The President Post 37th Edition

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Honda Motor Company: To Share Joys with People Around The World

Andritz Indonesia CEO, Josef M. Ullmer, shares his views on the increasing development of hydro power all over the world. – Page A6

October 2012 No. 37 www.thepresidentpost.com

PROFILE

The Return of Large Hydro Power?

IDR 20,000

– Page B4

Josef M. Ullmer

LIVING

'Himalayan Viagra' Taking Its Toll on Nepal Yarsagumba, also known by the scientific name Cordyceps sinesis, has been prescribed by traditional healers in Asia for centuries to treat lung and kidney diseases, build up bone marrow and stop hemorrhaging. But it is prized for its reputation as a powerful aphrodisiac that boosts men’s sexual prowess.– Page C1

Is it Not High Time for Our Leaders to be Pro-Poor?

As the government hopes to cut the poverty rate by 8 to 10% by 2014, the implementation of the Accelerated and Expanded Indonesian Economic Development Master Plan (MP3EI) and the National Plan of Action for Poverty Eradication Program (RAN-PPK) should be expedited. It will certainly create employment, which in turn will reduce the national poverty rate.

By SD Darmono JAKARTA (TPP) – Inasmuch as labor demonstrations are a nuisance to the public at large and the business community in particular, one must above all recognize the legitimate right of workers to state their case.

However, problems arise when angry workers do not differentiate members of the business community that fully comply with what the government, labor organizations and the Association of Indonesian Employers (APINDO) have agreed on, from those who do not.

A case in point is the business community at Jababeka Industrial Estate at Bekasi, south of here. The majority are foreign investors, some of which are respectable FORTUNE 500 companies—it would be unthinkable for them to shortchange their workers. However, the workers are members of labor organisations and as such are obliged to take part in demonstrations although they have little to complain about in terms of wages and general working conditions.

This year alone we have seen labor organisation stage two large-scale demonstrations. As I see it, at the core of the issue is the current legislation on labor, Law No. 13/2003, which many agree is heavily partial towards workers. It was put in force by the post-reform House of Representatives (DPR-RI) to offset labor repression in the past, and contains ridiculous articles such as obligating companies to pay compensation to workers who are fired because they had committed theft.

On the other hand, labor organizations must take note that outsourcing is allowed by the law. That it is now a contentious issue between employers and workers is generally acknowledged as the fault of government

officials who have exercised little control over companies which supply the workers.

Another issue is mutual distrust: labor organizations feel that the government and the business community conspire to hold down wages as that is an element that makes Indonesia attractive to foreign investors. On the other hand, the business community suspects that the government, for political reasons, is on the side of the workers.

cade yet have offer its workers low wages.

The current situation is also exacerbated by the outrageous behavior of some of our officials and business people: they tend to show off their wealth, are out of touch with reality and have little idea on the hardship the poor have to endure on a daily business. This causes the people to lose respect of our leaders and business people, precisely at a time when we need to take a pro-poor stance. And

ment’s highest development priority.

Indonesia’s poverty line is determined by what the poor spend on different kinds of food to reach 2,100 calories per day, as well as costs associated with dozens of non-food goods, including housing, clothing, education and health care, amounting to Rp 233,740 per capita per month, or around $25. The poverty line is established as an average, as prices vary widely from urban to rural areas, and from more pros-

To President Susilo Bambang Yudhoyono’s credit, the latest official statistics showed that 950,000 of the 1 million Indonesians who are no longer classified as poor now live in rural areas. For the record, the President has declared poverty alleviation to be his government’s highest development priority.

The bottom-line is that if the government wishes to see more foreign investment coming in, labor seeks better wages, and the business community operates uninterrupted, the current law needs to be revamped. If these three elements can come together in harmony, the general welfare of society will rise as the number of poor people will go substantially down.

Admittedly, the minimum monthly wage today is the rupiah equivalent to $120, far below the figure of $300 or about Rp. 700,000 before the country was hit by the Asian financial crisis of 1997-98. This means we first need to raise the current level to the pre-crisis level before even thinking of raising current wages. So in a way it is understandable if lately labor demonstrations are prevalent: the disparity is simply very, if not too, wide.

Bear in mind that this country is a G20 member whose GDP has risen four times in the past de-

one way to show our sympathy for the poor is to narrow the prevailing income disparity.

Let’s look at the figures before we go any further: the Poverty Rate in 2012 is predicted to be at 11.7%, while in the past three years it showed a downward trend from 14.2% in 2009, 13.3% in 2010, and 12.5% in 2011, the state statistics agency BPS said last year.

In absolute terms, in 2011 the number of the poor in Indonesia is just over 30 million, down from 31 million in 2010. Remarkably, the figure decreased despite the government’s raising the poverty line by about $2.60 last year.

To President Susilo Bambang Yudhoyono’s credit, the latest official statistics showed that 950,000 of the 1 million Indonesians who are no longer classified as poor now live in rural areas. For the record, the President has declared poverty alleviation to be his govern-

perous regions such as Jakarta to poorer remote ones, like the islands of Nusa Tenggara.

As the government hopes to cut the poverty rate by 8 to 10% by 2014, the implementation of the Accelerated and Expanded Indonesian Economic Development Master Plan (MP3EI) and the National Plan of Action for Poverty Eradication Program (RAN-PPK) should be expedited.

It will certainly create employment, which in turn will reduce the national poverty rate.

The unemployment rate in the past three years showed a downward trend from 8.0% in 2009, 7.3% in 2010, 6.7% in 2011, but the decline did not equal to economic growth achievement over 6.0% in 2010 and 2011.

Fortunately, there are others like Australia, which has shown an interest in addressing the poverty situation here, particularily in West Nusa Tenggara (NTB) province, through the

Australian Government`s Aid (AusAID) program. It has made a commitment to provide A$215 million over five years to the National Community Empowerment Program (PNPM), supporting the government`s effort to lift its people out of poverty.

Australia supported the building of 149 schools across the province, creating an estimated 26,000 school places and significantly increasing access to education in a bid to help reduce poverty in Indonesia.

We as fellow Indonesian citizens too can contribute in alleviating the plight of the poor. The following is my pro-poor action plan: • The Family Planning program must be re-invigorated so that families shall have no more than two children and as such enjoy a better level of welfare • Boost Industrializaion as the manufacturing sector absorbs large numbers of labor. The Accelerated and Expanded Indonesian Economic Development Master Plan (MP3EI) should be made into a law and its implementation accelerated. This allows regions to develop faster and as such attract investors • Promote a simple lifestyle and issue pro-people regulations in ways that would prevent the small people from holding protest demonstrations • The curriculum of higher learning institutions must be improved so that graduates can immediately be employed It’s high time that we turn propoor rhetoric into deeds as the current situation has not shown much improvement.

The writer is the president director of PT Jababeka, the largest industrial estate (in Bekasi, West Java) in Southeast Asia. He is currently developing tourism sites in Banten in western Java and Morotai in eastern Indonesia.

It’s high time that we turn pro-poor rhetoric into deeds as the current situation has not shown much improvement.

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October 2012

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Opinion

Labor and Politics: an International Perspective www.beritafoto.net

In the international community there are three models of labor-politics relationships: Labor unions associated with to political parties; Labor union that runs a political party; and Labor unions that develop mutual symbiotic relationship with political parties.

By Muchtar Pakpahan

T

his article is useful not only for workers but also for others, including businesspeople. If the labor union is strong, political stability built by the labor union is maintained, and entrepreneurs will be able to keep their businesses running and generate profits. And this will eventually lead to a strong economy that will enable the country to provide justice and prosperity for its workers.

In the international community there are three models of labor-politics relationships: • Labor unions associated with to political parties as seen in authoritarian countries such as communist states and Indonesia during the New Order • Labor union that runs a political party as seen in welfare states such as Brazil, Germany, New Zealand and Great Britain • Labor unions that develop mutual symbiotic relationship with political parties as in the case with the AFL-CIO (American Federation of Labor and Confederation Industries Organization) and the Democratic Party in the United States.

In other words, a Model 1 relationship can be found in communist countries and Indonesia during the New Order, where workers are treated as a political object. But labor movements such as ITUC and ILO wanted to do away with the practice and are popularly fighting for Models 2 and 3.

When I was the vice president of World Confederation of Labour (WCL) 2001-2005, and member of ILO’s Governing Body 1999-2005, I had the opportunity to visit all developed countries whose people and workers lived in prosperity. Countries with prosperous citizens have strong

labor unions. A strong labor union would have a strong influence in a political party, which is generally called the Labor Party.

A party backed by a labor union is a party that adopts the middle-left, social democrat ideology and is grouped under Socialist International (SI) or an association of world labor parties.

If SI is an organization comprising members from parties backed up by labor unions that adopt the social democrat (middle left) ideology, the ITUC (International Trade Union Confederation) is the mother organization of the national labor unions. In Indonesia, members of ITUC are KSBSI (Confederation of Prosperous Indonesian Labor Union) and KSPI (Confederation of Indonesian Labor Unions). ITUC is a merger between WCL and ICFTU (International Confederation of Free Trade Union) in 2006.

The following are in brief Model 2 relationship between labors and political parties in several countries that I visited: New Zealand. It used to have two major labor unions, NZFL (New Zealand Federation of Labour) and CSU (Combined States Union) in addition to smaller ones. In 1987, NZFL and CSU merged to form NZCTU (New Zealand Confederation Trade Union). Today, NZCTU has 39 affiliated labor unions. NZCTU, which represents workers, officially controls the Labor Party. The president of the Labor Party is always a functionary from NZCTU, but he/she is not allowed to take a political position in the government, become a parliament member, minister or a prime minister. The party’s president’s job is to represent the labor unions, oversee and controlling political officials from the Labor Party. The president of the Labor party for 2009-2011 period was Andrew Little, who was also the secretary general of NZCTU. With such relationship, workers in New Zealand were able to enjoy the most prosper-

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ous life and each year New Zealand is chosen as one of the corrupt-free countries in the world alongside Singapore, Sweden, Norway, Finland, and Denmark.

Germany. In 1949, all German labor unions joined DGB (Deutscher Gewershaft Bun).

DGB, which is dominated by metal workers, became the umbrella especially in matters related to politics for all labor unions.

In politics, DGB controlled the Social Democrat Party (SDP), which used to be called the Social Democrat Labour Party. The chairman of SDP usually becomes a chancellor when SDP wins the general elections. When the chancellor comes from SDP, they would impose a welfare state. Germany is known as the country that adopts the strongest welfare state in the world as well as the promoter of the welfare state. There are two major political parties in Germany, Social Democrat Party and Christian Democrat.

Great Britain. Britain has a long history of labor union. Since 1868, Britain only has one umbrella for labor unions, the TUC (Trade Union Congress), comprising 58 labor unions. TUC has a strong connection with the Labor Party because if the party wins the general elections, the party’s president automatically becomes the prime minister. In Britain there are two major political parties, the Labor Party and the Conservative Party. Since Britain is the country where the history of labor union started and where the founding father of labor union, Karl Marx, lived and died, Britain is naturally the oldest welfare state in the world.

Poland. When Lech Walesa fought to advocate laborers, Poland was a communist country with labor unions being under the control of the state and the communist party. In a condition where workers were treated only as a political object, Lech Walesa took charge of NSZZ (Nieza-

lezny Samorzadny Zwiazek Zawodowy) or Solidarnosc. When the reformation took place in late 1980s, the general election also took place. Solidarnosc, a labor union which also served as a political party, nominated Lech Walesa, who was later elected as president. Since then Poland is a democratic party that implemented a welfare state. Poland is the only country whose labor union became a Labor Party.

This condition was initially criticized by the world’s labor leaders.

Brazil. There are four labor unions in Brazil, namely CUT (Central Unica dos Trabalhadores); CNPL (Confederacao Nacional dos Profissoes Liberaes); FS (Forca Sindical) and UGT (Uniao Gerald dos Trabalhadores).

The biggest is CUT, which is under the leadership of Luis Inacio Lula da Silva, who is popularly known as Lula. CUT set up the Labor Party in the late 1980s.

Lula failed to run as president three times in 1990, 1994, and 1998. He was eventually elected as the president in his fourth attempt, in 2002, after three other labor unions (CNPL, FS and UGT) gave their support to the Labor Party. In 2001, Brazil saw high unemployment and criminal rates and many of the people’s lands were seized by conglomerates. After Lula became the president of Brazil and the welfare state was implemented, the jobless and criminal rates dropped low and lands that were seized from the people by conglomerates were returned to the owners. The people of Brazil chose someone from the Labor Party to replace Lula. The same was also experienced by South Korea and South Africa.

Now I would like to explain the symbiosis-mutualism pattern adopted by the United States between the AFL-CIO and the Democratic Party. There were two major labor unions in the US, AFL (American Federation of Labour) and CIO (Confederation

CEO & EDITOR IN CHIEF: Rachmat Wirasena Suryo I CONTRIBUTORS: Atmono Suryo; Jeannifer Filly Sumayku; Public Private Partnerships Indonesia; Majalah RESPECTS; Bambang Sulistomo; Paulus Khierawan REPORTER & PHOTOGRAPHER: Rians Rivco; Heros Barasakti I CIRCULATION: Seny Rosgandasari LAYOUT & DESIGN: Mohamad Akmal I HEAD OF SALES & MARKETING: Donny Martin

Industries Organization). In the early 20th century, both unions merged into AFL-CIO. AFL-CIO always signed a political contract with the Democrats in every general election and the Democrats also always kept its commitment with the labor union. My experience with President Bill Clinton was that he was very committed with AFL-CIO’s concerns.

Since John Sweeney, the president of AFL-CIO, was a friend of mine, I also became friends with President Bill Clinton. The three of us along with four former heads of states (Peter of Bulgaria, Wim Kok from the Netherlands, Mario of Costa Rica, see www.muchtarpakpahan.com) became the founders of Global Fairness Initiative Foundation (GFI) based in New York. AFLCIO is the strongest labor union in the world.

Now let’s go back to Indonesia with its MPBI (Indonesian Labor Council), which was declared during May Day at the Gelora Bung Karno stadium. MPBI has been given the mandate to: eradicate outsourcing & contractbased work, to realize a decent wage, to stop union busting, and to assure that social, health and labor security is implemented by January 2014.

All those hopes are part of the government’s political policies. Eradicating outsourcing is the constitutional job of the lawmakers. Protecting workers from union busting is the task of the government. If MPBI wants to successfully realize the hopes pinned by the workers that it represents, it must enter politics.

It can study one of the models explained above. But it should be based on this order: workers unite, Labor Party wins. If Labor Party wins, civil servants’ salary will be more than just decent, law will be enforced, graft will be eradicated, and the people/workers live in prosperity. Eventually, entrepreneurs will be able to run their businesses peacefully due to legal certainty.

Entering politics in Indonesia requires a huge amount of capital.

This is exactly the problem faced by the Labor Party when it failed to get a seat in the parliament.

Professional businesspeople who are longing for law enforcement should join hands with workers to run the labor party.

The choice now is to participate in the 2014 general election or to remain as an observer and wait for 2019. Or do we still prefer the rhetoric of being independent? All of the examples above showed how strong the independence of a labor union is because labor unions determined the political parties’ policies and not the other way around.

Entering politics in Indonesia requires a huge amount of capital. This is exactly the problem faced by the Labor Party when it failed to get a seat in the parliament. Professional businesspeople who are longing for law enforcement should join hands with workers to run the labor party. The slogan is, Labor Party wins, entrepreneurs benefit, country’s economy grows stronger, and workers live prosperously. Long live MPBI! The writer is a labor activist and is a lecturer at the Law Faculty of the Indonesian Catholic Univ ersity (UKI)

PUBLISHED BY: PT Sarana Pratama Pengembangan Kota Menara Batavia 25th Floor, Jl. K.H. Mas Mansyur Kav. 126 Jakarta 10220, Indonesia Phone: (021) 572 7337 I Fax: (021) 572 7338 I Email: ceo@thepresidentpost.com www.thepresidentpost.com

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Opinion

Indonesia Economic Diplomacy Strategy Indonesian government through the state foreign ministry should seriously consider the importance of economic diplomacy that is ongoing and long term. However, the trend so far, Indonesia's economic diplomacy is still reactive and sporadic. Foreign policy inability to generate the whole economic diplomacy, comprehensive, and long term will only produce a limited range of export output.

By Hendra Manurung

T

he center of the world economy has been moving to Asia even faster than anticipated. As a result of the world financial crisis, this process accelerated. Rather than 1989 to 1991 at the end of the Cold War marking the critical point, as many in the western countries has decided, some eyeing the emergence of the G-20 with eight states from the enlarged 18 nation of east asian states (EAS) consider this to be the actual turning point. As the Cold War ended, Asia Pacific Economic Caucus was formed in 1989 in Canberra, Australia, bringing together states from four main continents (Asia, Australia, America, and Europe) on both sides of the Pacific region.

Backers of exclusive Asia regionalism had anticipated milestones to boost ties significantly, especially economic integration.

Indonesian government through the state foreign ministry should seriously consider the importance of economic diplomacy that is ongoing and long term.

However, the trend so far, Indonesia's economic diplomacy is still reactive and sporadic. Foreign policy inability to generate the whole economic diplomacy, comprehensive, and long term will only produce a limited range of export output. Conversely, if state foreign minister can optimize the economic diplomacy, it will impact very significantly to the enhancement of national capacities and capabilities of Indonesia's economy is now sinking.

Economic diplomacy currently is facing at least three impor-

tant issues, namely: First, The relationship between economics and politics; Second, The relationship between the environment with a variety of domestic and international pressure; and Third, The relationship between state actors and non-state (private industrial actor / private industrial sector). Moreover, this combination of three relationships that ultimately became one of the main colors of the environmental dynamics of contemporary international relations.

The formation of Indonesia and Japan Economic Partnership Agreement (EPA), was signed on 20 August 2007, as an agreement which is expected to increase the flow of trade between the two countries, and to facilitate Japanese investment into Indonesia. For Indonesia, the Indonesia and Japan Economic Partnership Agreement is one of the very significant agreement because, it is an Indonesia's first bilateral legal trade agreement with other countries.

By signing this agreement the Indonesia industrial sectors is expected to gain some benefit, such as: First, for easier access to Japanese markets for manufacturing products of Indonesia; Second, access for Indonesian workers who had previously entered the Japanese market tend to be closed; Third, maintaining the competitiveness of Indonesian products in the Japanese market compared to products from other countries considering the reduction of tariff barriers; Fourth, consumers in Indonesia will benefit from the increasing number of alternative Japanese products entering the Indonesia market; Fifth, opening further opportunities to encourage the process of technology transfer

from Japan. Regarding technology transfer opportunities, given the attitude of Japanese investors who had been impressed by stingy to transfer technology, the Economic Partnership Agreement (EPA) agreement that regulates the manufacturing Industrial Development Centre Initiative is “a strategic opportunity” for Indonesia to improve utilized standard and the quality of export products.

The relations between Indonesia and Japan which has been running up to 54 years that a lot of impact for the Indonesian economy. Both positive and negative impacts, the development is expected in the future could be more tightly. As given the same circumstances and some of the positive factors that can help the expansion of relations with these two countries. Indonesia and Japan are both peace-loving country, a country that always uphold human rights democracy and appreciate toward good governance.

Indonesia and Japan relationship is mutually beneficial because Indonesia needs not only in the Japanese economy but also in the field of educational technology and so on, while Japan takes Indonesia in terms of natural resources availability (SDA).

