Sutiyoso told to settle PDAM rift

JAKARTA (JP): An observer has warned Governor Sutiyoso to put back on track the derailed water management deal between city water company PDAM Jaya and its two foreign partners.

Muchamad Taufik, chairman of the Jakarta Study Center, told a seminar on water management cooperation at the PDAM office in Central Jakarta on Monday that Sutiyoso might lose his governorship if he did not resolve the situation quickly.

"There is a perception that Sutiyoso belittles the PDAM workers union's continuing protests. He should be careful because people can use the issue to show that the governor is unable to handle the case," said Taufik, also deputy chairman of the Justice and Unity Party (PKP) Jakarta chapter.

He said politicization of the case was indicated by the nomination of Betawi (native Jakartans) public figure HM Sanif to challenge Sutiyoso as the next city governor. He said the workers union had clearly declared their support for Sanif.

Taufik said Sutiyoso only needed to review the water management deal.

"Governor Sutiyoso only needs to decide whether to continue or terminate the deal," he said.

The water management deal signed in February last year with PT Thames Pam Jaya (TPJ) and PT Pam Lyonnaise Jaya (Palyja) has repeatedly been protested by scores of PDAM employees grouped in the Pam Jaya worker's union (SP Pam Jaya).

Some officials, including Sutiyoso, have said the union protests were driven by the fact that they could no longer practice "dirty" business, such as corruption and collusion. The officials also claim that the workers would be unable to maintain their poor performance levels after the company was managed professionally by foreign companies.

The governor previously said he would not cancel the agreement in a bid to avoid a lawsuit from the two foreign firms.

Secretary of the Association of Indonesian Water Contractors Poltak Situmorang, who was also present at the discussion, said the city administration would not be burdened with any liabilities if it canceled the agreement.

"If we carefully read the agreement, there is no statement in it saying that the administration is subjected to a penalty if the deal is canceled," he said.

Other scheduled speakers, including Zoemrotin K. Soesilo from the Indonesian Consumers Foundation and Teten Masduki from the Indonesian Corruption Watch failed to attend the discussion. (ind)