State Water Company's New Tasks and Business Scopes

To ensure that Perum Jasa Tirta II, the state-owned river water resource company, maximally supports national development, the government released Government Regulation No. 7 of 2010 on Public Company Jasa Tirta II. The Regulation expands Jasa’s business scope, and assigns it certain new tasks. In essence, it modifies Jasa’s Articles of Association; with any state-owned enterprise in the form of Perum, this is done by way of Government Regulation.

According to the regulation, Jasa Tirta II is tasked with ensuring water availability for daily necessities and farmers, providing recommendations to the government for the issuance of water exploitation licenses, supporting the Hydro Water Plan, and guaranteeing water availability for business purposes. The regulation (Article 4) adds the latter two responsibilities to Jasa’s repertoire.

Article 13(2 and 3) adds a wider scope to Jasa’s business capacities. In addition to supplying water for consumption, industrial purposes, farming, ports, hydro power plants, and among other things the State Electricity Company, it must now develop the Drinking Water Supply System. Beyond supplying water, it may also administer subsidiary businesses in the fields of telecommunications, hotels and resorts, sports and recreation, hospitals, energy resource facilities, and tourism, among other things.

The Regulation repeals and replaces its regulatory predecessor, Government Regulation No. 94 of 1999, and has been in force since 8 January 2010.