With holding of this Economic Partnership Agreement (EPA) agreement can be concluded that the government has done in response to competitive challenges facing Indonesia as a partner in maintaining the position of the Japanese economy, abn meanwhile maintaining the competitiveness of national economy.

The initiative is a manifestation

THE

of economic diplomacy in adapting to external challenges faced especially in the context of economic competition in the region.

For Indonesia’s interest, which is more important is how to make Indonesia and Japan economic diplomacy as a springboard to make corrections in the country is fundamentally and thoroughly for the greatest welfare of the people. In order for Indonesia to compete with other countries and Indonesia could also make cooperation with other countries. Therefore, hopefully it will lead to new awareness and add impetus to host a regional countries to realize economic integration in East Asia region are seen as more realistic than cooperation within the framework of Asia Pacific Economic Cooperation (APEC). By involving Korea and China, so that East Asia region will potentially be a balancing force against the domination of the United States and Europe.

According to the Indonesia’s Investment Coordinating Board State Minister (BKPM), Mr. Gita Wirjawan, Japanese investment in 2011, for transportation, storage, and telecommunications industrial sectors were approximately US$ 3.8 billion, US$ 3.6 billion in mining, electricity, gas, and water itself around the US$ 1.9 billion. Meanwhile, industry base metals, goods, metal and electronic machinery around US$ 1.8 billion, and basic chemical industry, pharmaceutical and chemical goods around US$ 1.5 billion. While the foreign investment (PMA) is based on the realization of the project site establisment is DKI Jakarta region US$ 4.8 billions (Rp 48 T), West Java region US$ 3.8 billions (Rp 38 T), Banten region

SP I RI T

OF

US$ 2.2 billions (Rp 22 T), Papua region US$ 1.3 billions (Rp 13 T), and East Java region US$ 1.3 billions (Rp 13 T). The following sequence of five of the countries that put the investment in Indonesia in the first quarter of 2011: (1) Singapore, an investment of US$ 1,138.7 billions with 142 projects; (2) America, an investment of US$ 359.1 billions with 24 projects; (3) Japan, an investment of US$ 345.2 billions with 78 projects; (4) British Virgin Islands, an investment of US$ 198.3 billions with 30 projects; (5) British investment of US$ 163.0 billion with 36 projects. Moreover other investment of US$ 2,191.4 billion with 592 projects. Afterall for the overall investment of US$ 4,395.7 billion, with 902 projects (BKPM Data 2011).

ter services are held on May 4, 2012 at the German Center Building Indonesia of BSD Serpong. This cooperation agreement was signed by Mr. Hyanto Wihadhi, as Director of Business Operations PT Jababeka and Mr. Rizkan Chandra, as President Director of PT. Sigma Notices Caraka.

ing in conducting its activities to improve performance and the reliability of industry and business in general.

Indonesia Minister of Foreign Affairs, Mr. Marty Natalegawa stated that, Indonesia's foreign policy can not be separated from changes in the strategic environment of the global and regional level, as an order to provide a challenge and an opportunity for the national interest achievement. In actualize the implementation of foreign policy independent and active, therefore achievement of Indonesia's national interest is the contribution of diplomacy and foreign policy in creating an international environment-friendly and conducive to Indonesia (Foreign Affairs Ministerial Meeting 24 February 2012).

The Memorandum of understanding (MOU) is aimed at building a data center which will be the answer to the quality standards for safety and high technology service needs in the field of Information Technology (IT) for foreign investment companies in Jababeka industrial estate, and its surrounding areas, the service will integrate this data center, that can be a solution for other companies outside the Cikarang region, who need services in the field of data provision, considering the location is easily accessible, quickly, which is one advantage to have data center. Data center itself is a place used for the placement of a collection of servers or computer systems and data storage systems (storage) that is conditioned by the availability of power supply arrangements of certain standards, the setting temperature, humidity and air circulation, preventing fire hazard and is also equipped with a layered physical security systems. Establishment of data center plan in cooperation with PT Sigma Cipta Caraka with Jababeka Infrastructure is a form of strategic telecommunication agreement which is always evolving to make it easy, link and match, and complement the needs of telecommunication sectors in the City of Jababeka, whether for industrial, commercial, education, bank-

Significant growth in the number of small and medium entreprises (SME) in Indonesia has grown continuously, shows the percentage of total growth of 10% with the initial growth of 7.9% to 17.9% in 2006-2008. Based on data from the State Minister of Cooperatives and SMEs, the number of SMEs in Indonesia continues to rise significantly because in 2006 the number of SMEs ranges from 48,611,233 units in 2007 rose to 49,824,123 units in 2008 while drastically increased to 51,257,537 units.

From these data can be seen the growth of SMEs increased significantly by 5.4% seen from the growth of SMEs in 2006 and compared with the growth of SMEs in 2008, the contribution of SMEs to the economy is significant. Because it proves the existence of rapid development that requires good organization and management in order to enter the market the ASEAN Economic Community by 2015.

Jababeka Infrastructure, as a subsidiary of PT. Jababeka Corporation has signed a cooperation agreement with PT Sigma Cipta Caraka, who is also a subsidiary of PT. Telkom Indonesia Tbk in the field of Data Cen-

Finally, to be concluded that, expected quality and competitiveness of SMEs in Jababeka industrial estate will be able to be maintained shaft driving force of the Indonesian economy and contribute to economic growth by fostering the skills and management of SMEs in improving human resources quality.

Hendra Manurung, is currently Full Time Lecturer of International Relations, Faculty of Business & International Relations (FBI) at President University, Kota Jababeka Cikarang

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Focus ECONOMIC OVERVIEW

Indonesia’s Growing Middle Class Among Southeast Asian countries Indonesia has the the largest number of Middle Class.

Even in terms of world development Indonesia is rated among the largest pool of the Middle Class.

Figure 2. Middle Class Spread

Figure 1. Cumulative GDP growth (%): 2000 to 2010

Size of middle class*, m

200

0

180

50

100

150

160

Indonesia

140 120

Philippines

100 80

Thailand

60 40

By Atmono Suryo

20

Vietnam 2004

It has reached far above the average rate of the high-income countries in Europe and the United States (which is around 2%) and even above the world average growth (of around 2.8%).

It has reached an even higher growth than Brazil, which is one of the top ten emerging countries belonging to the BRIC countries.

A DECADE OF ROBUST GROWTH

In the years to come Indonesia has to deal with quite a number of transitions and development policies to continue to be on the right track. This should among others include: • The intensification of growth for a large number of econom-

High-income

World

Brazil

Thailand

Philippines

Malaysia

Indonesia

n terms of GDP growth Indonesia has shown a remarkable achievement.

With its growth rate of higher than 6% during the years 2000-2010, the country has reached the list of top growth countries, trailing only behind China and India.

India

I

IMPORTANCE OF GDP GROWTH

China

0

Source World Bank

ic sectors including the industrial and agriculture & fisheries sectors; • The strengthening of the growing Middle Class to become another engine of growth not only in the area of consumption but in particular in the area of production.

THE RISE OF THE MIDDLE CLASS

Indonesia with its high GDP growth is experiencing new waves of the younger generation climbing up the social-economic ladder to enter the Middle Class.

There are different estimates about the size of the Middle Class, ranging from about 30 million to more than 100 million people, depending on the criteria or yardsticks used.

According to some earlier data from the World Bank the mid-

dle class amounted to 81 million in 2003 rising to 131 million in 2010. Every year more than 7 million people jump from the low-income bracket to the middle class during that period.

In an article appearing in The Economist in July last year, Bank Nomura reckoned that in 2004 Indonesia’s “newly rich” people numbered 1.6 million. It expanded to about 50 million in 2011 and could reach to almost 150 million by 2014.

Among Southeast Asian countries Indonesia has the the largest number of Middle Class.

Even in terms of world development Indonesia is rated among the largest pool of the Middle Class. This is quite an achievement, as presently most people only know about the many poor who are indeed still lagging behind. Every year, however, mil-

Malaysia

2009 2014**

Source: Nomura; World Bank; CEIC

*) $3,000 annual household disposable income **) Forecast

lions of them will slowly enter the Middle Class.

The rise of the Middle Class (at a rate of 7 million a year) is directly linked with the increase in consumption. This trend is not only happening in Indonesia but also in other emerging countries in Asia such as India.

COMPOSITION AND ACTIVITIES

As a result thereof Indonesia is considered as one of the world’s most enticing markets. Countries around the world are looking at Indonesia as a big economic partner among others because of Indonesia’s expanding markets.

But such an image must be changed. Indonesia should not be seen as a dumping ground for the bulk of international goods.

It should be seen as an effective economic powerhouse, with rich natural resources and effective and productive human capital.

The Middle class is composed of three categories: namely the upper category – the middle and the low category. The low and middle strata form by far the largest grouping. The high class is still in the minority but in terms of assets and spending they are the most fortunate ones.

As a whole, the Middle Class in Indonesia are big spenders and big consumers. According to data appearing in the media, last year car sales neared the 1 million mark, causing big traffic congestions in Jakarta and in many other cities. About 8 million motor-cycles/scooters were sold compared to 1.7 million in Thailand.

It is said that in the area of mobile or smart phones and other devices Indonesia is becom-

ing the second-largest number of Facebook members and internet users in the world, plus the third-largest number of twitter users.

In the area of computers millions are reaching almost every corner on the island of Java. It is claimed that many internet users in far away villages start to export their goods to Europe and other regions.

Peter Drysdale of the East Asia Forum last year stated that Asia is predicted to add 2.5 billion people to the world’s middle class in the next 20 years.

It is also stated that the emerging middle class is already a key driver of Asia’s economic growth because of its demand for goods and services. It is also the primary source of savings and entrepreneurship.

STRENGTHENING THE MIDDLE CLASS

The recent discussion at the Financial Club together with Sampurna reveals that in Indonesia not much is known about this growing part of Indonesia’s human capital. In addition very little studies have been made about its development, let alone the right notions what the government and the private sector should do to strengthen Indonesia’s Middle Class.

As is the case with India, Indonesia’s Middle class is well-educated and more demanding of better services, better products and better life styles. It is expected that in Indonesia they should also be more enterprising, innovative and creative as the players in South Korea, India and China..

Engine of growth

Indonesia will have the chance to seize the opportunity to make the Middle Class another engine of growth. This opportunity should not be lost. Otherwise the country would become a country of misery and a center of millions of unemployed Middle Class people.

It is of immense importance to underline and support World Bank’s suggestion that Indonesia would need the critical mass of skilled professionals to ensure the robust development of the Middle Class.

So far, however, no special efforts have been made to assist the Middle Class and to strengthen their position. The growth of the Middle Class has been left entirely to the interplay of market forces but seemingly with success. The growth of small or medium-scale enterprises in many areas has been enormous, often with the assistance or in partnership with their partners from other neighboring countries.

In order to further strengthen the Middle Class, special efforts and special programs have to be initiated as early as possible to beef up their education, entrepreneurial and skill development in various potential areas and regions. Not only in Java and Sumatra but also in the outer-islands, which have now to be developed in the fastest and effective way yo take the country into the 10 largest economies of the world as predicted by the international community.

The writer is former ambassador to the EU

www.thepresidentpost.com

October 2012

A5

Law & Regulation

Brand is an Identity of a Product and an Asset That Needs to be Protected A brand plays an important role during the marketing process of the product.

If a consumer is satisfied with a certain product and want to buy it again, he/ she could easily get the product again by simply mentioning the name of the brand.

By Paulus Khierawan

B

usiness is about trading activities that speaks about the process of production and distribution of goods or services. Building a business is not an easy job.

There are many factors that contribute to the success of a business, beginning from capital, management, marketing, human resources and more.

When we talk about sales activities of a product, there is one important and interesting factor that we cannot ignore as it plays an important role to make the business or sales of the product successful and it’s called brand.

This article will discuss the commercial, and the legal aspects of a brand as an asset of a business that needs to be protected.

What is brand?

Brand is an intellectual property right (IPR) protected under Indonesia’s legal system. Intellectual property is invented by humans and they deserve legal protections due to their economic value as they can generate economic profits for the parties that own them.

Brand is regulated under Law No. 15/2001 on Brand. Article 1 clauses 1 and 2 define brand as follow: 1. Brand is a sign that comes in the form of graphics, name, words, alphabets, numbers, colors, or combination of those elements that have a differentiating ability and is used in trading activities of goods or services.

2. Trade mark is a brand used on goods traded by a person or several people simultaneously or a legal entity to differentiate it with other similar products.

Based on the definition above, we can see that the characteristic of a brand is that: it’s a composition that serves as an identity of the product, because the composition for brand A can differentiate product A from product B and from other products.

Why is brand important and needs to be protected?

Brand is the identity of a product. The specific composition that makes up the brand is an inseparable part of the product’s image. They carry a product’s image, a brand plays an important role during the marketing process of the product. If a consumer is satisfied with a certain product and want to buy it again, he/she could easily get the product again by simply mentioning the name of the brand. A brand represents the reputation of the product that in our daily life we often find very popular brands that have become so close to the public because the public trusted the products’ quality.

What are the elements of a brand?

The law on brand in Indonesia still regulates the conventional two-dimension brands that are made up from graphics, names, words, alphabets, numbers, colors or combination of those elements. But in line with the people’s growing creativity, discussions on three-dimension brand protection have also started to evolve. The discussions resulted in the “Singapore Treaty”, an international agreement that paves the way for three dimension, hologram and non-conventional brands to be registered.

How to protect the brand

Brand protection is given exclusively to the first person that registered it. The exclusive right means that the first person that registered the brand is entitled to use the brand for trading activities and that only he/she is entitled to the right. No other parties can use a brand the same as the one that has been registered.

The system used in the brand law is the first to file. The first person to file the brand will get the protection, not the first user.

That’s why the process to file the brand is very important.

The brand can be registered at the directorate general of intellectual property rights by submitting all necessary documents and meeting all the requirements as stipulated under Law No. 15/2001 and Government Regulation No. 23/1993 on how to file a brand.

Since a brand is equal to identity, then…

A brand is the identity of a product and therefore it’s most important that it should not confuse people. It would pose a problem/dispute if a brand bears some similarities to another brand.

Article 5 (b) of the brand law read: A brand cannot be registered if the brand does not have one of the elements as follow: (b) it has no differentiating ability; Article 6 clause 1 of the brand law: “The directorate general must reject the filing of a brand should it: a. has basic similarity or totally the same as a brand owned by another party that have already been registered for the same goods and/or services; b. has basic similarity or totally the same as a popular brand owned by another party for the same goods and/or services. c. has basic similarity or totally the same with an already popular geographic indications.”

One of the examples of a dispute over the basic similarity between two trademarks is the dispute between Cap Kaki Tiga brand and Cap Badak brand.

The system used in the brand law is the first to file.

The first person to file the brand will get the protection, not the first user.

That’s why the process to file the brand is very important.

The dispute involved PT Sinde Budi Sentosa, the owner of the Cap Badak brand that uses graphics/ picture of a rhinoceros and a “Cap Badak” label and PT Kinocare Era Kosmetindo, the license holder of Cap Kaki Tiga.

The problem emerged because Cap Kaki Tiga uses the same rhinoceros picture with the one used by Cap Badak that it’s considered to have a basic similarity with the Cap Badak brand.

This will confuse consumers because it eliminates the function of the product’s identity. As a result, the Supreme Court ordered in its ruling No. 595 K /Pdt.Sus/ 2011 dated 17 October 2011 that the directorate general of intellectual property rights annul the trade mark certificate for Cap Kaki Tiga and the picture of the rhinoceros according to the regulation about the revocation of a filed trademark.

Steps to avoid brand disputes

When a businessman wants to start a business, start producing a certain product and then decides to give the product an identity, there are several things that need to be considered in order to avoid any future dispute: 1. Check brands that have already been registered to prevent the brand that you want to register is the same as a brand that is already exclusively owned by other parties. Registered brands can be checked from the website of the directorate general of intellectual property rights at http://www.dgip.go.id/merek and then click “layanan online”/data merek Indonesia.

2. Study the specification of the goods/services. One brand can be registered for more than one specification of goods/services. This will have an impact on the cost aspect.

3. Be a creative businessperson with a good intention. Create a specific brand composition for the product’s identity which describes the quality of the product that will be put on the market. Don’t take advantage of an already popular brand for your own benefit.

ENGLISH EDITION

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October 2012

www.thepresidentpost.com

Energy

The Return of Large Hydro Power?

Josef M. Ullmer

Andritz Indonesia CEO, Josef M. Ullmer, shares his views on the increasing development of hydro power all over the world, even large hydro power developments which so far have been “discouraged” by some influential organisations like Friend of Rivers for their apparent negative impact on ecology and environment. Here are his answers to questions put by RESPECTS on the issues around the large hydro power developments.

www.chinatraveltips.net R.: There are signs across the globe that hydro power development is getting more attention from governments and developers. This could be due to the persistenthigh price of oils, and increasing price of coal recently. From Andritz and your personal perspectives, how would you respond to this?

JU: I think itshould be seen as a general trend in the world in the development of renewables to reduce dependence on, or entirely replace, fossil energy for the reasons we know, like the ever increasing oil and coal prices or wanting to convert resources which are otherwise non-tradable to be tradable as electricity.

Also some countries like Malaysia, Laos and Ethiopia see the development of hydro power plants as the possibility for exporting the electricity to their neighboring countries to earn foreign exchange income and use the large amount of power available for local development and to reduce or alleviate poverty.

What the Chinese have accomplished with the Three Gorges Hydro Power Plant was of course admirable, but this gargantuan project has raised serious questions among environmentalists about its enormous impacts on the ecology over such a huge area along the Yang Tse River system.

This, I believe, has contributed to the growing criticism of large hydro power development seen from environmental point of view.

This trend is evidence of the coming of age of renewable energy resources like wind and solar, which are becoming increasingly competitive against fossil energy. Even an advanced industrial country like Germany is relying heavily on wind and solar in its new energy policy, after it decided to discontinue its use of nuclear power in the aftermath of Fukushima nuclear meltdown in March 2011 (see Main Story of this Edition).

Actually hydro has a longstanding reputation of being reliable and relatively cheap, if not the cheapest, energy resources in the world for over a century. If Germany had ample hydro power resources, I guess it would develop it first to replace nuclear.

But the concept of hydro power has recently been extended by including the kinetic power of the ocean like waves and currents and also the ocean thermal energy conversion (OTEC) technology. (Discussed in the previous issue of RESPECTS).

This broadening definition of hydro power is a major step forward in utilizing hydro power without needing the large dams so heavily critized by environmentalists. Many energy experts in the world are considering ocean energy as the future hydro power resource, especially where the resources found on land are limited. I see also that an increasing number of governments around the globe are paying more attention and are eager to embark into developing ocean energy R.: There are also urgent needs for refurbishment of older hydro power plants in the world, as many plants are over 30 years old. How would you respond to this prospect, and as far as Indonesia is concerned, which plants do you think need a major overhaul.

Should PLN and the government decide to do the major overhaul, what will the effect be on the national energy mix in the short and medium term JU: I see there is a growing worldwide demand for rehabilitation and modernization, not only to maintain the availability of the power-generating assets but also to make use of today’s new hydraulic shapes and possibilities. In this industry, it is generally assumed that after 20-25 years of operation, a hydropowerplant would benefit greatly from rehabilitation, modernization and upgrading of

Three Gorges Hydro Power Plant, China. The world's largest hydropower project and most notorious dam

its essential components.Hence for a utility company like PLN, a structured and planned fleet care routinewould have the benefit of handling the maintenance operation in the most cost effective way. Not only can the development spending be focused on the actions and the plants most needing the maintenance, but also the most economical solution for the utility can be established to extend its economic life and avoid forced outages which will increase exponentially after 20-25years of operation if no proper actions are taken.

