H&A Daily Risk Assessment - 7 Apr 2017

[Jakarta Info]

Dear Clients,

 

Please find attached H&A Daily Risk Assessment - 7 Apr 2017

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[Jakarta Info]

Dear Clients,

 

Please find below H&A Daily Risk Assessment - 7 Apr 2017

  

POLICE URGE COURT TO POSTPONE BLASPHEMY TRIAL COUNTRY HEADLINES

Jakarta Police have issued a letter requesting that the North Jakarta District Court postpone hearings in the blasphemy trial of incumbent governor Basuki Tjahaja Purnama until after the runoff election on 19 April. The letter, which was signed by Jakarta Police chief Insp. Gen. Mohamad Iriawan on 4 April, sites security concerns as the reason for the request. The court had announced that prosecutors would deliver their sentence recommendation on 11 April, while Purnama is scheduled to give evidence in his defence on 17 April, which would fall within the “quiet period” before polling day. The Jakarta Regional Elections Commission (KPUD) has scheduled a quiet period from 16 to 18 April during which time no rallies or political activities are allowed to take place. Jakarta Police spokesman Sr. Comr. Argo Yuwono told reporters on Thursday 6 April that the letter was issued in an effort to maintain security and order across the capital. “Considering that the trial was scheduled to be held close to the voting day, there are possibilities of mass mobilisation. The letter was issued to minimise such possibilities," said Yuwono, as reported by Kompas. He added that the postponement was necessary, as police and military personnel would have to focus on safeguarding the election. North Jakarta District Court spokesman Hasoloan Sianturi told Tempo earlier today, Friday 7 April, that the court had received the letter. “The panel of judges will announce their decision on the police request at the hearing next week,” said Sianturi. In addition, the letter also notified the court that police would postpone their investigation into reports of alleged violations of the election law and corruption that involved Jakarta gubernatorial candidate Anies Baswedan and his running-mate Sandiaga Uno. Uno was reported to Jakarta Police for alleged embezzlement and receipt forgery. Earlier this week, Purnama’s legal team reported Baswedan for alleged defamation after the candidate publicly claimed that Purnama would evict residents in 300 areas across the city if he was re-elected. Previously, representatives of the anti-corruption group Clean Jakarta Advocacy Team (TAJI) reported Baswedan to police and the Jakarta branch of the General Elections Supervisory Body (Bawaslu) for violating the election law by allegedly promising to give money to a group of people in exchange for their votes.

TOP ISSUES 

TRANSPORT & TRAVEL

Around one dozen ride-hailing vehicles were seized in Makassar, South Sulawesi, on Thursday 6 April during a joint operation between police and the city's transportation office. (Page 3)

GOVERNMENT REGULATIONS & POLICY

The Constitutional Court has invalidated Article 251 of the Regional Government Law that granted the Ministry of Home Affairs the authority to revoke regional ordinances. (Page 5)

Weekend Outlook: At this time there are no indications of any protests scheduled for Saturday 8 April or Sunday 9 April. Hill & Associates will be monitoring developments around the city during the weekend. Should any incident occur that gives cause for concern, we will advise clients accordingly. Clients may also contact our Jakarta office (24 hrs) on (021) 522 8811 for the latest situation report or if they wish to report an incident that may be of particular relevance.

PHYSICAL RISKS

HEALTH & DISEASE | FIRE & SAFETY

Fire Breaks Out in Central Jakarta Apartments

A fire broke out at the City Lofts apartment in the Citywalk Sudirman complex on Jl. KH. Mas Mansyur, Central Jakarta, on Thursday 6 April. People knocked on neighbours’ doors in a panicked rush after the fire broke out at the ninth floor of the building at around 1500hrs (WIB). Officials said that the fire appeared to have started because of an electrical short-circuit. A large group of residents, some wrapped in blankets, stood by as firefighters battled the blaze. It was brought under control a short time later. No injuries were reported.

Sources: Warta Kota | Kompas | Okezone | Detik | Republika

Comments: Residents of multi-story buildings, such apartments and condominiums, need to pay particular attention to fire safety due to the high occupancy loads. The common causes of fires include cooking/kitchen incidents, heating equipment (i.e. space heaters, kerosene heaters), cigarettes (major cause of fatal fires), arson, and on occasion, children playing with matches.

