Saturday, February 2, 2008

Interaksi Politik Elit Lokal, Nasional dan MNC

Interaksi Politik Elit Lokal, Nasional dan MNC
dalam Proses Divestasi PT Kaltim Prima Coal 2000-2007
Fauzan Zidni

Interaksi politik yang terjadi antara elit lokal, elit nasional dan Multinational Corporation dalam proses divestasi PT Kaltim Prima Coal, MNC pertambangan batu bara terbesar di Indonesia yang berlokasi di Sangatta, Kalimantan Timur, sejak tahun 2000 hingga 2007 menunjukan bentuk interaksi yang tidak pernah terjadi pada masa Orde Baru. Jika pada masa Orde Baru kebijakan mengenai pertambangan hanya di monopoli oleh Pemerintah Pusat dan tidak mementingkan aspirasi pemerintah daerah. Maka pola interaksi yang terjadi pada era reformasi menunjukan kebangkitan kekuatan politik di tingkat lokal yang menginginkan haknya.
Hal ini disebabkan oleh terjadinya proses desentralisasi dan demokratisasi yang sedang berlangsung di Indonesia. Selain berkembangnya tuntutan terhadap kebijakan ekonomi, di bidang politik tutututan perubahan tidak hanya mencakup penataan wewenang antar lembaga di tingkat pusat, tetapi juga pembagian wewenang antara pusat dan daerah. Tuntutan tersebut memberikan dampak yang signifikan kepada sistem politik Indonesia. Perubahan sistem politik ini berakibat munculnya dua perubahan mendasar, yaitu menguatnya kewenangan daerah karena desentralisasi dan iklim politik yang lebih demokratis.
Dampak dari kebijakan desentralisasi tersebut tidak hanya membuat melemahnya otoritas Pemerintah Pusat, tetapi juga membuat menguatnya kewenangan pemerintah daerah. Dengan menguatnya posisi pemerintah daerah, Pemerintah Pusat dalam kasus ini diwakili oleh Purnomo Yusgiantoro, Menteri ESDM, harus bernegosiasi dan mengakomodasi kepentingan dari elit lokal. Situasi ini menurut Migdal merupakan situasi pemerintah yang lemah.[1] Konflik yang terjadi dalam proses divestasi KPC dapat dimasukan kedalam konteks runtuhnya struktur lama dari ekonomi politik Indonesia. Dalam hal ini, Robison dan Hadiz berargumen :
“The fall of Soeharto opens the door to a fresh round of struggles to reshape and to redifine economics and politics.[2] It does open the door for a fresh round of struggle that mainoly involved the players incubated in the New Order days, who are oligarchs.[3] They futhermore, admit that such struggle took place at the regency level in which local politicians have come to develop political capability and were tryung to shape politics and economics in their locality[4].”

