Singapore asks Indonesia for evidence on companies responsible for haze

Tan Qiuyi Channel NewsAsia 24 Jun 13;

SINGAPORE: Singapore has conveyed a diplomatic note to Indonesia to formally seek clarifications on statements by Indonesian ministers and officials on the issue of Singapore-linked companies said to be involved in illegal land-clearing practices in Indonesia.

Singapore is also officially asking Indonesia to assist by handing over relevant evidence.

Permanent Secretary for Foreign Affairs Chee Wee Kiong met with Indonesian Ambassador Andri Hadi in Singapore on Monday.

In a media statement, Singapore’s Foreign Affairs Ministry said Mr Chee has asked Indonesia to clarify the contradictory statements from Indonesian ministers and officials on whether Singapore-linked companies were involved in illegal activities.

If there was credible evidence that Singapore-owned companies or companies operating in Singapore were involved, the ministry said Singapore intends to take steps against them.

Mr Chee stressed the primary responsibility for legal and enforcement actions lies with Indonesia.

He also described recent comments from Indonesian Minister of Energy and Mineral Resources Jero Wacik as "unhelpful".

Mr Jero had said Singapore was not a good neighbour, even though Singapore had benefited from the gas supply and tourist arrivals from Indonesia.

Mr Andri Hadi said he would convey Mr Chee's points to the government of Indonesia.

He added that it was important for both sides to keep the lines of communication open, and that dialogue and cooperation was the way forward.

- CNA/xq

MFA seeks to clarify mixed signals from Jakarta
It wants answers to conflicting views on whether Singapore firms caused haze
Leonard Lim Straits Times 25 Jun 13;

THE Ministry of Foreign Affairs (MFA) yesterday conveyed a diplomatic note to Indonesia's ambassador here on the haze issue, raising questions and concerns about the alleged involvement of Singapore-linked companies in the Sumatra fires.

The note to Mr Andri Hadi sought clarification on statements by Indonesian ministers and officials on Singapore-linked companies said to have a part in illegal land-clearing practices, and asked Indonesia to share evidence of involvement by any Singapore firms. Itwas signed by MFA Permanent Secretary Chee Wee Kiong, and follows similar comments made by Foreign Minister K. Shanmugam at the weekend.

In a press statement, MFA noted that Mr Kuntoro Mangkusubroto, the head of Indonesia's presidential working unit for development supervision and control, had reportedly said many hot spots were on land owned by Asia Pulp and Paper (APP) and Asia Pacific Resources International Limited.

Both companies have offices in Singapore. However, Indonesia's Forestry Minister Zulkifli Hasan was quoted as saying that there was "no strong evidence" against these companies.

Mr Kuntoro's remarks, MFA added, also contradicted comments by Indonesia's Environment Minister Balthasar Kambuaya to his Singapore counterpart Vivian Balakrishnan at a meeting last Friday. He had informed Dr Balakrishnan that "no Singapore companies were involved in illegal land clearing practices".

MFA also said that if there was credible evidence that Singapore-owned companies or companies operating here were involved, the Government intended to take further steps against them. However, Mr Chee told the ambassador that the primary responsibility for legal and enforcement action lay with Indonesia, where the firms were allegedly conducting these illegal activities.

He also said it was important to focus on dealing with the haze rather than engaging in "megaphone diplomacy" that was "neither helpful nor constructive".

He took exception to comments from Indonesia's Minister of Energy and Mineral Resources Jero Wacik who said that Singapore was not a good neighbour, and that Singapore had benefited from gas supply and tourist arrivals from Indonesia.

Mr Hadi said he would convey Mr Chee's points to his government. He added that it was important for both sides to keep the lines of communication open, and that dialogue and cooperation was the way forward.

Separately, Mr Shanmugam, responding to a media question on whether he knew if Sinar Mas or Golden Agri-Resources contributed to burning activities based on his past experience with them, said he could not speak for them as he left the boards of both firms over a decade ago.

Golden Agri and APP are the palm oil and paper and pulp arms of Sinar Mas, and all three are allegedly involved in slash-and- burn farming in Riau, though they have denied the charges.

Mr Shanmugam said: "I left the board more than 11 years ago. I can't speak for them. We will await the evidence and will act based on evidence, as advised by the Attorney-General's Chambers. My involvement with Sinar Mas started with a request from SGX and is a matter of public record."

A lawyer known for his expertise in securities laws, Mr Shanmugam's links with the firms started in 1996 when he was asked by the then Stock Exchange of Singapore to become a director of an insolvent firm, Amcol.