POLICE | OPPORTUNIST, ORGANISED & VIOLENT CRIME

Malaysia & Singapore Transit Point for Drug Trafficking: BNN

Malaysia and Singapore have become a transit point for narcotics smuggling into Indonesia, the chief of the National Narcotics Agency (BNN) Budi Waseso said on Thursday 6 April. He said that narcotics originated from 11 countries including China, Iran and Afghanistan. The BNN recorded 807 drug trafficking cases across Indonesia last year and arrested a total of 1,238 people, including 21 foreigners. The agency also confiscated 6.2 tonnes of marijuana, 1.16 tonnes of crystal methamphetamine, and 765,000 ecstasy pills.

Sources: Warta Kota | Media Indonesia | Koran Tempo | Republika 

NATURAL DISASTERS

BMKG Warns of Severe Weather 

The Meteorology, Climatology and Geophysics Agency (BMKG) has forecast heavy rain, thunder, lightning and strong winds to hit the southern shores of Indonesia from 6 to 8 April. The affected areas include Sumatra, Java, Bali, West Nusa Tenggara, West Papua and Papua. Strong waves can reach heights of between 1.25 meters to 2.5 meters on the western shores of Aceh, the Mentawai Islands, South China Sea, on the northern shores of Natuna Islands and East Java, in the northern parts of the Maluku Sea, the Halmahera Sea, on the northern shores of West Papua and Papua and on the eastern parts of Arafuru Sea. The BMKG has advised residents to brace themselves for floods, landslides, falling trees and slippery roads.

Source: The Jakarta Globe

Authorities Raise Mt. Banda Alert Status 

The Centre for Volcanology and Geologic Hazard Mitigation on Thursday 6 April raised the alert status of Mt. Ganda in Central Maluku regency, Maluku province, from level I/ normal, to level II/ caution (of which level IV/ dangerous is the highest), following an increase in volcanic activity. The agency has advised people living within a one kilometre radius of the volcano to evacuate.

Sources: Warta Kota | Media Indonesia | Koran Tempo

ENVIRONMENT & CLIMATE

BPBD, BMKG Issue Warning to Jakarta Residents

The Jakarta Disaster Mitigation Agency (BPBD) head, Husen Murad, said on Thursday 6 April several areas in the capital are prone to landslides, particularly during the rainy season. Murad said that among the areas are Cilandak, Jagakarsa, Kebayoran Baru, Kebayoran Lama, Mampang Prapatan, Pancoran, Pasar Minggu and Pasanggrahan (all in South Jakarta) and Pasar Rebo in East Jakarta. On Monday 2 April, a landslide in Jagakarsa claimed the life of a 12-year-old boy and injured at least four others after a wall fell on their house during heavy rain.

Sources: Kompas | The Jakarta Post

INDONESIA HIGH WAVE ALERT FRIDAY 7 APRIL

Height Location Remarks

2.0 – 3.0 m Waters to the north of Halmahera (Maluku), Papua and West Papua. Waters from the west of the Simeulue Islands (Aceh) to Mentawai Islands (West Sumatra). Waters from Bengkulu to the west of Lampung (southernmost Sumatra). Waters from the south of Java to Lombok (West Nusa Tenggara). The southern reaches of the Sunda, Bali, Lombok and Alas Straits. The Java and Halmahera Seas. The eastern reaches of the Sulawesi Sea. The northern reaches of the Maluku and Halmahera Seas. The waters of the Kai, Aru, Babar and Tanimbar (Maluku) Islands. Hazardous for fishing vessels and motorised wooden vessels.

Source: Meteorology, Climatology and Geophysics Agency (BMKG)

JAKARTA AIR QUALITY INDEX FRIDAY 7 APRIL

    

TRANSPORT & TRAVEL

Ride-Hailing Vehicles Seized in South Sulawesi

A dozen vehicles operating as taxis for ride-hailing companies were seized in Makassar on Thursday 6 April during a joint operation between the South Sulawesi Police traffic directorate and the city's transportation office. The move follows a ban on app-based taxis by police and the transportation agency on Wednesday 5 April. A spokesman for the agency said that raids will continue until the service is regulated by the provincial government.

