Jakarta. Lia Gianni, a South Jakarta resident, typically commutes to work by ojek, or motorcycle taxi, and has for some time now been using the services provided by Go-Jek, which links riders to its fleet of ojek drivers through a smartphone app.

On a recent Monday morning, however, Lia had to wait an unusually long time for a response to her request for a pickup.

“The weird thing was that according to the map there were actually a lot of drivers available around my area,” she tells the Jakarta Globe.

One of the drivers finally accepted her order, then suddenly asked that she cancel after she notified him of her location.

Flummoxed, Lia decided to walk to a nearby post for regular ojek drivers, known as a pangkalan, where she saw a sign posted up that read: “Go-Jek and GrabBike drivers are strictly prohibited from picking up passengers in this area.”

The sign, and Lia’s experience, form part of a growing picture about the problems faced by companies like Go-Jek, GrabBike and Uber as they pit their nascent business models based on the “sharing economy” against established operators unaccustomed to any kind of disruption, much less one of this digital nature.

Unwritten rule

Go-Jek has 2,500 drivers and counting in Jakarta alone, while Malaysian-based GrabBike boasts 75,000 drivers across Southeast Asia. For commuters, their benefits are clear: a metered fare, a driver answerable to a registered company, and the convenience of picking up a ride from anywhere in town simply through a phone app.

For regular ojek drivers, though, this latter point violates one of the unwritten rules of the trade, which is that an ojek driver may only transport a passenger from point A to point B, but never vice versa, especially when both locations have their own pangkalan.

For the app-activated Go-Jek drivers, though, “the whole city is their pangkalan,” says Rahmat, an ojek driver who operates out of the Rawamangun in East Jakarta. “They receive bookings from everywhere, while I operate out of this small area of this subdistrict.”

For Yosi, an ojek driver at a pangkalan in Senayan, South Jakarta, the hostility toward Go-Jek and GrabBike drivers goes beyond a mere “turf war.”

“Go-Jek is a nemesis to me because they’ve dropped down the market fare for traditional ojek drivers,” he says.

Go-Jek charges Rp 4,000 (30 US cents) per kilometer, while GrabBike charges Rp 25,000 for the first six kilometers and Rp 3,000 for every kilometer after that. Regular ojek drivers, on the other hand, charge their own, often arbitrary, fares, typically citing traffic and weather conditions as factors for quoting an inflated price.

Jealous and offensive

Marwoto, a Go-Jek driver, says another source of the hostility shown by ojek drivers is the professionalism with the service is organized.

“There are requirements [to becoming a Go-Jek driver], such as age limit, ability to operate a smartphone, possessing a valid ID, and other things,” he tells the Globe.

“Those who can’t meet such requirements often get jealous and then maybe get a bit offensive.”

To avoid run-ins with other ojek drivers, Marwoto says he always asks his passengers to make sure that their pickup point is far from a pangkalan.

“So far the passengers are OK with it. They understand it, so it’s no problem at all,” he says.

He adds that when he hangs around at a pangkalan, he tries to persuade the other ojek drivers to sign up with Go-Jek, which has been around since 2011.

“Some are pretty skeptical at first about the pricing system, but they just need to be better informed,” he says.

Kiki Rizki, the head of marketing at GrabTaxi Indonesia, which operates the GrabBike service, says the hostility from some ojek drivers comes as no surprise for the company.

“It’s the same as when smartphones were first introduced to the country,” she tells the Globe in an e-mail.

“A lot of people still don’t use them even now because they’re not sure about the benefits. That also applies to ojek drivers who don’t use GrabBike. They just need a better and more complete understanding of our system.”

Officials from Go-Jek did not respond to the Globe’s requests for comment as of press time.

Engagement

Kiki says the GrabBike management will continue to try promoting the service to regular ojek drivers and stay on friendly terms.

“We try to have a meeting every week with these groups and update them about our success so we can also recruit more drivers,” she says, noting that the company has fewer than 1,000 drivers in Jakarta, Surabaya and Padang combined.

“We make sure that our employees can earn a better income and get benefits like accident insurance and pensions,” she adds.

Kiki says she is confident that local authorities will be able to quell the simmering tensions between the two groups of ojek drivers, including through formal recognition of what has so far been an unregulated industry.

