T

he government appointed on Tuesday the president director of state-owned Bank Rakyat Indonesia (BRI) as the new president of state-owned electricity company PLN as part of a management shake-up in the country'€™s major state enterprises.

BRI'€™s president Sofyan Basir was named to replace Nur Pamudji, while Chandra Hamzah, the former deputy chairman of the Corruption Eradication Commission (KPK), was appointed as the president commissioner replacing Yogo Pratomo.

'€œThere are numerous complaints from the public regarding electricity. Thus, we need a stronger team. He [Sofyan] has proven [his ability] to develop BRI to reach the country'€™s remote areas and we hope he can lead PLN to serve across the country,'€ State-Owned Enterprises Minister Rini Soemarno told the press following PLN'€™s shareholder meeting held late Tuesday.

PLN, which has a total of around 54 million customers, is currently the biggest state-owned enterprise when measured by assets. However, it is suffering on the financial side, particularly because it has to bear the costs of massive power plant developments.

In the last few years, development of power plants has been hampered, mostly by financing and land acquisition issues.

The country'€™s electricity ratio is currently around 81 percent, leaving several spots in the country in poor supply. Also, there are currently nine electricity system areas
in power deficit.

'€œThis is a totally new and different area. However, as a matter of management, it is the same, partly because of the similar scope of BRI'€™s and PLN'€™s coverage. At the beginning, we will prioritize unfulfilled matters,'€ Sofyan said at the same event.

PLN was the fourth state company that underwent a management shake-up in less than a month, after oil and gas company Pertamina, Garuda Indonesia and Telekomunikasi Indonesia (Telkom)

Sofyan, 55, has been serving in BRI since May 17, 2005, and was re-elected in 2010. Prior to serving in the most profitable bank in Indonesia, Sofyan was the president director of Bank Bukopin, after serving in several posts since 1986.

Sofyan leads an eight-member board of directors consisting of Sarwono Sudarto (BRI operational director), Nicke Widyawati (the president director of PT Mega Eltra), Murtaqi Syamsuddin (PLN'€™s director for planning), Supangkat Iwan Santoso (the president director of PLN'€™s subsidiary PT Indonesia Power), Amin Subekti (senior executive at a private energy company), Nasri Sebayang (PLN'€™s director for construction and renewable energy) and Amir Rosidin (former president director of PT Jawa Bali Power). Murtaqi and Nasri also served in previous PLN board of directors

Nur Pamudji was named as the president director of the state-owned electricity company on Nov. 11, 2011, replacing Dahlan Iskan who was appointed as state enterprises minister at that time. Several months ago, Nur formally expressed his plan to quit his job, but Dahlan asked him to stay until the change of the new government.

On Nov. 28, the government named cement veteran Dwi Soetjipto as the new president of state oil and gas company Pertamina, replacing Karen Agustiawan as part of the management shake-up in the country'€™s state enterprises.

On Dec. 12, Arif Wibowo, the president director of Garuda Indonesia'€™s subsidiary Citilink, was appointed to replace Emirsyah Satar as Garuda'€™s president director.

On Dec. 19, the government appointed the president director of Telkom'€™s cellular business unit Telekomunikasi Seluler (Telkomsel), Alex J. Sinaga, as the president director of Telkom, replacing Arief Yahya, now Tourism Minister.