Indonesian President Abdurrahman Wahid has installed a new board of commissioners to oversee the restructuring of state oil company Pertamina and is seeking a new president and board of directors for the company.
Abdurrahman installed new Mines and Energy Minister Lt. Gen. Susilo Bambang Yudhoyono as commission president and Finance Minister Bambang Sudibyo as vice-chief commissioner. Other commissioners are: Coordinating Minister for Economy, Finance, and Industry Kwik Kian Gie, Law and Legislation Minister Yusril Ihza Mahendra, and head of the national planning board, Djunaedi Hadisumarto.
At the commission's swearing-in ceremony, Pertamina Pres. Martiono Hadianto pointed out that his replacement will have to prepare Pertamina for free trade in Southeast Asia, to be implemented by the Association of Southeast Asian Nations (ASEAN) in 2003.
The Jakarta Post quoted President Abdurrahman as saying the new Pertamina president must be honest, able to implement transparent management, and capable of leading the company to compete globally: "Pertamina's president should have a clear concept and strategy in facing the international cartels who are looking for maximum profits."
Abdurrahman has made several major changes among top executives of state-owned enterprises in an effort to improve their financial performance. Politically, he is said to be seeking to clear these state groups from allegations of corruption, collusion, and nepotism associated with the regime of former Indonesian President Soharto, who resigned in May 1998.
Meanwhile, Indonesian Energy and Mines Minister Kuntoro Mangkusubroto has been appointed president of the state electricity company, PLN, in a bid to resolve many of the pending issues in the power sector, including the government's dispute with independent power producers (IPPs). Kuntoro immediately assured that all contracts signed by PLN in the past will be honored, adding that he is set to resolve disputes to the satisfaction of everyone, including the government, PLN, the IPPs, and the public.
Kuntoro's biggest challenge may be renegotiating contract terms with the IPPs.
Kuntoro takes over for Adhi Satriya, who resigned last month in protest over President Wahid's decision to drop a case against PT Paiton Energy, a US-based IPP.
