BALI UPDATE #271 - 26 November 2001

Editorial: Quo Vadis BTB?

Following the Resignation of the Bali Tourism Board Chairman, Perhaps Now is the Time to Re-Asses that Organization's Operations.

The recent resignation of Bali Tourism Board (BTB) chairman, Mr. I Gusti Bagus Yudhara, and the torrent of criticism leveled at the organization by Mr. Gde Wiratha in his capacity as chairman of the Bali Chapter of the Indonesian Hotel & Restaurant Association (PHRI), suggest that the time is now ripe to re-examine the role of those charged with heading the island's tourism industry.

Is BTB Necessary?

Rapid-fire criticism that the BTB is unresponsive to the needs of Bali tourism, that it's leadership fails to reflect the interest of the major stakeholders, and that the BTB sometimes involves itself in activities outside the pressing priorities of the island's battered tourism community - may have unintentionally boomeranged on those who launched these attacks hoping to undermine and eventually dismantle the tourism body.

Not only has Bali's Governor responded by insisting that BTB to continue its work, but the unusually strident debate has served to underline the leadership vacuum that exists in Bali tourism and the absolute need for a widely-based group - such as BTB, to provide direction and leadership.

Bali's tourism industry is a widely divergent group comprised of hoteliers, tour and attraction operators, restaurateurs, handicraft makers, guides and shop makers - just some of the many who derive their livings from tourism. While each of these groups are organized under their own separate and narrowly defined associations of varying efficacy, no effective umbrella organization exists that speaks to the shared needs and interest of Bali tourism as a whole.

Love it or hate it, the only organization on the horizon with the potential of providing the much needed direction for Bali tourism is the BTB.

Who's Driving the Tourism Bus?

An underlying, but not immediately obvious, theme underlying the recent flood of criticism against BTB is an innate jealousy between the various tourism organizations in Bali. Sadly, these organizations are often (but thankfully, not always) headed by individuals hell-bent on guarding their own private patch of power with little or no interest in cooperating to restore vitality to the island's tourism industry.

Petty power struggles between these sometimes pitifull "midgets of the human spirit" explain the often-time intense competition that accompanies the election of leaders for some of the professional associations that surround Bali tourism. Power and prestige are eagerly sought, while economically displaced members of the local community furtively pin their hopes for the future on people more interested in "self service" than "public service."

BTB Needs a Professional Full Time Chief Executive

With tourism providing the income for an estimated 2/3 of the island's 3 million residents, the job of heading the BTB is too important to be entrusted to a mere volunteer Chief Executive Officer forced to balance the needs of BTB with the demands of his or her private sector position. Public statements by BTB's former Chairman demonstrate that such competing demands - especially in time of crisis such as these - are beyond the reasonable capabilities of any conscientious leader.

Clearly, BTB needs a top-quality and well-compensated Chief Operating Officer independent of any other employment in the tourism sector. Such an individual could then answer to a broadly-based Board of Director drawn for all walks of the local tourism community.

Then and perhaps only then, will there be any hope of filling the severe vacuum of leadership, which so sorely threatens Bali's chances for economic recovery.

More information: Related Story: Chief of Tourism Board Resigns

Definitely Not Your Typical School Lunch!

Dyatmika School Plans Innovative Progressive Dinner in Ubud Saturday, December 1.

The Dyatmika School of Sanur will sponsor a fund raiser on Saturday, December 1, 2001, with the support of 5 dining venues in Ubud and 20 participating retail shops in Bali.

Dubbed Dyatmika Dines - participants who pay Rp. 200,000 (approximately US$ 20) each will be invited to join a progressive dinner stopping at five locations in the Ubud area between 4 p.m. and 10 p.m.. The festivities get underway with a cocktail party and silent auction at the Komaneka Gallery, followed by a Mediterranean Appetizer Platter at the nearby Three Monkey Cuisine and Art Café. Next, it's a stop for sushi, sashimi and a Japanese salad at Ryoshi Japanese Restaurant before a visit to Kafe Batu Waru for a selection of delicious Indonesian specialties. The evening concludes with "decadent" desserts and a wrap up celebration at Terazo Restaurant & Bar.

Along the way there will be silent auctions, lucky dips, door prizes and raffles. Participants will also qualify for 25% discounts at 12 leading Balinese retail shops.

