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60 JURIS GENTIUM LAW REVIEW, September 2014, Page 60 – 70

POSSIBLE DISPUTE SETTLEMENT FOR AMBALAT DISPUTE*

Ni Made Nungki Suardhani Giri**

Abstract Intisari
Ambalat dispute occurs in the area of Ambalat, Sengketa kasus Ambalat terjadi di sekitar
located off the coast of the Indonesian province wilayah Ambalat, terletak di lepas pantai
of East Kalimantan and southeast of the Indonesia bagian Kalimantan Timur dan
Malaysian State of Sabah. Many accidents sebelah tenggara dari Sabah, Malaysia.
have occurred in this area, and some of them Banyak masalah yang terjadi di wilayah ini,
involving navies from both of the state. dan sebagian besar melibatkan angkatan
Although this dispute has called for a need of laut dari kedua negara. Walaupun sengketa
serious settlement, none of this State has taken ambalat harus diselesaikan dengan segera,
an effort to solve this long-term dispute that has kedua belah pihak tidak melakukan
become a problem to their harmony life as a tindakan untuk mengakhirinya, yang
neighboring State. Diplomatic protest, navy hot menyebabkan terganggunya harmonisasi
pursuit, and battle of natural resource hubungan antara kedua negara
exploitation are the dispute that be on the list bertetangga tersebut. Protes secara
of the effect of this Ambalat dispute, and if this diplomatis, pengejaran oleh angkatan laut,
dispute will not be solved in any time soon, the eksploitasi sumber daya alam adalah contoh
future generation of both state will still inherit dampak dari sengketa kasus Ambalat ini,
and cannot use the natural resources contained apabila tidak diselesaikan dengan segera,
in Ambalat area effectively. Seeing the maka generasi Indonesia mendatang tidak
urgency to solve this Ambalat dispute, the bisa mengakses sumber daya alam yang
author would like to analyze the possible tersedia di pulau itu secara efektif. Melihat
dispute settlement of this dispute, whether it is urgensi dari sengketa ini, penulis akan
through ITLOS as it is provided in UNCLOS, or menganalisis metode penyelesaian sengketa
any other peaceful means. In writing this paper, yang efektif diaplikasikan dalam kasus ini.
the author is using the book research method. Baik melalui ITLOS, UNCLOS, dan
mekanisme damai lainnya.

Keywords: Ambalat dispute, Dispute Settlement, UNCLOS, Maritime Delimitation.


Kata Kunci: Sengketa Ambalat, Penyelesaian Sengketa, UNCLOS, Batas Maritim.

* Preferred Citation Format: Giri, N. M. N. S, (2014). Possible Dispute Settlement for Ambalat Dispute. J.G.L.R.,
2(1), 60-70.
** 2010; International Law, Faculty of Law, Universitas Gadjah Mada; Yogyakarta, Indonesia.
Giri, Possible Dispute Settlement for Ambalat Dispute 61

A. History of Ambalat Case


The history of Ambalat case was it in their territory in their national map. This
influenced by the the history of Indonesian- map of Malaysia was not recognized by
Malaysian border from the colonialism era. fellow ASEAN States, and also In addition,
when Malaysia was still colonialized by the the 1979 Malaysian Map that they used to
Great Britain and Indonesia was still assert Ambalat has not been submitted to
colonialized by the Netherland, these two the UN Secretary General pursuant to
colonial States made a convention over Article 47(9) of LOSC. Hence, the 1979
Borneo Island, which was called the 1891 Malaysia’s map regarding their territorial
Convention. This convention divided the water is not legitimate. (Schofield and
Island into two parts the northern part Storey, 2007)
belonged to The Great Britain and the After Indonesia lost to Malaysia on
southern part was the Netherlands. (Andi their claim of Sipadan and Ligitan Island
Arsana, 2005) This 1891 Convention is still ownership in 2002, the Indonesian
used by Malaysia as the successor of Great Government had to revised their maritime
Britain and Indonesia as the successor of territory configuration, since they cannot use
Netherland to define their boundary, the Sipadan and Ligitan as their baseline
especially land boundary. anymore. In 2008, Indonesia redrew
Pursuant to article 2 of 1891 baselines from the eastern shore of Sebatik
Convention between Great Britain and Island to Karang Unarang and three other
Netherland, the Indonesia-Malaysia points to the southeast. This results in the
maritime boundary continued as a straight Ambalat Block no longer being entirely
line along the 4° 10' North after it left the inside Indonesian internal waters.
eastern land boundary terminus on the Even though the ICJ made no decision
eastern shore of Sebatik Island. Therefor on whether the features should be able to
pursuant to this provision Ambalat is clearly claim maritime zones, nor on maritime
in the area of Indonesia. Geographically, boundaries. But Malaysia then used these
Ambalat is an area of sea block located off features as base points to make further
the coast of Indonesian Province of East claims to territorial sea, EEZ and continental
Kalimantan and Southeast of Sabah which is shelf. (Mark and Khalid, 2013)
the area of Malaysia.
This area is believed to be one of the
richest natural resources spot, containing
62,000,000 barrels (9,900,000 m3) of oil
and 348 million cubic meters of natural gas.
(Syarifuddin, 2009) The history of dispute
between Indonesia and Malaysia over this
area has begun in the 1979 when Malaysia
published their map showing their territorial The map of Ambalat dispute
waters and continental shelf. between Indonesia and Malaysia
This publication of Malaysian
Courtesy of Google image
National Map begun the territorial war
between these two states, whereas
Indonesia argued at that time that in de jure
that Ambalat belonged to their territory,
and they protested when Malaysia included
62 JURIS GENTIUM LAW REVIEW, September 2014, Page 60 – 70

