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| Leopard tanks procurement unrelated demands |
INDONESIA has confirmed that it will buy 100 units of German-made Leopard tanks. It will do so because the Germans gave assurance that the production of the targeted volume and of the necessary military equipment will be met on time. The total budget of the purchase amounts to US$ 280 million.
Sjafrie denied, Leopard tanks procurement unrelated demands of West Papua. This is purely national defense interests of Indonesia
"The purchase of these tanks is part of a strategy of the Government for a five-years plan to modernize [Indonesia’s] military equipment, i.e., 2010-2014," said Deputy Minister of Defence, Sjafrie, here on Monday.
The option of buying Leopard tanks from the Netherlands is thus abandoned. The reason for that being that the Dutch could not provide certainty, nor for time, nor for processes required. However, the Indonesian Government expresses appreciation to the Dutch Government.
The Leopard tanks purchase was allocated a budget of US$ 280 million. This budget falls outside of the allocation of foreign loans through the blue book and green book from Bappenas and the Ministry of Finance. In relation to the financing of the US$ 280 it is up to the Ministry of Finance to determine which institution has the legal stability and the capacity to disburse the amount.
According to him, it could be carried out by a syndicate of banks in the country or the Ministry of Finance could formulate a financing scheme which it would also manage.
The funding would continue to be determined in a parallel process, as soon as certainty is gained on aspects of procurement and financing. The operation will be supervised by a Team responsible for the prevention of irregularities on procured goods and services, involving the Internal Audit Institution (BPKP), Indonesia's National Procurement Agency (LKPP), and the Defense Ministry Inspectorate, as well as TNI Headquarters and the Army.
"From the 100 units, 15 units will have reached Indonesia by October 2012," he said. The targeted time for the total 100 tanks units to reach Indonesia is the first half of 2014. "This also applies to all military equipment that we ordered, the target year being 2014," he said.
Sjafrie denied that the procurement of Leopard tanks was related to demands made by West Papuans. Previously, West Papuans had considered that such a purchase of tanks from the Netherlands would be a betrayal.
Sjafrie added that the framework would be implemented by a high level committee. Starting from October 2012, the inflowing shipment of tanks units will consecutively be accompanied by technology transfer by PT Pindad.
"The purchase of these tanks is part of a strategy of the Government for a five-years plan to modernize [Indonesia’s] military equipment, i.e., 2010-2014," said Deputy Minister of Defence, Sjafrie, here on Monday.
The option of buying Leopard tanks from the Netherlands is thus abandoned. The reason for that being that the Dutch could not provide certainty, nor for time, nor for processes required. However, the Indonesian Government expresses appreciation to the Dutch Government.
The Leopard tanks purchase was allocated a budget of US$ 280 million. This budget falls outside of the allocation of foreign loans through the blue book and green book from Bappenas and the Ministry of Finance. In relation to the financing of the US$ 280 it is up to the Ministry of Finance to determine which institution has the legal stability and the capacity to disburse the amount.
According to him, it could be carried out by a syndicate of banks in the country or the Ministry of Finance could formulate a financing scheme which it would also manage.
The funding would continue to be determined in a parallel process, as soon as certainty is gained on aspects of procurement and financing. The operation will be supervised by a Team responsible for the prevention of irregularities on procured goods and services, involving the Internal Audit Institution (BPKP), Indonesia's National Procurement Agency (LKPP), and the Defense Ministry Inspectorate, as well as TNI Headquarters and the Army.
"From the 100 units, 15 units will have reached Indonesia by October 2012," he said. The targeted time for the total 100 tanks units to reach Indonesia is the first half of 2014. "This also applies to all military equipment that we ordered, the target year being 2014," he said.
Sjafrie denied that the procurement of Leopard tanks was related to demands made by West Papuans. Previously, West Papuans had considered that such a purchase of tanks from the Netherlands would be a betrayal.
Sjafrie added that the framework would be implemented by a high level committee. Starting from October 2012, the inflowing shipment of tanks units will consecutively be accompanied by technology transfer by PT Pindad.
Source: http://www.jurnas.com/news/
Translate by: Propapua
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