Adanya pola baru dalam interaksi politik antar berbagai aktor di Indonesia yang terjadi dalam kasus divestasi KPC merupakan kajian yang belum banyak dikaji. Jika sebelumnya pola yang berlangsung adalah pola patrimonial yang ditandai hubungan aliansi kepentingan politik antara Soeharto dan Gubernur di daerah. Pola patrimonial ini disebabkan adanya kontrol subsidi anggaran belanja daerah yang ditentukan secara sentralistis dan ketergantungan elit lokal terhadap Soeharto atas karier politik mereka lewat militer dan Golkar. Sejalan dengan kebijakan desentalisasi terjadi pula perubahan distribusi kewenangan antara pemerintah pusat, gubernur, walikota/bupati dan DPRD. Demikian juga dalam sistem pemilihan kepala daerah, jika sebelumnya gubernur, bupati/walikota dipilih oleh DPRD kemudian berubah ke proses pemilihan secara langsung.
Aliansi politik yang diciptakan oleh Soeharto kemudian menghilang dan digantikan oleh diversivikasi jaringan politik berdasarkan partai politik.[5] Selain itu perubahan distribusi kewenangan menyebabkan perubahan pola interaksi antar aktor baik itu antara pusat dan daerah, maupun dengan MNC. Gubernur Kalimantan Timur, Suwarna Abdul Fatah, misalnya berupaya membangun aliansi politik antara sesama elit lokal dan elit nasional dari unsur DPR, Menko Perekonomian dan Menneg BUMN dalam perjuangannya membeli divestasi saham KPC. Aliansi politik yang dibangun oleh elit pada tataran provinsi menghadapi MNC dan Pemerintah Pusat tidak pernah terjadi dalam sejarah Orde Baru.
Begitu juga yang terjadi dalam interaksi yang terjadi antara modal dengan pemerintah. Jika pada masa Orde Baru usaha-usaha yang dilakukan oleh pengusaha dalam mempengaruhi kebijakan politik dilakukan dengan membentuk organisasi korporatis (KADIN, dll) dan memanfaatkan hubungan personal dengan Soeharto, maka pasca runtuhnya Orde Baru kekuatan struktural pengendali modal mampu mempengaruhi kebijakan politik suatu pemerintahan. Apabila pada masa Orde Baru pemilik modal tidak melakukan intervensi langsung pada proses pembuatan kebijakan yang disebabkan oleh begitu berkuasanya Soeharto, maka periode pasca Orde Baru terutama dalam kasus divestasi KPC secara jelas memperlihatkan kehadiran pemilik modal dalam kontestasi politik. Sehingga memperlihatkan posisi yang saling berhadapan antara elit ditingkat nasional dengan tingkat lokal. Selain itu, pemilik modal ternyata tidak hanya mencoba mendekati pemerintah pusat, tetapi juga pemerintah daerah. Dalam kasus ini juga berhasil membangun aliansi dengan pengusaha sebagai sumber pendanaan.
Namun begitu, aliansi politik yang dibangun oleh Suwarna harus berhadapan dengan kebijakan yang ditentukan oleh Pemerintah Pusat dan secara langsung lebih menguntungkan investor asing.[6] Dalam kasus ini, KPC berhasil meyakinkan Menteri ESDM agar lebih berpihak membela kepentingan KPC. Sehingga meskipun pemerintah daerah mengalami penguatan kewenangan dan memiliki aliansi di tingkat lokal serta nasional, namun usaha-usaha yang dilakukan selalu berujung pada kegagalan. Ini disebabkan oleh ketidakberpihakan penentu kebijakan kepada pemerintah daerah.
Pola hubungan antara bisnis dan politik yang ada di Indonesia pada masa Orde baru telah dijelaskan oleh beberapa ilmuan dalam berbagai karya mereka. Benedict Anderson misalnya berpendapat bahwa pada era Orde Baru, hubungan bisnis dan politik lebih banyak difokuskan pada negara. Anderson berargumen bahwa ada disfungsi antara kepentingan masyarakat dan negara. Dia menggambarkan negara sebagai entitas yang dapat melayani dirinya sendiri, mengikuti keinginan dirinya sendiri ketimbang kepentingan yang lain dalam masyarakat. Orde Baru dianggap sebagai konsumen sumber daya dan pendapatan minyak. Walaupun negara berada dalam tangan militer, kebijakan adalah refleksi kepentingan negara, ketimbang kelas diluar negara atau kelompok lainnya, dengan pengecualian terhadap modal asing. Dapat diinterpretasikan bahwa sebagai respons kepada pandangan instrumentalis marxis yaitu negara sebagai alat kelas kapitalis.[7]
Kemudian Andrew Mc Intyre juga mencoba menjelaskan mengenai bureaucratic polity dan kelompok patrimonial. Esensi dari patrimonial adalah kepala negara mengoperasikan sikap perbandingan kepada pemimpin tradisional untuk menyiapkan dispensasi hadiah materiil dan kesempatan untuk memimpin anggota elit. Elit dibagi dua yaitu klik musuh yang memperjuangkan patronase dan pemimpin yang lebih luas. Sedangkan model patrimonial menekankan jaringan pyramid hubungan patron-client, karakteristiknya hubungan personal antara individual yang berbeda status, dengan klien yang dependen dengan bantuan patron dalam pengaruh posisinya. Dalam model ini dapat dikaraktersitikkan bahwa politik tidak lagi berbicara konflik isu kebijakan yang substantive, tetapi kompetisi atas hadiah materiil dan jabatan. sedangkan dalam pengertian model patrimonial Riggs “Bureaucratic Polity” adalah elit birokrasi terpisahkan dari kepentingan masyarakat dalam determinasi kebijakan.[8]
Ilmuan lain seperti Jhon Sidet mencoba menjelaskan gejala baru yang ada pasca runtuhnya Orde baru dengan munculnya borjuisme lokal. Kemunculan borjuisme lokal sendiri tidak dapat dilepaskan dari adanya desentralisasi yang melimpahkan wewenang kekuasaan pada elit lokal. Selain itu desentralisasi juga menimbulkan devolusi kekuasaan atas dispensasi sumber-sumber daya negara serta pemberlakuan dan pelaksanaan peraturan-peraturan negara. Secara keseluruhan kekuasaan telah berpindah “ke bawah” dan “keluar” dari birokrasi yang sangat terpusat dan berakar sangat kuat di Jakarta kepada DPRD dan pemerintah daerah di seluruh Indonesia. Borjuisme lokal sendiri berarti adanya kekuasaan lokal yang besar yang dikuasai oleh kelompok elit dalam masyarakat lokal yang dihubungkan dengan penguasaan terhadap akses ekonomi dan politik yang terlihat dari adanya jaringan baru antara pengusaha dan elit lokal.[9]
Konsep borjuisme lokal yang diajukan oleh Sidet ternyata dapat terlihat jelas dalam proses divestasi KPC ini. Pemprov Kalimantan Timur dalam usahanya membeli divestasi saham KPC merangkul David Salim yang memiliki kekuatan sumber pendanaan yang dibutuhkan, meskipun peran David Salim tidak banyak terkuak dalam berbagai interaksi politik yang terjadi antara elit lokal, elit nasional dan MNC yang terjadi.
Usaha yang dilakukan elit lokal dari Provinsi Kalimantan Timur dan Kabupaten Kutai Timur dalam menuntut pembelian divestasi saham KPC sejak tahun 2000 hingga 2007 merupakan reaksi atas regulasi dalam sektor pertambangan yang selama ini bersifat sangat sentralistik.[10] Kebijakan mengenai pertambangan sepenuhnya diatur oleh birokrasi ditingkat pusat. Selain itu, selama masa Orde Baru di mata elit pemerintah daerah dan elit lokal Kalimantan Timur sistem bagi hasil yang ada dinilai tidak adil. Sebagai salah satu provinsi terkaya di Indonesia, hasil kekayaan yang dinikmati oleh masyarakat di Kaltim hanya sebesar 10 persen. Sisanya dinikmati oleh Pemerintah Pusat maupun MNC. Sehingga ketika ada kesempatan untuk menguasai kepemilikan pertambangan lewat proses kewajiban divestasi yang diatur dalam Perjanjian Kerjasama Pengusahaan Penambangan Batubara (PKP2B) maka berbagai cara dilakukan oleh elit lokal, baik melaui proses negosiasi maupun proses politik. Ini dikarenakan kepemilikan terhadap saham KPC merupakan langkah yang sangat signifikan untuk memperbaiki perekonomian di Kalimantan Timur
Namun ketika lahir kebijakan divestasi saham KPC oleh Pemerintah Pusat, elit Kaltim terpaksa melalui proses politik yang berkepanjangan dan penuh polemik. Hal ini bukan hanya dikarenakan relasi kekuasaan yang terjadi antara elit lokal dan elit nasional yang memiliki kepentingan ekonomi politik masing-masing, tetapi juga keterlibatan kekuatan struktural pengendali modal yang memiliki kepentingan tersendiri atas sumber daya ekonomi yang selama ini dikuasainya. Padahal bagi daerah yang kaya sumber daya alam pertambangan seperti Kalimantan Timur kepemilikan terhadap sumber pertambangan selain untuk kepentingan pragmatis ekonomi yang cukup besar, juga penting untuk pengendalian terhadap berbagai masalah yang ditimbulkan oleh keberadaan situs pertambangan terhadap lingkungan dan masyarakat.
Proses divestasi tambang batu bara terbesar di Indonesia ini dimulai pada tahun 1998, setelah dua tahun Pemerintah Pusat mengabulkan permohonan penundaan kewajiban yang diajukan oleh KPC. Terdapat beberapa peminat dari BUMN seperti PT Timah, PT Bukit Asam dan PT Aneka Tambang yang ingin membeli KPC. PT Timah sebagai pihak yang ditunjuk pemerintah untuk membeli 23 persen saham KPC sempat melakukan proses divestasi hingga pada tahapan due diligence, namun akhirnya usaha tersebut kandas akibat alasan tidak ada sumber pendanaan untuk membeli KPC. Kehadiran reformasi dan adanya dasar hukum yang jelas kemudian memberi kesempatan kepada daerah untuk memiliki dan menambah aset kepemilikan ekonomi. Pada tanggal 1 Maret 2000, Pemprov mengajukan penawaran terhadap 30 persen saham KPC yang akan di divestasi senilai 175 juta dollar AS. Selain itu, Pemprov juga mempertanyakan jumlah saham yang seharusnya ditawarkan KPC karena tidak sesuai dengan PKP2B. Kepemilikan KPC oleh Pemda merupakan langkah strategis untuk meningkatkan kesejahteraan masyarakat lewat penambahan PAD dari dividen saham kepemilikan.Untuk membeli KPC, Pemda Kaltim menggandeng pihak ketiga sebagai sumber pendanaan yaitu PT Intan yang dimiliki oleh David Salim.
Namun, di tengah langkah pemerintah daerah yang ingin membeli divestasi saham KPC, terdapat penolakan dari elit nasional yang lebih berpihak kepada KPC. Kewenangan Pemerintah Pusat yang dalam permasalahan ini diwakili oleh Menteri Energi dan Sumber Daya Mineral, Purnomo Yusgiantoro. Tetapi, keberadaan Purnomo ternyata lebih menguntungkan pihak KPC daripada Pemprov. Hal itu terjadi karena manuver-manuver yang dilakukan Purnomo dinilai merugikan Pemda. Purnomo mengulur-ulur proses divestasi dan mempertanyakan sumber pendanaan Pemprov Kaltim. Begitu juga yang dilakukan oleh KPC dengan mempersoalkan berbagai hal yang ada di PKP2B.
Negosiasi yang tidak membuahkan hasil, akhirnya membuat tarik ulur kepentingan antara KPC, elit lokal, dan elit nasional akhirnya berujung di pengadilan. Pemprov Kaltim selain mengajukan gugatan perdata kepada KPC, pemegang saham, anggota direksi dan penasehat hukum KPC di PN Jakarta pada 17 Juli 2001. Pemprov Kaltim juga melakukan gugatan terhadap Menteri ESDM melalui PTUN Jakarta.
Selain menempuh jalur hukum, Pemprov juga menempuh jalur politik dengan membawa masalah ini ke DPR RI dan menggalang dukungan dari seluruh elemen di tingkat lokal. Upaya melalui jalur politik ini cukup berhasil dilakukan oleh Gubernur Suwarna, terbukti DPR kemudian mendesak Pemerintah untuk memerintahkan KPC untuk menawarkan 51 persen saham KPC sebelum 31 Juli 2002. Dalam rapat kabinet terbatas pada 30 Juli 2002, pemerintah pusat kemudian memutuskan pembagian 51 persen saham KPC. Sebesar 20 persen untuk pemerintah pusat dan sisanya untuk pemerintah Kalimantan Timur.
Keputusan rapat kabinet yang memecah saham KPC menjadi aneh karena sebelumnya Menteri Keuangan telah menyatakan Pemerintah Pusat tidak berminat melakukan pembelian divestasi saham KPC. Keesokan harinya KPC melakukan penawaran saham sesuai yang diputuskan oleh pemerintah. Melihat kenyataan saham KPC dipecah lewat keputusan sidang kabinet dan penawaran KPC, Pemprov melobi Laksamana Sukardi, Menteri Negara BUMN, untuk membuat satu kesatuan saham di bawah satu konsorsium yang diberi nama konsorsium merah putih agar kepentingan nasional dapat lebih terjaga ketika menguasai saham KPC secara mayoritas. Lobi yang dilakukan dengan Laksamana kemudian berhasil dilakukan oleh elit lokal. Ini disebabkan selain untuk menjaga kepentingan nasional juga karena PT BA tidak memiliki pendanaan yang cukup untuk membeli KPC.
Menanggapi keberhasilan dibentuknya konsorsium merah putih, Purnomo kemudian secara diam-diam menandatangani Framework Agreement (FA) pada September 2002 dengan KPC. FA berisikan keharusan pembeli divestasi memecah kepemilikan saham menjadi dua bagian. Sehingga pemilik saham terbanyak tetaplah Rio Tinto dan BP. Pada Desember 2002 BUMD milik Pemprov Kaltim, PD MBS dan BUMD milik Pemkab Kutai Timur PD Pertambangan dan Energi meminta FA tersebut dibatalkan melalui PN Samarinda. PN Samarinda kemudian memutuskan pembatalan FA karena mengandung kausa yang tidak halal/terlarang sehingga menjadi batal demi hukum. Hal ini tentunya membuat Purnomo berang. Kemudian Purnomo mengirim surat protes ke PN Samarinda, begitu juga dengan KPC. Hal ini menjadi menarik karena KPC dan Purnomo sepertinya berada pada posisi yang sama dalam menghadapi Pemprov Kaltim dan Pemkab Kutim.
Permasalahan semakin menarik ketika proses tersebut sedang berlangsung, Bumi Resorces membeli KPC dengan melakukan Sales and Purchase Agreement Kalimantan Coal Limited dan Sanggata Holding Ltd. Keduanya adalah induk perusahaan KPC milik Rio Tinto dan BP. Pasca BR menguasai KPC, dilakukan “divestasi” yang aneh kepada Pemkab Kutai Timur dan Sitrade Nusa Globus. Divestasi ini dinilai aneh karena terdapat transaksi yang janggal dan pengalihan saham kembali kepada BR setelah melakukan divestasi.
Konflik yang berkepanjangan ini menjadi lebih rumit ketika terjadi pergantian rezim. Aburizal Bakrie yang merupakan pemilik saham mayoritas di Bumi Resources diangkat menjadi Menko Perekonomian. Beberapa hari setelah dilantik menjadi Menko, ia membatalkan keputusan sidang kabinet tentang rencana pembelian saham KPC antara pemda dan pemerintah pusat untuk membeli divestasi KPC. Ini berarti, telah terjadi konflik kepentingan pribadi Aburizal sebagai Menko yang menguntungkan dirinya sendiri. Selain itu, posisi Aburizal yang kuat secara politis dalam menentukan kebijakan ditingkat pusat juga didukung oleh “dimensi struktural kekuatan para investor” sehingga langkah Pemda dalam menguasai KPC semakin sulit.
Setelah tujuh tahun lamanya, kasus divestasi KPC ini kemudian tidak mengalami perubahan yang berarti. Sehingga, pada awal 2007 pemerintah daerah Kaltim membawa masalah ini ke arbitrase internasional. Peristiwa ini kemudian dapat dilihat sebagai sesuatu yang baru lagi. UU Otda mengatur pemberian kewenangan Pemda kecuali di bidang pertahanan, agama, moneter, dan hubungan luar negeri. Arbiterase Internasional adalah salah satu pengadilan internasional yang merepresentasikan pemerintah pusat. Sedangkan kehadiran Pemda dalam kasus ini adalah sesuatu yang baru. Hal ini juga bisa menjadi yurisprudensi bagi Pemda lain untuk membawa kasus ke arbitrase internasional. Padahal dalam PKP2B yang menandatangani kontrak dengan KPC adalah Pemerintah Pusat.
Usaha yang dilakukan oleh Pemerintah Daerah Kaltim dan Kutim untuk membeli divestasi saham KPC adalah suatu hal yang menarik dalam konteks otonomi daerah. Dilihat dari aspek ekonomi politik maka upaya Pemda untuk mencari sumber pembiayaan bagi Pendapatan Asli Daerah, tuntutan divestasi bagi MNC yang bergerak di sektor pertambangan dan cara masing-masing elit dan aktor untuk mencapai tujuannya dalam proses tersebut akan menghasilkan pola interaksi yang menarik untuk dikaji. Bagi elit politik sebagai entitas entitas yang paling dominan dalam menentukan arah kebijakan pemerintah daerah biasanya bertindak berdasarkan kepentingannya masing-masing. Sehingga, semakin banyak dan beragam elit lokal yang terlibat dalam percaturan politik dan bisnis untuk memperebutkan suatu sumber daya, akan semakin dinamis pula interaksi politik yang terjadi dalam perebutan sumber daya tersebut.
Sementara bagi MNC sebagai aktor ekonomi politik yang pada era globalisasi telah mengalami peningkatan jumlah dan perkembangan kekuasaan juga memiliki kepentingan lain.[1] Besarnya investasi yang dikeluarkan untuk membuka situs pertambangan serta teknologi yang dikembangkan sendiri menjadikan kepemilikan terhadap unit usaha yang menguntungkan akan tetap dipertahankan.
Interaksi yang terjadi dalam proses usaha pembelian divestasi KPC oleh elit politik lokal dan nasional adalah sesuatu yang bernilai politis. Hal ini disebabkan oleh interaksi yang dilakukan keduanya, baik ketika menggunakan instrumen pengadilan maupun ketika menggunakan jalur negosiasi, merupakan kajian baru dalam studi politik lokal di Indonesia. Keterlibatan pengendali modal dalam mempengaruhi kebijakan politik pemerintah juga merupakan suatu hal penting dalam menganalisa kasus ini. Dalam kasus KPC, paling tidak terdapat dua periode keterlibatan kekuatan pengendali modal. Pertama ketika kepemilikan masih berada di tangan Rio Tinto dan BP. Kedua, ketika kepemilikan berpindah ke Aburizal Bakrie yang kemudian juga menjadi elemen penting dalam pemerintahan di tingkat pusat.
[1] William Robinson, A Theory of Global Capitalism, (The Johns Hopkins University Press: Baltimore and London, 2004) hal xiv