B. The Most Suitable Settlement for this as what it has been regulated under Article
Dispute 11 Vienna Convention on the Law of Treaty
Ambalat dispute is different from the year 1969 which states. (Aust, 2002)
dispute of Sipadan and Ligitan Island, thus “The consent of a State to be bound
it requires different approach for by a treaty may be expressed by
settlement. The difference lays lays on the signature, exchange of instruments
right that is being disputed between the constituting a treaty, ratification,
disputing parties. In the case of Sipadan acceptance, approval or accession, or
and Ligitan case, this is a dispute of by any other means if so agreed”
ownership of an island which involves the Indonesia and Malaysia have fulfilled
question of full sovereignty, on the other this requirement by ratifying the UNCLOS.
hand, in case of Ambalat, it is merely the Indonesia ratified UNCLOS under Law No.
question of limited sovereign right which 17 Year 1985, (Kesumawardhani, 2008) on
involves the right of exploration and the other hand, Malaysia ratified on 14
exploitation in the sea area. (Villanueva, October 1996 and came into force to
2013) Malaysia on 13 November 1966.
Since, both Malaysia and Indonesia
are the member states of the UN, and then C. Maritime Delimitation Dispute
in this case The UN Charter will be In this present case, Ambalat dispute
applicable to both states. Pursuant to article is included as marine delimitation dispute.
2(3) UN Charter which states that: Marine Delimitation dispute is a dispute that
“All member shall settle their arises when there is an overlapping claim of
international dispute by peaceful maritime zone from two or more States, and
means in such a manner that no agreement can be reach on the limit of
international peace and security, and each States maritime zone. (Alexander,
justice are not endangered” 1986) Dispute of delimitation belongs to
Basically this provision demands that international dispute, where the parties are
all member of UN settle their international states and regulates by international law.
dispute in a manner which does not Maritime Delimitation is a complex
endanger international peace and security, subject, as it involves several types of issues
meaning that the means of dispute regarding the real situations throughout the
settlement shall not involve a provocation to world and the delimitation process. The
the other disputing state or another state delimitation process itself involves several
using of force that might end up as a war. types of issues: the authority, the principal
(Shaw, 2008) method to carry out delimitation process,
The Ambalat dispute fall under the and technical questions regarding the
category of marine delimitation dispute, determination of the actual lines in space.
since it involves an overlapping claim of a (Rosenne, 2007)
territory by 2 or more states, as it is Currently, maritime delimitation is
regulated under UNCLOS article 83 ruled through agreement between parties, ,
concerning Delimitation of the Continental meaning that if there is an overlapping
Shelf between State with Opposite or claim of marine zone from 2 or more parties,
Adjacent Coasts. In order for UNCLOS to be these claiming states shall come together
applicable along with its dispute settlement and negotiate to set the limit of their marine
mechanism, both of parties in dispute shall zone in the disputing territory. (Vukas,
give their consent to be bound by that treaty 2004)
Giri, Possible Dispute Settlement for Ambalat Dispute 63

