Telkom to produce fiber optic cables
JAKARTA (JP): State-owned PT Telkom is planning to set up subsidiaries with private firms in the multimedia and optical fiber sectors, Minister of Tourism, Post and Telecommunications Joop Ave said yesterday.
The firm is currently preparing multimedia business and planning to expand fiber optic networks to improve its service and competitive edge, Joop said in a hearing with the House of Representatives's Commission V on transportation, public housing, tourism, post and telecommunications.
"Telkom has signed several memorandums of understanding with private firms in the multimedia businesses," he said.
Joop said after the hearing that Telkom was also allowed to establish other subsidiaries to manufacture optical fiber. "Since fiber optic is part of the telecommunications industry, the business will support Telkom's operations."
Telkom's president, Asman A. Nasution, said yesterday that Telkom preferred domestic private firms as its partners.
Telkom currently has two subsidiaries, PT Indonusa Telemedia and PT Multimedia Nusantara. Telkom has a 35 percent stake in Indonusa and 31 percent ownership of Multimedia.
Telkom plans to install down optical fiber in replacing its conventional cable networks. The project will include fiber in the loop, fiber in the curb and fiber in home installations.
Satellite slot
Joop also announced yesterday that the International Telecommunications Union (ITU) in Geneva had granted Indonesia 20 slots for the country's satellites in orbit.
"We still have to negotiate with ITU for the utilization of the satellite slots."
In developing its telecommunications network, Indonesia also relies on the satellite system to unify the archipelago, which is located at 95 degrees and 141 degrees longitude.
Telkom, PT Satelindo, PT ACeS, PT Multi Media Asia, PT Pasifik Satelit Nusantara and PT Media Citra Indostar are licensed to operate satellites.
Indonesia currently operates five satellites, consisting of two Palapa-B series, two Palapa C series and one Palapa Pacific.
Director General of Post and Telecommunications Djakaria Purawidjaja said Indonesia would need at least 27 slots by 1999.
"As we are entering the multimedia business which uses satellites, we have to secure, if possible, more than 30 slots. But the space is too crowded with spacecraft," he said.
He said Indonesia would also develop the Nusantara 21, a US$15 billion project using satellites which would link the archipelago through a high-tech information and telecommunications network.
Joop also said that approval had been given for state-owned PT Pos Indonesia to acquire shares in privately-owned Bank Rajawali. "The bank will then concentrate on small and micro financing plans," he said.
Bank Rajawali president Robert Leman told The Jakarta Post yesterday that the Ministry of Finance had approved in principle the sale of 25 percent of the shares in the bank, a unit of the Rajawali Group which is controlled by businessman Peter Sondakh.
He said Pos Indonesia would buy 10 percent of the shares, the company's Pension Fund Foundation would purchase 10 percent and Telkom's Pension Fund Foundation would take the remainder.
"But we are still negotiating several issues," he said. (icn)