[1] Migdal berargumen bahwa the weak state terjadi ketika elit lokal menguat dan mampu menguasai agen-agen dan sumberdaya yang dimiliki pemerintah pusat. Pembatasan otonomi dan kapasitas pemerintah pusat menyebabkan posisinya menjadi lemah. Lihat Joel Migdal, Strong States, Weak States : Power and Accommodation. In Understanding Political Development, (Illinois: Waveland Press, 1988) hal 9
[2] Robison dan Hadiz, Reorganising Power in Indonesia : The Politics of Oligharchy in an Age of Markets. (London dan New York, Routledge Curzon, 2004) hal 27
[3] Ibid hal 40-66
[4] Ibid hal 245-247
[5] Wahyu Prasetyawan “Government and Multinationals: Conflict over Economic Resources in East Kalimantan 1998-2003”, Jurnal Southeast Asian Studies, Vol. 43, No. 2, September 2005
[6] Wahyu, Op.cit
[7] Andrew Mc Intyre, Business and Politics in Indonesia, (Australia: Allen & Unwin, 1992) hal 7
[8] Ibid hal 8
[9] Jhon T. Sidel, Bosisme dan Demokrasi di Filipina, Thailand dan Indonesia dalam Jhon Hariss, dkk, Politisasi Demokrasi: Politik Lokal Baru (Jakarta: Demos, 2005), hal 95
[10] Lihat UU No.11 Tahun 1967 Tentang Pokok-Pokok Pertambangan