“We hope the local authorities can immediately draft a bylaw on the ojek industry so that drivers can get better protection,” Kiki says.

While tales of hostility abound, police say they have not received any reports of the tensions boiling over into violence.

M. Iqbal, a spokesman for the Jakarta Police, also acknowledges that while measures such as muscling Go-Jek and GrabBike drivers out of areas controlled by certain pangkalan are “not decent,” they still do not constitute criminal activity.

“The police have spoken with the ojek drivers to steer clear of criminal activities based on jealousy,” he tells the Globe.

“We tell them to take [the presence of Go-Jek and GrabBike drivers] as a positive challenge for them to improve their services,” he adds.

The post Go-Jek Navigates ‘Turf Wars’ Amid Industry Shake-Up appeared first on The Jakarta Globe.

Jakarta. Public health activists have called on the government to review a number of key points included in a revised patent bill in order to uphold patients’ rights before the bill passes the House of Representatives this year.

Ever since the enactment of the 2001 law on patent rights, which gives companies 20-year-long exclusive licenses to produce and market certain products, Indonesian public health experts have strongly criticized the statute’s devastating impact on the prices of medicine.

“Having a patent has made price competition unhealthy among drug-manufacturing companies,” Aditya Wardhana, executive director at the Indonesia AIDS Coalition, said at a discussion in Jakarta on Tuesday.

The law, which is a result from Indonesia joining the World Trade Organization (WTO) in 1994, does provide ways to go around using patented medicines, such as a parallel import system that allows Indonesia to scout for and ship in cheaper generic medicines from other countries, and also the so-called government use, through which the country can buy the drug patents from private manufacturers.

‘Nationwide emergency’

The House of Representatives is currently working on a revised draft of the patent-rights law.

“Now is the right time to ensure that patent rights do not come in the way of patients getting their medicines,” Aditya said.

According to Aditya, some of the clauses in the draft are obstacles in pushing for a better public-health system in Indonesia.

He pointed out that the bill only allowed the government, under the government-use scheme, to buy drug patents from the private sector when the so-called innovative remedy is needed for curing a disease that is considered “a nationwide emergency.”

“Unfortunately, what’s considered as nationally urgent only covers epidemic, contagious diseases, such as HIV,” Aditya said.

“However, the government can’t do anything about patented medicines to cure cancer, diabetes, heart problems and other non-pandemic diseases,” he added.

“For public-health purposes, the government has all the rights to buy patents,” Aditya said, noting that it could cost the government as little as 0.5 percent of the drug’s selling price.

Government use itself is widely conducted in other countries, such as in Malaysia, Brazil, Zambia and Ecuador.

Free first-line treatment

In 2004, the Indonesian government purchased the patented anti-retroviral medicine that is needed to treat HIV/AIDS patients — eventually leading to the generic version of ARV and the government providing free of charge first-line treatment for the patients two years later.

“Ever since then, the number of people with HIV and developing AIDS has reduced significantly,” Aditya said, noting that the number of people newly identified as living with HIV and AIDS had nearly halved to 2,763 in 2013 from a little over 5,000 ten years earlier.

Aditya also added that recent data showed the rise in number of people receiving ARV to up to 50,000 in 2014 from only 2,000 in 2004.

Lutfiyah Hanim, public health researcher of Third World Network, noted the bill must discourage the issuing of patents for drugs that do not give new effects regardless of its new ingredients or packaging, e.g. from pills to syrup.

“The bill must clearly define what innovation here means,” said Lutfiyah. “We can follow the example of the Indian patent law in which the government only gives patents to medicines that have new medical effects.”

IAC’s Aditya argued that having patented medicines around does little in supporting President Joko Widodo’s National Health Program, or JKN.

“The sky-high price of such medicines will rob the insurance institutions of JKN,” said Aditya.

Much more expensive

Various data have showed that prices of patented drugs generally are between ten to 45 times higher than generic drugs, Aditya said.

But it could be worse. According to the activist, the price tag of a patented Hepatitis C drug called Sofosbuvir that Gilead Sciences markets under the brand Sovaldi is $1,000 per pill, while the generic version of the medicine manufactured in India or Nepal is sold at around $10 a pill.

In Indonesia, Aditya estimated that there are about 7 million people with Hepatitis C.

