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Decentralization of Forest Administration in Indonesia, Implications ...

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Annex 1<br />

Timel<strong>in</strong>e <strong>of</strong> Events that are Related<br />

to <strong>Decentralization</strong> <strong>in</strong> the <strong>Forest</strong>ry Sector<br />

May<br />

July<br />

January<br />

March<br />

May<br />

June<br />

November<br />

1997<br />

Law 18/1997 on Regional Taxes and Charges was issued<br />

<strong>Indonesia</strong>n currency started be<strong>in</strong>g depreciated, triggered the<br />

economic crisis.<br />

1998<br />

Government signed Letter <strong>of</strong> Intent with IMF. The forestry reforms<br />

<strong>in</strong>cluded <strong>in</strong> the Letter <strong>of</strong> Intent between the IMF and the <strong>Indonesia</strong>n<br />

government were largely aimed at promot<strong>in</strong>g susta<strong>in</strong>able forest<br />

management through enforcement <strong>of</strong> selective cutt<strong>in</strong>g regulations,<br />

<strong>in</strong>creas<strong>in</strong>g the government’s capture <strong>of</strong> timber rents, and rais<strong>in</strong>g<br />

efficiency levels <strong>in</strong> all segments <strong>of</strong> the timber and wood process<strong>in</strong>g<br />

<strong>in</strong>dustries.<br />

People’s Consultative Assembly (MPR) General Session. Soeharto<br />

and Habibie were appo<strong>in</strong>ted the President and Vice President.<br />

Muhammad ‘Bob’ Hasan was appo<strong>in</strong>ted the M<strong>in</strong>ister <strong>of</strong> Industry<br />

and Trade, and Sumahadi was appo<strong>in</strong>ted the M<strong>in</strong>ister <strong>of</strong> <strong>Forest</strong>ry and<br />

Estate Crops, replaced Djamaludd<strong>in</strong> Suryohadikusumo.<br />

Elim<strong>in</strong>ation <strong>of</strong> Apk<strong>in</strong>do monopoly over plywood exports as part <strong>of</strong><br />

the Letter <strong>of</strong> Intent with the IMF.<br />

Soeharto resigned, Habibie was appo<strong>in</strong>ted the President.<br />

Muslim<strong>in</strong> Nasution was appo<strong>in</strong>ted the M<strong>in</strong>ister <strong>of</strong> <strong>Forest</strong>ry and<br />

Estate Crops, replac<strong>in</strong>g Sumahadi.<br />

Regulation 51/1998 on <strong>Forest</strong> Resource Rent Provision was issued.<br />

Regulation 62/1998 on Delegation <strong>of</strong> Partial Authority <strong>in</strong> the <strong>Forest</strong>ry<br />

Sector to The Regions was issued.<br />

MPR Special Session. One <strong>of</strong> the decrees was TAP MPR XV/<br />

MPR/1998 on The Implementation <strong>of</strong> Local Autonomy and the<br />

Arrangement, Distribution, and Equitable Utilization <strong>of</strong> National<br />

Resources; and The Fiscal Balanc<strong>in</strong>g <strong>of</strong> Central and Regional<br />

Governments with<strong>in</strong> the Frame <strong>of</strong> the Unitary State <strong>of</strong> the Republic<br />

<strong>of</strong> <strong>Indonesia</strong>.

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