Period: 5 August - 24 September 2003. Country: Indonesia
(1) Business and Politics in Decentralised Indonesia: Conflict over Economic Resources in West Sumatra, Riau and East Kalimantan 1998-2003
Wahyu Prasetyawan  (Division of Southeast Asian Area Studies)
Key Words: State, Political Economy, Decentralization Policy, Local Elite, Local Politics


PT Semen Padang(West Sumatra)

PT Kaltin Prima Coal
(2) The dissertation is about changes in Indonesia. It aims to gain an understanding of the new political economy regime in the country after the resignation of Soeharto and the implementation of laws on regional autonomy, focusing on the three provinces of West Sumatra, Riau, and East Kalimantan. It attempts to shed new light on the discussion of the political economy of the country, which was previously dominated by the explanation that Soeharto and his cronies had controlled economic resources. In addition to the discussion, it also tries to contribute to the debate in the existing literature on regional autonomy by specifically offering a political economic perspective. In order to achieve these goals, it attempts to explore the newly emerging conflict or negotiation process between the central and regional government over the control and ownership of economic resources. Thus, it tries to reveal the political players both in the centre (Jakarta) and in the regions who are interested in controlling and owning economic resources. Furthermore, the dissertation also reveals the local elites and their intentions to control economic resources in the regions. It also tries to elaborate the mechanisms that had been used either by the central government or regional government during negotiations or conflicts.

(3) During the field research I was able to gather data from three provinces of West Sumatra, Riau and East Kalimantan by interviewing key persons and collecting primary documents. Important primary resources such as business contracts, correspondence letters of various governmental agencies, letters of correspondence between central government offices and companies, letters of agreements between the disputing parties, legal documents from opposing parties (when cases went to the court) were also collected. Interviews with key persons both in Jakarta and in the regions were also carried out. In Padang (West Sumatra), where the Semen Padang plant is located, interviews with the commissioners of Semen Padang, members of the Provincial House of Representative, a regional legislative body (Dewan Perwakilan Rakyat Daerah, DPRD), and NGO activists were conducted. The research in Padang lasted 12 days. Then the research moved to Pekanbaru where the Bumi Siak Pusako (BSP) and Pekanbaru Coastal Plain oil fields are located. The research here lasted 13 days, and I was able to interview the Director of BSP, members of DPRD, and NGO activists. In Samarinda, East Kalimantan, my field research lasted 15 days. Local government officials (provincial and ex-regent of East Kutai) were interviewed. The remaining days were used for fieldwork in Jakarta and for interviewing directors of Kaltim Prima Coal, and the director of Semen Gresik (the parent company of Semen Padang).

 
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