Furthermore, it must be understood that with the increasing additions of fossil-based base load generation in Indonesia, the existing hydro power plants will get a more dynamic role in the system.

Key issues are not only power generation but also the so-called “network ancillary services”, like frequency mode, phase shifting or line charging. All of that can be best done with the flexibility of hydro power plants but requires a very different operating regime. That means that as a hydro base load plant, you have 2 start/stops a day. But now, with the dynamic requirement, you have maybe 25 start/stops a day, which will cause morewear and tear on the equipment and require more monitoring and

maintenance. Hence, investments in new automation devices, supervisory control and data acquisition (SCADA) system, turbinegovernors and protection devices are highly beneficial to the Utility Company. Unfortunately, such practices are rarely considered in a usual maintenance concept. Many companies follow “change as it breaks” practice which is no longer acceptable in the modern world where the availability of continous power is the norm.

I hope that PLN will apply the “fleetcare concept” to meet the need for rehabilitation and modernization of their assets to assure that they are maintained properly and in the most cost effective manner.

R.: How would you see the further roles of hydropower over the next decades in securing the national energy mix in countries where the resources are available like Indonesia? In particular, do you see any future for large hydropower plants with capacity beyond “run off/ofriver” technology?

JU: As already mentioned before, most countries embark on the full utilization of their technically and commercially feasible hydro resources to become more energy self-sufficient and to make a non-tradable com-

As already mentioned before, most countries embark on the full utilization of their technically and commercially feasible hydro resources to become more energy self-sufficient and to make a non-tradable commodity tradable.

Therefore,I see many more initiatives to utilize renewable energy use also in Indonesia. modity tradable. Therefore,I see many more initiatives to utilize renewable energy use also in Indonesia.

The recent move by the Indonesian government to require the processing of minerals within the country will also spur the demand for cheap electricity. Hydro power is, I beleive, a

good solution to meet the power needs of the mining operators to process their mining outputs.

The existence of hydro power in scarcely populated areas, where most mining operations are located, could also spur local economic development, which otherwise will not happen. In addition it will also help break the current dilemma of the supply and demand situation in rural and underdeveloped areas where resources are abundantly available but no power development is happening because of the lack of adequate demand. The existence of power will attract more investments in the area which will benefit the local people and also attract skilled transmigrants from the densely populated areas like Java.

R: If the world is still shunning “large hydro”, how do you (Andritz) respond this challenge strategically?

JU: The fact is the development of large hydro was, and is always, complicated due to the need for careful evaluation of all stakeholders’ concerns about the impact on livelihoods in the area affected by the project. However, we have seen during the last decade, that generally the project activities from the planning phase to the project implementation are much better coordinated and communicated than in the past. As such, we still very much

see a considerable demand for large hydro projects in the future. As for really large but manageable hydro projects we have to look more at Brazil which has developed hydro power capacity in the range of 1000-3000 MW, rather than at China, where the capacity built there is extraordinarily big.

What the Chinese have accomplished with the Three Gorges Hydro Power Plant was of course admirable, but this gargantuan project has raised serious questions among environmentalists about its enormous impacts on the ecology over such a huge area along the Yang Tse River system. This, I believe, has contributed to the growing criticism of large hydro power development seen from environmental point of view. By the way, I was informed that the real plan developed by the Chinese government to build such huge dams in the first place was to control flooding in the provinces, and utilizing the reservoir to generate enormous power in the process.

If this was true, the Chinese government presumably saw the development of the hydro power as an enormous bonus.

R: The International Hydropower Association (IHA) issued a protocol for large hydro power development last year.

Do you think it would help

change the world public opinion about the large hydro power?

JU: The so-called “protocol on sustainable hydro power plants for operation and development” issued by IHAhas been endorsed by major Development Funding Agencies like the World Bank, the Asian Development Bank (ADB) and the European Bank for Reconstruction and Development (EBRD). Major developers, including Andritz, and manyutilities companies around the globe are now guided by the protocol in their development and operational activities.The establishment of such a protocol or guidline developed by the hydro industry specialist and involving governments and groups of enviromentalists, is definitely a step in the right direction to prove to the world that the best available international standard is being used to ensure hydropower plants’ sustainability. Therefore I believe that this will also help recover the public acceptance of hydro power plants as sustainable and environmentallly sound power solution.

By the way, you know that IHA has discussed this protocol with members in their regional meeting in Kuching, Sarawak, Malaysia recently (RESPECTS was at that meeting as an observer), and this will definitely boost the investments in large hydro power by countries in the region which have large hydro resources like Malaysia, in the northern part of Borneo, and surely Indonesia which has even larger potential in the eastern provincies like Kalimantan, Sulawesi and Papua.

I look forward to discussing the issues of sustainable hydropower in the next available forum in Indonesia, and I hope IHA will also be involved in such discussion. Overall, I am confident that larger hydro power will return and this country will reach its envisioned energy mix in the future with reasonable amount of power contributed by renewables, including hydro power. *This article has been published in RESPECTS magazine 3rd edition vol.2

www.thepresidentpost.com

October 2012

A7

International

RI Welcomes the Agreement between the Government of the Philippines and MILF www.boston.com/AP Photo/Rouelle Umali, Pool

Indonesia is strongly committed to the establishment of peace, particularly in the Southeast Asia region. As a close neighbor of the Philippines, Indonesia always supports the efforts by the Government of the Philippines to create and to achieve peace with the Moro community in Southern Philippines.

I

ndonesia warmly welcomes the statement by President Benigno Aquino III of the Philippines on Sunday (October 7) on the preliminary agreement reached between the Government of the Philippines and the Moro Islamic Liberation Front (MILF).

The agreement reached between the Government of the Philippines and the MILF, as well as the previous peace agreement between the Government of the Philippines and the Moro National Liberation Front (MNLF) agreed in 1996, reflects the strong commitment of the Government of the Philippines to create comprehensive peace in the Southern Philippines. In this regard, Indonesia stands ready to provide support and assistance including in exchange of experiences.

would provide a comprehensive solution to the conflict that over the past four decades have taken many lives and material loss.

In the past two decades Indonesia has been facilitating the peace process between the Government of the Philippines and the MNLF, and between 1994 and 2002 has sent the Garuda Contingent (Konga XVII) under the framework of the Organization of the Islamic Cooperation (OIC) peace process.

Peace that involves both the MNLF and the MILF from the Moro community and the Government of the Philippines

Indonesia is strongly committed to the establishment of peace, particularly in the Southeast Asia region. As a close neighbor of the Philippines, Indonesia always supports the efforts by the Government of the Philippines to create and to achieve peace with the Moro community in Southern Philippines.

In this connection, in the past two decades Indonesia has been facilitating the peace process between the Government of the Philippines and the MNLF, and between 1994 and 2002 has sent the Garuda Contingent (Konga XVII) under the framework of the Organization of the Islamic Cooperation (OIC) peace process. An Indonesian observer team is also participating in the International Monitoring Team which has been agreed by the Government of the Philippines and the MILF.

Philippine President Benigno Aquino III, right, receives a gong from Moro Islamic Liberation Front (MILF) Chairman Al Haj Murad, center, and MILF Peace Panel chief Mohagher Iqbal, left, before the historic signing of the framework agreement between the Philippine government and the MILF at the Malacanang Presidential Palace in Manila, Philippines, on Monday Oct. 15, 2012. Muslim rebels and the Philippine government overcame decades of bitter hostilities and took their first tentative step toward ending one of Asia's longestrunning insurgencies with the ceremonial signing of a preliminary peace pact Monday that both sides said presented both a hope and a challenge.

Republic of China 101th Anniversary The President Post/Reza Ganesha

The celebration of the Republic of China 101th Anniversary was held at Hotel Borobudur Jakarta. The event was attended by prominent figures from Taiwan and Indonesia.

In his speech, Andrew Hsia stated, “Within three years in Indonesia, I was able to witness the remarkable progress of the relations between Taiwan and Indonesia. As the leading nation of ASEAN and a member of G20, Indonesia’s economic growth rate is applauded by the world in recent years. Two-way Trade between Taiwan and Indonesia reached $ 12.2 billion in 2011. Though listed as the 9th largest investor in Indonesia, Taiwan businesses continuously come to Indonesia, including many IT companies which have lately been all over the news. Taiwanese investments not only create millions of jobs in Indonesia, but will also redraw the industrial landscape of Indonesia as well.”

According to Andrew, in terms of labor, until July 2012, Indonesian migrant workers in Taiwan reached a number of 186,000 people.

Similar to the local Taiwanese, they enjoy minimum wages and health insurance as provided by the Taiwan government. Thus, Taiwan became the most favorable country for Indonesian migrant workers. In terms of tourism, Indonesia is one of the most favorite destina-

tions for Taiwanese tourists.

Garuda Airlines has resumed its route to Taipei since this May, therefore almost 100 direct flights between Indonesia and Taiwan operate per week. As many as 230,000 Taiwanese tourists visited Indonesia each year.

Taiwan allocated its technical missions based in Java and Bali to actively promote joint agricultural programs and received positive feedbacks. In educational terms, there are currently 3,000 Indonesian students in Taiwan.

“We hope that more of our Indonesian friends would go to Taiwan for an excellent-quality education at a reasonable tuition rate. On the future outlook, Taiwan seeks to further expand and deepen its cooperation with Indonesia, and develop a mutually beneficial partnership,” Andrew said.

The Taipei Economic and Trade Office (TETO) Jakarta, Indonesia is the representative office of the Government of the Republic of China (Taiwan) in Indonesia. The mission of TETO is to take care of the interests of Taiwan and to promote bilateral relations between Taiwan and Indonesia.

Indonesian Embassy in Madrid Publishes Indonesian Food Recipe Book in Spanish The Indonesian Embassy in Madrid (KBRI Madrid) published a of book Indonesian food recipe written in Spanish language.

The launching of the book entitled La Exotica Cocina de Indonesia was in conjunction with the 67th Indonesian Independence Day reception in Madrid, last week. “We believed that the launching of the book will be one approach to familiarize Spanish taste with Indonesian flavor,” said Ambassador Adiyatwidi Adiwoso Asmady.

“The book contains 40 Indonesia culinary recipes, ranging from snacks, main course until dessert,” said Adiyatwidi.

He also added that the recipe book made by the Indonesian Embassy in Madrid constituted a series of effort in promoting Indonesian Cuisine in Spanish which has been started in 2010.

“In collaboration with two hotel groups, Intercontinental Hotel and Melia Hotel International, since 2010, KBRI Madrid has been organizing 4 gastronomy week in Madrid and Seville. A number of Indonesian chefs were invited to present the culinary of Indonesia in the hotel’s menu for one week,” stated Adiyatwidi.

He noted that in the last few years the relationship between the people of both countries has grown rapidly. This is characterized by the increasing level of Spanish investment to Indonesia.

“There have been many Spanish companies opening their offices in Indonesia. In addition, there has been growing recognition towards Indonesian tourisms and culture among the Spanish,” conveyed Adiyatwidi.

Andrew Hsia

In 2012, two Indonesia - Spain associations were established, namely “Nusantara”, which focuses on the cultural affairs, and “Spaindo”, which focuses on the economic cooperation between the two countries.

The foundation of the two associations was pioneered by the Spanish people who have deep affection to Indonesia and saw big opportunities for the bilateral cooperation between the countries.

“Of course, the Spanish recognition to Indonesia cannot be separated from the Embassy’s effort in promoting Indonesia in various numbers of occassions,” he said.

In promoting business opportunities in Indonesia, Adiyatwidi explained that the Embassy has conducted investment promotion in several cities in Spain.

The promotion related to Indonesia’s development was conducted through Festival Indonesia held in Madrid and Barcelona this year by presenting dance performances, fashion show, culinary, and photography exhibition.

The diplomatic reception organized by the Indonesian Embassy in Madrid was also attended by 300 invitees consisting of ambassadors, foreign diplomats, and counterparts within KBRI Madrid.

In the diplomatic reception, in addition to enjoying Indonesian culinary dish and the Gandrung and Srikandi dance, each invitee were also given a set of souvenirs containing one Indonesian recipe book, wooden plate with batik pattern, and one pack of nasi goreng ingredient.

RI – New Zealand Committed to Strengthen Geothermal Cooperation The President Post/Rians Rivco

Indonesia and New Zealand determine to strengthen geothermal cooperation in order to meet alternative energy demand.

"Geothermal cooperation between Indonesia and New Zealand has actually been conducted for long. However, considering global development today where there is more demand on alternative energy, we find it important to strengthen cooperation

with new Zealand," Indonesian Foreign Affairs Minister Marty Natalegawa said after meeting with visiting new Zealand Foreign Affairs Minister Murray McCully.

Marty added currently there are two geothermal energy projects in Indonesia that are supported by New Zealand and the World Bank. The New Zealand government provides a $ 6.95 million grant for technical support while the World Bank allocates $ 300 million to support 150 Megawatt power plant proj-

ect in Sumatra and Sulawesi islands.

Meanwhile, Minister McCully stated New Zealand has the capacity to assist Indonesia in developing geothermal energy.

"We have experts in this field and we are willing to cooperate with Indonesia in developing alternative energy," McCully said.

Apart from discussing new energy projects, both ministers during the Tuesday meeting also discussed the progress of bilateral cooperation in such sectors as trade, investment, agriculture, enhancement of people to people

contact, education and regional challenges.

In enhancement of people to people contact, the Tuesday meeting discussed about Air New Zealand which has served direct flights from Auckland to Denpasar (Bali) starting last June 2012 while Garuda Indonesia is also planning to open direct flight from Jakarta to Auckland next year.

The opening of direct flight is expected to improve economic and people to people relation between Indonesia and New Zealand.

Apart from discussing new energy projects, Indonesian Foreign Affairs Minister Marty Natalegawa (right) and New Zealand Foreign Affairs Minister Murray McCully, during the Tuesday meeting also discussed the progress of bilateral cooperation in such sectors as trade, investment, agriculture, enhancement of people to people contact, education and regional challenges.

A8

October 2012

www.thepresidentpost.com

Education The President Post/Heros Barasakti

President University Appoints New Rector President University, a world-class educational institution that has produced the best graduates for the nation, has appointed a new Rector, Chandra Setiawan PhD, to replace Prof Ermaya Suradinata.

A

s the new Rector of President University, Chandra has a vision to improve the quality of education service in order to make President University the best in teaching, research and publication and also in community service.

“I will cooperate with the local government, especially in community service. We have more than 4,000 students who can contribute to improving the quality of the environment or accelerate not only economic growth but also the welfare of the community,” said Chandra.

Chandra further added, "What I'm going to do is to direct the lecturers of President University to balance teaching with their ability to conduct research. Up to now, this may be still somewhat less because the teaching load is relatively high. " According to Chandra, President University has a clear vision to be a world-class university: to produce graduates with entrepreneurial, multicultural, and global insight.

Chandra is also concerned with for the development of SMEs. He plans to synergize JIC and ICT training centers for the region since Jababeka has a business incubator that provides opportunities for SMEs’ development. For prospective entrepreneurs who should have basic knowledge of marketing, accounting, inventory, business plan and others, Chandra is willing to provide the basic knowledge of the topics.

He added, “I am also ready to support the idea of establishing a library in the community. We must stimulate our culture of

reading since currently the reading culture of our nation is very low as it has been eroded by television shows.”

Chandra Setiawan is not new among academics as he previously served as Rector at IBII (Institute of Business and Information Indonesia) for six years from 2000-2006.

In the same period, Chandra served as a commissioner on the National Commission on Human Rights (Komnas HAM) in 2002-2007.

Chandra Setiawan has two doctorate degrees. He got his first doctorate degree in the field of Management Education at Universitas Negeri Jakarta in 2001.

He then decided to take his second doctorate degree in Islamic Finance at the Graduate School of Management, Universitas Putra Malaysia, in 2006.

Chandra is widely known for his social and humanitarian activities, particularly in promoting inter-religious harmony. He has been appointed as Ambassador of Peace by the Interreligious and International Federation for World Peace in Bangkok, Thailand, in 2001.

Chandra has also served as the representative of Indonesia in various international forums to raise the issue of pluralism and inter-religious dialogue for the world peace. He is also active

in the Global Peace Festival Indonesian Foundation.

President University is known as an educational institution capable of providing skilled human resources who are ready to work.

Located in the Jababeka industrial area, President University is surrounded by more than 1,500 multinational companies such as Unilever, Samsung, Mattel, ICI Paints, Kraft, and many more.

This situation allows President University graduates to work immediately after graduation. Besides, President University has a two-semester program of fieldwork practice (internship) as a graduation requirement for all students.

President University has always been a place of skilled human resources management, and is adjacent to Jababeka that provides employment and direct training places."

Prof. Juwono Sudarsono

Indonesian Team Won Silver and Bronze Medals at IOI The Indonesian Computers Olympic Team 2012 that competed in the 24th International Olympiad in Informatics (IOI) in Milan, Italy, 23-30 September 2012, has won one silver medal and three bronze medals.

The silver medal was garnered

by Nathan Azaria (SMAN 2 Purwokerto) while bronze medals by by Jonathan Irvin Gunawan (SMAK 1 BPK Penabur Bandung), Chakra Wishnu Wardhana (SMAN 8 Yogyakarta) and Muhammad Aji Muharrom (MAN Insan Cendekia Serpong).

Fauzan Joko, the public relations official of the Indonesian team, said the achievement is

significant as it is better than the one that the team recorded in the previous IOI, in Pattaya, Thailand. At that time, the Indonesian team won two bronze medals.

This year the IOI was followed by 317 participants from 81 countries. The highest score in this competition (absolute winner) was made won by Johnny Ho from the United States, who accumulated a perfect score of 600 on the two-day match.

The overall winners were the teams from the People's Republic of China and Russia, both of which won four gold medals.

However, on the basis of points, China fared better.

Fauzan added that the Indonesian team has participated 17 times in the IOI, from 1995 to 2012, and have won 34 medals consisting of two golds, 14 silvers, and 21 bronzes. In 1996 and 1999, however, Indonesia failed to win a medal. In 2003, Indonesia failed to compete when the IOI was held in Kenosha, the United States, due to visa problems.

"We should be proud and give the highest appreciation for the passion, struggle, and sacrifice showed by the students, coaches, and the Ministry of Education and Culture, all of whom worked hard to achieve the best results," says Fauzan.

Prof Juwono Sudarsono, who is one of the founding fathers of President University, said: "President University has always been a place of skilled human resources management, and is adjacent to Jababeka that provides employment and direct training places."

Internship is an opportunity to build connections to facilitate future career. Internship students can develop professional skills, including interpersonal skills, and time management skills that can only be obtained in the real professional world.

President University, which was officially opened in 2001, has the best teachers and educators who are experts in the in-

dustry and were recruited from leading universities to improve the quality of education.

As an international university, President University is equipped with international-standard curriculum which created and developed by world-class academics. All programs, including compulsory subjects as outlined by the government, are taught in English.