The need of Marine Delimitation is to Indonesia, and oil concession, navy hot
crucial in determining limit of a state’s pursuit and sea patrol incident regularly
marine zone. Especially considering the occurs ever since.
breadth of every marine zone that is
claimable by a state (territorial sea, D. Dispute Settlement Provided by
contiguous zone, ZEE, and Continental Shelf) UNCLOS for Delimitation State
depends on the distance from that state to Boundary Dispute
its neighboring state. An ideal condition for As both Indonesia and Malaysia are
the marine zone division set up in UNCLOS contracting States of UNCLOS, thus dispute
would be if a coastal state does not have a settlement mechanism contained in UNCLOS
neighboring state located in less than 400 are relevant in this matter. United Nation on
M from that state. (Sobar, 2006) The coastal the Law of the Sea or UNCLOS provides sets
state will then have an ideal and undisputed of dispute settlement procedures in the part
territorial sea, additional zone, ZEE and XV from article 279 to 296.
Continental Shelf. To abide to United Nation charter
However, this condition is somewhat article 2 (3) which requires all member state
impossible in reality. For example, of UN to settle their international dispute in
Indonesia as the largest archipelagic state any manner that do not threat international
which has wide coastline. Its outer island is peace, security and justice, or in other hand
directly adjacent to not less than 10 this charter requires an amicable and
neighboring countries that are Singapore, peaceful settlement first among their
Thailand, Malaysia, Vietnam, East Timor, member state. This article is also inline with
Papua New Guinea, Australia, and Palau. article 279 UNCLOS concerning the
In terms of Ambalat dispute, pursuant obligation of member state to settle dispute
to Article 47 of UNCLOS which states that, by peaceful means. This article states that:
“An archipelagic state may draw “States Parties shall settle any dispute
straight archipelagic baselines joining the between them concerning the
outermost points of the outermost islands interpretation or application of this
and drying reefs of the archipelago Convention by peaceful means in
provided that within such baselines are accordance with Article 2, paragraph
included the main islands and an area in 3, of the Charter of the United Nations
which the ratio of the area of the water to and, to this end, shall seek a solution
the area of the land, including atolls, is by the means indicated in Article 33,
between one to one and nine to one” paragraph 1, of the Charter”.
Based on this provision, Indonesia as In choosing the method of amicable
an archipelagic States has a right to draw settlement or peaceful settlement, the
a straight archipelagic baseline connecting UNCLOS does not impairs the right of any
the outermost points of outermost island of member states to agree at any time to settle
Indonesian territory, which also means that a dispute between them by any peaceful
Ambalat region is located in Indonesian ZEE. means of their own choice. This right of
(Agoes, 2006) However the overlapping every member state is guaranteed under
claim occurs in Ambalat when Malaysia won Article 280 UNCLOS, which states that:
the Sipadan and Ligitan Island from “Nothing in this Part impairs the right
Indonesia, thus Indonesia can no longer use of any States Parties to agree at any
those Islands as their baseline, which time to settle a dispute between them
resulted in not all part of Ambalat belongs concerning the interpretation or
64 JURIS GENTIUM LAW REVIEW, September 2014, Page 60 – 70