A parallel import system could solve a lot of problems, but Lutfiyah of Third World Network said that “the system has not been conducted effectively in Indonesia while drug prices are still monopolized by license holders.”

“The lack of government control in the drug-marketing mechanism is a threat to people’s lives,” said Aditya.

Public-health activists have also urged Indonesian lawmakers to be transparent and include health experts in the process of passing the bill.

“There needs to be transparency in discussing the bill to avoid backdoor deals that would disadvantage Indonesians,” Aditya said. “Legislators also must be able to understand and explain to the public the impacts of this set of regulations.”

The post Activists Urge Lawmakers to Prioritize Patients Over Patents appeared first on The Jakarta Globe.

Jakarta. A suspicious package containing white powder and a threatening letter was found at Indonesia’s embassy in the Australian capital on Monday, the Foreign Affairs Ministry has reported.

The package was reported to police at about 10.45 a.m. local time, according to Australian media, prompting police, Australian Capital Territory (ACT) Fire and Rescue and hazardous material specialists to be called to the scene.

Arrmanatha Nasir, spokesman of the Foreign Affairs Ministry, told the Jakarta Globe on Monday that a packet containing suspicious powder and a “threat letter” was discovered at the Canberra embassy.

Embassy officials handed the package to the HAZMAT squad of the Canberra police, which deals with emergency incidents involving hazardous materials.

The package has been transported in a sealed container to ACT Pathology at the Canberra Hospital for analysis, the Canberra Times reported.

The incident comes a week after Australian drug traffickers Andrew Chan and Myuran Sukumarann were executed along with six other inmates by firing squad in Indonesia, plunging Indonesia-Australia relations to a new low.

Asked whether the incident was related to the executions, Arrmanatha said “we will wait until we have obtained the results from examination.”

The post Suspicious Package Found at Indonesian Embassy in Canberra appeared first on The Jakarta Globe.

Jakarta. A plenary discussion held at an environmental-economic summit in Jakarta called for public-private-people partnerships, or PPPP, to leverage a sustainable business model as part of Indonesia’s green economy initiatives.

“We are at an inflection point and incrementalism simply won’t do it. We can do things that promote [economic] growth and protect the environment,” said Andrew Steer, chief executive of the World Resources Institute, at “Tropical Landscapes Summit: A Global Investment Opportunity” on Tuesday.

The initial scheme — which is only between two stakeholders, the government and private investors — is not new to the Indonesian administration as it has already been implemented in a number of infrastructure projects.

The same day, Finance Minister Bambang Brodjonegoro described the great potential of public-private partnerships in order to enhance infrastructure development in the country.

The government will need up to $400 billion in the next five years for strategic infrastructure investment, 60 percent of which the private sector — fully private-owned firms or state-owned enterprises — has room to make up.

“Our estimation is the SOEs can contribute up to $88 billion, or around 22 percent, while the rest … should come  purely from the private sector, including the foreign private sector,” Bambang said, adding that the government’s portfolio for the infrastructure sector includes transportation, energy and tourism.

“So, please invest in Indonesia. … More importantly, it should be infrastructure with a green element. It should be infrastructure that will ensure Indonesia can cope with the impact of climate change,” he added.

Peter Holmgren, director general of the Center for International Forestry Research (Cifor), urged the Indonesian government to attract private investors through policies that are environmentally friendly.

He pointed out that the government would have to prove that investment in sustainable and green practices was profitable and demonstrate that it could find sustainability accounts at a reasonable cost.

Kuntoro Mangkusubroto, a professor at ITB School of Business and Management added, “What the government can provide is accountable and integrated information as basics for private sector investment and supported with proper incentives.”

The plenary on Tuesday also touched on the important role of partnering with the  indigenous community in the government’s green economical initiatives.

“In the PPPP, the government needs to play a central role, the mayors need to play a central role, the private sector is central to the reshaping areas, and the people who are involved are also essential,” said WRI’s Steer.

Kuntoro agreed, adding, “What we often forget and consciously neglect is the so-called customary people or indigenous people who live inside the area or close to the area.”

“Not many of us understand the diversity of the communities that we are dealing with. Empowering indigenous people means listening to their explanations not implementing beyond assumption is the best way to empower. Listen to them.”

“When you speak about landscape management and specifically through the pppp approach we must consciously seek for resolutions and respect the rights of indigenous people and empower global communities with assurance of free, prior and informed concepts,” he added.

