(AFP) Google News 23 Jul 10;
JAKARTA — Indonesian President Susilo Bambang Yudhoyono on Thursday demanded compensation for an oil spill off northwestern Australia that campaigners say destroyed fishermen's livelihoods.
"Certainly we will carry out our responsibility to solve this problem. We'll propose a claim to the company causing the oil spill while maintaining good diplomatic relations with the governments of Australia and Thailand," he told a cabinet meeting.
"What's clear is the company must give something as accountability for the incident," he said, adding that Indonesians affected should "receive decent compensation".
The Thai-operated West Atlas rig dumped thousands of barrels of oil into the Timor Sea between the Indonesian archipelago and Australia after a leak began in August last year. The leaked has since been capped.
Yudhoyono did not specify how much compensation Indonesia would seek from the rig, which is operated by PTTEP Australasia.
Transportation Minister Freddy Numberi said the compensation sought must be backed by "scientific proof" that the affected areas have yet to recover, adding that the value of "direct losses" was around 500 billion rupiah (55 million dollars).
Environmental group WWF says more than 400,000 litres (over 105,000 gallons) of oil have been spilt, generating a slick spanning 10,000-25,000 square kilometres (up to 9,650 square miles).
The West Timor Care Foundation, which supports poor fishermen in eastern Indonesia, estimates the spill as even larger and says it has affected the livelihoods of some 18,000 fishermen.
"Fish, dolphins and sea turtles were killed and the pollution posed health problems to the community. We don't know how long it will take to heal the ecosystem," said the group's head Ferdi Tanoni.
WWF earlier said the spill was "one of Australia's biggest environmental disasters".
Indonesia seeks oil spill compensation from Thai PTTEP
Reuters 22 Jul 10;
(Updates with figure on Indonesia's losses)
JAKARTA July 22 (Reuters) - Indonesia will seek compensation from Thailand's PTT Exploration and Production (PTTEP) (PTTE.BK: Quote) over an oil spill in the Timor Sea last year, President Susilo Bambang Yudhoyono said on Thursday.
The West Atlas rig -- located off the Western Australian coast and operated by PTTEP Australasia, a unit of PTTEP -- poured oil into Indonesian and Australian waters for over two months after springing a leak in August last year. [ID:nSYD410182]
Yudhoyono told his cabinet on Thursday he would soon read a report from the transport ministry on the environmental disaster.
"Of course, I will fulfil our obligations to finalise this issue, and put forward a claim to the company that caused this oil spill, while ensuring continued good diplomatic relations with both the government of Australia and the government of Thailand," he said.
He did not say how much compensation Indonesia would seek, but Transport Minister Freddy Numberi told reporters that the spill had caused Indonesia direct losses of 500 billion rupiah ($55.16 million).
The president said the area surrounding Indonesia's southernmost island, Rote Island, had been affected by the spill and deserved "decent compensation".
"What is clear is that the company must give something to take responsibility for that incident," he said.
PTTEP's chief executive, Anon Sirisaengtaksin, told Reuters the company was not aware of the call for compensation.
"I have no opinion about this," he said. (Reporting by Muklis Ali in Jakarta and Ploy Ten Kate in Bangkok; Writing by Sunanda Creagh; Editing by Neil Chatterjee)
Thai drilling firm tells Indonesia to prove 'damage'
(AFP) Google News 23 Jul 10:
SYDNEY — A Thai-based drilling company at the centre of one of Australia's biggest oil spills Friday challenged Indonesia's demands for compensation, calling for it to present "verifiable evidence".
Responding to President Susilo Bambang Yudhoyono's vow to seek damages over the spill's impacts on Indonesia's coast, PTTEP Australasia said it was yet to receive any official or proven claim that oil had reached that far.
"PTTEP has received no claim for compensation related to reported impacts in Indonesian waters from oil from the Montara field between August and November last year," said PTTEP's chief financial officer Jose Martins.
"The company has not been presented with any verifiable evidence of any damage."
Yudhoyono said affected Indonesians -- primarily believed to be West Timorese fishermen -- should receive "decent compensation" over last year's Montara leak, which spilled thousands of barrels into the Timor Sea.
According to his transport minister, "direct losses" were estimated at around 500 billion rupiah (55 million dollars).
Environmental group WWF says more than 400,000 litres (over 100,000 gallons) of oil were spilt, generating a slick spanning 10,000-25,000 square kilometres (up to 9,500 square miles).
West Timor's Care Foundation, which supports poor fishermen in eastern Indonesia, estimates the spill as even larger and says it has affected the livelihoods of some 18,000 fishermen.
But Martins said claims that the oil had reached Indonesia had been made "principally through the media", adding that the Australian embassy in Jakarta issued a statement last November claiming the spill was far from the coast.
He said the statement described "small patches of weathered oil" in Indonesia's exclusive economic zone, with some of it coming within about 100 kilometres (60 miles) of the country's Roti Island.
Martins added that PTTEP had attempted to clarify with the Australian authorities whether the oil had spread to Indonesia.
"If (compensation) claims are received, the evidence will be assessed and the claims treated on their merits," he added.