Towards Alternative Energy Policy in Indonesia

Towards Alternative Energy Policy in Indonesia:
A Shifted from Oil to Natural Gas and Geothermal
Fathul Nugroho, Lee Kuan Yew School of Public Policy, NUS

1. Introduction
As one of big and most populous countries in Asia, Indonesia consumes an enormous amount of energy. Even though Indonesia is an oil producer, the present production is not enough to cover daily national oil consumption, which is estimated at 1.168 million barrels per day, so it becomes a major problem for the energy sector as well as the economy of Indonesia. In order to answer that issue this paper highlights the importance of Indonesia to select other alternative energy resources other than oil as the main energy resources respecting on energy security and economic constraints. The First section of this paper will discuss on the Indonesia’s current oil consumption and on the depletion of Indonesia’s oil reserves. The second section will address natural gas as cheaper and cleaner fossil fuels as alternative energy. And the third section will talk about geothermal as another favourable alternative energy sources for generating electricity.

2. Current oil consumption
2.1 Oil as primary energy resources
Like in any other countries in the world, in Indonesia, fossil fuels, particularly oil have become the main energy sources for several purposes, and particularly oil. Since long time ago, oil has become the main energy that uses in daily activities, people use oil for generating electricity, cooking, transportation, and for industrial purposes. Compared to other sources of energy that available and generally used in Indonesia, oil has the highest percentage as the energy source used by the people. In 2002, the proportion of oil as energy sources is 34 percent, followed by natural gas 32 percent, coal 29 percent, hydro 4 percent, and geothermal is only 1 percent. Even though the percentage of oil consumption and natural gas is only a bit different, oil has steadily increasing trend to be used by Indonesia people in the future, while natural gas has downward sloping trend.

Moreover, suppose that in 2010 fossil energy uses will increase by 10 % from now, oil consumption is likely to have the largest increase, then followed by coal consumption. Natural gas consumption, however, seems to decreased. From the regression analysis, oil consumption trend has steeper slope than other types of fossil energy. We can estimate that every increase one year in the future, oil consumption in Indonesia will increase by 0.0738 exa joules, for example, by an increase of 10 % in year 2010, oil consumption will be 1.52526 exa joules.

Transportation sector is become the main factor that caused largest increase in the future oil consumption in Indonesia is to be likely has the largest increase. Transportation is the major sector that consumes oil fuels, and the trend shows that it is going to increase in the future. For instance, based on the data from Ministry of Energy and Minerals of Indonesia (ESDM, 2007), in 2001 transportation consumed about 22,939,581 kilo litres of gasoline, which is 43.12 % from the total gasoline consumption, and it was increasing rapidly in 2002, which is consumed about 26,766,910 kilo litres or 46.80 % from total national consumption, it was surprising to see that the consumption of gasoline is remain high even though the government has boosted up the gasoline price during that time, but still many people had consumed gasoline for transportation. In addition, in 2005 transportation sector had consumed more than in previous years, that is, 29,966,073 kilo litres of liquid fuels, which is 48.29 % from the total liquid fuels consumption.

On the other hand, the percentage of gasoline consumptions of residential and industrial sectors are equally the same about 20 % from the total national consumption in 2002, and the trend of these sectors indicates diminishing scale of consumption. In 2002, the gasoline consumption by industrial and residential sectors are 11,622,937 and 12,259,498 kilo litres or equal to 21.43 % and 20.32 % from total nationwide consumptions, but it was decreasing in 2005, which is 19.01 % for industrial consumption and 18.20 % for household consumption. In addition, electricity also has contribution to the increasing rate of national gasoline consumption, in 2004; Indonesia had 25 gigawatts (GW) of installed electricity generating capacity. By 2004, Indonesia produced about 112.6 billion kilowatt-hours (Bkwh) of electricity, and 86 percent of which had come from conventional thermal sources such as oil, natural gas, and coal (Cogen3, 2004). And in this context, the electricity sector had consumed 6,796,916 litres of oil in 2004, and sharply increased to 9,003,023 litres in 2005. The table below shows that total national consumption of gasoline is at increasing rate, for instance, from 2004 to 2005, gasoline consumption had increased from 61,601,811 to 62,061,438 litres.
Gasoline Consumption in Indonesia 2001 - 2005 (Kilo Litres)






Year
Residential
Transportation
Industrial
Electricity
Total
2001
8,172,429
22,939,581
11,091,353
11,000,141
53,205,505
2002
11,622,937
26,766,910
12,259,498
6,548,939
57,200,286
2003
11,074,403
27,110,259
11,197,083
7,852,355
57,236,103
2004
11,787,354
29,520,778
13,494,759
6,796,916
61,601,811
2005
11,294,676
29,966,073
11,795,661
9,003,023
62,061,438
Source
: Ministry of Energy and Minerals of Indonesia



2.1.1 The depletion of oil reserves in Indonesia
Refer to the national oil consumption and Indonesia’s current production, Indonesia’s oil reserves is being depleted. As mentioned above, currently Indonesia faces large increase in average per capita oil consumption, the annual rate is around 0.05 %. For instance, in 2005, per capita oil consumption is 19.85 litres per month, it has increased from the 19.51 litres in 2004, and the trend is increasing. In addition, the population of Indonesia is also getting bigger with the trend is increasing as well, as a result Indonesia’s future consumption of oil will be likely to increase. However, the increasing of oil consumption is not followed by rapid increase of new invention of oil reserves on shore or off shore. Thus, the annually oil production by dropped gradually from 1.55 million barrel per day in 1996 to 1.01 million barrel per day in 2005. On the other hand, the oil consumption rose steadily from 706 thousand barrels per day in 1992 to 1.14 million barrels per day in 2003. Consequently, in the beginning of 2004 Indonesia began net importer due to the oil consumption overshoot the oil production since 2003.

Regarding the Indonesian oil production, in 2005, Indonesia produced 1.07 million barrels per day, and the 81 percent of which was a crude oil. Indonesia’s total oil production has dropped by 31 percent since 1996, as many of world oil producers experienced the same thing. Currently, Indonesia hold an OPEC quotas as much as 1.45 million barrels per day, it was overstated of Indonesia’s current production. Some OPEC members think that Indonesia should not join in OPEC anymore because Indonesia no longer a net oil exporter. But, since Indonesia is one of the founders of OPEC, Indonesia is still joining OPEC.

Furthermore, in 2005, Indonesia has some largest oil production fields, but most of these fields have already reached its maximum peak and its production capacity has been declining. Many of oil exploration projects are in progress in Indonesia right now. However, up to now, these projects have not produced adequate new oil resources on-stream to cover the diminishing volume of production at some older fields (EIA, 2007). But, there were some under-developed oil fields that have large reserves potential such as a Cepu block located in Central and East Java. ExxonMobil, the contractor that is going to take over the oil production in this field estimated that Cepu bock could hold up to 600 million barrels of recoverable oil reserves, and 250 million barrels of it is proven. In addition, the World Oil (2005) estimated that Indonesia’s proven oil reserves is 5.03 billion barrels, meanwhile BP Statistical Review (2005) estimated that Indonesia has only 4.7 billion barrels proven oil reserves, moreover, Oil and Gas Journal had estimated that proven oil reserves in Indonesia is declined to 4.3 billion barrels. In other words, Indonesia’s oil reserves are diminishing over time and it should be concerned by the government of Indonesia.