President University continues to grow by increasing the number of its faculties; it now offers 12 different majors. Students of President University also can utilize world-class facilities such as the Jababeka Golf & Country Club and the Executive Club President.

ADB Supports Vocational Education in Indonesia The Asian Development Bank (ADB) has been supporting vocational education in Indonesia by providing a soft loan worth $80 million in order to finance Indonesia Vocational Education Strengthening Projects (INVEST) for the 200813 period.

"We finance projects for 90 vocational schools across 33 provinces in Indonesia. So far, the projects have been running efficiently thanks to good cooperation between

project managers at the Ministry of National Education and the officers from ADB," said Jon D Lindborg, the Country Director for ADB`s Indonesia Resident Mission, here on Friday.

He stated that each school receives between $300,000 and $600,000 to finance projects involving renovation of classrooms, laboratories, libraries and office buildings. A part of the fund is also allocated for training teachers and students.

The President Post

BUSINESS

SECTION B October 2012 No. 37 www.thepresidentpost.com

bond, share sales or bank loans,” he said.

The management is still studying the options, he said, adding if bank loan or bond fund is the option, the management hopes to have ones with low interest.

BUSINESS BRIEFS Angkasa Pura II Mulls IPO State owned air port operator PT Angkasa Pura (AP) II is considering to launch initial public offering (IPO) to raise fund to finance the expansion of Terminal 3 of Jakarta`s Soekarno Hatta International airport.

Vice President of AP II Rinaldo J. Aziz said funds for the first phase of expansion of the terminal will be in internal cash or by raising bond fund or IPO fund. The first phase of expansion will cost around Rp6.5 trillion and work to be completed in two or three years, Rinadlo said. “We well need both internal and external funds to finance the first phase of expansion,” he said here on Friday.

The fund of around Rp6.5 trillion will include for the expansion of the apron, he said, adding the terminal alone will need only Rp4.5 trillion.

If in three years the project is not yet completed and additional cost would be needed, the company would either issue bond or launch IPO, he said. “In two to three years we could manage the financing with internal cash, but if work will continue we could choose between issuing

Earlier, Chief Economics Minister Hatta Rajasa said the airport has an annual capacity to handle 22 million passengers but capacity utilization already reached 51.5 million passengers.

After the completion of the expansion plan, Terminal 1 will have a capacity of 18 million, Terminal 2 around 19 million and Terminal 3 around 25 million and Terminal 4 to be built later to have a capacity of around 25 million or a total of 87 million passenger a year after the completion of the expansion plan.

Terminal 3 will be expanded from 333,000 sq. meters to 367,000 sq. meters . The budget for the airport expansion until 2014 is set around Rp4.75 trillion. In 2012 alone the budget is Rp100 billion.

year was not quite good, export financing however still grew quite well,” the export financing institution`s executive director, I Made Gde Erata, said in a business meeting with customers here on Thursday.

He said Eximbank`s various facilities to increase national export performance include working capital financing for domestic corporations and small and medium businesses and investment financing for modernizing machinery and several projects financing.

Financing composition consists of 47% in foreign currencies and 53% in the local rupiah currency spreading in various industrial sectors, he said.

With the financing growth Indonesia Eximbank has recorded a total asset of Rp30.99 trillion by August 2012, up by 35.6% from Rp22.85 trillion in August last year. “We are optimistic the asset target of Rp31.83 trillion would be met by December 2012,” he said.

Eximbank’s Financing Grows 42.51%

The positive financial performance has made the state-owned special financial institution has won an “AAA” rating with a stable outlook from rating agency PT Pefindo and “BB+” S&P.

Indonesia Eximbank has recorded growth in its financing by 42.51% from Rp17.38 trillion in August 2011 to Rp24.77 trillion in August this year.

“Although the country`s export performance in the first semester this

The financing target set for Indonesia Eximbank by December this year at Rp24.5 trillion has been achieved. “We are projecting the financing by the end of 2012 to reach around Rp25 trillion, bit higher than the target,” he said.

Garuda Profits Up by 187%

PT BA Redirects Coal Exports to India www.viva.co.id

The net profit of the nation`s flag carrier PT Garuda Indonesia Tbk (GIAA), shot up 187% to $30.7 million on-year in the first seven months of the year.

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aruda President Emirsyah Satar described the performance of the publicly trade airline as positive when many other international airlines suffered a decline amid the global economic woes.

“We recorded good performance although the global economy is not conducive,” Emirsyah said here on Tuesday. He attributed the improved performance to growing number of passengers that reached 10.01 million in the January-July period or an increase of 16% from the same period last year.

The airline recorded a 13.7% rise in income to $1.7 billion from $1.49 billion in the same period. “The income was contributions from Garuda and its airline subsidiary Citilink, which serves domestic flights, not including from other subsidiaries,” Emirsyah said.

Its operating profit surged to $408 million from only $1.9 million.

Garuda also recorded a strong growth of 13.9% in availability seat kilometer (ASK) to 17.78 billion on-year with load factor rising 75.76% from 74.98%.

Garuda Indonesia rated as best international airline: Survey

Garuda Indonesia has been

Garuda Indonesia President Emirsyah Satar. The airline recorded a 13.7% rise in income to $1.7 billion from $1.49 billion in the same period.

rated as the Best International Airline from the period of August 2011 through July 2012, according to a survey conducted

by Australian market research company Roy Morgan.

Garuda Indonesia Vice President for Corporate Communications Pujobroto stated on Monday that the research involved 4,530 respondents who were asked to give their opinions on the products and services provided by various global airlines.

“In the survey, Garuda Indonesia scored the highest, with 90%, along with Singapore Airlines. Our score was higher than

those of other airline companies such as Air New Zealand, Emirates and Thai Airways,” he said.

Earlier in July, Garuda Indonesia was named “The World`s Best Airline” and “The Best Regional Airline in Asia” by London-based airline rating agency Skytrax.

Citilink Set to Conduct IPO in 2015

Low-cost airline Citilink, a subsidiary of national flag carrier Garuda Indonesia, intends to conduct an initial public offering of its shares in 2015, its pres-

ident director Arif Wibowo said.

The airline company will conduct an IPO only if its profit has doubled and its performance has grown, he said on the sidelines of a national meeting of the Indonesian Chamber and Commerce and Industry (Kadin) for investment and transportation here on Tuesday.

“If the profit and growth targets have been met we will conduct an IPO,” he said.

One of the requirements to conduct the IPO is the adequate number of pilots. By October 2012, Citilink will have 12

Batavia Air Stock Purchase Plan Gets Government Approval www.washingtonexaminer.com

Batavia Air’s acquisition will be conducted in two stages and is expected to be completed in the second quarter of 2013 The Ministry of Transportation has approved the principle stock purchase plan proposed by Batavia Air owner PT Metro Batavia, which will be conducted by AirAsia Berhad and PT Fersindo Nusaperkasa, a statement from the ministry said on Thursday.

The statement pointed out that the Minister of Transportation has approved in principle a planned expenditure on the buying and selling of shares belonging to PT Metro Batavia, to the relevant local or foreign corporate client.

The statement further elaborated that the composition of share ownership between na-

sia AirAsia, Batavia Air for $80 million.

“After months of negotiations, we have finally reached an agreement to establish a relationship between AirAsia and Batavia Air,” AirAsia Berhad CEO Tony Fernandes said in Jakarta on July 26.

AirAsia Chief Executive Officer Tony Fernandez (left) and Batavia Air President Director Yudiawan Tansari during a joint press conference in Jakarta, Indonesia, July, 2012. AirAsia Berhad and AirAsia airlines had announced that they have decided to acquire through PT Fersindo Nusaperkasa, Batavia Air for $80 million. tional and foreign capital should refer to the Regulation of the President of the Republic of Indonesia Number 39 of 2010, which requires the owner of national or domestic capital to maintain a greater share in the overall ownership of capital amounting to 51%, and allow a maxi-

mum ownership of 49% for foreign capital owners.

Earlier, the AirAsia Berhad and AirAsia airlines had announced that they have decided to acquire through PT Fersindo Nusaperkasa, which is the majority shareholder of PT Indone-

Meanwhile, President Director Fersindo Dharmadi explained that AirAsia Berhad will hold a 49% stake in Batavia and Dharmadi will be the majority shareholder with a 51% stake.

Dharmadi, who also serves as Indonesia AirAsia’s president director said that Batavia Air’s acquisition will be conducted in two stages, with the first stage involving the takeover of 76.95% of the company’s stake.

The second stage will revolve around the acquisition of 23.05% of the airline’s shares and is expected to be completed in the second quarter of 2013, based on regulatory approvals granted by the government of Indonesia.

planes, he said. He said the company had no plan to issue bonds because the financing of its activities is borne by Garuda. “We will not issue bonds. We still rely on Garuda,” he said.

Citilink carried 1.84 million passengers in the first semester of this year, a 62% increase compared to 1.14 million in the same period last year. The airline posted an income of almost Rp1 trillion in the first half of 2012. The income is projected to reach Rp2 trillion throughout this year. The budget carrier expects to carry 4 million passengers this year.

Publicly traded coal producer PT Perusahaan Batubara Bukit Asam Tbk (PTBA) said it plans to export more coal to India on growing demand from the Hindustani state of that country.

Milawarman, the president director of the state company, said here on Monday that demand for coal grew from India offsetting the declining demand from China. Milawarman said the company will produce coal just to meet the market demand. “Currently most or 65% of the company`s coal production is disposed of on the domestic market with 35% for exports,” he said.

The company`s largest buyer in the country is the state electricity company PT Perusahaan Listrik Negara (PLN) that uses the coal to feed its coal fired power plants. Around 80% of the sales are on contract including 60% in contract with PLN, Milawarman said.

He said the sales target of 16 million tons this year could be reached but it would depend much on the readiness of the railway as the main transport means from its largest coal mine in Tanjung Enim in South Sumatra.

The company has said it could not boost production because of transport problem from the mine to the market especially between the mine and the seaports .

The company, there, has two railway projects in southern Sumatra. It has a project to build a 270-kilometer rail tract for coal transport between Tanjung Enim and

PTBA President Director Milawarman Tanjung Siapi Api port town in South Sumatra. The railway project will be built jointly with Adani Global from India.

Bukit Asam will also build a coal terminal in Tanjung Siapi Api to facilitate shipment of coal to other area or for exports.

Last year, the company produced only 12.5 million tons from Tanjung Enim and this year it hopes to raise the production to 16.3 million tons. The operation of the railway would allow it to boost production up to 35 million tons a year.

Bukit Asam also takes part in the project to build a 307-kilometer double tract linking Tanjung Enim and the Srengsem port in Lampung.

Bukit Asam holds a 10% stake in the 307-kilometers railway project, which is 80 percent owned by the Rajawali Group and 10% by China Railway Group Ltd. In the first half of the year, the company reported Rp1.56 trillion in net profit, down 3% from Rp1.61 trillion in the same period last year. Sales rose 14% to 7.08 million tons from 6.19 million tons with prices rising 0.5% to Rp785,040 per ton on-year.

Pertamina to Operate Three New Platforms Pertamina Hulu Energi West Madura Offshore (PHE WMO) plans to operate three new oil and gas drilling platforms in the West Madura block.

The operation of the three platforms PHE-38B, PHE39 and PHE-54 is expected to contribute to increasing the oil production of the subsidiary of PT Pertamina PHE, which is owned by state oil and gas company PT Pertamina.

PHE President Salis Aprilian said construction of the three platforms are now in the final phase of completion. Based on construction contract, they are to be ready for operation by September this year, Salis said.

“By the end of this year, the oil production target of PHE WMO is set at 21,000 barrels per day,” he said in a

statement issued here on Monday.

Currently oil production from the WMO block averages 10,500 barrels per day. Salis said PHE WMO will drill 21 wells this year including 9 explorations wells and 12 development wells and 15 work over wells.

Gde Pradnyana, the deputy for the operation control of the Upstream Oil and Gas Executive Board (BPMIGAS), said PHE will also put again into operation PHE-40 offshore platform. The platform has been repaired and is ready to resume operation after being hit by cargo ship in 2010.

The reactivation ceremony was marked with the launch of the platform in Jakarta`s Tanjung Priok port on Monday. It will be sent to the WMO block 70 miles off shore of the coast of Sampang, Madura. The platform produced 1,600 barrels of

oil and 15 million cubic feet of gas per day before it was hit and damaged by the cargo ship.

The WMO block began production in 2005 with peak production at 9,500 barrels of oil and 38 million cubic feet of gas per day in 2007.

Senior Executive Vice President & General Manager of PHE WMO Imron Asjhari said PHE WMO targets to produce 40,000 barrels of oil and 210 million cubic feet of gas per day in 2016 or equivalent to 75,000 barrels of oil per day.

In order to achieve the production targets, PHE WMO will drill more than 25 exploration wells, 75 development wells and more than 10 work-over wells, and installed more than 10 new platforms until 2016.

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Business

PT DI Gets Rp7t Projects The projects include making 65 CN-212 helicopters and aircraft components for Airbus A320, A330, A340, A380 and A350.

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ircraft manufacturer PT Dirgantara Indonesia (DI) has won projects worth up to Rp7 trillion that should be finished in three years, state enterprises minister Dahlan Iskan said here on Friday.

The projects include making 65 CN-212 helicopters and aircraft components for Airbus A320, A330, A340, A380 and A350.

He said PT DI admitted that it had never received orders so many in its history so far, adding orders came from abroad.

“So if we see an A380, parts of its wings are made in Bandung based on a lifetime contract,” he said at his office.

So long as Airbus is still active it will continue to order aircraft components or planes from PT DI while the value of contracts for making components have now already reached 25% of PT DI`s turnover, he said.

Besides serving Airbus PT DI also acts as a sub-contractor for Boeing. Boeing has ordered components from South Korea and South Korean suppliers demand components made

by PT DI. Right now there are thousands of smaller aircraft components, he said.

Dahlan said PT DI would receive an order to make aircraft from Spain, which will send

several of its aircraft components to PT DI. Right now 25 to 50 engineers from PT DI are in Spain to study the technology of CN-295 manufacturing.

Regarding additional capital from the government for the company the minister said the government had injected around Rp1 trillion last year. Right now the company`s finance is good and credit worthy.

PT DI has also received orders from the country`s defense ministry but the ministry still has yet to wait for the disburseemnt of the budget for it. For the project PT DI has been approved to seek loans up to Rp1 trillion.

Regarding additional capital from the government for the company, state enterprises minister Dahlan Iskan said the government had injected around Rp1 trillion last year.

Right now the company`s finance is good and credit worthy.

Wika Jabar to Build Geothermal Power Plant PT Wika Jabar Power, a subsidiary of state construction company Wijaya Karya, will build a 40-megawatt geothermal power plant, (PLTP) Gunung Tampomas, in Sumedang, West Java.

Wijaya Karya corporate secretary Natal Argawan Pardede said Wika Jabar is looking for a partner to build the power plant as the company has no experience in building geothermal power plant.

PT Jasa Sarana, which is owned by the West Java regional administration, having a stake

At least $100 million is needed to build a geothermal power plant with a capacity of 50MW or about three times more expensive than a coal or oil-fired power plant with the same capacity in Wika Jabar Power, also has never built a geothermal power plant,” Natal said.

“We need a partner not only having the technology but also fund to carry out the project,” he said here on Thursday, adding geothermal power project is more expensive than coal fired power project.

At least $100 million is needed to build a geothermal power plant with a capacity of 50MW or about three times more expensive than a coal or oil-fired power plant with the same capacity, he said. “We hope to have a partner among oil and gas companies having good reputation like Pertamina or Chevron,” he said.

Earlier, Wika Jabar Power planned to drill two explorations wells in Gunung Tampomas to cost $10 million.

Natal said the selling price of the company`s geothermal power is yet to be negotiated with the buyer state electric company PT Perusahaan Listrik Negara (PLN). The government has set the selling price range for geothermal power at 9-16 US cents per kilowatt hour.

PLN is required to buy all power generated by independent power producers (IPP) at a preset price.

Jasa Marga to Issue Rp1t Bonds State toll road operator PT Jasa Marga Tbk (JSMR) plans to issue bonds worth Rp1 trillion next year to finance its maturing bonds.

The old bonds will become due in the first semester of 2013, Jasa Marga President Director Adityawarman said on Friday. “Proceeds from the issuance of bonds will be used to settle maturing bonds,” he said.

He said the company also has set aside Rp7.9 trillion in funds to develop toll roads.

In 2014, Jasa Marga will focus on building a 50-km turnpike, he said. Currently Jasa Marga operates 545 km of toll roads. The length of toll roads is expected to increase to 738 km in 2014, a 39.1% increase compared to 2012.

Commenting on the construction of trans Sumatra

highway, he said the government is in the processing of calling a tender for the construction of 60km Medan-Kualanamu-Tebing Tinggi and 126-km PekanbaruKandis-Dumai turnpikes.

“Although traffic on the two turnpikes still falls short of Jasa Marga`s traffic standard we will continue to build them,” he said.

The tender process which will start in October this year will last for 6-8 months and a tender winner will be made known probably in October 2013, he said. “Then, we will clear land for the construction of the project which is expected to start early in 2014,” he said.

He said Jasa Marga will cooperate with local governments in constructing 29-km Padang-Sicincin, 37-km Kayu Agung-Palembang and 70-km Palembang-Tanjung Api-Api turnpikes.

Antam Project Boosts Maluku’s Economy The ferro-nickel project being built by PT Aneka Tambang (Antam) in East Halmahera, North Maluku, will help boost development of regional economy.

The project will provide many jobs and will indirectly draw other investors to the region, the head of the regional manpower and transmigration office, Abuhari Hamzah, said here on Saturday.

The $1.6 billion project

has been in the process of construction since last year to be completed in 2014. The project will process all nickel ores into ferro-nickel, produced in this region, Abuhari said.

New jobs will be created not only in the factory but also in other related business and industrial units expected to grow in the region, he said. He said trade will expand, new restaurants will be opened and transport business will be brisker all needing new workers. The project will also contribute to in-

creasing the regional income in tax , he added.

He said in recruiting workers the state mining company has pledged to give priority to local people although skilled workers may have to bring in from other regions.

A number of high education institutes in North Maluku such as Muhammadiyah University have from the beginning prepared skilled workers to work in mining sector, he said.

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October 2012

B3

Investment ment projects implemented in Batam were worth $112 million or an increase of 61% from the same period last year. Most of the investment project are located in the port and trading areas, Dwi Djoko Wiwoho, a director of BP Batam said.

Expansion projects are recorded only in April and June all worth $182.6 million. “Trade, electronic manufacturing industry, shipyard are the most attractive for foreign investors in Batam,” he said.

INVESTMENT BRIEFS Official: Foreign Companies Invest $11.8m in Batam A number of foreign companies invested $11.8 million in the free trade zone of Batam last month, the Management Agency of Batam (BP Batam) said.

BP Batam`s chief spokesman Ilham Eka Hartawan said the projects, owned by 12 investors, will provide 1,119 jobs for Indonesians. “The largest investment is in the shipbuilding and repair industry which will need many workers,” Ilham said here on Wednesday.

Most of investors come from Singapore and Malaysia and some of them established joint venture companies with Indonesian investors, he said.

There are also joint venture companies between Indonesian, Indian and Australian investors, he added. Many investors still are interested in doing business in Batam, which is a few miles south of Singapore.

