Skip to main content

Power cuts turning investors off Indonesia - businesses say


Foreign investors are shying away from Indonesia due to chronic power outages, the chairman of the country's business association said Tuesday as Jakarta prepared for two weeks of blackouts.Businesses are bracing for millions of dollars in losses when the capital and its densely-populated surroundings experience rolling power cuts of eight hours a day for two weeks from Friday.The cuts are officially due to maintenance work which will interrupt gas supplies to two state-owned generating stations in North Jakarta, but analysts have blamed the country's crumbling infrastructure.'If the power cuts continue foreign investors won't come to Indonesia. They will choose China instead,' Indonesia Business Association chairman Sofjan Wanandi told Agence France-Presse.'As long as our infrastructure is not ready, foreign investors will think twice before they invest in this country,' he added.

Major blackouts have plagued the Java-Bali grid for the past six months, hitting big manufacturers as well as small businesses which are being forced to shut down operations and stand down staff.Wanandi said Japanese investors had lost 48 billion rupiah ($5.28 million) in the past two weeks due to power cuts in regions outside Jakarta.Rising demand for electricity has led to increasing numbers of blackouts across Southeast Asia's largest economy in the past few years despite the archipelago' s vast resources of oil, natural gas, coal and geothermal energy.The power crisis appears to be deteriorating even though only 53 percent of the archipelago' s 234 million people has access to electricity.

The government is looking for investors to help it boost capacity by some 30 percent to about 40,000 megawatts
Labels:

Comments

Post a Comment

Popular posts from this blog

Greenpeace boycott Palm oil products Duta Palma

Environmental organization Greenpeace India has demanded that all Indian palm oil importers and corporate consumers immediately stop palm oil sourcing from Indonesian companies like Duta Palma who make palm oil by destroying forests and tiger habitat in Indonesia. An investigative report issued by Greenpeace Indonesia released on Thursday links India's growing palm oil imports and corporate apathy to Duta Palma's destruction of hundreds of acres of Indonesian rainforests and tiger habitat in complete disregard of Indonesian government&# 39;s moratorium on such activities in the rainforest. Big Indian corporates like Ruchi Soya, Adani -Wilmar, Godrej Industries, Parle, Britannia are among many who use Indonesian palm oil in their products on a large scale.  "Duta Palma's dirty oil could well be entering into their supply chains. Yet, so far, no Indian company has taken any visible steps to clean up their supply chain, to delink their brands from the ...
Post a Comment
Read more

Debate Islam in Indonesia

http://www.thejakar taglobe.com/ opinion/interloc utors-of- indonesian- islam/560447 Interlocutors of Indonesian Islam Ahmad Najib Burhani | December 08, 2012 A few months ago, the Japanese anthropologist Mitsuo Nakamura told me that studying Nahdlatul Ulama as an organization was beyond the imagination of any American scholar from the 1950s to the ’70s. But he is not the only academic to have noticed this. George McT. Kahin of Cornell University stated the same thing. Even NU-expert Martin van Bruinessen was not expecting to study NU as his primary focus when he came to Indonesia for the first time in the 1980s.   During the early decades of Indonesian independence, NU was relatively unorganized and its management was largely based on the authority of religious teachers ( kyai ). Of course there were a number of scholars who studied NU-affiliated religious schools ( pesantren ) and its kyai, but not NU as an organization.   Even though NU was one of the ...
Post a Comment
Read more

is that true in Indonesia there freedom of religion?

The problems began shortly after Tajul Muluk, a Shiite cleric, opened a boarding school in 2004. The school, in a predominantly Sunni Muslim part of East Java, raised local tensions, and in 2006 it was attacked by thousands of villagers. When a mob set fire to the school and several homes last December, many Shiites saw it as just the latest episode in a simmering sectarian conflict — one that they say has been ignored by the police and exploited by Islamists purporting to preserve the purity of the Muslim faith.   Indonesia, the world’s most populous Muslim-majority country, has long been considered a place where different religious and ethnic groups can live in harmony and where Islam can work with democracy.   But that perception has been repeatedly brought into question lately. In East Java, Sunni leaders are pushing the provincial government to adopt a regulation limiting the spread of Shiite Islam. It would prevent the country’s two major Shiite organizations from ...
Post a Comment
Read more