Indonesia approves tougher law against polluters

Sunanda Creagh, Reuters 8 Sep 09;

JAKARTA (Reuters) - Indonesia's parliament passed a new environment bill on Tuesday giving the Environment Ministry the power to revoke polluters' business licenses, which environmentalists said could lead to more effective enforcement.

Indonesia's rapid economic growth has been accompanied by widespread pollution of its waterways, soil and air, as well as the destruction of its forests and wildlife, prompting criticism from green groups and the World Bank.

The new law, a draft of which was seen by Reuters, will require companies whose operations impact the environment to obtain an environmental license and undergo an environmental assessment process before starting operations.

If the terms of the environmental assessment process are breached, the Environment Ministry can revoke their permit to operate and issue fines.

Anyone who deliberately pollutes the environment could face up to 10 years in jail and a fine of up to 10 billion rupiah ($1 million).

"This will affect basically all industries or companies whose activities create an impact on the environment, including manufacturing, construction, mining, pulp factories and others," said Nur Hidayati, Greenpeace's country representative for Indonesia.

"Before, for example, if a company pollutes, the Environment Ministry could only give a recommendation and there was no enforcement in terms of the minister stopping the operation because their operation license was held by another department," she said.

"Now it's integrated, so if a company violates the environment, then their operation can be stopped."

The new law also stipulates sanctions for local and central government officials who issue permits without following the proper procedures.

($1 = 9,995 rupiah)

(Editing by Sara Webb and Sugita Katyal)

House endorses environment bill
The Jakarta Post 8 Sep 09;

Polluters and corporations known for business practices unfriendly to the environment will have to pay extra caution as the House of Representatives passed, Tuesday, a stringent environmental bill into law.

One of the articles of the newly passed law provides civil investigators the authority to arrest those accused of endangering the environment.

"We have discussed the article with the police. So, there is no need to worry about possible misunderstandings in the field between the police and environmental civil investigators," State Minister for the Environment, Rachmat Witoelar said after the House’s plenary session.

He said that the bill was triggered by the fact that around 40 percent of the country's forests have been severely damaged.

The bill also stipulates that companies are obliged to pay environment tax.

Reports had been rife that President Susilo Bambang Yudhoyono’s Democratic Party faction objected to the tax, saying that corporate responsibility for environmental protection was voluntary not obligatory.

However, Democratic Party faction chairman Syarief Hassan dismissed the reports.

"This bill was sponsored by the government. As a party that supports the government, we throw our weight behind the government’s policy," he said. (hdt)