According to BP Batam, in the first half of 2012, new foreign invest-

BKPM: RI Upbeat Over 2013 Investment Target Capital Investment Coordinating Board (BKPM) Head Chatib Basri said Indonesia would benefit from the push and pull factors in its efforts to achieve its investment target of Rp390 trillion in 2013.

“Even though the world economy, in Europe in particular, is still unstable, we can benefit from a number of factors that will enable us to achieve the investment target in 2013,” the BKPM chief said here on Tuesday.

The first factor is the push factor. Now the biggest investor country in Indonesia is Japan. In the latest condition in Japan, the yen currency is appreciating so that the production cost in Japan is very high.

Chatib said such a condition pushed Japan to seek other countries for ts investment and to cooperate in the production of goods. One of

its target is Indonesia.

“Indonesia is the fifth destination country for Japan so that many Japanese companies considered Indonesia as a potential market and a potential country for investment. If the appreciation of yen continued to take place it will cause high production costs and many Japanese companies will make investment in Indonesia next year,” he said.

The second factor is the pull factor where the number of middle-class people in Indonesia continues to increase. This condition is promising for companies to market their products because the people`s purchasing power is high.

“A family who in the past could only buy one television set is now able to purchase two or three TV sets. This does not only happen with only one family but also with the average families across the country. This will be promising for companies to produce goods so that many Japanese firms will make investment in Indonesia,” he said.

Regarding the realization of the investment target in 2012, Chatib express optimism that at the end of the year the domestic and foreign investment realization would reach Rp300 trillion.

“We are upbeat that the realization of the investment at the end of the year would be over Rp300 trillion, because we are convinced after seeing the realization of investment in the first half of the year which has reached Rp76.9 trillion. This is the highest ever,” Chotib said.

RI, China to Jointly Produce Alumina Indonesia and China have agreed to jointly produce alumina, a raw material in the form of aluminum ingot for upstream aluminum industry, Indonesian Ambassador to China Imron Cotan said.

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T Indonusa Dwitama and Chalco Hongkong Limited signed the memorandum of understanding on the cooperation in the presence of the ambassador here on Thursday night. With the agreement, the Aluminum Corp of China Ltd (Chalco) Hongkong will invest $1.1 billion to build a metal processing and purification smelter, alumina grade, in West Kalimantan.

The ambassador who witnessed the signing of the MoU said that the deal was a concrete form of the increasingly good cooperation between the two countries in the field of investment.

“Indonesia with its stable government and an average economic growth of six to seven percent is a conducive place for would-be investors, including in-

vestors from China,” Imron said.

He said the cooperation is part of the realization of the strategic partnership cooperation of the two countries signed in 2005.

“We hope the signing of the MoU would further strengthen and expand the good relations of both nations.”

Chinese Ambassador to Indonesia Liu Jianchao who also witnessed the signing of the MoU said Indonesia was one of the biggest destinations of the Chinese investors, after the United States and Europe experienced economic crisis.

“If Indonesia happens to be the fourth largest destination for Chinese investment, its positive development in the past several years could make it the second biggest destination for Chinese investment ahead,” the Chinese ambassador said.

President of Chalco Hongkong Limited Luo Jianchuan said his firm was committed to supporting the strategic partnership of the two governments, particularly in the investment sector.

“With this cooperation, we hope we can help boost Indonesia`s economic growth.

We have no doubts to invest our capital in Indonesia,” he said.

Chalco Hongkong Limited is one of the biggest aluminum producer in China. So far China is the biggest aluminum producer and at the same time the biggest consumer in the world, namely about 40% of the world market.

Up to the end of 2011, China is the biggest aluminum importer.

The ministry of industry recorded that Indonesia has supplied 25.42 million tons of bauxite to China.

S. Korea Investment Set to Reach $12b in 2012 South Korea`s investment in Indonesia this year is expected to reach $12 billion, according to Industry Minister MS Hidayat.

“If Honam Petrochemical Corporation realizes its investment target of around $6 billion in petrochemicals, total investment from South Korea in Indonesia is expected to reach $12 billion this year,” said the minister here on Friday.

Giving an update on the progress of Indonesia and South Korea`s Comprehensive Economic Partnership Agreement (CEPA), for which negotiations started in July 2012, Hidayat added that Indonesian government officials will meet South Korean entrepreneurs next month to discuss investment potential in Indonesia after CEPA`s implementation.

The minister informed that negotiations over CEPA will take about two years to complete. Indonesia and South Korea have

If Honam Petrochemical Corporation realizes its investment target of around $6 billion in petrochemicals, total investment from South Korea in Indonesia is expected to reach $12 billion this year.”

Industry Minister MS Hidayat agreed to increase trade between the two countries to $50 billion by 2015. The agreement was announced by President Susilo Bambang Yudhoyono on the final day of his state visit to South Korea in March 2012.

“Indonesia has huge potential,

but not all of it has been exploited. Indonesia certainly needs resources and partnerships to develop its economy,” he noted.

President Yudhoyono said that this potential had been used as the foundation for the strategic partnership between Indonesia and South Korea, making it possible to target the $50 billion trade target by 2015. “The strategic partnership has developed well so far. For example, trade in 2009 was around $10 billion and the figure rose to $30 billion in 2011,” he added.

President Yudhoyono added that Indonesia had specifically invited South Korea to invest in the steel and infrastructure sectors. Apart from discussing cooperation opportunities in trade and investment, President Yudhoyono and South Korean President Lee Myung-bak also reviewed possible cooperation in the fields of defense, energy and manpower.

RI Attractive to Foreign Textile Investors Indonesian Trade Attache in Washington DC Ni Made Ayu Marthini said Indonesia has become a potential investment destination for investors in the textile and apparel sector.

Ni Made said Indonesia has been named a leading country in “Sourcing at Magic 2012” exhibition, the largest ever textile exhibition in the United States held in Las Vegas, Nevada, this month.

“Perry Ellis, a popular brand in the United States, plans to open a branch office in Indonesia to support their sourcing activities,” she said.

She said Indonesia gained from being named a “leading country” representing ASEAN , which is the main focus at the Sourcing at Magic 2012 exhibition.

The Sourcing at Magic 2012 exhibition ending on Thursday was participated in by 43 countries with 8,000 buyers representing popular brands in the United States.

Indonesian participants with pavilion, “Trade with Remarkable Indonesia”, included yarn, garment, fabric, textile, sweater/ knitted fabric , apparel, leather goods, batik, bag, and ornament producers.

In this year Sourcing at Magic 2012 exhibition, Indonesia was represented by 20 companies or larger than in previous years.

In 2011, US import of textiles and apparel from all over the world were worth $100 billion and Indonesia is the fourth largest supplier of textile to that country after China, Vietnam and India. Indonesia`s exports of textiles and garments to the United States were valued at $5.2 billion in 2011.

In the first five months of the year the Indonesian textile exports to the United States already reached $2.16 billion.

www.wantchinatimes.com/Xinhua

A Chalco employee places certification stickers on aluminum ingots. Chalco Hongkong Limited is one of the biggest aluminum producer in China. So far China is the biggest aluminum producer and at the same time the biggest consumer in the world, namely about 40% of the world market.

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Profile Civic Hybrid 2012. Honda produces Civic hybrid, a hybrid electric vehicle that competes with the Toyota Prius, and also produces the Insight and CR-Z.

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Honda Motor Company: To Share Joys with People Around The World Honda Motor Co., Ltd. operates under the basic principles of “Respect for the Individual” and “The Three Joys” - commonly expressed as The Joy of Buying, The Joy of Selling and The Joy of Creating. “Respect for the Individual” reflects the desire to respect the unique character and ability of each individual person, trusting each other as equal partners in order to do the best in every situation.

ASIMO. The world’s only humanoid robot able to ascend and descend stairs independently.

ASIMO is the part of Honda’s Research & Development robotics program. It is the eleventh in a line of successive builds starting in 1986 with Honda E0 moving through the ensuing Honda E series and the Honda P series.

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onda Motor Company, Ltd. is a Japanese public multinational corporation primarily known as a manufacturer of automobiles and motorcycles. The Company has grown to become the world’s largest motorcycle manufacturer and one of the leading automakers. With a global network of 466 subsidiaries and affiliates accounted for under the equity method, Honda develops, manufactures and markets a wide variety of products, ranging from small general-purpose engines and scooters to specialty sports cars, to earn the Company an outstanding reputation from customers worldwide.

Dream D-Type. Honda began production and sales of its first massproduction motorcycle model. Ever since, Honda has consistently offered motorcycles with new values ahead of the times, launching products that have gone on to set new standards.

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Honda envision motorcycles to meet a diversity of customer needs that extend from a convenient means of transportation used in people’s daily lives to recreational products for enjoying an exhilarating ride.

To help every single customer live a more fulfilling lifestyle, Honda continues to offer the “joy of riding” in a multitude of ways.

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Honda is headquartered in Minato, Tokyo, Japan. Their shares trade on the Tokyo Stock Exchange and the New York Stock Exchange, as well as exchanges in Osaka, Nagoya, Sapporo, Kyoto, Fukuoka, London, Paris and Switzerland.

The company has assembly plants around the globe. These plants are located in China, the United States, Pakistan, Canada, England, Japan, Belgium, Brazil, México, New Zealand, Malaysia, Indonesia, India, Thailand, Turkey, Taiwan and Perú.

Honda Motor Co., Ltd. operates under the basic principles of “Respect for the Individual” and “The Three Joys” - commonly expressed as The Joy of Buying, The Joy of Selling and The Joy of Creating. “Respect for the Individual” reflects the desire to respect the unique character and ability of each individual person, trusting each other as equal partners in order to do the best in every situation.

Based on this, “The Three Joys” expresses their belief and desire that each person working in, or coming into contact with the company, directly or through or products, should share a sense of joy through that experience.

In line with these basic principles, since its establishment in

1948, Honda has remained on the leading edge by creating new value and providing products of the highest quality at a reasonable price, for worldwide customer satisfaction. In addition, the Company has conducted its activities with a commitment to protecting the environment and enhancing safety in a mobile society.

Automobiles

In 1963, Honda, the last major domestic automaker entered the Japanese automotive market, chose to make its debut in the passenger car market with the S500 sports car. It was the essence of technical prowess The following year Honda took up the Formula One challenge with the intent of honing Honda’s leading edge in technology at the pinnacle of racing. Since then, Honda has consistently pushed the state of the art in the automobile business, in technology and in production, with the challenging spirit for creating new value.

Honda’s global lineup consists of the Fit, Civic, Accord, Insight, CR-V, CR-Z, Legend and two versions of the Odyssey, one for North America, and a smaller vehicle sold internationally. An early proponent of developing vehicles to cater to different needs and markets worldwide, Honda’s lineup varies by country and may feature vehicles exclusive to that region. A few examples are the latest Honda Odyssey minivan and the Ridgeline, Honda’s first light-duty uni-body pickup truck. Both were designed and engineered primarily in North America and are produced there.

Other example of exclusive models includes the Honda Civic fivedoor hatchback sold in Europe.

Honda produces Civic hybrid, a hybrid electric vehicle that competes with the Toyota Prius, and also produces the Insight and CR-Z. In 2008, Honda increased global production to meet demand for small cars and hybrids in the U.S. and emerging markets. The company shuffled U.S. production to keep factories busy and boost car output, while building fewer minivans and sport utility vehicles as light truck sales fell.

As of April 2012, Honda had a total of 27 production operations in 17 countries and regions across the globe.

Motorcycles

1949, Honda began production and sales of its first massproduction motorcycle model, the Dream D-Type. Ever since, Honda has consistently offered motorcycles with new values ahead of the times, launching products that have gone on to set new standards. In 1958, the company launched the Super Cub, giving life to the concept of “enabling anyone to ride

a motorcycle as a more casual daily tool.” Now sold in countries around the world and reaching 73 million units in cumulative sales, the Super Cub went on to become the standard in commuter models.

reached record sales in 2007 with 6,4 million units. By 2010 (Fiscal year ended 31 March) this figure had decreased to 4,7 million units. As of April 2012, Honda has 11 production bases for power products in 9 countries.

Honda continues to create models that exemplify every motorcycle category, running the gamut from scooters to large touring bikes to off-road vehicles. Honda envision motorcycles to meet a diversity of customer needs that extend from a convenient means of transportation used in people’s daily lives to recreational products for enjoying an exhilarating ride. To help every single customer live a more fulfilling lifestyle, Honda continues to offer the “joy of riding” in a multitude of ways.

Honda power equipment includes: Engine, Tiller, Lawn mower, Riding mower, Trimmer, Mower, Blower, Sprayer, Hedge trimmer, Snowthrower, Generator, welding power supply, Pumps, Outboard engine, Inflatable boat, Electric 4-wheel Scooter, Compact Household Cogeneration Unit.

Honda’s annual motorcycle production capacity in the entire Asia & Oceania region has now reached approximately 12.7 million units. Against a backdrop of rapid economic growth, vigorous motorcycle demand in the region has been a driving force for global markets, and Honda plants in the region also fulfill a significant role as export bases for advanced countries. In Thailand, in addition to production of motorcycles for the domestic market, Honda has established a crossborder supply system to provide motorcycles and parts to neighboring countries and other regions such as Europe and North America. In India, construction of a new plant is under way along with expansion of production capacity at existing plants, as we put in place a production system that will more efficiently cover this vast country. In Indonesia, a new plant dedicated to the production of scooter models will bring total annual capacity including existing plants to about 5.3 million units, and in Vietnam, construction of a new plant is also planned. In the growing African market, Honda has launched the Ace CB125 and Ace CB125-D—two affordable, strategic small motorcycles—in 2011 in Nigeria. Honda will also launch these models in other African countries where growth in demand is expected and will work toward increasing their sales.

Power Products

Besides producing automobiles and motorcycles, Honda also desire to create “things useful for people’s lives” underlies all of Honda’s work and serves as a pillar of support for the company’s business operations. Honda power products business grew out of the vision to “help people enjoy happier lives through technology” in light of the hard work endured by people in farming, fishing and other areas. The production started in 1953 with Htype engine (prior to motorcycle).

Honda power equipment

Robots

ASIMO is the part of Honda’s Research & Development robotics program. It is the eleventh in a line of successive builds starting in 1986 with Honda E0 moving through the ensuing Honda E series and the Honda P series. Weighing 54 kilograms and standing 130 centimeters tall, ASIMO resembles a small astronaut wearing a backpack, and can walk on two feet in a manner resembling human locomotion, at up to 6 km/h (3.7 mph).

ASIMO is the world’s only humanoid robot able to ascend and descend stairs independently. However, human motions such as climbing stairs are difficult to mimic with a machine, which ASIMO has demonstrated by taking two plunges off a staircase.

Honda’s robot ASIMO as an R&D project brings together expertise to create a robot that walks, dances and navigates steps. 2010 marks the year Honda has developed a machine capable of reading a user’s brainwaves to move ASIMO. The system uses a helmet covered with electroencephalography and near-infrared spectroscopy sensors that monitor electrical brainwaves and cerebral blood flow—signal that alter slightly during the human thought process. The user thinks of one of a limited number of gestures it wants from the robot, which has been fitted with a Brain Machine Interface.

Aircraft

The company began its research on a light jet as early as 1986 and has been engaged since then in the research and development of a turbofan engine and fuselage as well. These efforts have led to the development of the HondaJet, a proprietary light business jet boasting high performance, high fuel efficiency, and comfort. The 2010 maiden flight of the U.S.-based HondaJet, the first productionconforming model, proved successful. Now, a series of test flights and ground tests for obtaining certification from the U.S. Federal Aviation Administration (FAA) are underway and, in 2012, HondaJet plans to start deliveries to customers.

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October 2012

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Pictorial Event The 20th Indonesia International Motor Show 2012 The President Post/Rians Rivco & Heros Barasakti

The 20th Indonesia International Motor Show (IIMS) 2012 is the largest automotive exhibition in Indonesia.

IIMS 2012, which themed “Eco-Mobility”, promotes environmentally-friendly activities along with energy conservation.

PT Astra Daihatsu Motor booked record sales of 478 units, PT Suzuki Indomobil Sales scored 476 units while Indonesia BMW Group 260 units.

Indonesia-Taiwan Signed LOI to Build Morotai The President Post/Heros Barasakti

The cooperation between Taiwan and Indonesia to develop Morotai island has resulted new advances. The government representatives of both parties on September 13 signed a Letter of Intent (LOI), which plans to build special economic zones, ports and international airports in order to make Morotai as regional transportation hub.

Taiwan’s experiences and technological capabilities in the field of fisheries, especially aquaculture, coupled with the strategic location of Morotai and its natural wealth will become the new land for Taiwan fisheries.

On the other side, investment and technology from Taiwan will help to promote the agriculture and fisheries of Morotai and the surrounding areas, with the expectation that employment opportunity for the residents of Morotai will increase and the local economy will moving forward.

Soft launching Senior Living at D’Kahyangan The soft launching of Senior Living at D’Kahyangan was held in Jakarta on October 3. The event was attended by Japan ambassador HE Yoshinori Katori. He said, “the presence of Senior Living at D’Kahyangan is able to bring a new atmosphere and needs fulfillment through world-class facilities and services for the elders to enjoy their old age.”

The development of D’Kahyangan has begun in mid 2012 and will be operational in 2014. The first phase with an area of 8 acres with possible expansion to 24 acres in the next phase, Senior Living at D’Kahyangan will be built as much as 210 units of Senior Care, 102 units of Senior Village and 4 other facilities such as Function Building.

The President Post/Heros Barasakti

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Pictorial Event Minister of Tourism and Creative Industry Visits Japan The President Post/Reza Ganesha

In an effort to accelerate the development of the Creative Economy in Indonesia, Minister of Tourism and Creative Economy Mari Pangestu recently visited Japan and conducted bilateral meetings with Yukio Edano, Minister of Economy, Trade and Industry (Ministry of Economy, Trade and Industry - METI) of Japan to explore cooperation in the field of the creative economy.

PT Banten West Java, as developer of Tanjung Lesung, also took part in the visit to promote Tanjung Lesung tourism’s potentials.

Ukraine’s National Day Celebration in Indonesia The Ukrainian Embassy in Indonesia held a cocktail party to commemorate the independence of the country on August 24 at the Grand Hyatt Hotel. Present at the celebration were ambassadors from various countries as well as community leaders in Indonesia.

The President Post/Rians Rivco

Malaysia’s National Day The President Post/Rians Rivco

The celebration of Malaysia’s National Day was held at Shangri-la Hotel. The event was attended by senior government officials and prominent members of society, including MPR Chairman MPR Taufiq Kiemas and foreign ambassadors.

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October 2012

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Pictorial Event Mercantile Athletic Club 20th Anniversary FOTO: Mercantile Athletic Club

Mercantile Athletic Club offers the “City Athletic Club” concept, which is the first of its kind in Jakarta. It combines business, social and athletic opportunities in one single convenient location.

The club activities are focused on valuable business forums and interesting speakers, creating natural networking opportunities which enrich the members business and personal life.

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he prestigious business and social club Mercantile Athletic Club (MAC) Jakarta celebrated its 20th Anniversary on September 12, 2012. The event was a joyful occasion as its members, who are Indonesians and expatriates holding prominent positions in major companies, attended it.

Members Gathering and Golf Gathering were also held as part of the 20th Anniversary celebration.

Since its establishment in 1992, Mercantile Athletic Club has positioned itself as a high quality business and social club of choice for senior Indonesian and foreign members of the business community. It puts a premium on personalized service and first class amenities to improve the health, recreation and entertainment lifestyle pursuits of its members.