Indonesia's Proven Oil Reserves
Oil
Oil
Oil
(Billion Barrels)
(Billion Barrels)
(Billion Barrels)
BP Statistical Review
Oil & Gas Journal
World Oil
Year-End 2005
January 1, 2007
Year-End 2005

4.300
5.025


2.1.2 Security constraint of oil

The oil and gas industry has an important role in Indonesian economy; it is a major contributor to Indonesia’s state budget. Every year, oil and gas had contributed at least 30 percent to Indonesia’s GDP, so oil and gas is a key contributor to the Government of Indonesia’s total revenue. According to International Petroleum Monthly, Indonesia is ranked 20th in world oil production and owned 1.4% of market share. Its gas production was ranked 9th globally with 2.7% market share (EIA, 2007). However, since Indonesia no longer become a net oil exporter and the consumption of oil already exceeds the oil production, the government should be more concerned on this problem. Since it not only affected the government’s budget, but now it has become a security issue regarding the scarcity of available oil, or in other words, the government now should be concerned on the sustainability of Indonesia’s oil production.
Furthermore, the increasing on world crude oil prices from last year was extraordinary. Although some countries have already left their winter season, the demand for oil of those countries ought to decrease, but, the world’s oil prices is still high, and this year the price of oil was above $ 70 US dollar per barrels, and reached the highest point almost $ 100 US dollar per barrels. This high increases of oil price was triggered by geopolitics problem on Iranian nuclear and political instability in Middle East and high demands from international market.

In my opinion, the increases on oil price will continue, since the demand from large country such as US and China is remain high. In this case, the government of Indonesia should reduce the consumption of oil nationwide and should also encourage the people to be smarter and more efficient in using oil in order to deal with high price of oil. The high consumption of oil in Indonesia is due to extravagance behaviour by the public. The increasing number of cars and motorcycles caused the transportation sector to consume large amount of gasoline. For instance, in Jakarta, with resident around 8 million people there were 2 million motorcycles, suppose each family consist of 4 persons, it means that each family in Jakarta has their owned motorcycles. Indeed, many families in Indonesia have more than one motorcycle, and also large numbers of families have their owned cars. This extravagance behaviour is even worse caused by traffic jam that happened not only during peak hours, but almost every time. From this situation it is clear that Indonesia should reduce its high dependence of oil by shifting to other energy resources.

2.1.3 Budget constraint; cost for oil subsidies
Indonesia historically has maintained consumption subsidies for domestic retail petroleum consumers, with the fuels being retailed at a discount rate from world market prices. After a series of modest raises in petroleum prices over the past few years, Indonesian government announced a sharp rollback of subsidies in September 2005. Prices of retail gasoline and diesel rose by an average 100 %. It was so hard for the people, especially for the poor, since the highest increase was on gasoline for household uses. In the national budget 2007, the government of Indonesia still provide subsidies Rp 68.6 trillion for oil and Rp 25.8 trillion for electrics; which together accounted for almost 14 percent from the total national budget. This high budget allocation for oil and electricity subsidies was because the government has not yet shifted to the substitution for petroleum such as natural gas, geothermal, and also newest energy sources like biofuels that are cheaper than oil and more affordable to the public.

Furthermore, the government should be concerned of the increase in oil consumption by, it is important to anticipate the increasing budget of oil and electricity subsidies that should be allocated by the government, large number of subsidies will lead to the increases of Indonesia’s current account deficit. For instance, in 2006, the government pegged the price of oil in its budget at $ 57 US dollar per barrel, and during that time the world price of oil is above $ 70 per barrel. Consequently, Indonesia’s current account deficit was increased, and the government had to add more budget allocation in the national budget revision. In addition, during 2006 and onset of 2007, the government had failed to maintain the oil supply in some region in Indonesia, there was emerged a scarcity of oil stock and the people have to wait for several hours for getting oil.

3. Alternatives resources of energy

In order to anticipate further crisis on oil supply, the government of Indonesia should establish policy by which national planning on energy diversification could be realized soon, so that the dependence of Indonesia on oil as main energy sources can be discharged. Diversification of energy is one of strategic steps to reduce the dependence of oil in the future, through diversification of sources of energy, Indonesia will be able to provide cheaper and cleaner energy, and reduce the budget for oil subsidies as well as security problems on oil.

Currently, Indonesia has several options in choosing the alternatives energy. There are abundant resources of energy such as natural gas, geothermal, coal, water, biomass, even solar and nuclear energy. From these several options of alternative energy, natural gas, geothermal, and coal are the most favourable as alternative of energy. Natural gas and geothermal provide environmental friendly of energy. As energy resources natural gas is cleaner compare to other fossil fuels energy due to its low CO2 emission, while geothermal is almost free from CO2 emission. In addition, natural gas and geothermal energy are available in large amount of potential reserves and sustainable for long term Indonesian main energy resources.

3.1.Natural Gas
3.2.The Reserves Potential


BP Statistical Review (2005) estimated that Indonesia’s proven natural gas reserves is 97.428 trillion cubic feet, meanwhile, the latest estimation from Oil and Gas Journal (2007) estimated that Indonesia had 97.780 trillion cubic feet (Tcf) of proven natural gas reserves as per January 2007. Currently, Indonesia is the tenth largest holder of proven natural gas reserves in the world and the single largest in the Asia-Pacific region (EIA, 2007). By January 2007, Indonesian government stated that more than 70 percent of natural gas reserves are located offshore, with the largest reserves found off Natuna Island, East Kalimantan, South Sumatra, and West Papua.

Even though Indonesia’s natural gas reserves is not the largest in the world, in 2004, Indonesia was the world’s largest exporter of LNG with an export of 1.2 trillion cubic feet or 21 percent of the total world export (BP Statistical review, 2004), the majority were exported to Japan, South Korea, and Taiwan. In 2004, Indonesia produced 2.66 trillion cubic feet of natural gas, while the national consumption is 1.31 trillion cubic feet. From the graphic, we could see that the disparity of Indonesia’s natural gas production and consumption is more than enough to cover national consumption if the government has started to largely shift from oil to natural gas. In addition, the effort to shift natural gas toward national uses as a substitute for the declining in oil production; should be followed by larger natural gas exploration activities in order to maintain its LNG export level. However, the plan to shift from oil to natural gas has impediments on limited natural gas infrastructure for transmission and distribution network that should be constructed by the government.

3.2.1 Cheaper and cleaner energy for industry and home uses
The usage of liquid natural gas (LNG) in Indonesia as energy sources for household and industrial is still low compared to neighbouring countries. In Malaysia, around 5 percent of people are consuming LNG, and in Thailand the number of people using LNG is around 2 percent. Meanwhile, in Indonesia only around 0.5 percent of citizens are consuming LNG, or about one million tons of LNG per year. More economical, through simple and rough calculation, Indonesia will no longer need to import kerosene to supply household and industrial sectors if the government successful on the energy conversion program from oil to LNG. For instance, Indonesia’s consumption on LNG in 2004 is equal to 1.31 trillion cubic feet and the production is 2.66 trillion cubic feet, thus the disparity between production and consumption is 1.35 trillion cubic feet. If we converted this disparity to kerosene, it equals to 38,227,742,910 kiloliters of kerosene. Assume that the disparity of available production is not exported; it will be more than enough to cover annually gasoline consumption that in 2005 is equal to 62,061,438 kilolitres. In addition, natural gas is source of energy that has low carbon dioxide emission, by shifting from using oil to natural gas Indonesia will contribute in reducing climate change effect in the world.

