VZCZCXRO2971
RR RUEHCHI RUEHDT RUEHHM
DE RUEHJA #2383 2410932
ZNR UUUUU ZZH
R 290932Z AUG 07
FM AMEMBASSY JAKARTA
TO RUEHC/SECSTATE WASHDC 5996
INFO RUEHZS/ASSOCIATION OF SOUTHEAST ASIAN NATIONS
RUCPDOC/DEPT OF COMMERCE WASHDC
RUEHKO/AMEMBASSY TOKYO 0713
RUEHBJ/AMEMBASSY BEIJING 4251
RUEHBY/AMEMBASSY CANBERRA 1078
RUEHUL/AMEMBASSY SEOUL 4150
RUEAIIA/CIA WASHDC

UNCLAS JAKARTA 002383 
 
SIPDIS 
 
SIPDIS 
 
DEPT PASS FAA HQ 
DEPT ALSO PASS NTSB FOR MACINTIRE/BENZON/ENGLISH 
DEPT FOR EAP/MTS AND EB/TRA/AN 
SINGAPORE FOR FAA-WALSH 
SINGAPORE FOR TSA- SAHAGIAN 
SINGAPORE FOR COAST GUARD- LT CDR PURGANAN 
 
E.O.  12958: N/A 
TAGS: EAIR ECON ETRD ID
SUBJECT: TRANSPORTATION MINISTER DISCUSSES ISPS ANDADAM AIR 
 
REF: A) JAKARTA 1282 B) JAKARTA 1690 C) JAKARTA 2363 
 
¶1. (U) Summary.  On August 27, Ambassador Cameron Hume called on 
Jusman Syafi'i Djalil, Minister of Transportation.  The Minister 
commented on the recently delivered International Ship and Port 
Security (ISPS) Code demarche, the need for foreign investors in 
rail and port infrastructure, the progress of the Adam Air recovery 
operation, and airport security.  End Summary. 
 
¶2. (U)  The Minister was well informed about the contents of the 
ISPS demarche the Embassy delivered on August 24 to Director General 
of Sea Transportation, H. Harijogi (reftel C).  He commented on 
the," gap between U.S. standards and Indonesian capacity".  Minister 
Jusman noted that most major ports visited by the Coast Guard had 
one large exempt facility (i.e. a facility implementing ISPS and 
exempt from a possible Port Security Advisory) and one large 
non-exempt facility.  In the short term he expected the majority of 
trade to shift to these exempt facilities while the non-exempt 
facilities started to improve and implement ISPS.  The Minister 
stated that he considers the ISPS issue "very serious" and is 
committed to close cooperation with the U.S. to increase ISPS 
implementation and overcome a future Port Security Advisory. 
 
¶3. (U)  Minister Jusman intends to increase infrastructure and 
capacity in the Indonesian Rail and Port sectors.  The Minister 
hopes to attract increased foreign investment in railway 
infrastructure and investment projects with majority foreign 
ownership made possible by the new Railway Law (Law 23/2007). 
Minister Jusman also encouraged increased foreign ownership of ports 
in order to, "break the monopoly" of the state-owned port authority 
and the central government.  (Note: This is not under Minister 
Jusman's purview, however, and the investment law passed in March 
and its accompanying negative list for foreign investment limits 
foreign ownerships of ports to 49%.  End Note.) 
 
¶4. (U)  Minister Jusman strongly believes that recovery of the Adam 
Air black boxes is critical since Indonesia, "needs investigation to 
guard against the future".  The Minister was pleased to announce 
that the Adam Air Recovery mission successfully located one of two 
voice data recorders (black box/CRV).  (Note: The recovery ship 
successfully recovered both data recorders on August 28.  The 
Indonesian National Transportation Safety Committee (NTSC) plans to 
send both recorders to Washington D.C. next Tuesday (September 4) 
for analysis at the NTSB laboratory.  End Note.)  On aviation 
security, the Minister stated that Indonesia plans to use Bali 
Denpasar Airport as a benchmark to increase security at other 
Indonesian airports.  The Minister also asked for a status report on 
the cancellation of the 2005 TSA Public Notice on Bali Airport. 
 
Hume