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Prosperous Kutai revives past glory

| Source: JP

Prosperous Kutai revives past glory

The scenario sounds too good to be true. Every child gets a free
education. Farmers get subsidies and interest-free loans. Civil
servants are entitled to free medical care. Veterans and the
elderly receive special allowances, while every village is
equipped with excellent transportation facilities, training
centers and adequate business infrastructure.

"There will be no more poverty and backwardness in my
regency!" exclaimed H.M. Syaukani, Regent of Kutai Kartanagara, a
newly established regency in the oil-rich province of East
Kalimantan.

Blessed with an abundance of oil and natural gas, coal, wood,
fish, plantations and agricultural commodities, the regent might
not be dreaming. The idea was to make Kutai Kartanagara residents
prosperous just like their ancestors.

In the fourth century, it was the site of the ancient Hindu
Kingdom of Kutai, historically known as a powerful and wealthy
kingdom blessed with an abundance of gold, gems and food
resources. Its people were peaceful and happy, according to the
literature.

But after the kingdom's glory faded, its people were plunged
into deep misery. Abandoned and isolated, the people of Kutai
were powerless as outsiders exploited their natural resources,
leaving the locals in poverty.

During each period of domination and exploitation by
neighboring kingdoms, warlords and later the Dutch, their assets
were taken from them and sent back to the respective capital
cities. When the vast archipelago from Sumatra to Maluku declared
itself to be a single nation-state, Indonesia, in l945, and
forced the Dutch out, the fate of the Kutai people still did not
improve. The New Order regime between l965 and l998 only
continued what other colonizers had done, taking their resources
and sending the profits to Jakarta, so their misery continued.

Through its oil, natural gas, coal and forestry resources,
Kutai Kartanagara contributed millions of US dollars to lots of
pockets in Jakarta and elsewhere.

This sad story might finally have a happy ending, however.
Since the central government launched the regional autonomy
project in January 2001, the people of Kutai Kartanagara have
been fighting to make amends for centuries of exploitation.

"Autonomy is not a matter of transferring the rights or
power," defended regent Syaukani. It is more a decentralization
process which enables local authorities and the people to develop
natural and financial resources as well as to empower the people.

"We want all development programs to directly benefit our own
people," said Syaukani, also chairman of the Indonesia's Local
Authorities Associations. Looking at what Syaukani and his people
have done so far would make the country's poorer, or perhaps
corrupt, regencies green with envy.

During the four-day Otonomi Expo 2002 at the Bali
International Convention Center (BICC) in Nusa Dua last weekend,
Kutai Kartanagara regency displayed its vast array of
handicrafts, agricultural products, mining and energy prospects
in a spacious and well-decorated booth.

At the booth, which was awarded the best booth at the expo,
officials from the regency's offices provided all visitors with
glossy brochures, catalogs and pictures about its development
programs and its industrial capacity and tourism facilities in
one package.

Compared to other participating regencies, Kutai Kartanagara
was light years more prepared to lure visitors and investors.

Kutai Kartanagara has been enforcing a new development program
called Gerbang Dayaku, meaning reaching their potential, in human
resources, in important infrastructure and other supporting
facilities. The program focuses on a village development program,
small-scale businesses, education, health and poverty
eradication.

In education, the regency has launched a special program,
free-for-all public education from elementary to high school, in
line with most other countries in the world. With the program,
there will be no reason for parents not to send their kids to
school. Facilities and special incentives are also available for
school principals and teachers. Scholarships are available for
administrators, teachers and university students wanting to take
advanced or post-graduate studies.

Meanwhile, the regency's village improvement project covers
around 197 villages. In 2001, each village was entitled to a Rp 1
billion fund to facilitate various projects like road and bridge
construction and other key infrastructure, human resources and
small-scale business development.

Around Rp 100 million out of the total was allocated for
interest-free loans for small-scale and home industries. The
remaining balance was allocated for education and other human
resource development programs.

Starting in 2002, the amount was increased to Rp 2 billion for
each village. The allocation for interest-free loans was also
raised, to Rp 500 million.

It is intended for farmers to update their machinery or for
small-scale entrepreneurs to expand their businesses.

With such an ambitious program, the regency is now relying on
its agriculture, its mining and energy potential, and forestry
and fishery sectors to make it profitable.

In the agricultural sector, the regency has 140,000 hectares
of arable land for rice. It has also 404,541 hectares for palm
oil plantations producing some 19,000 tons a year.

Pepper is another prime commodity. Kutai Kartanagara produces
around 12,000 tons of pepper annually. Mining and Energy has
generated millions of US dollars in revenue.

PT Badak NGL Co is now exploring liquefied natural gas with a
total production of 16.439 million barrels per year. Coal
production, managed by seven companies, nets 21.93 million tons
per year. Other companies include Unocal, which is exploring the
oil and gas potential.

It would be great if Kutai Kartanagara could become an example
for other regencies in Indonesia in adopting regional autonomy
for the benefit of the people. The central government would do
well to promote the regency as its top success story so that
other regencies will follow. -- Rita A. Widiadana

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