Jakarta – Despite amendments to the law on political parties attempts to ensure accountability, critics say the changes will not prevent political parties from taking the interests of their benefactors into account.

One of the amendments raises the donation limit for a private company from Rp 4 billion (US$444,000) to Rp 7.5 billion a year.

Mulyana W. Kusumah of Seven Strategic Studies said he did not believe political parties that took donations from private companies could remain independent.

He cited a case from Germany, referring to the German Social Democrat Party, which received a donation from an automotive company in February of last year. The following month the country created a policy that supported the industry.

Indonesian Civilized Circle director Ray Rangkuti expressed a similar sentiment as Mulyana, and also said he doubted the new requirement to have the balance sheets of each party audited could be carried out by political parties in the country.

The House of Representatives last week passed revisions to the 2008 Law on Political Parties that would significantly alter the requirements to set up new parties, as well as funding sources.

The revisions to the law require a new political party to have 30 members in each province and branch offices in 75 percent of cities and regencies, as well as half of the districts in the country.

They also require the annual budget of political parties to be audited by public accountants, despite the fact that the law does not stipulate any sanctions if they fail to do so. Failing to report donor lists and amounts will result in a mere formal warning from the government.

"The public must understand that donations are nonbinding. The private sector is not obligated to donate," politician Arif Wibowo of the Indonesian Democratic Party of Struggle (PDI-P) said Wednesday.

Arif said a company usually donated if it sympathized with a party, but that did not guarantee that a company then had the right to interfere in the party.

The revisions also mandate that political parties use funding from central and local governments for political education for their members and citizens, and report allocations to the Supreme Audit Agency. Failure to abide to this would cause their funding to be suspended.

"This revision was made in order to increase the professionalism of political parties," politician Abdul Malik Haramain of the National Awakening Party (PKB) said, adding that the obligation to provide political education will require more money.

Abdul said the audits would make funding sources transparent and accountable.

Hasyim Asy'ari, a political observer from Partnership for Governance Reform (Kemitraan), said he feared boosts in party donations, from both private companies and individuals, were political tools to maintain certain interests.

"Does the law stipulate detailed mechanisms for such funding? Failure to specify the mechanism would mean there are big loopholes that can be used by certain actors," he said.

Hasyim said there should be a mechanism for monitoring and evaluating funding. The law stipulates that individuals who are not members of the party can donate up to Rp 1 billion to a party a year, but again, it is not strict on how these donations can be used, Hasyim said. (rch/ipa)

Revisions to the 2008 Law on Political Parties

• A new political party must have at least 30 founding members in each of the country's 33 provinces, or about 990 members.
• Political parties should have offices in at least 75 percent of the cities and half of the districts in all the provinces in the country.
• Political parties can change their charters based on the situation.
• Political parties should use their financial support for member development by educating them on the nation's four pillars and their rights and obligations as citizens.
• Political parties, including those that have had seats in the House of Representatives, will be verified at the latest two and a half years before the next general election takes place.

[Source: House of Representatives.]