Economist: The use of National Ships in the JMN case is in accordance with the rules and is beneficial to the country.

JAKARTA - Political Economy and Policy Studies (PEPS) economist Anthony Budiawan assessed that the rental of the PT Jenggala Maritim Nusantara (JMN) ship by the state oil company had been carried out in accordance with procurement provisions and could not be qualified as a criminal act.

In the case of alleged corruption in oil governance that ensnared Muhammad Kerry Adrianto (MKA), Anthony explained that tenders with one participant are a common practice in the shipping industry due to limited operational fleet.

"In terms of business, ships almost always operate. Therefore, procurement with one bid is not something that is prohibited," Anthony said in a written statement, Friday, February 6.

He added that the procurement provisions allow the process to continue as long as it meets the term of reference (ToR).

The allegation of arranging the tender with the domestic transportation clause, according to him, is not appropriate because it is actually the implementation of the cabotage principle.

The cabotage basis regulated in Article 8 of Law Number 17 of 2008 concerning Shipping requires domestic maritime transport to use Indonesian-flagged ships and Indonesian citizens as crew.

"It is a legal obligation and a global practice to protect national industries," he said.

Anthony also questioned the calculation of the alleged state losses related to the rental of the fuel terminal in Merak through PT Orbit Terminal Merak (OTM) worth Rp. 2.9 trillion. According to him, this value is the total rental income without taking into account operating costs.

"This approach does not reflect the actual state losses and is methodologically flawed," he said.