3.3. Geothermal

3.3.1 Renewable Energy Resources
As country that located on the ring of fire zone, Indonesia has a large amount of available geothermal energy resources. The ring of fire that is a line where many volcanos located on it is passed about 20% area of Indonesia. These volcanoes produce geothermal energy. However, as energy resources, geothermal has some limitations. First, geothermal energy is commonly use for generating electricity, since the heat from the geothermal sources cannot be transported to other site that far away from the heat source, so it requires the electrical power plant to be developed on-site. Second, from the economic point of view, the development of geothermal power plant requires high investment of capital, however, once the power plant installed its variable and marginal cost are quite low.

3.3.2. High potential reserves for power plant energy sources
According to Pertamina (2007), a state-owned oil company, Indonesia’s potential reserves of geothermal energy is about 20,000 MW or equivalent to 9 billion barrels of oil, it almost a one third of the worlds geothermal resources. Almost half of this potential, which is 8,000 MW, is located in Java and Bali, the most populous islands with the highest demand for electricity. From geological surveys that have been carried out on 214 locations Pertamina confirmed that from the total potential reserves, about 2,245 MW is proven reserves and total probable and possible proven reserves is 7,165 MW. In this context, if the government of Indonesia could maximize this geothermal potential reserves and able to install power plants on those potential sites, about 9 billion barrels of oil can be saved by the government.

4. Conclusion

Based on above discussion, the government of Indonesia should reform the country’s energy sector. Indonesian energy sector has been consuming large amount of oil as the main energy resources in inefficient ways. By addressing alternative energy policy, the government of Indonesia will force national plan to shift from oil to natural gas and geothermal energy to be realized in a shorter time. Finally, this policy is expected to prevent Indonesia from oil crisis that had happened many times in the past.

Sharia Law in Indonesia

Sharia Law in Indonesian Local Context: Motivation and Implementation, Case: Banten, West Java, South Sulawesi and Aceh.
By: Fauzan Zidni, Lee Kuan Yew School of Public Policy, National University of Singapore

I. Introduction
Based on Law 22/1999 on local government and decentralization, greater autonomy in deciding and conducting the development process was granted to local governments in Indonesia. At the same time, the rise of Islamist movement within new democratic atmosphere after the fall of New Order regime has been a great chance for them to offer something different to the citizen. The issue of implementing Islamic sharia law became one of important issues at the local level.
The main purpose of this paper is to explain the motives both ideological and historical behind implementation of sharia by many various actors in local context. Secondly, it will discuss how it is implemented and the reaction from other political actors. Thirdly, it will compare Aceh, South Sulawesi, Banten and West Java cases. And finally it will give the impact of sharia implementation to the society as a conclusion.

II. Motivation behind Sharia Law
The idea of implementing sharia has been developing rapidly at the local level since early 2000 and it refers to Law 22/1999 as a basis for sharia regulation. Interestingly, autonomy laws specifically stated that religion remains a central government’s matter and province or municipal governments don’t have authority in this area.[1] Nevertheless, the central government has never proscribed local government from implementing sharia law. Moreover, there are many reasons for local elites to implement sharia law. It has been viewed as a product of Indonesia’s historical and political context, the ideological reason for some Islamist movements is that Islam’s seen as the only solution, and as a political populist strategy.
II.a Historical Reason
Indonesia has the largest Muslim population of any country.[2] It has 177.5 million Muslim or 88.2 percent of the total population.[3] This big number is created by long history of Islam penetration to Indonesia. It first came to Indonesia since the thirteenth century in north Sumatra and east Java and by the seventeenth century it has been accepted within most communities throughout the archipelago. In that period many Islamic kingdoms have implementing sharia.
During the colonial era, Muslim community had made the Dutch feared undermining their authority in the colony. Almost all of the fighters against the colonial government were Muslim and had used Jihad in the name of Allah and their freedom. Responding to this situation and to conquer Aceh,[4] Dutch Scholar, Snouck Hurgronje proposed two approach to control the situation. First, to suppress any overtly political expression of Islam, and second, not to interfere with other aspects of the Islamic faith, including the hajj.[5] He had suggested the Dutch respect Islamic Law with regards to personal and family matters.
Later on, since 1920s the debate whether Islam will be the ideological basic for Indonesia after independence, happened among the youth leaders. Sumpah Pemuda declaration on October 28 1928 presented the unity within one blood-tie, the Indonesian homeland, one race – the Indonesian nation, one language – Bahasa Indonesia. The idea of Islam as a foundation for future Indonesia was not agreed by many of the people at that time.
The struggles to implement sharia then continue in the Preparatory Committee for the Indonesian Independence (BPUPKI). This was a very important phase because it was directed at obtaining formal legislation and was believed to be able to give a constitutional foundation for the impelentation of Sharia in Indonesia. During writing process of the 1945 Indonesian Constitution, eastern Indonesian Christians spread threat to get themselves separated from Indonesia if the preamble of 1945 Constitution contained a phrase that would politically obligate all Indonesian Muslims to practice their religious duties (Jakarta Charter). In respond to their pressures, PPKI excluded the words and left the article with only phrase of “a belief in one God”. The minority non-Muslim politicians had backup from the secular nationalist.[6]
In Liberal Democracy era (first phase of old era), 40% total share Islamic parties in parliament had attempt to defend basic state conceptual as a religion. Since they didn’t garner the two-third majority, the debate in Constituent Assembly between Nationalist and Islamic group on the Jakarta Charter heated up. Constituent Assembly stuck in a long debate to amend the constitution. Left with no option, President Soekarno had to end the dispute with an abolishment for Constituent Assembly and reverted back to 1945 Constitution.
Furthermore, the New Order era under Soeharto set Pancasila as the sole foundation (asas tunggal) of all political parties, social and religious organization in Indonesia. Any aspiration to restore Jakarta Charter was seen as an attack on the ideological foundation of the state. Many Muslim activists were jailed that time. In 1990s Soeharto got close to Muslim.[7] After the fall of Soeharto regime, Islamist political parties burgeoned.
For many Indonesian Moslems, political influence is thought to be the right way to reach the goal of implementing sharia law. The new Islamist political party such as PK (become PKS later) and PBB emerged in 1998 to push the amendment of 1945 Constitution to include sharia law. With control over 20 percent of the parliament the new and old Islam political party tried to include article 1 Jakarta’s charter. However, three times they tried in 2000, 2002 and 2004, they failed.[8]
Following this situation, some of Islamist parties decide not to bring this issue to national level. There are several reasons, one of them is to bring this issue to local contest because it’s easier to implement. Therefore, as Anies Baswedan said, the focus is no longer on how to bring Islam into the foundation of the state, but how to bring Islamic coloration into policies produced by the state.[9] The attempt to implement sharia shifted then from Islamist party to another actor such as individual in local context and Islamist Organization (such as KPPSI). It also shifted from national level to regional and local level.
II.b Ideological Reason
Despite the historical reason, ideology has been the main reason for implementing sharia based on Al Qur’an and As Sunnah. Islamist believes that Islam is the only solution for every single problem in Indonesia. They also believe that the future of Indonesia democracy is highly determined by Islamic factor and it can only prevail if the democratic value explicitly articulated are compatible doctrine of Islam ideologically.[10]
Based on this argument, implementing sharia can be done in two ways, culturally and structurally. It can be done by strengthening cultural and intellectual base to support the vertical mobility and keeping Muslim in pious condition, and structurally, by involving Muslim in political action. Adopting sharia and Islamic value within law and regulation or changing the basic ideology of the state with the Islamic one can only be a solving in political way and limited in term of constitution. [11]
The ideological argument and the necessity through cultural and structural way has been motivated Islamists to enter politics and offer something different to the citizens. Another argument of having sharia is the fact that the rise of political Islam has helped to decrease Islam fundamentalist and extremist movement.
However, the typology and the aim of many Islamic or Islamist movement has created several results. Especially what’s been happening in local context, which is most of them confronted each other. From graph 1 we can see the typology in objective and tactics of Islamic and Islamist group in Indonesian political arena. This typology in ideological term is different with the reality, particularly when pragmatism came. PKS, for instance, has never introduced sharia law in their region.[12] Opposite to that, Golkar and PKB has been introduced sharia law in some of their regions. Adang Darajatun, PKS in Jakarta’s local election for instance, has tried so hard to influence public that if they win, they won’t introduce sharia law such as closing the night entertainment, disco, etc.
II.c Political Populist Strategy
Historical and ideological reasons in some cases may not be the only reasons for implementing sharia. Another reason is the electoral success in case of individual candidates or political parties can secure if they seen as to champion Islam. The reason behind these motives is the direct election in local context for mayor and regent. They use populist issue in term of getting support from the voters. In many areas that have been known for their Islam devotee population, candidates use Sharia as a campaign platform.[13] Popular support effort sharia law tends to be more symbolic than concrete in many case.
III Decentralization and Implementing Sharia Law
The implementation of decentralization policy has raised the growing aspiration for the full implementation of sharia by local law and rule as its legal basis. After Aceh, there are some regions such as South Sulawesi, Cianjur and Tasikmalaya in West Java, Banten, West Sumatra and South Kalimantan started since 2003.[14]In 2005, there were 13 regencies demanding sharia law. By February 2007, 53 or more than 10% of all Indonesian regencies are living life under some form of Islamic-inspired law. If this trend continues with the same rate, in 2011, more than half of all regencies in Indonesia will have sharia law.[15] This part will discuss some of the region and indicated the motives and the reaction from other political actors.

