Cabinet Rift Over 35,000MW Power Project Bad For Investment

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  • Pemeriksaan dan pencatatan meteran listrik. TEMPO/Tony Hartawan

    Pemeriksaan dan pencatatan meteran listrik. TEMPO/Tony Hartawan

    TEMPO.CO, Jakarta - Suryani Motik, the deputy chairman of the Indonesian Chamber of Commerce and Industry (Kadin), said that the rift that occurred between the ministers in the President Joko “Jokowi” Widodo’s cabinet would have direct impacts on the investment climate.

    “This is a bad signal for investors,” Suryani said in Jakarta on Saturday, September 12, 2015.

    Suryani deplored the squabble between Coordinating Maritime Affairs Minister Rizal Ramli and Energy and Mineral Resources Minister Sudirman Said related to the 35,000 Megawatt electricity program. According to Suryani, the disagreement could be perceived negatively by public.

    Suryani added that the disagreement between the two ministers could cause investors losing faith in their investment opportunity in the electricity sector. Suryani said that investors might question State Electricity Company’s (PLN) capability to take over the power plants upon the project completion.

    Suryani explained that the synergy between the cabinet members in setting the development project and ensuring project executions without irregularities should have been prioritized. Suryani hopes that the government would stop the senseless debate related to the target achievement.

    “If the government continued the debate, then the people could be dragged into it,” Suryani said.