Two Parties Turn Down Law on Capital Investment
Friday, 30 March, 2007 | 16:11 WIB

Tempo Interactive, Jakarta: The House of Representatives (DPR) has yesterday (03/29) approved a Draft Bill on Capital Investment to be legalized as law. However, in the plenary session, the Indonesian Democratic Party-Struggle (PDIP) and National Awakening Party (PKB) Factions rejected the decision.

They argued that some Articles must still be seriously discussed so that legalization should be delayed. Prior to the meeting, members of both parties left the room.
In its final opinion, PKB Faction stated that several crucial Articles cannot be denied—Chapter VII, for example, on closed, open, and open yet conditional business sectors was not yet stated in detail.

In fact, Article 33 of the constitution has noted that branches of production involving people's needs are under the authority of state and arranged by law. “It is not set up by a Presidential regulation as the Draft Bill on Capital Investment mentions,” said Maria Ulfah Ansor, reading her faction's view.

Article 22 of the draft, regarding land leasehold, was still problematic as well. According the faction, land is a highly valuable asset that must be authorized and managed by the state. “The issuance of leasehold of 95 years is the same as handing over the country to other party.”

However, their dismissal did not alter the approval of DPR, reaching 550 members. The PDIP faction had 109 chairs and PKB with 52 persons, which only add up to 161. In addition, another eight factions supported the legalization.

Agus Supriyanto | Irmawati | Arif Ardiansyah | Mustafa Moses
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