Tanri will keep his eye on 159 state companies

Tanri will keep his eye on 159 state companies

JAKARTA (JP): State Minister of the Empowerment of State
Enterprises Tanri Abeng will be fully responsible for overseeing
the management of the country's 159 government-owned firms, it
was announced yesterday.

Coordinating Minister for Development Supervision and State
Administrative Reforms Hartarto said the President would soon
issue a decree on the handover of the companies.

According to Hartarto, 119 of the companies are wholly owned
by the government, 34 are joint ventures and six are publicly
listed companies.

"The minister of finance will remain as a shareholder of those
companies but the management is under the state minister of
empowerment of state enterprises," Hartarto said after meeting
with Soeharto at his residence on Jl. Cendana, Central Jakarta.

Hartarto was accompanied by Minister/State Secretary Saadilah
Mursjid in the meeting during which they reported to Soeharto on
the country's 164 companies.

Among the affected ministries are the Ministry of Trade and
Industry, which will have to hand over its 36 companies, the
Ministry of Finance which will lose 30 companies, including PT
Bank Negara Indonesia, the Ministry of Forestry and Plantations,
20, the Ministry of Communications, 16 including PT Garuda
Indonesia and PT Telkom, the Ministry of Public Works, 16
including PT Jasa Marga, the Ministry of Mines and Energy, 8
including PT Freeport Indonesia, and the Ministry of Agriculture,
6 companies.

Hartarto said 10 strategic industries, formerly controlled by
the Strategic Industries Supervisory Agency (BPIS), would also be
supervised by Tanri.

The 10 firms were merged into one company last year.

"Companies which serve public utilities (Perum) will however
remain under the control of the technical ministries," Hartarto
said.

The policy is in response to the government agreement with the
International Monetary Fund (IMF) in April which requires the
President to issue a decree giving the Office of the State
Minister of the Empowerment of State Industries full
responsibility and accountability for the state's 164 companies.

Hartarto however said some of the companies would not be
completely separated from the technical ministries, like the
Ministry of Transportation with Garuda and the Ministry of Mines
and Energy with the State Electricity Firm, PT PLN.

"Such cooperation is still needed," Hartarto noted. (prb)