Edition : June 2010

From the Editor HEADLINE NEWS

Climate change should be a
responsible for every entity, not only
developed countries as the biggest
emission-producing countries with its
industrial activities, but also
developing and poor countries. But,
Indonesia takes it differently
because Indonesia sees climate
change issue as a new resource for
foreign loan. Registered that total
Indonesian foreign loan for climate
change from 2007-2009 is US$ 1.1
billion.
This is truly ironic because Indonesia
is facing high debt burden. Until
January 2010, Indonesia has
US$172.8 billion debt burden.
Meanwhile, there are many MDGs
achievements are threatened to be
off-track.
Foreign loan problem for climate
change issue will be the headline
news in SNO June edition.
Moreover, there are news about
MDGs achievement in Indonesia and
other news about Indonesia current
situation.
Have a nice reading!
Climate Change Fund for Debt
Bisnis Indonesia/ 31 May 2010
Indonesia government is considered to make a public lie about climate
change fund in Indonesia that should be focused on grant. Walhi
Campaign Coordinator, Teguh Surya, said that apparently the
government still signed three new debt agreements from multilateral
organization.
He said that the government has just got US$1 billion commitment
from Norway for global climate change mitigation. “Apparently, the
government made a policy to gain new debt. Now, debt comes from
World Bank, Japan International Cooperation Agency, and Agence
Francaise de Development,” Teguh said in press conference about
this debt yesterday.
Then, Walhi together with ICW, Prakarsa, and International NGO
Forum on Indonesian Development (INFID) refuse this debt for climate
change. This NGO Coalition reveals that debt agreement about
climate change was known last week. Teguh said that World Bank
worth USD 200 million, Japan International Cooperation (JICA) worth
USD 300 million, and Agence Francaise de Development (AFD) for
USD 300 million. Debt temporary accumulation about climate change
reached US$2 billion since 2008.
Source :
Full Text
(The Original Text is from Indonesian)

Attachment File :
Rejection of Debt for Climate Change Response

INDONESIA UP DATE

Indonesia Got US$ 300 million Climate Change Foreign Loan from France
DetikFinance, 16/06/2010. Again, Indonesia got US$ 300 million foreign loan from Agence Francaise de
Development (AFD). This loan will be used for climate change program in Indonesia. This foreign loan agreement
will be signed by Joel Daligault, AFD Director for Indonesia, and Rahmat Waluyanto, General Director of Debt
Management of Finance Ministry, on Thursday (17/06/2010). In 2008 and 2009, AFD has also given US$ 200
million and US$ 300 million as first and second stage debt.
Full Text

Government raises foreign ownership limits

The Jakarta Post/ 10 June 2010. Indonesia has issued a new presidential regulation that increases foreign
ownership limits for certain local businesses and properties. The negative investment list was issued to improve
the nation’s investment climate for both foreign and domestic investors, and also in order to comply with the
ASEAN Economic Community commitment, officials say.

A crucial article in regulation No. 36/2010 rules that a foreign investor owning a controlling stake larger than
allowed under then new regulation after a rights issue must release their shares within two years to comply with
the limits set by the regulation. Foreign investors can then sell their shares to domestic investors, or through
Indonesia’s stock market, or the company can buy the shares, to be treated as treasury stock.

Also in the regulation, the government stipulates ownership of base transceiver stations must be 100 percent
local, after an intense debate between BKPM and the Communications and Information Technology Ministry.