III.a Aceh
Aceh differed in some ways with other sharia law cases in Indonesia. The dissimilarity is not only because it is special autonomy region and new political developed between central government and GAM Insurgent, but also its long history for implementing sharia even before the independence of Republic of Indonesia.
The implementation of sharia laws in Aceh have been there since before Indonesia’s independence. Since the Aceh’s Sultanates, sharia and adat co-existed and they were difficult to distinguish. The correlation between sharia and adat is comparable to the link between the essence of something and it’s characteristic.[16] Dutch colonial rule made a demarcation between Islamic sharia and adat. After the independence of Indonesia, adat law has eliminated by central government, while limited area of sharia law still continued under state courts.[17]
The special autonomy status was given to Aceh in 1959, after the Darul Islam rebellion in 1953 led by Daud Bereueh. It gave greater degree of autonomy from the central government in Jakarta than most other regions of Indonesia have. In October 1999, President Habibie gave Aceh Special regional status (UU No.44/1999). In term of sharia, the law allowed the implementation of sharia in social life, but it did not allow for the establishment sharia court. Then, in August 2001, President Megawati signed UU No. 18/2001; this law gave Aceh special autonomy status and the authority to establish sharia courts. The Majelis Permusyawaratan Ulama (MPU, Ulama Consultative Council) became a body which is responsible for drafting a Qanun (Islamic Law Code), and DPRD (local parliament) Aceh will ratify it.[18] Between 2002-2006 there were 36 Qanun written and becoming the operative law for Muslim in Aceh.[19]
The main argument that implementation of sharia law in Aceh is differed because the central government has recognized it as the official law for Aceh and it is the only one with this formal status. However, there are many pro and cons opinion of sharia law in Aceh. First, fundamental change such as implementation of sharia law in Aceh happened in a conflict situation. Question occurred because many Acehnese desire for Islamic law since the independence of Indonesia, and it has happened when the situation under conflict. Many people believed sharia as only political maneuver from central government to control conflict.[20]
III.b South Sulawesi
South Sulawesi has been known as strong Muslim territory. With 92 percent Muslim population, this area has Islamic insurgent history. Abdul Qahar Mudzakar is the leader of Negara Islam Indonesia/Tentara Islam Indonesia, an insurgent who used arm and force for sharia implementation in 1950-1960. And now, his son, Abdul Aziz Kahar Mudzakkar is chief of the Preparatory Committee for the Implementation of Sharia (KPPSI) argues that the special autonomy granted to Aceh including the implementation of sharia has paved the way for another province to demand the same status.[21] He’s not alone though, with all mayor and regents in the province have expressed their willingness to apply sharia in their area.[22] KPPSI has tried to introduce sharia to the province since 1999.
The text of South Sulawesi draft sharia code was prepared by KPPSI in December 2001. The purpose of the draft is to outline a method for the enforcement of Islamic sharia in South Sulawesi. The document assumes the existing formal structure of the unitary of Republic Indonesia, refers to 1945 Constitution and the laws of RI. There’s no call for Islamic state. KPPSI is a small, self-appointed body claiming some degree of ideological inheritance from earlier Muslim activists including Abdul Aziz father.[23] KPPSI now sees local autonomy as the way to achieve sharia.[24]
It voices became even louder in recent year following three Islamic Congress meetings in 2001, 2003 and 2005. It has prepared its own regulations for regencies.[25] The text was submitted to the provincial parliament of South Sulawesi for implementation in 2001. But it has not yet been implemented. It is an interesting example of a local code, but it is specifically focused on the whole province of South Sulawesi rather than the lower district level. However, it claims to be inspired by local culture as well as sharia.[26] The KPPSI’s sharia draft code has had a diverse response in South Sulawesi. Some of them see they have tried to forge with political institutions there to reflect the political motivation of the proponents of the code.[27] Political institutions such as the governor, regent, mayor, bureaucracy, police, etc.
However, the most interesting in this case is not in term of the text that they proposed. It is very important to notice that the struggle of power to implement the sharia law in South Sulawesi is determining its development. First, the plural understanding of Islam among society and the elite also create difficulty to implement it. Furthermore, because the KPPSI is more to be categorized as a social moral case rather than political power which has authorize to implement sharia by law.
Second, the disagreement has risen from many actors against KPPSI, particularly from the liberal Muslim. Qasim Mathar, one of them comment that KPPSI urge to continue Kahar Muzdakar and NII/TII values, which was left trauma among citizen and went against sharia with the rebellion. And the involvement of many political group and local MP do not deal with issues critically, but rather than because the entire politician are afraid if they reject KPPSI demands they will lose the vote in 2004 elections.[28] Furthermore, KPPSI itself, know that there is opposition to sharia within the province. In order to face this problem they are emphasizing peaceful, cultural and structural approaches to explain the benefits of sharia. This argument has been refused by the opposition such as non Muslim community group, women’s organization. They asked KPPSI to more respond to question on pluralism and women’s right. Because in many other region it’s seems to be biased against Woman.[29]
South Sulawesi local election recently shows that the winner is nationalist coalition (Syahrul Yasin Limpo form coalition of PDIP-PAN-PDK-PDS) beat the incumbent governor from Golkar-PKS coalition. Meanwhile, Abdul Aziz Qahar Muzakar, from Islamic party coalition was in the last position.[30] The winning of Syahrul Yasin Limpo from secular coalition and the split of Islamist group particularly between Abdul Azis and PKS showed that more time is needed to see the unity of Islamist.
III.c West Java and Banten
What had happened in West Java and Banten is another interesting part of development in local sharia law. The push for sharia implementation has grown stronger in recent year in at least three regencies in West Java, Cianjur, Tasikmalaya, and Indramayu. However, only Cianjur’s local legislative council has formally implemented it. It’s been four years since the implementation of sharia law in Cianjur. Islamic sphere can see in every aspect in the government body, school and among citizen. To wear Islamic way of dressing is a mandatory for bureaucrats in the government, this obligation is required in school as well. [31] Up to this moment, there isn’t any implemented sanction for the rule-breaker yet but recently local government is keenly socializing sharia law in order to create intense Islamic ambience in Cianjur.[32]
On the contrary, in Tangerang sharia law implementation has been heavily criticized. There have been serious problem in interpreting and implementing the law. Several cases of misinterpreting convicted for pornography doer took place. Moreover in this sharia law, prostitution matter viewed as a very ineffective issue since anyone with likeliness of doing prostitution is objected to the law. Most of female population in Tangerang strongly opposed this idea.
Not only that that, local government in Tangerang also planned to discouraging trading activity in Friday especially in Friday Prayer timing. Tens of regular hawkers in Masjid Agung Pasar Anyar Tangerang rejected the conception knowing it will cut off their weekly income. In Indramayu, West-Java, Bupati ordered the people to recite Quran for 30 minutes before working hour and fast every Monday and Thursday. Meanwhile, kabupaten Maros in South Sulawesi made a mandatory for student to be able to recite Al-Quran. Bureaucrats, as well, will be promoted to higher level if they know the manner of carrying Al-Quran.[33]
Law practitioner Adnan Buyung Nasution stated that implemented sharia laws in some regions obviously don’t get along together with existed constitution. According to Buyung, shariah idea must be put aside vis-à-vis Undang-Undang Negara. Albeit the majority, the muslim population is obliged to respect minorities rights as mandated in UUD.[34]
Mayor Wahidin Halim, in Tangerang acknowledgement of the problem, said that his administration had submitted a draft of guidelines on enforcement of the by-law in order to prevent any more wrongful arrests. He added he would take stern measures against any officers who erred in the enforcement of the law. While debating on this issue, many NGO and individual bring this case the Supreme Courts.[35] However, on16th April 2007, the Supreme Court has ruled that the Tangerang law against prostitution is valid and not in conflict with higher laws.[36]