Sources: Viva News | Republika

AVIATION | AIR SAFETY

Halim Flights Diverted due to Air Force Training

A spokesman for state-owned airport operator PT Angkasa Pura II said on Wednesday 5 April said that several airlines operating at Halim Perdanakusuma Airport in East Jakarta would be forced to reroute or reschedule flights due to an Air Force training session. Citilink spokesperson Ageng Wibowo said 11 flights from 5 to 9 April would be temporarily diverted to Soekarno-Hatta International Airport in Tangerang, Banten. Meanwhile, Batik Air will only reschedule flights from 5 to 7 April.

Sources: Suara Pembaruan | Antara News | Detik | Kompas | The Jakarta Post

Airport Operator Appoints New Commissioners

Andi Widjajanto, the former Cabinet Secretary, has been appointed president commissioner of state-owned airport operator PT Angkasa Pura I (AP I), replacing Andrinof Chaniago. AP I shareholders also agreed to appoint Suprasetyo to the company’s board of commissioners to replace Agus Santoso. The appointment and replacement of AP I commissioners was stipulated in a decree from the Minister for State-Owned Enterprises on Wednesday 5 April. Widjajanto was Cabinet secretary from November 2014 to August 2015. Suprasetyo was air transportation director general at the Ministry of Transportation until 12 January 2015.

Sources: The Jakarta Post | Kompas | Detik 

UTILITIES & INFRASTRUCTURE

Bridge Collapse Cuts Route to East Timor

Roads connecting Indonesia and East Timor were disrupted for more than 15 hours after a bridge in Bokong village, Kupang regency (East Nusa Tenggara), collapsed following heavy rain on Thursday 6 April. A spokesman for the administration said that the bridge collapsed at around 1600hrs local time after floodwaters covered the road. He added that traffic returned to normal 14 hours later after residents opened an alternative road to divert vehicles around the bridge.

Sources: Tempo Interactive | Tribun News | Kompas | The Jakarta Post

BUSINESS RISKS

PROVINCIAL AFFAIRS

North Sulawesi: One Killed in Communal Clash

A man was killed and three injured in a clash between residents of Karondoran and Sumarayar villages in Minahasa regency, North Sulawesi, on Wednesday 5 April. A police spokesman said that the incident was sparked by several residents from Karondoran who were intoxicated and stormed into a house in Sumarayar village and attacked the owner. One resident was fatally shot during the clash and several others were badly injured. Police were deployed to prevent an escalation of violence.

Source: Kompas

CIVIL & LABOUR AFFAIRS

Workers Seal Offices at Tanjung Priok Port

Hundreds of workers at the Jakarta International Container Terminal (JICT) in Tanjung Priok, North Jakarta, sealed offices at the JICT building on Thursday 6 April. Workers said that they demanded both JICT management and state-owned port operator Pelindo II be open about the current situation inside the port. It’s understood that the latest incident was triggered by a pay dispute linked to a number of long-running issues. Protesters sealed several rooms on a number of floors of the building. 

Source: Warta Kota

GOVERNMENT REGULATIONS & POLICY

Constitutional Court Rules on Regional Government Law

The Constitutional Court (MK) on Wednesday 5 April invalidated Article 251 of the Regional Government Law that granted the Ministry of Home Affairs the authority to revoke regional ordinances. MK Chief Justice Arief Hidayat said that Article 251 contravenes the constitution, adding that revocation of regional ordinances could only be carried out by the Supreme Court (MA). The MK ruling was issued following a request by a number of regional governments who believed that the ministry had undermined their authority to issue regional ordinances.

Sources: Kompas | Media Indonesia | Koran Tempo | Republika

Comment: Analysts have voiced concerns over the impact of the revocation of Article 251 which they said would weaken the central government’s efforts to improve the investment climate in the regions. The central government had previously planned to revoke over 3,000 local ordinances deemed unfavourable for investment. Most ordinances deal with taxation and licensing procedures. The revocation of Article 251 means that the unfavourable ordinances will remain in place.

