National

`Proof needed' to justify plane purchase

Erwida Maulia, The Jakarta Post, Jakarta | Sat, 01/30/2010 12:52 PM
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Critics of the government's plan to purchase a private airplane for presidential visits say that if it was really cheaper to buy than to lease, the government should publicly disclose the comparative costs.

The plan has come under criticism following recent procurements that some have called excessive, especially in the current economic climate.

Previously, the media had reported on the procurement of more than 100 of Toyota Crown Royal Saloon cars for high-rank officials and a Rp 22 billion (US$2.3 million) renovation of the fences at the Presidential Palace. The airplane the government said it wants to procure is said to incur a Rp 200 billion down payment.

The government claims that buying an aircraft will be less costly than renting one each time the President travels.

Currently, President Susilo Bambang Yudhoyono and his extensive entourage fly on a jet leased from national flag carrier Garuda Indonesia.

"Where are the calculations? How much does the government pay to lease from Garuda for five years compared to buying a new airplane. How much does maintenance cost? And what about depreciation?" Sari, an office worker in South Jakarta, told The Jakarta Post in response to the plan.

"After buying those cars for officials, buying an airplane would be unethical," she added.

Erdian Fahmarini, another office worker also based in South Jakarta, said a private airplane was a good idea, saying it could help the image of the nation.

"But it depends on the country's economic condition. They should also make sure that buying an airplane and paying for maintenance, fuel and spare parts are altogether less costly than renting an airplane," she added.

Former vice president Jusuf Kalla told Kompas daily that Indonesia was the only major country in Asia that didn't have its own presidential aircraft.

However, Kalla said he knew nothing about the government's plan to buy the airplane, which was submitted to the House of Representatives toward the end of his term as vice president in the middle of October 2009.

He emphasized the need to ensure transparency during the procurement process, and that the House should be kept informed of the total costs.

The head of the House budget committee, Harry Azhar, said earlier that the government was not transparent in its proposal to procure the airplane.

He said the government had not proposed a total price, but had already requested the House approve the Rp 200 billion down payment to immediately secure the purchase. The House approved the payment in the 2010 state budget.

Harry added that Finance Minister Sri Mulyani Indrawati, who explained the need for a presidential airplane, did not provide details and comparison of the costs of buying an airplane compared to leasing one.

State Secretary Sudi Silalahi countered, saying it was the House, not the President's office, that had proposed the procurement. Sudi said it was the previous House that had argued that it would be cheaper to buy than to lease.

"This was the House's idea. We just want to know how far the proposal has progressed," Sudi said.

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