application of this Convention by any In fact since the entry of force of the
peaceful means of their own choice.” UNCLOS, there has been at least
Here settlement for marine approximately 71 maritime delimitation
delimitation dispute is crucial because an treaties have been negotiated by States
undetermined boundary opens a possibility and only six boundaries have been brought
of clash and dispute between state, which to international court.
can leads to threat to international peace, The examination of the agreements
and security, and on the other hand concluded in the period under review
delimitation enables neighboring States to demonstrates that the most preferred
properly exercise their rights, freedoms, method of delimitation has been the
jurisdiction and sovereignty in their drawing of a single maritime boundary, a
respective zones. From the diplomatic solution created exclusively by State
standpoint, “good fences make good practice. (Qatar vs. Bahrain, 2001) Single
neighbors.” (Frost, Wall, and Connery, maritime boundaries are not mentioned in
1979) the Convention, but they have broadly been
There are two ways in solving the used both by States and by the international
undetermined marine boundary according courts.
to UNCLOS. ( Atmaja, 1997) The first is Even though government to
determining the boundary directly by states, government diplomacy or negotiation is the
which involves negotiation between those most common way to solve a delimitation
disputing states. The second way is by the boundary dispute, but however this method
involvement of a third party, either it is only work if both of the disputing states
international tribunal or third state party. have at least good relation to each other
The first way is the most common way out and can leave their ego behind which is
for this kind of dispute, negotiations have rarely happened in the practice. ( Rothwell
been the most efficient, speedy and and Stephens, 2010) Most of marine
inexpensive way of establishing maritime delimitation boundary dispute caused by
frontiers between States just like any other the eagerness of states to fight over the
dispute settlement in International Law natural resources contained in that area.
dispute in general. (Oda, 1995)
Delimitation through diplomacy and If the all matter of amicable dispute
negotiation is far more advantageous than settlement effort fails, Article 281(1) of
adjudication, because there are no limits to UNCLOS will be applicable, which states
the considerations, which States may take that:
into account for the purpose of making sure “If the States Parties which are parties
that they apply equitable procedures. to a dispute concerning the
(North Sea Case, 1969) Furthermore, there interpretation or application of this
is no legal rule, which guides negotiations on Convention have agreed to seek
delimitation. (Oda, 2003) States are settlement of the dispute by a
unrestrictedly free to choose any peaceful means of their own choice,
circumstances (political, geographical, the procedures provided for in this
strategic, environmental, defense, juridical, Part apply only where no settlement
economic, etc.), irrespective of their legal has been reached by recourse to such
relevance, which would not always be means and the agreement between
possible in international adjudication. the parties does not exclude any
further procedure”.
Giri, Possible Dispute Settlement for Ambalat Dispute 65

Article 287 of UNCLOS has provide newspaper. (Bernard, 2011) It was


several procedure and international tribunal improperly conducted and condemned as
that can be chosen by member states to Malaysia ignored 36 diplomatic notes from
solve their dispute, which are: 1) ITLOS, 2) the government of Indonesia. It shows that
ICJ, 3) Arbitral Tribunals and 4) Special Malaysia has not good faith to settle this
Arbitral Tribunals. dispute in an amicable way by diplomatic
Member state can choose one of those means.
listed international tribunal to solve their However, we cannot just look from
dispute in writing declaration when they are Indonesian perspective, as maybe the
ratifying, acceding or at any time when they government of Indonesia procrastinating this
need. (Boyle, 2007) This third party dispute. A big and emergency case like this
involvement is considered as a deterrent or cannot be just solved by sending diplomatic
unilateral interpretation of the terms of the notes containing protest.
Convention that would lose the compromise
achieved during negotiations. (Klein, 2004) F. Most Suitable Dispute Settlement for
Ambalat Dispute
E. Indonesia and Malaysia Current Effort The first suitable dispute settlement
to Settle Ambalat Dispute that author would like to suggest is the
Indonesia and Malaysia has once establishment of Joint Development
discussed about their marine delimitation Agreement. The delimitation of the maritime
dispute and tried to figure out the solution. boundary is not necessarily a panacea for
As a result, a treaty was even concluded to the dispute over offshore resources (a
regulate the delimitation boundary between panacea for Disputes over offshore
Indonesia and Malaysia, this treaty came resources). Both demands on oil reserves
into force in 1964. (Forbes, 2001) and fish or marine mammals must respect
However, the boundaries have not national boundaries. Even success the limit
been fully accomplished until today. It is may still require close cooperation level if
noted that there are three locations of countries are opposite or adjacent (opposite
maritime boundaries between Indonesia or adjacent states) is rationally to exploit
and Malaysia: Malacca Strait, South China the cross-border resources. Therefore,
Sea, and Celebes Sea, where Ambalat lays. necessary arrangements through joint
(Prescot, 2004) Even though this negotiation development. (Low and Churchill, 2012)
resulted a convention that was aimed as a As it is known that the joint
dispute settlement for marine delimitation development agreement (the joint
boundary, it is still not useful since the fact development agreement) covered in a
that this dispute cannot solve the problem it particular segment of the UNCLOS, which
was intended to solve. Due to this failure of concluded after or in agreement on the
negotiation, there are other efforts taken by maritime boundary and is not intended by
Indonesian and Malaysian government to Article 74 (3) and 83 (3) of UNCLOS, 1982.
solve this dispute such as diplomatic way. In other words, the agreement negotiated in
Indonesian government through the recognition of the resources are located
Ministry of Foreign Affairs has sent more between the two countries, and the need to
than 36 Diplomatic notes protesting the avoid unilateralism in international resource
action by Malaysian government. Not only development and management in general.
in form of note, but also diplomatic spy war Countries will also prove that the joint
in the media though television or development can be negotiated without
66 JURIS GENTIUM LAW REVIEW, September 2014, Page 60 – 70