IV. Impact on Society
Sharia law whether in national or local level has been put great influence through the society in Indonesia. In national context, as we can see in Table 5, the impact of Zakat and sharia bank for instance, is very deep. After Majelis Ulama Indonesia issued fatwa that conventional bank is haram, the growth of sharia bank and the addition of sharia bank has increased rapidly. The basic sharia law such as marriage, divorce and inherence are also very important. Nevertheless, the title does not include “sharia” word.
On the other hand, local level implementation of sharia law is full of controversy. This idea has been refused by many NGO and secular political party like PDI-P. Tragic case of Lilis Lindawati, who was jailed in Tangerang for three days and branded as a prostitute merely for waiting to catch a bus after dark always became a reason for those who oppose sharia idea. Another argument such as sharia will destroy national unity and Pancasila, threatening Indonesia’s Constitution, also came up in debate among elite.[37] In Aceh, the political motives from central government to give more autonomy, especially in sharia implementation has been questioned.
However, the impact of the sharia law in local context is deeply important. Despite the political reason and its controversy, the idea is truly come from many people. Survey conduct by the Indonesia Survey Institute in 2006 found that 58% of Indonesians believed adulterers should be stoned, as is mandated by Islamic law, up from 39% five years before. In other survey conduct by LSI in the same year 69.6% of the 700 Indonesians polled favored a political system based on the current state ideology of Pancasila and only 11.5 % supported the establishment of Islamic State. But still, the 11.5 % is a market and have it political and social support.[38]
Moreover, the over reaction in implementation of sharia law in many region perhaps because the society isn’t ready yet for it. While the regulation increasing power for the local authorities over the public behavior of Muslim residents in the local area. Furthermore, the power of local leaders is extended considerably because they have authorized to intervene in public morality area in the name of social stability.[39] In spite of that, the local government should learn from AKP’s policies in Turkey. They banned alcohol drinks in the state agencies and restricted the alcohol consumption in public sphere. Hence, AKP said it was for the citizen health and reducing in public health expenses.[40] Meanwhile, Singapore success experience of having canning law to make shame for the criminal has been done without sharia.

[1] Greg Fealey and Virginia Hooker, Voices of Islam in Southeast Asia: A Contemporary Sourcebook, (Singapore: ISEAS, 2006) pg 193
[2] According to Encyclopedia Britannica Book of the year, 2003, Pakistan is the next largest number of Muslim with 140 million, followed by India (123 million), Bangladesh (112 million) and turkey with 65 million.
[3] Leo Suryadinata, Indonesia’s Population (Singapore: ISEAS, 2003) page 103-112.
[4] Aceh is the last region in Indonesia conquered by Dutch.
[5] Benda, South East Asian Islam in Twentieth Century, in PM Holt, the Cambridge History of Islam vol.2. (Cambrideg: Cambridge University Press, 1970), 20-30
[6] Nadirsyah Hosen, Sharia and Constitutional Reform in Indonesia (Singapore: ISEAS, 2007) pg 60
[7] Ibid, pg 70
[8] Van Zorge Report on Indonesia, Creeping Sharia, Vol VIII, No 8, May 9, 2006, pg 6-17
[9] Anies Rasyid Baswedan (2004). “Political Islam in Indonesia: Present and Future Trajectory” Asian Survey, September/October 2004, Vol. 44, No. 5, Pages 669-690
[10] Suharna Surapranata, Platform Kebijakan Pembangunan PKS (Jakarta: MPP PKS, 2007) pg
[11] Ibid
[12] Interview with Zulkiflimansyah (PKS Activist) via SMS. 16 November 2007, 17:34
[13] Van Zorge Report on Indonesia, Creeping Sharia, Vol VIII, No 8, May 9, 2006, pg 6-17
[14] Gairah Syariat Islam di Berbagai Daerah. Suara Hidayatullah, July 2000
[15] http://www.theindonesianinstitute.org/pers082407.htm#_ednref6
[16] Lukman Munir, Menuju Revitalisasi Hukum dan Adat Aceh. (Banda Aceh: Yayasan Rumpun Bambu, 2003) pg
[17] Arksal Salim, Dynamic Legal Pluralism in Modern Indonesia: The State and the Sharia (Court) in changing Constellations of Aceh. Paper Asia Research Institute and BRR
[18] Fealey, Op Cit pg 188
[19] http://www.nad.go.id/index.php?option=isi&task=view&id=2881&Itemid=472, access on 15 November 2007, 13:30
[20] Fealey, Op Cit pg 192
[21] Otonomi Khusus Aceh dan Sulsel, Fajar, 2 June 2000.
[22] Ibid
[23] Fealey, Op Cit pg 183
[24] Fealey, Op Cit pg 184
[25] Van zorge
[26]http://www.futureislam.com/20050701/insight/Wahyuddin_Halim/Shariah_Implementation_in_South_Sulawesi_prn.asp access on 16 November 2007, 15:30
[27] Fealey, Op Cit pg 1986
[28] Qashim Mathar, Sharia:Comparative Perspective, in Burhanudin, Syariat Islam: Pandangan Muslim Liberal (JIL and Asia Foundation, Jakarta: 2003) page 237-239
[29] Zan Vorge
[30] http://www.fajar.co.id/news.php?newsid=44872 , access on 16 November 2007, 15:45
[31] http://www.mail-archive.com/eskol@mitra.net.id/msg00357.html,
[32] http://teguhtimur.wordpress.com/2006/06/23/perda-syariah-alternatif-membangun-moral-bangsa/
[33]http://www.mail-archive.com/eskol@mitra.net.id/msg00357.html,
[34] http://www.almuhajirun.com/diskusi/viewtopic.php?t=72&sid=865d1eb3ec869dfb7aecda5328537eb1
[35] http://kompilasiriset.blogspot.com/2007_02_09_archive.html
[36] ?
[37] Arsekal Salim and Azyumardi Azra, Politics in Modern Indonesia (Singapore: ISEAS, 2003) pg
[38] Majority of Indonesians Oppose Islamic Law, Western Democracy. Kyodo News, 25 Agustus 2006.
[39] Fealey, Op Cit, pg 192
[40] Hanna Taufik, Political Islam in Contemporary Turkey, background paper for political Islam and governance class.