“[PPPP] can be done and has been done effectively,” Kuntoro concluded, pointing to the use of such a scheme in revitalizing Aceh after the devastating 2004 tsunami as an example.

The post Environmental-Economic Summit Spotlights Green Development for Indonesia appeared first on The Jakarta Globe.

Jakarta. President Joko Widodo on Thursday closed the Jakarta leg of meetings of the Asian-African Conference as delegates head to Bandung for the closing ceremony on Friday.

At least 90 countries from the two continents have worked together to formulate three important documents: the Bandung Message; the Declaration on Reinvigorating the New Asian-African Strategic Partnership; and the Declaration on Palestine.

On Thursday, Joko officially authorized the documents as the outcome of the 60th commemoration of the high-level conference.

“I believe that the concepts that have been produced will reflect the Bandung Spirit and the interests of every country,” he said.

“I, therefore, would like to express my appreciation for the enthusiasm and the commitment of your majesties and excellencies, and of all parties involved in the formulation of the outcome documents and in the convening of this summit,” Joko said before the delegates at the Jakarta Convention Center.

He urged the world to listen to the voices and decisions made during the conference, saying the summit was one of the largest intergovernmental forums outside the framework of the United Nations, in which Asian and African countries, as well as a number of international observers, take part.

“The voices in the summit represent the voices of Asia and Africa,” Joko said.

He added that participating countries had also agreed to reinvigorate the core ideas of the South-South movement, namely prosperity, solidarity and stability of Asian and African nations.

“We have agreed to establish a network of peace-keeping centers in the two regions, to facilitate capacity-building cooperation,” Joko said.

The conference condemned acts of extremism and terrorism in the name of religion and resolved to promote dialogue between cultures and faiths, he said. The summit also agreed to foster trade and investment as the engine of growth.

“In this regard, we will pursue a fair, multilateral trading system, which is pro-growth and inclusive; which would contribute to growth, investment and job opportunities; and which promotes sustainable development,” Joko said.

He highlighted the Asian and African countries’ recognition of the centrality of the maritime sector as well as the strategic importance of the Indian Ocean in bridging the economic development of the two continents.

“In this regard, maritime cooperation will become one of the pillars of the New Asian-African Strategic Partnership,” the president said.

“I will work hard with all of you to ensure the materialization of the strategic partnership. I will also strive, with your support, for the prosperity, equality and stability of all Asian and African countries,” he said, ending his remarks.

Zimbabwe’s President Robert Mugabe, co-chair of the day’s forum, said the three documents captured the ideas and visions of where Asian and African nations would lead in the future through the Bandung Spirit.

“This was a very successful meeting … There is no doubt therefore that this summit will be historic,” he said.

Joko also announced several other outcomes from the conference.

“I’m very glad to announce that we’ve established April 24 as Asia-Africa Day; reinforced Bandung as the city of Asian-African solidarity; and more importantly, the opening of the Asia Africa Center in Indonesia,” Joko told reporters.

Indonesian Foreign Minister Retno L.P. Marsudi said her office, which organized the conference, had not yet decided where the center would be  located.

She said the countries would have another meeting to plan the venture.

“What we have prepared are the programs that will be run under the Asia Africa Center and also the modalities,” Retno said.

The United States, which attended the conference as an observer, praised Indonesia, saying it had long been a champion for peace and cooperation on the international stage.

“Very notably, however, over the past 17 years Indonesia also has become a model of democratic transformation, religious pluralism and tolerance, and economic development,” said Robert O. Blake, Jr., the US ambassador to Indonesia, who led his country’s delegation at the conference.

“It is now home to the world’s largest democracy after India and the United States,” he added.

He said that as a fellow democracy, the United States shared Indonesia’s respect for fundamental human rights — the first of 10 principles extolled by the original Bandung Conference in 1955.

“It is our hope that the countries attending this conference in 2015 will leave Bandung inspired by Indonesia’s commitment to a political system based on the consent of the governed, rule of law, and respect for human rights,” Blake said. “Countries whose policies respect and reflect these rights are far more likely to be more peaceful and more prosperous.”

The United States, the ambassador said, was fully committed to partnering with countries in Asia and Africa to advance cooperation and address shared challenges together.