He handled its affairs together with a judicial manager, and arranged for the firm to be bought via a reverse takeover. The white knight was Sinar Mas, and Amcol was renamed Asia Food & Properties (AFP).

He continued as an independent director of AFP at the request of Sinar Mas, and was also appointed an independent director of Golden Agri - an AFP subsidiary - in 1999. He stepped down from both boards in 2001, and has never held any shares in the firms.

CASE criticises companies responsible for haze
Channel NewsAsia 24 Jun 13;

SINGAPORE: The Consumers Association of Singapore (CASE) has strongly criticised companies responsible for illegal land clearing activities in Indonesia.

In a media statement, CASE’s president, Lim Biow Chuan, said it is supporting the Singapore Manufacturing Federation (SMF)'s call for decisive actions to be taken against these companies.

CASE said it is extremely concerned about the way consumers are suffering from the haze every year.

It said additional expenses from the purchase of face masks and air purifiers are also increasing the financial burden on poorer households.

"We do not think that we should take this lightly and allow these companies to continuously pollute our air every year," Mr Lim said.

In a statement, the SMF said it strongly disapproves of the irresponsible burning in Sumatra that has caused the severe haze in Singapore and the region.

It added that the ramification is not only on the manufacturing sector, but also on other industries in Singapore and regionally.

The SMF has also urged the Indonesian government to investigate and reveal the identity of the perpetrators "so that we can do our part to hold them responsible".

SMF’s president, George Huang, said: "At SMF, we will actively encourage and urge our members not to have business transactions with the culprit organisations and their subsidiaries and to encourage them to only purchase from organisations with proven effective ‘no burn’ policies.

“We will also be holding discussions with our partners in Singapore and the region to address the perennial issue."

- CNA/ms

A call to boycott firms responsible for haze
Amanda Lee Today Online 25 Jun 13;

SINGAPORE — The Singapore Manufacturing Federation (SMF) will be urging its members against doing business with “culprit organisations” which are contributing to the haze situation, and called on the Indonesian government to investigate and reveal the identities of perpetrators of the haze. The federation — one of two local business associations to speak out about the haze yesterday — said it will encourage its members to purchase from organisations with “proven effective ‘no burn’ policies”.

“We strongly disapprove of the irresponsible burning in Sumatra that has caused the severe haze in Singapore and the region. The ramifications are not only on the manufacturing sector, but also on other industries in Singapore and regionally,” SMF President George Huang said.

The Singapore Business Federation (SBF) on its part called on companies to implement appropriate risk mitigation measures and put workers’ safety and welfare as the priority. It also urged companies to follow Ministry of Manpower guidelines on protecting employees against the effects of haze at the workplace.

It has also proposed a collaboration with its Indonesian counterpart to develop innovative solutions to the annual haze problem. SBF Chairman Tony Chew said the Indonesian association leader, Mr Suryo Sulisto, is supportive of the idea. The SBF has also sought the assistance of the association in a joint initiative to promote and institutionalise healthy and sustainable environmental practices in Indonesia, Malaysia and Singapore. AMANDA LEE

Singapore business body urges counterpart to act
Aaron Low Assistant Money Editor Straits Times 25 Jun 13;

SINGAPORE's leading business association has urged its Indonesian counterpart to promote more sustainable ways of farming among its members and to stop slash-and-burn land-clearing.

The Singapore Business Federation (SBF) also noted that negotiating an end to the perennial haze issue would be a potent sign that Asean as a group can progress on far-reaching trade treaties.

SBF chairman Tony Chew outlined federation concerns in a letter to Mr Suryo Sulisto, chairman of the Indonesian Chamber of Commerce and Industry (Kadin).

He said the haze could have catastrophic consequences on health and economy.

"The degradation of our atmosphere and environment is hitting the population and companies in our region. It is also putting the Asean community at risk. If we cannot work together on the haze, how can we progress towards the Asean Economic Community by 2015?"

The SBF, which represents over 18,000 companies, also asked Kadin to embark on a new joint initiative to raise corporate social responsibility among public agencies, plantation firms, farmers and their cooperatives to promote healthy, sustainable practices.

Mr Chew followed the letter up with a phone call and said Mr Sulisto was open to the ideas: "He looks forward to a meeting between Kadin and SBF to discuss the matter in more detail."

Meanwhile, one of the companies blamed for starting fires by activist groups has offered assistance in the form of helicopters, fire engines and firefighters to put out fires outside of its areas.

Asia Pacific Resources International Limited (April), which denies it is behind the fires, said Indonesia's National Agency for Disaster Management had accepted its offer of help.

April said it was providing water trucks, excavators, firefighting equipment and human resources within a 5km to 10km radius of the group's concessions.