Mercantile Athletic Club offers the “City Athletic Club” concept, which is the first of its kind in Jakarta. It combines business, social and athletic opportunities in one single convenient location. It is located in the heart of Jakarta’s central business district at the World Trade Center on Jalan Jenderal Sudirman to provide easy access for its members.

The club activities are focused on valuable business forums and interesting speakers, creating natural networking opportunities which enrich the members business and personal life. Mercantile Athletic Club promotes a “Home Away From Home” feeling, as each member is personally taken care of by one of its dedicated Member Relations team – the Club knows each Member’s needs and interests and can serve them personally to meet their expectations.

Mercantile Athletic Club has a variety of international cuisines offered by the Club’s dining areas: the Wimbledon Grill, the Miyabi Japanese Dining Room and the Shutters Bar. The Bandahara Ballroom, plus 14 private meeting rooms to provide its members with the opportunity to entertain their business and social guests in style. The Shutters Bar is a favorite among local and foreign business people for informal lunches, networking and a relaxing drink with friends.

As a City Athletic Club, it has two rooftop tennis courts, two air-conditioned squash courts, a 20-meter lap pool with adjoining whirlpool and a fully equipped modern gymnasium accessible to members only. Professional fitness trainers and massage services are also provided for Club Members, including body treatments and aromatherapy.

Being a member of the MAC means enjoying several exclusive benefits as they have access to 65 reciprocal club globally.

These clubs vary from fitness, country clubs to fine business clubs. Members also have special opportunities to build business & social networking with other members from every major industry in Indonesia. Moreover, organizations such as Britcham, Amcham, IABC, Rotary and others often hold their events in the club. The membership experience is enriched as one takes part in special interest clubs-within-a-club to create networking with other members.

Members are also able to arrange receptions, dinners or luncheons in private rooms up to 800 guests. A personal event manager is available to help members’ plan special occasion gatherings like weddings, family celebrations and business meetings.

The President Post/Rians Rivco

IABC Gathering at the Australian Ambassador Residence The Indonesia Australia Business Council (IABC) held a regular meeting for its members at the official residence of the Australian Ambassador to Indonesia, Greg Moriarty. The gathering was attended by about 30 members from several countries. Present at the event was IABC’s President, S.D. Darmono.

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Pictorial Event Deputy Trade Minister’s Visit to Cikarang Dry Port The President Post/Heros Barasakti

Deputy Trade Minister Bayu Krisnamurthi recently visited Cikarang Dry Port (CDP) in Jababeka Industrial Estate and was greeted by Hadi Rahardja, Director of CDP. The visit was in the framework of a dialogue between CDP, Ministry of Transportation, Customs, and Ministry of Agriculture concerning the regular activities in CDP. The Deputy Trade Minister said that the CDP helps to reduce the load of containers at Tanjung Priok port and sees it as a sound storage container site.

At the end of the visit, Bayu conducted direct observation of activities at CDP.

The President Post/Rians Rivco

National Batik Day

by Indosat

GB Jababeka Residence Club Presents Mild Talk The President Post/Heros Barasakti

To celebrate the annually-held National Batik Day, on October 2 PT Indosat released balloons into the air and installed a batik-patterned ornament at their headquarters building measuring 160m by 10m.

Tree House Inauguration of President Special Need Center Medical City Jababeka donated a tree house for students at the President Special Need Center (PSNC). PSNC also organized art performances by its students.

The President Post/Heros Barasakti

GB Jababeka Residence Club in cooperation with Djarum Mild Talk held a talk show at the Hollywood Plaza Jababeka, Cikarang. The talk show was themed “From Blogger to Entrepreneur” and was presented

by Raditya Dika, a writer, comedian and entrepreneur.

In this event participants were invited to hold a profession without having to work in office.

“Basically, we strongly support the creativity of young people and respond to diverse communities in the Jababeka City and Cikarang as a whole. Through the community and young people, the future of a city can be built,” said Eric Limansantoso, GM Marketing & Promotion, PT Graha Buana Cikarang.

Japan Education Fair 2012 The President Post/Heros Barasakti

Japan Education Fair 2012 was held at the Jakarta Convention Center. 47 Public and private universities from Japan took part. This event was open to the public and was a source of information for visitors who wish to continue studying in Japan.

The President Post

LIVING

SECTION C October 2012 No. 37 www.thepresidentpost.com www.cironline.org/Thomas L. Kelly

‘Himalayan Viagra’ Taking Its Toll on Nepal

Ram Bahadur Jafra and his two brothers crouch on a field, picking through blades of grass and staring at the soil. They have traveled five days by foot to a Himalayan meadow at a 4,300 meter elevation deep inside Nepal’s Dolpa district. They came, as tens of thousands do each year, to harvest a highly valuable commodity from the high-altitude soil: the Himalayan caterpillar fungus – also known as Himalayan Viagra.

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aterpillar fungus, or as it’s called in Tibetan, “yartsa gunbu,” meaning “summer grass, winter worm,” is a specimen created when a parasitic fungus infects caterpillars underground which, were they not forestalled by the fungus, would produce ghost moths.

After the fungus mummifies the caterpillar underground, it thrusts out of the soil. It’s this tiny protuberance that the harvesters spend weeks each spring searching for.

A hundred or so people crawl across the field in a mulled silence until a sole searcher lets out an excited cry. Dozens rush over to witness, Jafra is the first to arrive.

The woman who has discovered the specimen uses an ice pick to prod the earth and dig a hole about six inches in diameter. She then lifts a clump of earth up and sifts out the specimen. The crowd gossips about its value – “it’s small, only 300 rupees!” (about $3). A middle man will offer her that amount, then walk it to a market in Tibet and sell it for three times the price.

Like many others, Ram and his brothers traveled for the harvest betting on hope alone. “People in our village talked about the money to be earned, so we came,” he says.

The rumors of riches are not baseless. According to experts, the market value of yartsa gunbu has increased by 900% between 1997 and 2008.

One study says 500 grams of top quality yartsa gunbu can sell for up to $13,000 in Lhasa, Tibet, or up to $26,000 in Shanghai. Average annual income in Nepal’s rural mid-and-far-western hills, where many harvesters live, is just $283, according to the government.

Police in Dolpa expect 40,000 people to migrate to the district this year. The influx of migrant harvesters speaks volumes to the increasing global commodification of yartsa gunbu. Prized in traditional Tibetan and Chinese medicinal practices for its power as an elixir or an aphrodisiac, in recent years commercial dubbing of the product as “Himalayan Viagra” has driven up both demand and market value around the world.

But the unprecedented flood of harvesters has observers concerned about the environmental impacts of this informal economic boom. “Look at the hills,” says Gyalpo Thandin, a student in Dolpa, “they’re all torn up from people digging. By next year they’ll be deserts.”

Thandin, who was visiting home for the harvest, remembers when the yartsa gunbu season meant local bounty, not

commercial competition. “Just five years ago the numbers were lower,” he says. “Every year we see more people come and more grasslands get damaged. People who come hack at the land with tools and leave it to dry out.”

He says his family’s yaks have died in recent winters due to depleted grass caused by the harvest.

Six years ago, a committee of community leaders in Dolpa instituted a taxation system on harvesters in an effort to control numbers and ensure the local community remained resilient amidst environmental changes.

The committee charges locals 1,000 rupees ($11) and outsiders 3,000 rupees ($33) to join the harvest. The system is intended to spend the money on environmental protection measures and to subsidize food for villages in the district.

Similar systems exist in harvest areas across the Himalayas.

However, some worry the measure is ineffective.

A former committee member who spoke on the condition of anonymity suggests that charging admission to the harvest has only made it seem even more valuable, and as a result, drawn more harvesters. “The goal of the system was to charge people and therefore limit the number who would want to come for the harvest, but putting a price on the

Why ‘Follow Your Passion’ is Bad Advice Do you want to love what you do for a living? Follow your passion. This piece of advice provides the foundation for modern thinking on career satisfaction.

And this is a problem.

I’ve spent the past several years researching and writing about the different strategies we use to pursue happiness in our work. It became clear early in this process that the suggestion to “follow your passion” was flawed.

The first strike against this advice is the lack of scientific evidence. Motivation and satisfaction in the workplace is a major research topic, as happy employees are better employees.

It’s difficult, however, to find studies that argue the importance of matching a work environment to a pre-existing passion. Most studies instead point to the importance of more general traits, like autonomy or a sense of competence.

These traits are agnostic to the specific type of work performed, contradicting the idea that you must find the exact right job to be happy.

The second strike against this advice comes from the anecdotal evidence. If you study the career paths of people who end up loving their work, you’ll find that clearly identified pre-existing passions are rare.

Just because “follow your passion” is bad advice, however, doesn’t mean that you should abandon the goal of feeling passionate about your work. This reality instead emphasizes that

Don’t set out to discover passion.

Instead, set out to develop it. This path might be longer and more complicated than what most upbeat career guides might preach, but it’s a path much more likely to lead you somewhere worth going. the strategies that work are more complicated. Below are three ideas that came up often in my study of how people actually end up loving what they do.

I’ve watched too many of my peers fall into anxiety and chronic job-hopping due to this flawed advice. The problem, of course, is that these traits are rare and valuable. Just because you really want a job that allows you to autonomously tackle respected creative projects doesn’t mean that someone will hand it to you.

These rare and valuable traits require that you have rare and valuable skills to offer in return, and building these skills requires time and deliberate effort. If you’re unfulfilled in your current position, therefore, start by asking how you can become more valuable.

As you become increasingly valuable, for example, your boss

might push you toward traditional promotions that come with more pay and more responsibility -- as this is what is most useful to your company -- whereas you might find more passion by leveraging your value to gain autonomy in your schedule or project selection. Getting good, in other words, is not enough by itself. You have to use your ability wisely.

This pattern is common in the stories of people who end up loving their work: after they develop rare and valuable skills they then use these skills as leverage to take control of their career path, often veering far off the standard trajectory. This act of leverage requires courage, but can return great rewards.

Some argue that “follow your passion” is harmless advice. If it can help even a small number of people realize that they don’t have to settle, what’s the problem?

I disagree. I’ve watched too many of my peers fall into anxiety and chronic job-hopping due to this flawed advice. The issue is expectations. If you believe that we all have a pre-existing passion, and that matching this to a job will lead to instant workplace bliss, then reality will always pale in comparison.

Don’t set out to discover passion. Instead, set out to develop it. This path might be longer and more complicated than what most upbeat career guides might preach, but it’s a path much more likely to lead you somewhere worth going. CNN

entry might actually be encouraging more people,” he says.

As communities in Nepal, one of the world’s poorest countries, cope with the economic need and the increasing desire for high-value commodities like yartsa gunbu, conservation efforts will require cooperation between leaders at village, district, and national levels. There is no question this Himalayan “gold rush” buoys rural economies. Keeping it around for future generations will be the challenge. CNN Yarsagumba, also known by the scientific name Cordyceps sinesis, has been prescribed by traditional healers in Asia for centuries to treat lung and kidney diseases, build up bone marrow and stop hemorrhaging.

But it is prized for its reputation as a powerful aphrodisiac that boosts men’s sexual prowess.

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Health PREVENTIVE & CARE HEALTHCARE:

To Enhance Quality of Life by Living Healthier for Longer Period The P&C Healthcare, since its inception in 2010, puts forward the concept of Preventive Health Management which extends longer period of health status as well as preventing illness.

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ost people say that it is better to prevent than to cure, particularly when medical costs are soaring nowadays. Therefore The Prevention & Care (P&C) Healthcare exists as a pioneer of preventive-based healthcare in Indonesia that brings integrated and comprehensive healthcare services by prioritizing prevention and health maintenance.

By knowing your current health status, it may determine preventive phases and acts.

The P&C Healthcare, since its inception in 2010, puts forward the concept of Preventive Health Management which extends longer period of health status as well as preventing illness.

Preventive Health Management manages your health with a series of five integrated basic elements to obtain a better understanding on the essence of healthcare management and develop further awareness to finally perform an act of integrated health preservation and prevention.

In line with these basic elements, P&C Healthcare presents five stages of integrated healthcare management: • Health Education – P&C Healthcare presents regular health classes that provide a thorough education about the

human health harmony in a comfortable and pleasant atmosphere. It provides a series of education of integrated health care and management systems, such as information about various types of chronic diseases, disease’s symptoms, treatment and prevention measures and daily health management.

• Preliminary Identification - at this stage, P&C Healthcare will ask you to fill a questionnaire to get a preview on your current health condition, risk factors and body system.

Proper health management program will be determined by these results, as well as referral for a further examination • Advanced Identification - at this stage, you may get specific laboratory identification and advanced consultation with Preventive Health Consultants who are qualified and experienced General Practitioners, Therapists, and Nutritionists with a fine reputation • Preventive Health Program – it provides a series of program that consist of risk factor counseling, physiotherapy treatment, and holistic pharmaceutical services. There are also nutrition and detoxification programs. Its Physiotherapy treatment is equipped with Japanese Quality Standard devices as well as ex-

All general practitioners, therapists and staff members are very caring and helpful as they understand the needs of patients to get more attention in order to be healthier.

All skilled and competence staff members are always available to treat all customers as if they were having a personal health assistant.

perienced therapists to cater post-stroke patients and other related ailments. There are Nebulizer, Infrared, Ultrasound, TENS 21, Curesonic, massage, and other advanced medical devices.

• Continuous Monitoring – provides quality services and continuous health monitoring. P&C Healthcare monitoring officers will continuously monitor a customer’s health condition, update post-visits as well as remind customers to do a preventive program

Aspirin May Help Men with Prostate Cancer Live Longer www.wikipedia.org

Men who have been treated for prostate cancer, either with surgery or radiation, could benefit from taking aspirin regularly, according to a U.S. study published this week in the Journal of Clinical Oncology.

Taking aspirin is associated with a lower risk of death from prostate cancer, especially for men with high-risk prostate cancer, according to the study. Kevin Choe, assistant professor of radiation oncology at the University of Texas Southwestern Medical Center, is first author of the paper.

Preclinical studies have shown that aspirin and other anticoagulation medications may inhibit cancer growth and metastasis, but clinical data have been limited previously. The new study looked at almost 6,000 men who had prostate cancer treated with surgery or radiotherapy. About 2,200 of the men involved, or 37

percent, were receiving anticoagulants ( warfarin, clopidogrel, enoxaparin, and/or aspirin).

The findings demonstrated that 10-year mortality from prostate cancer was significantly lower in the group taking anticoagulants, compared to the non-anticoagulant group, or three percent versus eight percent. The risks of cancer recurrence and bone metastasis also

were significantly lower. Further analysis suggested that this benefit primarily derived from taking aspirin, as opposed to other types of anticoagulants.

“The results from this study suggest that aspirin prevents the growth of tumor cells in prostate cancer, especially in high-risk prostate cancer, for which we do not have a very good treatment currently,” Choe said in a statement. LATimes

Inexpensive Arthritis Drug May Treat Dysentery, Giardiasis An inexpensive arthritis drug called auranofin has been shown in lab and animal tests to kill the parasites that cause amoebic dysentery and giardiasis, and human trials are expected to start soon. The gold-containing drug, marketed under the trade name Ridaura, has already been demonstrated to be safe in humans, is much more powerful than existing treatments, and could be provided in developing countries for as little as $2.50 per dose, researchers said. If the results hold up in clinical trials, the drug could provide a new way to reduce suffering in both children and adults.

Amoebic dysentery, caused by the protozoa Entamoeba his-

tolytica, passed through contaminated food or water, strikes an estimated 50 million people around the world each year.

It kills 70,000 people annually, most of them children in developing countries. The similar parasite giardia strikes 6% to 8% of children in developing countries, causing diarrhea, abdominal cramps and dehydration. The current treatment for both is the antibiotic metronidazole, which has side effects that include nausea, vomiting, dizziness and headache.

A team headed by Dr. James McKerrow, a pathologist at UC San Diego, and parasitologist Anjan Debnath of UC San Fran-

cisco, developed an anaerobic screening process to test potential drugs against the amoeba in the laboratory.

The team reported Sunday in the journal Nature Medicine that auranofin successfully killed the parasite in laboratory dishes and that it was about 10 times more effective than metronidazole, suggesting that it could be used at very low doses. “Importantly, it was a drug that has been given to people since 1985,” McKerrow said. “So we knew it could be taken orally and was safer than the current drug for amoebas.” A single dose might be sufficient to clear an infection, the team said.

LATimes

The P&C Healthcare is located at The Belleza Shopping Arcade, which provides a comfortable and enjoyable ambience very different from any other clinics nor hospitals. All general practitioners, therapists and staff mem-

bers are very caring and helpful as they understand the needs of patients to get more attention in order to be healthier. All skilled and competence staff members are always available to treat all customers as if they were having

a personal health assistant.

The P&C Healthcare has accurate a laboratory and pharmaceutical facility which provide both prescription and non prescription medicines as well as nutrition products.

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October 2012

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Tourism

Sail Morotai Expected to Boost N. Maluku’s Tourism and Fisheries The President Post/Rians Rivco

Sail Indonesia 2012, or Sail Morotai, was held in Indonesia’s northernmost island of Morotai from September 12-15.

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pproximately 5,000 guests, including foreign sailors, attended the international maritime event.

President Susilo Bambang Yudhoyono inaugurated the Sail Morotai peak event at Daruba beach, Morotai island, on September 15.

Earlier, Coordinating Minister for People`s Welfare Agung Laksono held a coordination meeting on Sail Morotai`s final preparations in Jakarta on September 4.

Among the several ministers attending the meeting were Youth and Sports Minister Andi A Mallarangeng, Education and Culture Minister M Nuh, Tourism and Creative Economic Minister Mari Pangestu and Maritime Affairs and Fisheries Minister Sharif C Sutardjo.

At the meeting, Agung expressed hope that Sail Indonesia 2012 would help speed up economic development in North Maluku, particularly in the tourism and fisheries sectors. “The fisheries sector in North Maluku has the potential to contribute foreign exchange worth trillions of rupiahs to the nation if it is well managed,” the minister said.

“The waters of Morotai island are home to some 191 species of fish, with a production capacity of 148,473.8 tonnes annually,” he added.

lah Airport in Ternate and Pittu Trip airport in Daruba during the event. Besides, according to a report from Taiwan news agency CNA, Indonesia has allowed chartered flights from Taiwan to Morotai during the sailing event. A non-stop flight from Taipei to Morotai will take about three hours.

The Indonesian government suggested in 2010 that Taiwan take charge of the overall development of Morotai. The two countries have held talks on the issue several times since then.

Andrew Hsia, Taiwan`s representative to Indonesia, said the establishment of direct charter flights to Indonesia was necessary for Taiwan to develop Morotai island.

“Such maritime potential is expected to attract investors from Japan, South Korea, China and Taiwan. In fact, a memorandum of understanding (MOU) on investment in the fisheries sector was signed by a Taiwanese company and a local partner called Jababeka,” Agung stated.

The natural beauty of Morotai island, which is situated in the middle of the Pacific Ocean, is also expected to attract tourists.

Agung, Sharif, and Public Housing Minister Djan Faridz visited Morotai Islands on September 2 to oversee the final preparations, particularly with regard to transportation and accommodation for the event`s participants and guests.

The Sail Morotai organizing committee and the Morotai Island administration have jointly developed the necessary infrastructure and facilities in order to ensure the event`s success.