The United States has been increasingly involved in Asia and the Pacific.

US President Barack Obama’s strategic decision to rebalance US efforts and resources toward the Asia-Pacific region is an example of how vital the region is to Washington’s interests.

Many, however, see the renewed US engagement in Asia as an attempt to counterbalance  China’s growing clout in the region.

“Our expanding engagement with Asia is about sustaining progress and stability in a region relatively free of conflict — a region where democracy increasingly has taken hold,” Blake said.

“Our rebalance provides for a win-win scenario in which every country in the region, including China, contributes to the continuation of decades of peace and stability.”

He added that beyond Bandung, challenges remained, including combating climate change, stopping the spread of infectious diseases, strengthening good governance, and countering violent ideologies and terrorism.

“The United States looks forward to cooperating with Indonesia and other countries represented at this conference to overcome these challenges,” Blake said.

Further coverage

Editorial

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Jakarta. Regardless of apparently conflicting statements from the Vanuatu government about the opening of an embassy in Jakarta, Indonesia appreciates the Pacific nation’s interest in the establishment of a diplomatic mission here, a Foreign Ministry spokesman said on Thursday.

Spokesman Arrmanatha Nasir was asked to comment on a statement by Vanuatu Prime Minister Joe Natuman, who was reported to have said, earlier this week, that the establishment of an embassy in Jakarta was not a priority.

Vanuatu Foreign Minister Meltek Sato Kilman Livtunvanu, in Indonesia to attend the Asian-African Conference, on Monday did speak of plans to open an embassy, which immediately were welcomed by his Indonesian counterpart, Retno L.P. Marsudi, and then rebutted by Natuman.

Arrmanatha told the Jakarta Globe on Thursday that the plans to strengthen ties were indeed discussed by the two foreign ministers, and that he didn’t think it would be right to comment on the internal political dynamics of another country.

Papua concerns

Natuman was quoted as saying by news portal TabloidJubi.com that no decision had been made to open an embassy in Indonesia, and that his country was still focusing on reconstruction efforts after it was hit by a devastating cyclone in March.

“Every diplomatic policy from the Vanuatu government, such as opening an embassy in any country, including in Indonesia, has to be decided by the incumbent government,” Natuman said. “So far, the government never made any decision [to open an embassy in Jakarta].”

Natuman also said Vanuatu would need to take many aspects of its foreign relations into account before it would enhance diplomatic relations with Indonesia.

The Tabloidjubi report quoted Natuman as saying that the human rights situation in what he called “West Papua” — the Indonesian part of New Guinea — played a role in the considerations to open an embassy

“Our attention is on West Papua and how we fight together against every human rights violation that is faced by the people there,” he said. “Opening a Vanuatu embassy in Indonesia is not our priority.”

“Currently, Vanuatu also has a lot of work to do, especially after hurricane Pam,” Natuman added.

Hurricane Pam destroyed large parts of the island nation and left dozens dead, besides ruining crops and demolishing fishing fleets.

In early April, Indonesia sent $2 million worth of aid to help Vanuatu’s government relief efforts.

Melanesian Spearhead Group

Indonesia has been trying to boost its ties with Melanesian countries in the Pacific, ahead of a regional summit next month that may address possible Papuan membership of the Melanesian Spearhead Group.

Melanesia extends from Fiji to the Arafura Sea and is commonly thought to include Fiji, Vanuatu, Solomon Islands, New Caledonia, Papua New Guinea, Papua and the Maluku islands. The latter two are part of Indonesia.

Last year, a group of foreign affairs ministers of Melanesian countries visited Indonesia’s then-president Susilo Bambang Yudhoyono to pledge their support for Indonesia’s sovereignty over the provinces of Papua and West Papua, where government troops have been facing a low-intensity separatist campaign for decades.

However, the 2014 MSG pledge to respect Indonesia’s sovereignty over Papua was boycotted by Vanuatu, a member of the regional grouping.

The post Priority or Not, Indonesia Happy to Host Vanuatu Embassy appeared first on The Jakarta Globe.

Jakarta. A senior Philippine judge has called on government officials in other Southeast Asian states to persuade China that diplomacy is the best way to resolve border disputes in the South China Sea.

