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2008 Assessment

Indonesia: Integrity Indicators Scorecard

Indonesia : Integrity Scorecard Report > Sub-Category: Privatization
Indicators		Score
53	Is the privatization process effective?	92
54	Can citizens access the terms and conditions of privatization bids?	100

Indicator and sub-Indicator Details

Is the privatization process effective?

53a: In law, all businesses are eligible to compete for privatized state assets.

Score:

YES

Comments:

References: Article 3, Government Regulation No. 33, Year 2005 about the arrangement of PERSERO privatization.

53b: In law, there are regulations addressing conflicts of interest for government officials involved in privatization.

Score:

YES

Comments:

References: Article 3, Government Regulation No. 33, Year 2005 about the arrangement of PERSERO privatization.

53c: In practice, conflicts of interest regulations for government officials involved in privatization are enforced.

Score:

100

Comments: Conflict of interests especially happen at decision making process.

References: Press Release, Herwidayatmo, December 27 2002, Siaran Pers Badan Pengawas Pasar Modal (Bapepam).

Titis Satrio Utomo, Senior Debt Analysis, BPPN (2000-2002), 15 September 2008, in Jakarta.

Peer Review Comments: Conflict-of-interest regulations for government officials involved in privatization are enforced sometimes. It would be incorrect and perhaps naive to assert that this is the case across the board. The Indonesian people are well aware of corruption in their country up to the highest levels of government and joke about it frequently.

Can citizens access the terms and conditions of privatization bids?

54a: In law, citizens can access privatization regulations.

Score:

YES

Comments:

References: Article 3, Government Regulation No. 33, Year 2005 about the arrangement of PERSERO privatization.

54b: In practice, privatizations are effectively advertised.

Score:

100

Comments:

References: Suara Karya (newspaper), Bidding List, June 21, 2000.

Bisnis Indonesia (newspaper), Bidding List, June 21, 2000.

54c: In law, the government is required to publicly announce the results of privatization decisions.

Score:

YES

Comments:

References: Article 12, Government Regulation No. 33, Year 2005 about the arrangement of PERSERO privatization.

54d: In practice, citizens can access privatization regulations within a reasonable time period.

Score:

100

Comments:

References: [ LINK ], Ade Hapsari Lestarini, May 26 2008, PPA is ready to bid BPPNs asset property.

Titis Satrio Utomo, Senior Debt Analysis, BPPN (2000-2002), 15 September 2008, in Jakarta.

54e: In practice, citizens can access privatization regulations at a reasonable cost.

Score:

100

Comments:

References: Press Release, Mohammad Syahrial, Bidding Program on Asset Property, 26 May 2008.

Titis Satrio Utomo, Senior Debt Analysis, BPPN (2000-2002), 15 September 2008, in Jakarta.