HOUSE AGREES TO GIVE RP1.7 TRILLION IN PSO FUNDS TO STATE COMPANIES

Jakarta, Oct 23 (ANTARA) - The House of Representatives (DPR)'s Budgetary Committee has approved the planned spending of Rp1.7 trillion in general allocation funds for the public service obligation (PSO) schemes of a number of state-owned companies in 2009, a legislator said.

The House Budgetary Committee's vice chairman, Suharso Manoarfa, said the committee had agreed the allocation of the PSO funds during a closed-door meeting here on Thursday.
"But there are several things each Commission of the House still has to discuss, particularly with regard to the PSO for each of the state companies," Suharso, who is also a politician of the United Development Party (PPP), said.
He said matters to be discussed by each of the House Commissions were related to the programs which had to be realized.
State companies which will receive the PSO funds included railway company PT KAI, postal service company PT Pos Indonesia, ANTARA National News Agency and shipping company PT Pelni.
Suharso said that the PSO funds were actually almost tantamount to subsidy, namely to provide funds for the services of the railway company and shipping firm, for example.
However, the House needed to know the details of their work plans in an effort to prevent the state from suffering losses by their inefficiency.