GOVT CONDUCTS FIT AND PROPER TEST ON PERTAMINA EXECUTIVES

Jakarta, Jan 22 (ANTARA) - State enterprises minister Sofyan Djalil said here on Thursday that the government has just started conducting a fit and proper test for members of the management of state oil and gas company PT Pertamina.

"Changes are certain to take place, and the process takes place among others by a fit and proper test," he said after attending the company's general shareholders meeting.
Sofyan made the statement when asked on rumours about a replacement of Pertamina's president director Ari H Soemarno.
"Replacements of members of the board of directors in a state-owned company is done through a process, and therefore nobody could be certain whether Ari Soemarno will be replaced or not," he said.
Sofyan said the issue was not discussed in the meeting.
Rumours about replacement of Pertamina's president director were linked to the head of state's disappointment about the company's performance.
The call for replacing Ari also was connected with recent fire in the fuel depo in Jakarta.
The minister said to replace a director no shareholders' meeting would be needed as he as the holder of the government shares in the company could only just sign for it.
"I am able to just sign on behalf of the shareholders' meeting to replace a director," he said.
He however said that it would be better not to disturb one who was still holding a post. "If he is still in the post it would be better if we support him so that he could work better and so in case a change is to be made it will all go normally," he said.
He said that in general his office was satisfied with the performance of the company. "Its financial performance in 2008 was good in concurrance with the good price of crude until October 2008," he said.
For 2009 the minister asked the company to conduct efficiency in all units including improving the safety of its refineries and depots.
"We hope it will all be better in the future following evaluations so that no incident like the fire in Plumpang depot will happen again," he said.
Several names have been mentioned to replace Ari such as former minister of mining and energy Kuntoro Mangkusubroto, Erry Riyana Hardjapamekas, the former president director of PT Timah and Sony Sumarsono, the former Pertamina's director of general affairs and human resources, Maizar Rahman, the former OPEC governor and Ahmad Faisal, the former Pertamina's director of marketing and commerce.
Pertamina's chief commissioner retired police general Sutanto said as representative of the government as the shareholder in Pertamina he said his task was merely conducting supervision and giving directives to the directors.
"The directives and supervision are given to assure good implementation of programs, improve efficiency and good corporate goverenance," he said.
The new commissioner, installed on January 8, 2009, also emphasized the importance of the company to be able to meet publid demand and assure supply.
"Transformation process in Pertamina must be quick so that its vision to become a world class company would be immediately achieved," he said.
The company's finance director, Frederick Siahaan, meanwhile said the company's financial performance in 2008 was good as all targets could be met.
In 2009 the company expects to make a profit of Rp12 trillion with the price of crude assumed at US$45 per barrel.