Full Text

MDGs ACHIEVEMENT

Mixed progress on RI's Millennium Development Goals: UN

The Jakarta Post/ 31 May 2010. Indonesia has made great strides in meeting some of the UN's Millennium
Development Goals (MDGs), but should focus its efforts on the remaining MDGs, says a senior United Nations
official. "Indonesia has made enormous progress," UN under-secretary-general Kiyotaka Akasaka told a press
conference at Atma Jaya University on last week. He said Indonesia had improved primary education,
increased gender equality and decreased child mortality rates. However, the Indonesian government should
work harder to achieve the fifth MDG, on maternal health; the sixth MDG, on HIV/AIDS and other public health
issues; and the seventh MDG, on environmental sustainability, he said

National Development Planning Minister Armida Alisjahbana earlier said that Indonesia would not reach targets
in maternal health, HIV/AIDS control and sustainable forestry initiatives.
"In general, achievement of the goals is on track, but we still have some progress indicators that are deficient,"
Armida said. "There is a possibility of failure," she added.

Full Text

Jakarta proposes formulating MDGS` strategic partnership

ANTARAnews / 10 June 2010. Indonesia has called for the formulation of a global strategic partnership to
support the attainment of the millennium development goals (MDGs) amid the global financial and food crises
that hamper developing nations` efforts to achieve them. Prof Nila F. Moeloek, Ph.D, the Indonesian
president`s special envoy for MDGs, made the call at the high level panel meeting of the 49th Executive
Session of the Trade and Development Board (TDB) of the United Nations Conference on Trade and
Development (UNCTAD) in Geneva on Wednesday.
Noting that MDGs were common responsibilities of the world community, Nila Moeloek underscored the need
for all elements of the community at national and global levels to have common commitment to achieve MDGs.
The Indonesian government`s seriousness in encouraging the attainment of MDGs was reflected not only at
national but also at regional levels, Moeloek said.

At national level, MDGs were integrated with the long-term national development plan in 2005-2025, medium-
term national development plans in 2005-2009 and 2010-2014, national poverty eradication strategy and
annual national development plan, he said. At regional level, Indonesia would host an Asia Pacific Special
Ministerial Meeting (SMM) on MDGs, themed "Run Up to 2015", on August 3-4, he said.

Full Text

DEMOCRACY AND HUMAN RIGHTS

Intelligence Bill is ‘anti-democracy’
The Jakarta Post/ 7 June 2010. Lawmakers have acknowledged there are numerous problematic articles in the
intelligence bill that require further deliberation. “Right now, House [of Representatives] members are still
working to get input from academics, stakeholders and intelligence institutions,” Kemal Azis Stamboel, the
chairman of the House’s Commission I on security, diplomacy and information, said over the weekend. He said
the current state of the bill raised several human rights issues.

Legislator Paula Sinjal of the Democratic Party said the extent of the State Intelligence Agency’s authority to
arrest terrorist suspects was also a crucial issue being hotly debated. Concern about the return of Soeharto-era
repression was also voiced by legislator Tubagus Hasanuddin from the Indonesian Democratic Party of
Struggle (PDI-P). Human rights campaigner Usman Hamid from the Commission for Missing Persons and
Victims of Violence agreed the intelligence bill was wide open to human rights abuses and acts of
repression.Usman said he was not convinced the bill — if passed into law — would prove effective against
terrorism in Indonesia.

Full Text

GENDER
Progress on gender development still `slow'
The Jakarta Post/ 15 June 2010. Indonesia is progressing on its gender development, but not fast enough, a
minister said Monday. Coordinating Public Welfare Minister Agung Laksono reminded a number of officials
from various regions during a coordinating meeting in Bekasi of the country's low increase on the gender
related development index and gender improvement.

The gender development index increased from 63.9 in 2004 to 66.38 in 2008, while the gender empowerment
index increased from 59.7 to 62.27 during the same period. "The number of illiterate women is larger than men
*women's being 0.62 percent and men at 0.54 percent*...in the health field, the challenge that we must face is
the high rate of maternal deaths during labor, which is 228 deaths per 100,000 births, this could be regarded as
high for an ASEAN country," he said.

