VZCZCXRO7143
RR RUEHCHI RUEHDT RUEHHM
DE RUEHJA #8735/01 1940034
ZNR UUUUU ZZH
R 130034Z JUL 06
FM AMEMBASSY JAKARTA
TO RUEHC/SECSTATE WASHDC 7131
INFO RUEHZS/ASSOCIATION OF SOUTHEAST ASIAN NATIONS
RUEHBY/AMEMBASSY CANBERRA 9718
RUEHBJ/AMEMBASSY BEIJING 3524
RUEHKO/AMEMBASSY TOKYO 9907
RUEHUL/AMEMBASSY SEOUL 3699
RUEHTC/AMEMBASSY THE HAGUE 3243

UNCLAS SECTION 01 OF 04 JAKARTA 008735 
 
SIPDIS 
 
SIPDIS 
 
DEPT FOR EAP/IET, OES/IET, AND OES/ETC 
 
E.O. 12958: N/A 
TAGS: SENV TPHY TBIO EIND ID
SUBJECT: INDONESIA ESTH HIGHLIGHTS - MARCH-JUNE 2006 
 
 
¶1.  Summary.  President Susilo Bambang Yudhoyono (SBY) 
called for thorough fire prevention planning on June 17 to 
stop smoke haze export to neighboring countries.  On June 
27, State Minister of Environment Rachmat Witoelar released 
a 2005 "State of the Environment Report" listing 65 
environmental watershed areas in critical condition and 
noting serious deforestation problems across Indonesia.  A 
Chinese company announced plans on April 18 to establish a 
timber processing factory in Papua to supply the hardwood 
merbau to Olympic venues in Beijing, but the Beijing Olympic 
Organizing Committee announced on May 31 that none of the 24 
Olympic venues "is using or will use virgin timber from 
Indonesia."  Minister of Forestry M.S. Kaban stated on April 
9 that the Government of Indonesia (GOI) has increased the 
number of national parks from 30 to 55, but it is unclear 
whether the GOI has budgeted for a corresponding increase in 
funding for park management and conservation.  On June 19, 
the head of the Jakarta Sanitation Office said the city 
government would allocate Rp 10 billion (USD 1.1 million) of 
2006 funds to develop a new program for coastal waste 
management.  On June 2, the Government of Indonesia (GOI) 
announced an early termination of cooperation with the 
Gibbon Foundation in the development and management of 
animal protection centers in Indonesia.  Experts warned on 
April 30 that illegal wildlife trade threatens a number of 
animal species on the island of Sulawesi.  The GOI announced 
new Chairmen for the National Agency for Food and Drug 
Control (BPOM) on May 17 and the Agency for the Assessment 
and Application of Technology (BPPT) on April 26.  On May 
15, Minister of Energy and Mineral Resources Purnomo 
Yusgiantoro confirmed that the Indonesian Government remains 
committed to building a 1,000 Megawatt (MW) nuclear power 
plant in Muria Peninsula, Central Java.  An international 
team of experts provided seismology and tsunami warning 
training to 40 representatives of GOI agencies, non- 
government organizations, and universities from May 8-17 in 
Jakarta.  On March 23, Indonesian researchers warned that 
continuing leaded gasoline use may be causing high lead 
levels in the blood of Indonesia's children.  End Summary. 
 
----------- 
ENVIRONMENT 
----------- 
 
Commitment to Stop Haze Export 
------------------------------ 
 
¶2.  On June 17, President Yudhoyono instructed governors, 
regents, and heads of related regional institutions to take 
"concrete actions" to prevent forest and land fires to stop 
smoke haze export to neighboring countries.  The President 
made his remarks at a national conference for fire 
prevention in Palembang, South Sumatra attended by 
approximately 2,500 fire brigade teams from 28 provinces. 
The Ministry of Forestry identified seven provinces with 
palm oil and industrial plantations that are particularly 
susceptible to fire outbreaks because farmers still use 
traditional methods of land clearing.  The seven include 
Riau, North Sumatra, South Sumatra, Jambi, East Kalimantan, 
West Kalimantan, and Bengkulu provinces.  Experts told 
conference participants that National Oceanographic and 
Atmospheric Administration (NOAA) satellite data from 2005 
reveal that 30 percent of haze originates from forested 
areas while 70 percent originates from nonforested areas 
such as plantations, small farms, and idle land. 
 