COURTS & JUSTICE | CORRUPTION | FRAUD

Regional Government Officials Arrested in Bribery Case   

Police on Thursday 6 April arrested the chief of North Sumatra’s energy and mineral resources agency for accepting bribes from a local mining company that expected to obtain an approval for its operation in the province. The deputy chief of the Corruption Eradication Commission (KPK) revealed that North Sumatra is among the most corrupt provinces aside from Aceh, Riau, Banten, Papua and West Papua.

Sources: Warta Kota | Media Indonesia | Koran Tempo | Republika

Regional Legislative Council Chief, Deputy Named Corruption Suspects 

Police named the chief and deputy chief of the Enrekang legislative council in South Sulawesi as suspects in the embezzlement of IDR3.1 billion (USD230,000) the regency’s budget. A spokesman said that police are investigating the possible involvement of other council members in the case.

Sources: Kompas | Media Indonesia | Koran Tempo | Republika 

 

OTHER RISKS

CITY | TRAFFIC | LOCAL AFFAIRS

Acting Governor Declares 19 April Holiday for Greater Jakarta

Jakarta acting governor Sumarsono said on Thursday 5 April that 19 April, the day of Jakarta's gubernatorial runoff election, will be declared a public holiday for anyone working in the capital, even if they do not vote. “The holiday also affects people who reside in Bogor, Tangerang and other satellite cities [as long as they work in Jakarta]," he said. He said that the decision would be based on a regulation currently being drafted by the Ministry of Home Affairs.

Sources: Detik | Liputan 6 | The Jakarta Post

 

UPCOMING EVENTS DIARY

Date Event Public Holiday Remarks

Thu 13 – Sun 16 Apr 9th Indogreen Environment & Forestry Expo

No Jakarta Convention Centre

Fri 14 Apr Good Friday Yes Observed by Christians nationwide

Sun 16 – Wed 19 Apr Megabuild 2017 No Jakarta Convention Centre

Wed 19 Apr Jakarta Gubernatorial Election Yes

(Jakarta only) Jakarta residents return to the polls on 19 April to vote in the second round of the gubernatorial election.

Wed 19 – Fri 21 Apr The  Indonesia International Creative Textile Apparel Accessories Exhibition (INATEX) 2017 No Jakarta International Expo (JIE) Kemayoran

Thu 20 Apr Indonesia Summit (Economist Conference) No A strategic business event examining Indonesia’s economy and politics, at the Shangri-La Hotel, Jakarta.

Mon 24 Apr Ascension of Prophet Muhammad (Isra Mi’raj) Yes Observed by Muslims nationwide.

Wed 26 – Sun 30 Apr INACRAFT 2017 No Jakarta Convention Centre (JCC)

Thu 27 Apr – Sun 7 May Indonesia International Motor Show 2017 No Jakarta International Expo (JIE) Kemayoran

Mon 1 May International Labour Day Yes Public Holiday

Thu 11 May   Waisak; Buddha’s Birthday Yes Observed by Buddhists nationwide

Fri 12 May Commemoration of the 19th anniversary of the 12 May 1998 riots. No Widespread riots in Jakarta followed fatal student shootings which have never been fully resolved. Student demonstrations likely in observation of the day.

Thu 25 May Ascension of Jesus Christ Yes Observed by Christians nationwide.

 

COUNTRY RISK RATING – INDONESIA

Terrorism Crime Ethnic, Religious & Social Conflict Health Risks & Services

H (B3) M (C2) H (B3) H (B3)

Natural Disasters Corruption & Fraud Business Ethics & Compliance Utilities & Infrastructure

H (B3) H (B3) H (B3) H (B3)

Qualitative Risk Analysis Matrix - Level of Risk:

Probability

Rating Consequence Rating

Insignificant

1 Minor

2 Moderate

3 Major

4 Catastrophic

5

A (almost certain) H H E E E

B (likely) M H H E E

C (possible) L M H E E

D (unlikely) L L M H E

E (rare) L L M H H

Legend:

E Extreme risk Immediate action required

H High risk Senior management attention needed

M Moderate risk Management responsibility must be specified

L Low risk Managed through routine procedures

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