Justice Antonio T. Carpio, the senior associate justice of the Supreme Court of the Philippines, told the Jakarta Globe on Thursday that convincing China to comply with the United Nations Convention on the Law of the Sea (UNCLOS) remained the biggest challenge in tackling the South China Sea disputes.

“Every state in Asean” — the Association of Southeast Asian Nations — “must be able to convince [China] to do so,” he said.

The UNCLOS states that coastal nations have the right to establish sovereignty over adjacent waters out to a maximum of 12 nautical miles, or 22.2 kilometers, from the nation’s coastline, including the coastline of offshore islands.

China, however, rejects the notion that the UNCLOS can be used to decide South China Sea sovereignty issues, which it maintains is at the heart of its dispute with the Philippines.

China, which has the biggest military force of any of the nations currently embroiled in disputes over islands in the South China Sea, has taken an increasingly aggressive stance on its own territorial claims in the region.

It is currently working on the construction on five new islands on five different reefs, on one of which it plans to build an air base.

The Philippines and Vietnam, two of four Asean members involved in territorial disputes with China, have complained about such actions, which they deem as aggressive moves by Beijing.

At stake in the disputes, which also involve Brunei and Malaysia, are the rights to potentially vast deposits of oil and gas, as well as control of key international shipping routes.

Carpio said he believed that the disputes would eventually come to an end, though the resolutions might not be to the satisfaction of all the parties.

Carpio was in Jakarta to give a lecture before an audience put together by the Indonesian Council on World Affairs (ICWA).

The lecture strove to assess the merits of China’s claims over the waters and geologic features in the South China Sea within its so-called nine-dash lines, taking into account the Philippines Constitution, UNCLOS and international law.

Indonesia has no conflicting claim with China to any part of the South China Sea, although the nine-dash line appears to cut through its waters off the Natuna Islands.

The post Philippine Justice Carpio Urges Diplomacy in S. China Sea Disputes appeared first on The Jakarta Globe.

[Updated at 10:45 a.m. on Monday, Feb. 16, 2015]

Jakarta. The South Jakarta District Court on Monday granted a pretrial motion filed by National Police chief candidate Comr. Gen. Budi Gunawan against his naming as a suspect by the Corruption Eradication Commission, or KPK, possibly clearing the way for President Joko Widodo to inaugurate him.

“The court has decided that (the KPK’s investigation letter) was invalid and therefore the decision to name [Budi] a suspect doesn’t have a law binding basis,” said judge Sarpin Rizaldi, who led the hearing, which was broadcast on television.

Budi was not present at the hearing.

Before the hearing, Budi’s lawyer Maqdir Ismail had received a text from Budi telling him not to give any “controversial comment,” news portal Tempo.co reported.

Maqdir was also quoted as saying that that Budi would abide by the court’s verdict and he had decided that he would not pursue any legal action against the court.

Jakarta Police deployed at least 500 officers to boost security at the South Jakarta District Court complex where hundreds of demonstrators, both supporters and opponents of the three-star general, gathered on Monday morning.

Critics have lamented the president’s stalling on making a decision since Budi was named a suspect by the KPK on Jan. 13. The president’s reluctance to drop the nomination — despite vocal public objection — has been attributed to his inability to defy orders of his political patron, Indonesian Democratic Party of Struggle (PDI-P) chairwoman Megawati Soekarnoputri. Budi has long been known to be a close associate of Megawati, serving as her adjutant during her presidency in early 2000s.

Over the past month, the case has snowballed into a major KPK versus National Police saga, worse than previous conflicts involving the two law enforcement institutions, which critics have largely attributed to Joko’s failure to make a decision over the matter.

In what has been widely perceived as the police’s retaliation against the KPK’s move, Budi had filed the pretrial motion against the antigraft body with the South Jakarta court, arguing that the KPK’s naming of him as a suspect was illegitimate, citing among other reasons that such a decision should be made by a complete set of five KPK leaders.

The KPK is run by four leaders only after one of the deputy chairmen, Busyro Muqoddas, entered his retirement age in December, while lawmakers last month decided against selecting Busyro’s replacement until the end of the four other KPK leaders’ terms at the end of the year.

The four of them, meanwhile, are currently facing different legal charges by police over old cases that only recently resurfaced, some of which are based on reports filed by PDI-P politicians.

The post Court Rejects KPK’s Decision to Name Budi a Graft Suspect appeared first on The Jakarta Globe.