Environmental Report 2005 Notes Serious Degradation 
--------------------------------------------- ------ 
 
¶3.  On June 27, State Minister of Environment Rachmat 
Witoelar told a Jakarta audience that Indonesia faces 
serious forest and environmental degradation that is leading 
to environmental disasters.  Witoelar made his remarks as 
part of the release of a 295-page "State of the Environment 
Report 2005" for Indonesia.  The report lists 65 
environmental watershed areas in critical condition, up from 
the 22 listed in 1992.  It notes serious deforestation 
problems and underscores the government's inability to 
enforce fully the 1997 Environmental Law.  The report also 
documents a decrease in air quality in major cities in 2005, 
with only 29 clean-air days in Jakarta, 21 in Surabaya and 
24 in Medan.  Thirty rivers were listed as being highly 
contaminated with chemical pollutants and bacterial agents, 
including human waste. 
 
 
JAKARTA 00008735  002 OF 004 
 
 
Chinese Interest in Indonesian Timber 
------------------------------------- 
 
¶4.  On April 18, Minister of Forestry M.S. Kaban announced 
to the press that the Chinese firm China Light Industry is 
contemplating a USD 1 billion investment to establish a 
timber processing factory in Papua.  Kaban said the company 
is interested in making this investment to meet China's need 
for 800,000 cubic meters of merbau timber to construct sport 
facilities for the 2008 Olympics.  Merbau (botanical name: 
intsia spp) is a hardwood native to Papua and Papua New 
Guinea used primarily for flooring.  In addition, China 
Light Industry has said it is also interested in building a 
pulp and paper factory in Papua.  However, Kaban said that 
the Ministry of Forestry would only permit processed timber 
to be exported at this time, ruling out log exports.  As of 
July 2007, the status of the project is uncertain given a 
May 31 announcement by the Beijing Olympic Organizing 
Committee that none of the 24 Olympic venues "is using or 
will use virgin timber from Indonesia." 
 
Indonesia National Parks Areas Increased 
---------------------------------------- 
 
¶5.  Kaban also announced on April 9 that the GOI has 
increased the number of national parks from 30 to 55.  He 
added that this effort indicates the GOI's high level of 
commitment to conserving and protecting Indonesia's natural 
resources.  However, it is unclear whether the GOI has 
budgeted for an increase in funding for park management and 
conservation for an expanded national park system. 
According to the Ministry, Indonesia has 120.35 million 
hectares of forest, of which 59 million hectares are in 
critical condition and in need of rehabilitation. 
 
Jakarta Money for Coastal Waste Management 
------------------------------------------ 
 
¶6.  On June 19, the head of the Jakarta city Sanitation 
Office said the city government would allocate Rp 10 billion 
(USD 1.1 million) of 2006 budget funds to develop a new 
program for coastal waste management.  The Jakarta city 
government is seeking to develop an integrated coastal 
management solution to clean up Jakarta Bay in cooperation 
with the West Java and Banten provincial governments and the 
central government.  As part of this effort, the Jakarta 
city government has said it will likely create a special 
authority to manage coastal wastes.  The waste volume 
entering Jakarta Bay now reaches 300 cubic meters a day of 
mostly plastic and industrial waste from Jakarta, West Java, 
and Banten Provinces, according to environmental observers. 
Currently, the Jakarta Sanitation Office uses six boats to 
net coastal waste with the capacity of collecting 220 cubic 
meters of waste per day. 
 
GOI Cooperation with Gibbon Foundation Terminated 
--------------------------------------------- ---- 
 
¶7.  The MOF announced in a June 2 press release that the 
Ministry's Directorate General for Forest Protection and 
Nature Conservation (PHKA) had ceased cooperation with the 
Gibbon Foundation in the development of "animal protection 
centers" since April 2006.  The PHKA said it terminated the 
cooperation agreement early due to unspecified 
"disagreements and distrust" between the two parties.  The 
PHKA had been cooperating with the foundation since 2002, 
with the agreement scheduled to continue through 2007. 
Under its agreement with the PHKA, the Gibbon Foundation 
developed and managed animal protection centers to implement 
the Convention on International Trade in Endangered Species 
(CITES) resolution.  Since 2002, the Foundation had helped 
establish seven animal protection centers in Tegal Alur 
(Jakarta), Gadog and Cikananga (West Java), Yogyakarta, 
Patung Sewu (East Java), Bali and Tasekoki (North Sulawesi). 
With the early termination, the Ministry banned the Gibbon 
Foundation from conducting conservation activities and 
managing the centers.  The termination of cooperation 
between the PHKA and the Foundation will likely require the 
Ministry to consolidate some centers, assume the operational 
costs for all centers and identify foreign donors. 
 