force (compelling) factors that limit disputed States, or is shared with an adjacent
or overlapping maritime boundary claims State, the boundary shall be
(disputed boundary or overlapping determined by the United States and
maritime boundary claims). Demands of the State concerned in accordance
coastal states over maritime areas adjacent with equitable principles.”
to it along the continental shelf region, not There are many cases of claims on the
only involves the region delimitation issues, continental shelf in the future is decided
but also issues concerning resource based on the principle of a fair (equity /
exploitation of natural resource such as equitable), as decided by the ICJ. Aasen
mineral and hydrocarbon reserves. Also, elaborate as follows: "In the Cameroon /
delimitation of borders is a politically Nigeria case it was held that there was no
sensitive process. It has a direct effect not presumption for any one method to be used
only on the rights and interests of those under Articles 74 (1) and 83 (1), putting, in
countries with respect to fisheries and theory, all thinkable methods of maritime
marine resources, but also oil, gas and delimitation on an equal footing.
hydrocarbon resources, navigation and Yet, in the Barbados/Trinidad and
other uses over the sea. Therefore, the Tobago Award, it was held that the
question of delimitation of the area is so determination of the line of delimitation
complex, involving a variety of interests that normally follows that of the
helped determine the delimitation. (United corrective/equity approach. In the
Nations, 2008) Nicaragua/ Honduras case it was held that
Second most suitable settlement is on the use of another method than that of the
the basis of equity principle. Equity principle corrective/equity approach would require
is one of the principles of maritime a well-founded justification (as indeed was
boundary delimitation determination. Ideas the situation in this case). In the
or thoughts on a fair principle are at the Guyana/Surinam Award it was held that
heart of the delimitation of the Continental there is presumption for the
Shelf, which is based on the 1945 Truman corrective/equity approach in situations
Proclamation. Dundua mentions the with opposite as well as adjacent coasts.
following: And finally in the Romania/Ukraine case it
“The notion of equity is at the heart of was held that there is presumption for the
the delimitation of the CS and entered corrective/equity approach could be better
into the delimitation process with the unless compelling make this unfeasible in the
1945 proclamation of US President particular case.
Truman, concerning the delimitation of According to the ICJ, the rights of the
the CS between the Unites States and coastal State with respect to the area of the
adjacent States. President Truman continental shelf is the natural prolongation
proclaimed that: The United States of the land territory into and under the sea
regards the natural resources of the exist ipso jure and ab initio based on its
subsoil and sea bed of the continental sovereignty over the land and the
shelf beneath the high seas but expansion of its sovereign rights for the
contiguous to the coasts of the United purpose of exploring the seabed and the
States as appertaining to the United exploitation of resources nature.
states, subject to its jurisdiction and ICJ decided that the continental shelf
control. In cases where the continental to be restricted in accordance with "the
shelf extends to the shores of another principles of fair, and considering all the
Giri, Possible Dispute Settlement for Ambalat Dispute 67

relevant circumstances (equitable principles states, as it has been started even before
and taking into account all the relevant the independence of Indonesia and
cırcumstances) to rule out as much as Malaysia. Ambalat is rich with natural
possible from each party, all the parts of the resourches , mostly natural gas and crude
continental shelf which is a natural extension oil.
to the mainland territory, in, and under the Many incident and territorial dispute
sea, without breaking a natural extension of occurs in this area since 2005, especially
the land territory of the other country when Malaysian navy ship shot Indonesian
(without encroaching on the natural navy ship and refuse to leave the Indonesian
prolongation of the land territory of the territory.
other). Based on these considerations as There are dispute settlements that is
well, the continental shelf Ambalat can be available under UNCLOS to solve this
settled. dispute, but non of them is taken by both
disputing states. Only negotiation which was
G. Conclusion failed and diplomatic way have been taken
Ambalat is a very crucial issue for by the government of Indonesia and it is not
both Indonesia and Malaysia. This is not a enough to solve this dispute.
new dispute between these two neighboring
68 JURIS GENTIUM LAW REVIEW, September 2014, Page 60 – 70

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