Bafadal, spokesman of the Moslem-based party which is a minority faction in the House and MPR, told an Assembly session that a House which has the power to control the government's budget policy would not only adhere to the 1945 Constitution, but also would avoid unnecessary government spending as well.

"There has been unnecessary spending due to improper fund management such as the use of non-budgetary funds... Those non- budgetary funds are relatively beyond the House's control," Muhsin told a session of the Assembly committee in charge of state policy guidelines.

The constitution states that the government-proposed budget must receive the House's approval. But the government can circumvent House approval in deciding on non-budgetary fund expenditures which in the past have included poverty alleviation and forest regreening programs.

Muhsin said that transparent and accountable management of the state budget was the only method to enable the government to use national resources and funds efficiently.

"We have to understand that the public will increase their demand for transparency and accountability due to an improvement in political awareness," he said.

Muhsin said that such House control over monetary policy should also apply to government tax and levy policies. He said the PPP demanded that the Assembly rule that taxes and levies be subject to House endorsement.

"Government policies on tax and levies should be enacted into laws to avoid financial abuse and to allow for legal steps against any violations," he said.

Muhsin said in his speech that the PPP insisted that the government expand public participation in the decision-making process of development planning.

The PDI, another minority faction, reiterated its demand for the Assembly to encourage the establishment of a clean and modern bureaucracy and economic democracy.

The dominant Golkar faction rejected the PDI proposal on a special decree on economic democracy -- which would call for a restructuring of the economic system -- saying that the first chapters of its state policy guidelines draft had already included the principles on economic democracy.

"It would be excessive if we adopt a separate decree on economic democracy," Golkar spokesman Warno Hardjo said.

"Our explanation on economic democracy is already clear, understandable, objective and detailed. Why should we have a separate decree?" he added.

He said Golkar would instead ask the Assembly to adopt an economic system which refers to Pancasila state ideology.

"People are expecting the operation of an economic system that advocates equality, rather than just a concept," Warno said.

The Armed Forces and regional representatives factions, meanwhile, confirmed their support for Golkar not to change the first three chapters of the state policy guidelines draft.

In Bandung, political observer Affan Gafar welcomed the Assembly decision to use the Golkar draft as a reference, saying that it revealed the political capacity of the people.

"It appears that public's aspirations have now been more acceptable. In the previous general sessions the Assembly used to opt for the draft proposed by the National Defense and Security Council," Affan said in the Army School for Low-rank Officers here.

He said the Assembly choice of the Golkar draft did not surprise him. "Golkar has won the general elections. Besides, it combines aspirations from various groups," he said. (43/amd)