Sulawesi Species Threatened 
--------------------------- 
 
¶8.  Growing illegal wildlife trade is threatening a number 
 
JAKARTA 00008735  003 OF 004 
 
 
of birds, mammals, reptiles, and amphibians in Sulawesi with 
extinction, according to a World Conservation Union (WCU) 
report released on April 30.  The Program Coordinator of the 
Sulawesi Wildlife Conservation Society (WCS) said wildlife 
trade in many rare animals flourishes in traditional markets 
and is evidence of the region's lack of appreciation for 
natural wildlife.  For example, according to the WCU, the 
rare crested black macaque (macaca nigra), is traded in 
local markets.  Seven of 11 world macaque species are from 
Sulawesi.  According to WCU estimates, the Macaca nigra 
population plummeted from 500 per square kilometer in 1999 
to 49 per square kilometer in 2003.  The WCU report notes 
Sulawesi has 127 species of mammals (79 indigenous species), 
233 species of birds (103 indigenous species), and 104 
species of reptiles (29 indigenous species). 
 
SCIENCE AND TECHNOLOGY 
---------------------- 
 
New Faces at BPOM and BPPT 
----------------------------- 
¶9.  On May 17, Minister of Health Dr. Siti Fadilah Supari 
inaugurated Dr. Husniah Rubiana Thamrin Akib as the new 
Chairman of National Agency for Drug and Food Control 
(BPOM), replacing Dr. Sampurno.  The BPOM performs food and 
drug safety functions equivalent to those of the U.S. 
Federal Drug Administration. Previously, Dr. Husniah served 
as the Director of Rational Drug Use Development in the 
Ministry of Health's Directorate General of Pharmaceutical 
and Medical Equipment Development.  She received her medical 
degree from the University of Indonesia. 
 
¶10.  Minister of Research and Technology Kusmayanto Kadiman 
inaugurated Professor Dr. Said Djauharsyah Jenie as the new 
Chairman of the Agency of Assessment and Application of 
Technology (BPPT) on April 26.  The BPPT formulates national 
technology development policy and recommends technological 
applications for GOI ministries and government-linked 
bodies.  Dr. Jenie is from Solo, Central Java and received a 
doctoral degree in aerodynamics from the Massachusetts 
Institute of Technology.  Previously, he served as the 
Deputy Chairman of BPPT for Manufacturing and Design 
Technology.  Jenie's twin brother, Prof. Umar A. Jenie, is 
the Chairman of the Indonesian Institute of Sciences (LIPI). 
 
Planning for A Nuclear Power Plant 
---------------------------------- 
 
¶11.  On May 15, Minister of Energy and Mineral Resources 
Purnomo Yusgiantoro confirmed that the Indonesian Government 
remains committed to building a 1,000 Megawatt (MW) nuclear 
power plant in Muria Peninsula, Central Java.  According to 
press reports, the GOI plans to conduct a tender in 2008 and 
begin construction in 2009 with operations targeted to start 
in 2015-2016.  Project costs for a 1,000 MW nuclear power 
plant could reach Rp 9 trillion (USD 1 billion), according 
to Purnomo.  The nuclear power plant is part of the GOI's 
target to add 4,000 MW of electric power in the North Java 
coastal areas by 2016. 
 
Seismology and Tsunami Training 
-------------------------------- 
 
¶12.  The U.S. Agency for International Development (USAID), 
the U.S. Geological Survey, UNESCO's Intergovernmental 
Oceanographic Commission (IOC), and the Indonesian 
Meteorological and Geophysical Agency (BMG) conducted joint 
training on seismology and tsunami warning on May 18 in 
Jakarta to 40 representatives of GOI agencies, non- 
government organizations and universities.  The training 
aimed to provide the necessary skills and tools for using 
seismic data in identifying tsunami events and providing 
better life-saving information to the public.  The training 
is part of a regional USD 16.6 million program managed by 
USAID to support the IOC and individual countries affected 
by the 2004 tsunami.  The program shares technical 
capability and experience in detecting earthquakes, 
tsunamis, and related hazards. 
 
SIPDIS 
 
HEALTH 
------ 
 
Leaded Gasoline Puts Children at Health Risk 
-------------------------------------------- 
 
 
JAKARTA 00008735  004 OF 004 
 
 
¶13.  Sixty-six percent of school-aged children in Bandung 
have a lead content in their blood above 13.13 micrograms 
per deciliter, according to a research report released on 
March 23 by Bandung Institute of Technology (ITB), the Lead 
Center (KPBB), and Hijau Lestari Foundation.  Researchers 
also found children in Makassar with high lead blood 
content, including some with counts of 23.96 grams per 
deciliter.  The World Health Organization standard is 10 
micrograms per deciliter.  Researchers tested the lead 
content in the blood of school children in Makassar, South 
Sulawesi and Bandung, West Java.  The researchers concluded 
that the high lead content in the children's blood is due to 
the ongoing use of leaded fuel in those cities.  Currently, 
unleaded gasoline is only available in four provinces: 
Jakarta and surrounding cities, Cirebon, Bali and Batam. 
However, even in these areas, the vast majority of gasoline 
consumed contains lead. 
 
Pascoe