The Women's Empowerment and Child Protection Minister Linda Amalia Sari Gumelar underlined the need for
harmonization and synchronization of gender equity building between the central and regional governments.
Activists have criticized the government, especially regional governments, for passing bylaws that are
discriminative toward women.
Full Text

ENVIRONMENT

RI Ozone Depletion at ‘Alarming’ Levels

The Jakarta Post/ 14 June 2010. The ozone layer over the country continues to thin, increasing human
exposure to harmful ultraviolet rays that cause skin cancer, cataracts and damage to the immune system. The
State Environment Report launched by President Susilo Bambang Yudhoyono showed the concentration of
ozone in Indonesia’s upper atmosphere was between 230 and 270 Dobson units.

The report measured the decreasing ozone concentration from 2004 to 2009. It blamed the decrease on ozone
— depleting chemicals such as CFCs. CFCs are still used in some air conditioners, refrigerators and cars
despite the enforcement of the Montreal Protocol, which recommends phasing out the use of the substance. Tri
warned that those most vulnerable to skin cancer and cataracts were low- to medium-income people as they
could not afford to buy sunglasses or sunscreen to protect against UV rays. “People working outdoors such as
farmers and fishermen are most prone to the continued depletion of the ozone layer,” she said. Tri said a
number of studies showed an increase in the number of Indonesians suffering from cataracts.

Full Text

Walhi Says Land Grabs Degrading Environment

The Jakarta Post/ 6 June 2010. The Indonesian Environmental Forum (Walhi) alleges that land grabs by large-
scale plantation companies are leading to rapid environmental degradation in West Kalimantan. Local Walhi
activist Hendrikus Adam said plantation companies that are expanding production opening new estates are
damaging the most land. Hendrikus made the statement while addressing a demonstration held in observance
of the World Environment Day at Tanjungpura University in Pontianak on Saturday.

Activists at the demonstration demanded that the government stop illegal logging, land clearing and seizure of
local community’s property. Walhi’s statistics show 6,632 disasters from ecological degradation over the past
13 years. Sawit Watch, a non-governmental organization that monitors oil palm plantations, has recorded 630
land-ownership conflicts between locals and companies so far this year.

Full Text

INFID ACTIVITIES
Press Conference and Hearing Session about Debt for Climate Change
INFID, ICW, Walhi, and Prakarsa held press conference on May 30, 2010 at 11.00 am in ICW Office at Jl.
Kalibata Timur IVD/6, South Jakarta. Through this press conference, they assert that the government should
not accept foreign loan concern with climate change impact tackling in Oslo, Norway on last May 25, 2010.
As a follow up of that press conference, INFID, ICW, Walhi, and KRUHA came to Indonesia Legislative Body
on June 3, 2010. They are welcomed by representative of PDI-P Fraction (Fraksi Partai Demokrasi Indonesia
Perjuangan). In this hearing session, it was said that Legislative Body should reject it because foreign loan for
climate change has not passed through transparent process and without public consultation.

Celebration of INFID 25th Birthday

INFID celebrated its 25th birthday on June 7, 2010 at 03.00 pm – 08.00 pm in INFID Office at Jl. Jati Padang
Raya Kav. 3 No. 105, South Jakarta. Through this birthday celebration, INFID also introduce INFID’s new
office.

INFID birthday was not celebrated in luxuriously, but it’s like reflection and experience sharing about INFID
from 1985-2010. It is opened by Don Marut as INFID’s Executive Director and attended by about 100
invitations. Dawam Rahardjo, Bambang Ismawan, Adi Mulyo, Ivan A. Hadar, and Indah Sukmaningsih as
senior came and shared their experiences.

This late-afternoon discussion and reflection would like to remind us that INFID must keep optimistic in doing
advocacy. Until now, INFID has given critics and advocacy effectively but not sufficient enough. In the future,
INFID should, not only criticize, but also give brand new idea to solve the problem.

INFID stands for the International NGO Forum on Indonesian Development and was established in June 1985.

INFID is an open and pluralistic network of NGOs from Indonesian and various member countries of the Consultative Group for
Indonesian (CGI) as well as of International organization with an interest in and commitment to Indonesia

More information please visit: www.infid.org