In addition to the several hotels in Ternate, the capital of North Maluku, hundreds of houses of local inhabitants have been renovated to provide home-stays for participants and guests of the event.

Well-equipped tents will also be set up by Indonesian military officers to accommodate guests and participants, because of the limited number of hotels on the island.

Accommodation arrangements in Tobelo, a neighbouring

Sail Morotai 2012 is the latest in the series of annual international sailing events held by the Indonesian government since 2000, with different islands being selected each year as the venue of the race. city in North Halmahera district, have also been made in anticipation of increased demand during the event. Transportation will be provided from Tobelo to Morotai.

Earlier, Sail Morotai organizing committee chairman Muhadjir Albar said in Ternate that a ship of state-owned shipping line PT Pelni was available to accommodate some of the race participants in Daruba. “The Pelni ship can accommodate up to 1,000

people, so this will help solve the hotel problem,” he stated.

A special resort has been constructed for President Susilo Bambang Yudhoyono, who stayed overnight in the island.

“All infrastructure projects have been completed and the organizing committee is now focusing on the event`s activities,” Albar noted.

Sriwijaya Air and Express Air offered flights between Babul-

Meanwhile, North Maluku Governor Thaib Armiyn recently said: “North Maluku will use the Sail Morotai event to promote tourism in the region and also highlight the province’s natural resources. Hopefully after this event, the number of tourists visiting North Maluku will increase.”

“The province has various tourist attractions, such as the World War II heritage sites on Morotai Island, its maritime resort, as well as the beautiful scenery in North Halmahera,” he added.

“We now have flights connecting Tokyo, Morotai and Bali in order to attract Japanese tourists. There is also an investor interested in constructing a fivestar hotel in Morotai because he believes in the province`s tourism potential,” the governor pointed out.

At least 100 World War II veterans, who were stationed in Morotai and other neighbouring islands during the War, attended the opening ceremony. The war veterans from the United States, Australia, New Zealand and Japan, are expected to help promote the island as a tourist destination.

Morotai was used as a military base by the Allied forces in their battle against the Japanese in Asia-Pacific during the war.

The North Maluku provincial administration has built a World War II Museum in Morotai, which will be inaugurated during the Sail Morotai event.

“There are a number of tourist attractions in Morotai, many of which are World War II heritage sites, such as the islands of Sum-Sum and Dodola. We will develop them with better infrastructure facilities to attract more visitors,” Thaib said.

“The island of Sum-Sum was used as a resting place by Gen. Mac Arthur, the chief of the Allied forces in Asia-Pacific. The island also has a water spring, named Glass Water, where Gen. MacArthur liked to bathe,” he added.

would pass through Saumlaki, Banda, Buru, Ternate, Wakatobi and Takabonerate, while the western route would be through Kupang, Alor, Lembata, Ende, and Riung.

A total of 133 yachts from 22 countries took part in Sail Morotai set sail from Darwin, Australia, on July 28. There were 47 yachts from Australia, 20 from the US, nine from Canada, eight from New Zealand, seven from the Netherlands, and six from England, among others.

The rally participants were divided into two teams, which would take two different routes to Indonesia. The eastern route

Sail Morotai 2012 is the latest in the series of annual international sailing events held by the Indonesian government since 2000, with different islands being selected each year as the venue of the race.

Sail Bunaken was held in North Sulawesi in 2009, while Sail Banda was organised in Maluku in 2010. Last year, Belitung island hosted Sail Wakatobi.

The guests and participants were entertained with SoyaSoya dance on September 15.

“The Soya-soya dance was performed below the sea level by around 100 divers from the Indonesian Diving Sports Association (POSI) branch of North Maluku,” he stated. “The dance was performed besides a welcoming dance involving about 1,000 dancers in the presence of President Yudhoyono,” Umar said.

The Soya-Soya dance depicts the heroic struggle of a Babullah Empire soldier, named Soya, who led an attack against Portuguese soldiers during the colonial era in order to retrieve the remains of Sultan Babullah.

“In Sail Belitung, there was a chess game under the sea. In Sail Bunaken, a red-and-white flag was hoisted below the sea level. And now in Sail Morotai, we will present the underwater Soya-Soya dance,” he added.

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October 2012

www.thepresidentpost.com

Travel

Diving with Whale Sharks in Indonesia PHOTOS: Iqbal Alaik & Adita Alaik

Suddenly the blue skies turned cloudy and dark and I thought it was going to rain. I automatically looked to the water surface and I was extremely shocked to see a 10-meter long whale shark crossing over my head gracefully and formed a silhouette of a large shark!

By Iqbal Alaik

I

ndonesia’s flora and fauna is diversely rich. It is home to, among others, the biggest shark in the world, which is called the whale shark.

To reach the habitat of this giant marine creature, we have to go to Nabire, which is located in the Papua province, and then travel to Kwatisore village with a 200hp speed boat for about two hours.

There are actually many flight options to Nabire. You can take Lion Air and stopover in Ambon and Kaimana or take Garuda Indonesia or Merpati Indonesia to Biak. From Biak, you can take Susi Air or Express Air to reach Nabire.

Kwatisore is a quiet coastal village inhabited by friendly villagers who would display red teeth when they smile or laugh. The lo-

cals get their red teeth from their habit of hewing betel nut and therefore it would be a nice gesture if you bring them betel nut from Nabire.

The whale sharks can usually be found swimming under fish nets. The whale sharks are attracted by the anchovies that managed to escape or those that are freed by the fishermen. Although they’re sharks, the whale sharks only eat planktons, shrimps and small fish.

I took a speed boat to look for a fish net that was being visited by the giant fish or what the locals call ‘gurano babintang’. The boat’s captain immediately approached a fish net when he received a signal from one of the fishermen that a ‘gurano’ was swimming nearby.

From there I could see a 10meter long giant fish emerging to the surface, which gave me a mixed feeling of being curious and scared.

“Is it true that this shark doesn’t eat meat? Is it not going to knock me off? Will it hit me with its tail?” There were many other questions and doubts that ran across my mind.

I felt like my heart was going to leap out when the ‘gurano’ opened its mouth and sucked small fish and gallons of water around it. That’s how the ‘gurano’ eat its meal—by widely opening its mouth and sucking them all in.

“But what if my foot got sucked into its mouth?”

Despite my insecurity, I de-

cided to put on my scuba diving gear, mask and fins. I had my underwater camera ready. I looked around while my thumb was ready to press the REC button, but the object somehow disappeared. The sun light went through the water and formed long rays into the deep water. I tried to look deeper from the center of the fish net.

Suddenly the blue skies turned cloudy and dark and I thought it was going to rain. I automatically looked to the water surface and I was extremely shocked to see a 10-meter long whale shark crossing over my head gracefully and formed a silhouette of a large shark!

I was so stunned that I forgot to record the moment and let the ‘gurano’ went by. It was amaz-

ing! Luckily I managed to snap out and quickly took pictures.

It turned out that the ‘gurano’ didn’t go far; it just swam around the bagan.

Shortly later, a second ‘gurano’ came but this time it’s smaller than the first one, at about eight meters long. Before I knew it, came the third, fourth and fifth ‘gurano’ with sizes ranging from 6 meters to 12 meters long. I kept my distance at least 3 meters away from the guranos because I was worried they would knock me off but it was also meant to make them feel safe and undisturbed by my presence. However, it was them that tried to get near to me with our distance at only about half a meter away! Amazingly, none of them touched me.

It seems like the guranos are al-

ready accustomed to having humans around them.

Time went by so quickly and I had already swam with these sharks for almost three hours but I still didn’t want to go yet. I knew I had to return to Kwatisore village eventually. I still have tomorrow and the fish will still be there, I consoled myself. Whale sharks actually like to migrate to other countries to find warm waters but here they seemed to have found home due to the vast food supplies.

This is such a special treat for Nabire because it cannot be found in other waters. Let’s not waste this gift and let’s manage this tourism potential wisely and with calculated measures because any wrong move will scare the whale sharks away.

I was so stunned that I forgot to record the moment and let the ‘gurano’ went by. It was amazing! Luckily I managed to snap out and quickly took pictures.

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October 2012

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Culture

Indonesian Students Introduce National Culture Through Dances, Foods PHOTOS: www.ppidelft.net

Indonesian students in Delft, the Netherlands, introduced national culture by performing two traditional dances and Indonesian foods at a multicultural event organized by Delft University of Technology (TU Delft), the Netherlands, on 30 August 2012.

T

he event is the final series of the introduction program to welcome new international students who will study at the technology university at the undergraduate and master levels.

Indonesian students who are members of the Indonesian Students Association (PPI) Delft performed traditional dance Jali-jali from Betawi (another name of Jakarta) and Sipatokaan from North Sulawesi which were carried by Indonesian children.

Meanwhile some typical snacks and drinks provided by the event organizer included lemper (Indonesian snack of chicken wrapped in sticky rice), fried bananas, fried tempe (soya bean), kelepon (sweet rice balls stuffed with coconut sugar), bakwan (fried meal consisting of vegetables and batter) and cendol ice (a traditional Indonesian desert made from shaved ice, coconut milk, starch noodles and palm sugar).

According to Chairman of PPI Delft Sayuta who is currently studying for a master degree in Engineering Policy Analysis program, the event was an opportunity to introduce Indonesia in front of the international community.

“TU Delft is a great university

TOP: Some typical Indonesian snacks and drinks provided by the event organizer.

BOTTOM: “Indonesian Fear Factor” challenge.

Jali-jali dance performed by five Indonesian students who are now studying in a master program at Institute for Water Education (Unesco-IHE), Delft, amused the audience although the preparation was limited.

of technology in Europe even in the world with tens of thousands of students coming from different countries. This is our chance to show our existence and potentials of Indonesia which is rich in cultures to the international community,” Sayuta said here Friday.

Appreciation

Jali-jali dance performed by five Indonesian students who are now studying in a master program at Institute for Water Education (Unesco-IHE), Delft, amused the audience although the preparation was limited.

“We are not professional dancers and the time for exercise was short as we had to adjust ourselves to a tight class schedule.

To be honest, I was a bit nervous

but once I saw the festive atmosphere stage was crowded with excited audience, I became relaxed and cheerful,” dancer Kuntarini Rahsilawati said.

The enthusiasm of the audience increased few moments following the appearance of seven little girls dressed in typical Makassar (South Sulawesi) cloth with fans in heir hands, while stomping their feet following the music rhythm. The audience spontaneously applauded just to hear the Sipatokaan song.

The fifteen minute performance of Jali-jali and Sipatokaan dances quite amazed the audience and even some people lauded the show.

“They are so wonderful,” an

event organizer of the introduction program for TU Delft international students 2012 Valia Gkeredaki said, hoping that next year PPI Delft would show the traditional Indonesian dances again.

The typical Indonesian snacks also got positive comments. Of some snacks available at the PPI stand, bakwan was the most popular foods for the visitors.

“All the foods ran out and the most demanded is bakwan,” a member of PPI Delft Louis Marcel said.

Two students from Iran Samaneh and Dena expressed appreciation to the Indonesian students? performances and the foods provided. “Indonesian people are perfect. The food is deli-

cious. I like the fried bean (tempe),” said Samaneh who was of the same opinion with Dena.

In addition to these snacks, Indonesian students also make a sort of challenge for visitors to eat two pieces of Maicih crispy chips (cassava chips from Bandung (West Java) with a superspicy flavor.

According to Marcel, the challenge was called `Indonesian Fear Factor` and it attracted visitors because not only the burning tongue-spicy taste which made it interesting but also a gift for those were able to eat two pieces of chip.

“If one could eat just two pieces of Maicih chip he or she deserves typical Indonesian key-

chain in the form of wayang (traditional puppet) or batik. It also promotes Indonesian cultures,” Marcel said, adding that western people who tried to taste the chips could not bear the spicy taste Meanwhile the dance coach who is also a doctoral student at TU Delft, Ida Nurhamidah, said the children were very excited to bring the traditional dance at the TU Delft campus, although they only conducted dance exercise three times, they looked pretty good and even won praises from the audience.

“This is a way for the children to know their culture and raise the confidence to perform in front of people,” she said. Antara

TU Delft is a great university of technology in Europe even in the world with tens of thousands of students coming from different countries. This is our chance to show our existence and potentials of Indonesia which is rich in cultures to the international community.”

Sayuta Chairman of PPI Delft

www.artsactive.org.uk

RI to Use Arts to Boost Creative Economy The government will develop cultural parks in at least 25 locations in various provinces, including in West Nusa Tenggara (NTT), to revive the nation’s arts and creative economic production.

Indonesia has a population of over 237.6 million, comprising 1,120 ethnic groups, each with its own art and culture, which could be used to develop the country`s creative economy for the welfare of the people.

Indonesia`s rich culture often inspire other countries to imitate it, or even claim some of its aspects to be their own, as seen in the recent issue regarding North Sumatra`s Tor-Tor dance and Gordang Sambilan music.

Rais Yatim, Malaysia`s minister of communication and culture, was quoted by Malaysian state news agency Bernama recently as saying that Tor-Tor dance and Gordang Sambilan music would be added to the country`s National Heritage Law. In the past, Malaysia had even claimed the “pendet” dance, paintings (Batik designs), and even the copyrights of several national songs, according to media reports.

A “Visit Malaysia Year” commercial, developed to boost the country`s attractiveness to the world, had featured the pendet dance as if the dance was indigenously Malaysian. The ad was broadcast by a number of local and overseas television stations.

This shows the economic potential of the arts.

Other nations envy the plurality and richness of Indonesia`s art and traditional culture, because it can be preserved while being exploited as a source of creative economy that could improve the welfare of the people.

Therefore, Tourism and Cre-

ative Economic Minister Mari Elka Pangestu said the government would continue to promote the nation’s arts in the form of products, such as handicrafts, as part of the country`s creative economic development.

The government will develop cultural parks in at least 25 locations in various provinces, including in West Nusa Tenggara (NTT), to revive the nation’s arts and creative economic production.

“The cultural parks will be restored in 25 locations. They can be used as places to carry out training programmes on pearl ornamental design or as centres of creative economic development,” the minister stated.

Indonesia`s arts potential was also proven when about 25 arts teachers from Thailand visited the Indonesia Arts Institute (ISI) in Bali last week to observe the teaching and learning methods of the institute. Bali is Indonesia`s most popular tourist destination, which has its unique local dances and other traditional cultures.

“ISI rector I Wayan Rai received them and the guests were served Balinese traditional foods,” ISI spokesperson Ni Ketut Dewi Yulianti said. The Thai teachers were also entertained with a Balinese traditional “gambus” dance music show, which has recently been revived.

The Thai delegates were in Bali for five days, during which they also attended the 34th Bali Arts Festival and visited the museums and other tourist attrac-

tions in Denpasar, Ubud and Gianyar.

Earlier, about 26 students from the Singapore River Side Secondary School participated in the Balinese dance workshops, which were held by ISI students and lecturers. All of this explains why Indonesia must promote its art and culture as part of its creative economic development. Therefore, Minister of Tourism and Creative Economy Mari Elka Pangestu is planning to develop cultural parks and art galleries throughout the country.

The minister revealed the plan to restore 25 cultural parks across the country during a meeting with entrepreneurs and pearl handicraftsmen in West Nusa Tenggara on Sunday. Mari also called on the regional government to encourage creative schools to get involved in the developing pearl ornament designs.

“I

agree that pearl ornament designing should not just be a selfteaching exercise. Training is needed, which could be done in the cultural parks,” she said.

Mari Elka Pangestu Tourism and Creative Economic Minister

Gamelan Cardiff is a Javanese gamelan music group which is made up of 15 musicians from Wales.

Java and Wales Music Combined for 15th Year by Gamelan Cardiff The Java and Wales music sensation Gamelan Cardiff celebrated their fifteen year anniversary at the yearly Gamelan Cardiff Prom, held at St David’s Hall Cardiff, Wales on Sunday.

Program Director of People Service of PPI United Kingdom, M Fauzan Adziman, told ANTARA that the Cultural Olympiad event held in Wales was a series scheduled prior to Olympiad 2012 in London.

Indonesian Ambassador of Education and Cultural in London, TA Fauzi Soelaiman, also attended the 15th anniversary of Gamelan Cardiff in England. Soelaiman admitted that music groups of Indonesian culture such as Gamelan Cardiff were unique and should be protected by Indonesians.

Gamelan Cardiff is a Javanese gamelan music group which is made up of 15 musicians from Wales. Gamelan Cardiff was started in 1998, said Helen Woods, chief of the music group as well as its music composer.

Last year, those attending the Gamelan Cardiff Prom anniversary heard more Javanese songs. Meanwhile, this year Javanese songs were only performed at the beginning of the show. “The Wales contemporary songs combined with Javanese gamelan were so stunning,” said a member of the audience, Elly Mills, who said she has enjoyed gamelan in Wales for the last four years, The event closed with the playing of Elemental, a combination of gamelan and an adaptation of David Woods, from the folklore of Wales which told the story of a princess. “Apart from the performance, we introduce

gamelan to children in the Gamelan Gang program, and also offered workshop programs at the student college,” said Rhian Workman, one of Gamelan Cardiff musicians.

Gamelan Cardiff began due to the presence of the Halle Gamelan group from the Manchester Orchestra. Helen learned the music from Maria Mendonza, a member of Halle Gamelan.

One of Helen’s colleagues, as well as founder of Gamelan Cardiff, Betty Griffith, has traveled to Yogyakarta to observe gamelan being performed.

The collecting of original Indonesian gamelan instruments has been supported

by St David’s Hall and New Theater Trust (now Art Active Trust), Cardiff.

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October 2012

www.thepresidentpost.com

Property CUSHMAN & WAKEFIELD’S Global Property Investment Outlook

Cushman & Wakefield Property Market Report:

Slowing Demand of Residential Market in First Semester 2012 www.lensaindonesia.com

Slower supply growth in lower middle and middle segment and slower demand growth in lower middle, middle and upper middle segments were observed during the semester. However, developers were still confident in launching their new housing units and the overall supply growth was even stronger every semester.

I

ndonesia property market is influenced by the positive economic growth which was expected to reach 6.4% in 2012.

Cushman & Wakefield on its research publication recorded that Indonesia property market is showing positive escalation in which the supply and demand continued to increase from year to year. Despite the landed residential market sector experiencing slow demand due to several factors, as explained in the following report:

Landed Residential Market

A new mortgage regulation in H1 2012 gave bigger impact on lower middle to upper middle segment housings. 2011 was a golden year for landed residential market as shown by outstanding overall sales performance. The increasing sales activities were then followed by the rising mortgage financing requests to banks since it’s the most preferred payment method. Indonesian Central Bank released a new national regulation that set maximum loan to value (LTV) for mortgage at 70% effectively implemented since June 2012. How the regulation will affect landed residential market during H1 2012 is yet to see.

Slower supply growth in lower middle and middle segment and slower demand growth in lower middle, middle and upper middle segments were observed during the semester. However, developers were still confident in launching their new housing units and the overall supply growth was even stronger every semester. In contrast, overall demand experienced slower growth, whilst banks and developers actively offered attractive mortgage rates and longer installment period of the down payment to maintain purchasing motivation during H1 2012.

As land in Jakarta has been very limited and expensive, landed residential developments

space, respectively. Central and East Jakarta make up the remainder at 431,000 sqm (11.3%), and 317,700 sqm (8.3%).

Rental Apartment Snapshot

The overall performance during 3Q 2012 was mainly affected by the Ramadhan festive season in August, as shown by the slight decline of the occupancy rates during that period, especially in the Serviced Apartments subsector. The Condominium-ForLease and Purpose-Built Rental Apartments, however, did not suffer as much, as their tenancy mainly consists of long-stay tenants.

Being a yearly event, the Ramadhan festive season occupancy decrease was anticipated by the majority of Serviced Apartments operators, and it was considered as a cyclical decline that is expected to stabilize over the upcoming months.

have been more actively developed in other areas surrounding the capital city. The Jakarta landed residential market experienced significant drop of its take-up unit by 13.0% HoH to 7.2 units per month in H1 2012.

In contrast, its take-up value increased by 17.5% HoH to 9.9 billion IDR due to the increasing sales price.

Despite the drop of average monthly take-up unit in Tangerang by 5.9% HoH, its average take-up value experienced significant increase. The average monthly take-up value per estate in Tangerang was noted at 81.2 billion IDR, reflecting a 37.3% HoH growth and a 37.6% YoY growth. Several prominent estates vigorously launched their new clusters which were fastly absorbed in the market. This showed that the landed residential market in Tangerang, especially in Serpong area, was the most sought-after among other areas within the Greater Jakarta.

The landed residential market in Bogor-Depok was relatively stable with modest decline in both monthly take-up unit and value by 0.6% and 1.5% on semiannually basis, respectively.

During H1 2012, estates in Bekasi mostly focused on their infrastructure and facilities development, with one estate was seen concentrating on development of its industrial area. This resulted in limited addition new supply during H1 2012 and dragged down the take-up unit and take-up value significantly.

Overall sales rate in Greater Jakarta experienced a positive growth by 0.8% HoH and 1.9% YoY, indicating the higher demand growth than the supply growth. The highest growth occurred in Bogor-Depok by 2.5% HoH, taking its sales rate to 86.4% in H1 2012. Tangerang had the highest sales rate of 96.3%, relatively stable from the previous semester, reflecting a

Banks and developers actively offered attractive mortgage rates and longer installment period of the down payment to maintain purchasing motivation during H1 2012. balanced growth of demand and supply.

The implementation of the Central Bank’s Circular Letter No.14/10/DPNP regarding regulation of loan to value ratio of mortgage, is likely to cause delay of several mortgage transactions as buyers need to accumulate more cash to pay the higher down payment. This had challenged both developer and bank to cooperate and create more attractive marketing strategy in order to improve purchasing motivation. Banks maintained their mortgage rates in H1 2012 relatively stable, whilst some developers offered longer period of down payment installment even over 12 months.

The overall supply experienced a stronger growth of 1.86% HoH in H1 2012. The highest supply growth in H1 2012 was achieved by lower segment housing by 5.5% HoH. Meanwhile, slower growths recorded in the lower middle and middle segments.

CBD Office Snapshot

Leasing inquiries and transaction activity remained positive for the three month period, again coming from expansion by sitting tenants. Similar to the

previous quarter, most inquiries were of the 300 to 400 sqm size range.

Overall occupancy increased further to 92.4%, a rise of 0.46% since the end of in June and representing the highest occupancy level since before the Asia financial crisis in 1997.

Total net take-up of 70,100 sqm was recorded during Q3, a decrease of 18.3% over the previous quarter and attributable to some delayed occupation by tenants and owner occupiers in those recently completed buildings, particularly the strata-title office projects. Grade-A offices continued to enjoy the highest net take-up of 49,300 sqm (or 70% of the total) within the CBD office market.

The completion of WTC 2 in Jl. Jendral Sudirman added a further 54,000 sqm of Grade-A office space to the CBD office stock, bringing total cumulative supply to 4.43 million sqm as of the end of Q3 2012.

Some 95,000 sqm of further supply is scheduled to be completed over the balance of the year, together with an additional 370,000 sqm in 2013, which will be the highest annual supply since 1996.

Industrial Estate Snapshot

Due to limited readily available supply, the third quarter saw slower net demand of only 146.7 Ha, fell by 21% QoQ and lower by 18% YoY. Despite the lower demand, the lack of new supply caused the cumulative sales rate to reach a record of 81% increased from 79.9% in the previous quarter.

Similar to in the previous quarters, the Industrial estates (IE’s) in Bekasi and Karawang & Purwakarta areas continued to enjoy significant portion of the overall demand of about 90%.

The remaining demand was absorbed by IE’s in Serang and Bogor areas.

Major demand and inquiries in this quarter were still dominated by foreign industrialists especially those from automotive related sector.

Additional supply during the third quarter of approximately 50 Ha came from IE’s in Bekasi/ Purwakarta areas, bringing the total cumulative supply of industrial land in the Greater Jakarta area to 9,362 Ha.

Retail Snapshot

Leasing activities within the Jakarta retail market were very active during the 3rd quarter

2012, with the new record of quarterly net take-up of 161,600 sm. Most of this take-up was contributed by the occupation of tenants in the newly completed centers, such as Grand Paragon, Kota Kasablanka and Lippo Mall Kemang. In the more established centers, the occupancy rate remained relatively stable.

Anchor and big tenants, such as super/hypermarkets, department stores, home appliances, electronics, fitness, and cinema dominated leasing transactions during the quarter.

As of 3Q 2012, the total cumulative demand for rental apartment was recorded at 29,660 units, a 2.2% increase from the previous quarter’s figure, which is also a 12.4% YoY growth. However, compared to the previous quarter, the occupancy rate had experienced a slight decrease; and reached 62.94%, a 3.2% QoQ and 1.7% YoY decrease.

Tenancy profile remains the same with local tenants dominating the market by 54%.

Condominium Snapshot

With the completion of three prominent retail centers in Jakarta, where many of their specialty tenants are still doing the fitting out, the average occupancy rate of the Jakarta retail market slightly decreased by 0.5% over the previous quarter’s figure to 80.9%, leaving approximately 729,100 sqm of vacant retail space as of September 2012.

By district, South Jakarta surpassed the Jakarta CBD and contributes the largest portion of supply at 844,800 sqm (or 22.1% of the total). CBD Jakarta follows at 801,900 sqm (21.0%). Meanwhile, North and West Jakarta contribute 758,900 sqm (19.9%) and 660,300 sqm (17.3%) of

The strain of Jakarta’s governor election during the past months did not distress the Greater Jakarta’s condominium sales activities. During the 3rd quarter of 2012, the sales activities remained active within both the existing and proposed projects. Deceleration only occurred at near the end of Ramadhan month and Idul Fitri celebration, in August 2012.

Over the review quarter, middle segment condominium still led the sales activities, as it contributed for about 60% of the total sales. 7,559 units of new proposed condominiums were launched to the market during July-September, from 14 newly launched projects.

As of September 2012, the sales rate of existing condominiums in the Greater Jakarta area was recorded at 95.9%, grew by 1.2% YoY and 0.6% QoQ. The occupancy rate was recorded at 59.9%, dropped by 6.3% from that in the 2nd quarter of 2012.

group of citizens empowerment managed in Cikarang), all working together to preserve security.

In the future, Jababeka will be an upper class area with the presence of golf courses, shopping malls, luxury homes, etc.

Furthermore, Suteja explained, by 2013, there will be direct access to the Jababeka Residence at KM 34.7. There will also be a train access that passes through Jababeka.

Jababeka Residence, Your Home to Be Jababeka Residence is the newest residential and commercial area in Jababeka city, which includes the development of approximately 500 acres of Jababeka City.

The increasing demand for industrial areas from year to year in Indonesia has been growing with some regions identified as ‘congested industrial areas’.

These areas have increased employment both in the industry itself and also other related sectors. As a result the areas are crowded with immigrants who need housing, infrastructure, and other facilities.

Jababeka industrial area, as the largest industrial area in Southeast Asia with more than 1,500 tenants, is aware of the need of workers for complete housing with best facilities that have direct and faster access to the workplace.

According to Suteja Sidarta, Vice President of Business Development Jababeka, “the existence of housing to support industry is very important. Without housing, industrial areas cannot be realized. Industrial workers should have accommodation and for certain levels this accommodation is very necessary. “ Jababeka Residence is believed to meet the demands of comfortable and safe housing with international standards.

Jababeka Residence is an integrated residential area with excellent amenities, ranging from education and sports to entertainment and others.

“For executives who wish to live close to their jobs and close to our facilities, Jababeka Residence is your home to be,” said Suteja.

Jababeka Residence is the newest residential and commercial area in Jababeka city, which includes the development of approximately 500 acres of Jababeka City. The 500 acres development covers Movieland, Medical City, Golf, Jababeka Housing (d’Java, Simprug Garden, Tropicana Garden) and the commercial areas (Simprug Plaza, Sentra Niaga Square, Sunter Niaga Mas).

Jababeka Residence is intended for the occupants to have closer access to their workplace in the industrial area. However, Jababeka Residence is apart from the industrial area and is separated by a river, a clear natural border.

It supports health factors so occupants are not too close to

the pollution produced by factories. Jababeka’s development is life-industry with minimal pollution.

In addition, Jababeka has a gas-powered power plant that does not cause pollution. The Jababeka Residence environment is also surrounded with beautiful greenery; there are also the Jababeka botanical garden, golf course, outbound, which yield excellent air quality.

Jababeka City Basic facilities such as electricity and water in Jababeka City can be said to be better than in other regions. According to Suteja, “We have Bekasi Power for electricity source, and there are also wastewater treatment plant and water treatment plant whose quality is better

than PAM’s. Fiber optic has also been installed properly. “ Concerning the security of the area, there is a security guard for each cluster, CCTV facility (in Sunter Niaga Mas), street patrols, Makorem, Police, LPPM (a

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October 2012

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Technology

Canon EOS 6D: The Cheapest Full-Frame Camera Ever PHOTO: www.hitechreview.com

Unlike the Canon EOS 5D Mark II, the camera is smaller and has a shape similar to the proportion of the Canon EOS 60D. Even so, this camera looks quite strong among the ranks of other Canon DSLR.

C

anon EOS 6D is one of the most awaited camera by loyal fans of Canon’s high-end series that are not sold at affordable prices. Unlike the Canon EOS 5D Mark II, the camera is smaller and has a shape similar to the proportion of the Canon EOS 60D. Even so, this camera looks quite strong among the ranks of other Canon DSLR. Canon EOS 6D is a member of the EOS family of the lightest, smallest, and the price is not as expensive as a full-frame DSLR camera other companies released this Canon.

continuous image is 4.5 fps.

In addition, there is no button M.Fn, which is usually located next to the shutter release as an option to adjust focus.

The menu system looks a little different from other Canon cameras, with a long list of options at the top of the screen. All the features are presented on this camera with one or two additional new features.

There is autofocus customization menu that makes the Canon EOS 6D more flexible than the Canon EOS 60D to capture sporting events. Shutter speed

Wireless Wi-Fi network is the new key feature in the Canon EOS 6D. This feature can help you transfer photos directly without using a cable.

Unlike the Canon EOS 650D, Canon EOS 6D is equipped with a 3-inch screen but not touch screen technology. Even so the screen displays images that are quite good even under direct sunlight.

www.techrepublic.com

Canon EOS 6D, as with the Nikon D600, is facilitated by the full-frame sensor. But Canon added other features beside these sensors. There are actually two other key features of the main advantages of this 6D series, which are WiFi and GPS. The camera is equipped with a mini-joystick multi-controller to select the AF point, not on the navigation pad which is usually located on the back of the camera.

There is one interesting feature in Playback menu that allows you to create a photo book directly from the camera. This feature is an attractive option and a great project to do with the building Canon Cloud storage servers. As cloud computing you can store, retrieve, and print images whenever and wherever you want via the Internet.

Although it has 11 AF points, they spread out well in the frame shooting. This autofocus system is very responsive and in line with the expectations of most professional photographers. Although the shutter is released, the Canon EOS 6D smart features can still focuses the object, even in dim lighting conditions though.

Despite its HDR mode such as the EOS 5D Mark II, Canon EOS 6D can only save in JPEG format only, so it does not quite appeal to photographers who are already familiar with the EOS 5D Mark III.

Wireless Wi-Fi network is the new key feature in the Canon EOS 6D. This feature can help you transfer photos directly without using a cable.

iPhone 5 Officially Released Although iPhone 5 has a larger body, it is very thin, only 7.6 mm thick, and weighs 112 grams.

The moisture content is 20% lighter and 18% thinner than the iPhone 4S, while the material used is aluminum and glass.

iPhone 5 was officially released in the U.S. on 12 September. Preorders will begin on 14 September and its debut was in United States, Britain and France on September 21.

There are some changes on iPhone 5 from its previous generation. iPhone 5 has a bigger screen, apart from that iPhone 5 has a body that is 18% thinner than the previous generation.

This smart phone is equipped with A6 processor that is twice “faster” than in previous generations. The difference with the iPhone 4s is that iPhone 5 has thinner connector docks. iPhone 5 runs with iOS 6 such as a detailed 3-dimensional maps and deep integration with Facebook. There is also a feature called Passbook, the application to organize electronic tickets or electronic coupons easily.

As expected by most of Apple’s product lovers, the iPhone 5 has a larger screen size of 4 inches wide, larger than its predecessor, the iPhone 4, which only has a 3.5 inch screen. The display technology is still the same, namely Retina Display with a resolution of 1136 x 640 pixels and an aspect ratio of 16 x 9. The pixel density is 326ppi (pixels per inch). With a larger screen, the display on the iPhone 5 applications menu consists of five lines.

Apple also claims that the old applications that are designed for 3.5-inch screen on the old iPhone will be able to run smoothly on the iPhone 5.

The A6 processor is the ‘new brain’ in the iPhone 5. Apple claims that the A6 processor has a two times faster CPU and the graphics capability is two times more intense than the A5 processor. Even though it has double capabilities than the older one, it is 22% smaller.

This processor is also claimed to make the battery of the iPhone 5 to be more durable than the iPhone 4S. Apple claims the iPhone 5 battery lasts longer than its elder brother, the iPhone 4S. The handset is otherwise able to survive 8 hours of talk and access the web via the 3G network.

Later in the 4G network, iPhone 5 can last about 8 hours to surf the internet. In WiFi connectivity, it can be used for about 10 hours.

Although iPhone 5 has a larger body, it is very thin, only 7.6 mm thick, and weighs 112 grams. The moisture content is 20% lighter and 18% thinner than the iPhone 4S, while the material used is aluminum and glass. Overall, the design of the iPhone 5 is not so much different from the iPhone 4S. Even the

placement of the buttons looks the same. It comes with a thinner body and a larger screen. iPhone 5 uses an 8-megapixel resolution camera, like the iPhone 4S. However, some new capabilities are included, as it can take panoramic 28 megapixel resolution pics. iPhone 5 camera is also capable of shooting photos with better quality in lowlight situations. The front camera of iPhone 5 is also upgraded.

Now, users can make video calls via 720 high-definitions through FaceTime service.

As predicted before, iPhone 5 uses 4G connectivity LTE (Long Term Evolution) for the first time.

With LTE, users can enjoy download speeds of up to hundreds of Mbps depending on the services provided by telecom operators.

The striking difference between iPhone 4s and iPhone 5 is the dock connector which is much thinner. For the first time in the history of the iPhone, Apple redesigned the connector. Now, they use what is called “Lightning” with a size 80% smaller than before. Lightning can synchronize to your computer faster than its 30 pin connector predecessor.

The iPhone 5 will come in two colors, namely black and white. iPhone 5 went on on sale on September 21 in the United States.

C8

October 2012

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Golf www.jagorawi.com

The Jagorawi Golf Course

The Jagorawi New course is said to be long and difficult. And maybe it is. However, with a choice of four tee boxes, players of every level of skill can find enjoyment in playing it. Twice the venue of the Indonesian Open, the new course is more open and wide.

T

he construction of this golf course was started in the same year when Jagorawi Toll Road was officially opened.

The first 9 nine were completed in 1979 upon which the club opened for play, and in 1981 the second nine holes were completed of what was then called the Garden Course but is now known as the Old Course.

The Old Course was also the first course in the country that was designed by a world renowned golf course designer team, Thomson & Wolveridge, a feat that was unprecedented at the time. The Old Course, which is located in the former jungleland known as the Cikeas River valley, was the first “new-era” layout in the country, and became the prime example for the further development of the golf sport in Indonesia.

The Jagorawi Old course is the dame of all courses in Indonesia and clearly it is a course that belongs to Asia’s top ten. The Old Course matured over a period

of more than three decades into one of Asia’s most challenging courses.

The opening hole is a real eye opener. Standing on the tee box, some 40 meters down below, a fairway awaits that needs to be dealt with diligence and patience. The Cikeas River to the right has caught many a ball that was meant to land on the right side of the fairway, the ideal place to be on this demanding par 5.

Hole 1 definitely may intimidate first time visitors, but at the same time it sets the tone for a course that you certainly will enjoy playing tremendously. Once the venue of the Indonesian Open, each and every hole is different and will be engraved in your memory forever. You haven’t played golf in Indonesia if you haven’t played the Jagorawi Old Course.

To provide more choice for members a second 18-hole course was built, the New Course. Although designed by the same designer, it proves to be

The Jagorawi Old course is the dame of all courses in Indonesia and clearly it is a course that belongs to Asia’s top ten. The Old Course matured over a period of more than three decades into one of Asia’s most challenging courses. a complete different challenge for the golfer. The latest addition is a 9-hole layout designed by Jagorawi’s founder and owner, Zakir.

The Jagorawi New course is said to be long and difficult.

And maybe it is. However, with a choice of four tee boxes, players of every level of skill can find enjoyment in playing it. Twice the venue of the Indonesian Open, the new course is more open and wide. Long hitters can grip it and rip it here. The front nine is a nice exercise for what is to come on the back nine. Holes 11, 12 and 13 are definitely the score killers where accuracy plays a more important role than distance.

Thomson and Wolveridge created the new course with equally interesting but yet different layout than the Old course.

Next to the golf course, The Lodge at Jagorawi was built to accommodate golfers looking for quality accommodation in the vicinity of the golf course, as well as a stylish venue for functions of all sizes.

ISPS Renewed Sponsorship with Faldo Series The International Sports Promotion Society (ISPS) has renewed its sponsorship of the Faldo Series until 2015. Since 2010, ISPS has become global partner with Sir Nick Faldo’s golf development program in Asia.

“Sir Nick and I both share a commitment to growing golf at all levels so I am excited to build on three successful years working together in Asia and expand our efforts worldwide,” said ISPS chairman Haruhisa Handa.

“We are pleased to support the Faldo Series. At the same time this is an opportunity for ISPS to showcase

blind and disabled golf and further our wider mission for blind and disabled golf to become a Paralympic sport.”

“It is the support of partners like ISPS which enables the Faldo Series to bring opportunity through golf to more than 7,000 young people each year in 30 countries worldwide,” added Faldo.

“I am grateful to Handa for sharing my vision and I applaud his efforts to grow the game for blind and disabled golfers.”

ISPS was founded in 2006 by the Japanese philanthropist to support charitable causes throughout the sporting world.

ISPS has since fostered partnerships with golfing bodies across the globe to help develop the game at every level, including blind and disabled golf. Its wider mission is for golf to become a Paralympic sport.

ISPS joins The R&A as a global partner of the Faldo Series which was launched by the six-time Major Champion in 1996 and now benefits young people across the UK, Europe, the Middle East, South America and Asia. Past winners include current world number ones Rory McIlroy and Yani Tseng.