Those wishing to make a weekend of it can take advantage of special accommodation packages available at Komaneka Resorts, Maya Ubud Resort, Ibah Luxury Villas or Fibra Inn.

Proceeds from the evening go to support the educational programs of the Sekolah Dyatmika - providing quality progressive education from their modern campus in the Tangtu area of Kesiman (Sanur).

For more information or to book a place on the Dyatmika Dines evening call the school office at ++62-(0)361-461874 or send and e-mail through the link below.

More information: E-mail 'Dyatmika Dines'

Still Up in Air

Despite Opposition in Some Quarters, Investors in 'Sky Lift' Project Vow to Push Ahead.

Although opposed by Indonesia's Minister of Culture and Tourism as being inconsistent with Bali's environment and culture, investors in the proposed "Sky Lift" project in north Bali are continuing the planning activities surrounding the project.

P.T. Perkasa Group, President Director, Mr. Jhon Hamenda, and the company's Commissioner, Mr. Anton Reynaldi, announced in Bali on Friday, 16 November, that they were confident that Bali's public would eventually embrace the project once it understood the execution and benefits of the entire project. The developers claimed that the project, planned to be the longest Sky Lift project in the world covering a distance of 10 kilometers, will contribute a guaranteed US$ 2 million a year in local tax revenues.

In response to criticism that the project will destroy the island's environment and culture, the investors have replied that the route of the ride will not infringe on sacred areas such temples or Lakes Buyan and Tamblingan. In order to minimize the impact during the construction period, the investors plan to use helicopters to airlift materials needed for tower construction thereby avoiding the need to construct access roads through jungle nature areas.

The project which will pass through the Buleleng area would carry passengers to the scenic hill site area of Munduk and utilize some 200 sky lift cars.

The company has recently brought a team of Australian experts to Bali to undertake a physical survey of the proposed project, vowing they will respect the final decision of the people of Bali once they are permitted the opportunity to make a complete exposition of the project and hold a dialogue with all elements of the community. (Bali Post)

More information: Related Story: Minister Ardika Dislikes Cable Car

Bali's Cargo Business Down 40%

A Symptom of a Widening Tourism Crisis?

The Chairman of the Bali Chapter of the Indonesian Freight Forwarders Association (GAFESKI), Mr. Ida Bagus Werdhi, predicts cargo handling ex-Bali will suffer a 40% downturn in the wake of the events of September 11.

Explaining how purchases by tourists visiting Bali and shipped by cargo and those handled by Bali cargo agents directly with exporters are almost equal in volume, Mr. Werdhi said the current downturn in tourist arrivals in Bali was having a negative impact on the island's overall outbound cargo business.

He reported that sea and air shipments were down 30% through the end of October and were expected to drop to 40% by the end of 2001.

Prosecutors Take Aim on Cyber crime

Jakarta 'Cyber Squatter' May be Jailed and Fined for Illegal Domain Destination. Will Some Bali Web Operators Follow Him to Jail?

Jakarta Prosecutors have demanded four month's jail and fines of Rp. 32 million (approximately US$3,200) against a Jakarta man who registered and used the domain names of competing companies. Mr. Tjandra Sugiono, a former manager of P.T. Martina Berto, has been charged by State Prosecutors under the Indonesian criminal code for fraudulent competition and for violating anti-monopoly statues in connection with his registration and use of the domain name of a competitor - P.T. Mustika Ratu. (www.mustikaratu.com).

A conviction may also open the way for Mustika Ratu to seek civil damages in support of their claim that they suffered revenue losses of over Rp. 10 billion (approximately US$ 1 Million) resulting from the misappropriation of their domain name.

The final outcome of the case may have far reaching implications with at least one Bali web Operator registering numerous company domains and then offering them for sale to the highest bidder via his Bali website. A conviction in the Jakarta case may pave the way for criminal and civil charges against unscrupulous e-commerce operators who unilaterally register the company names of tourism businesses in Bali.

Garuda Plans to Establish Bali Air Hub

Bali Just Got Closer! Garuda to Establish an International Satellite Hub in Bali.

Garuda Indonesia has announced plans to make Bali's Denpasar airport its primary international flight hub, rendering the airline's Jakarta Sukarno-Hatta Airport to the secondary status of their flight base serving mostly domestic destinations.

Some 21 international routes are currently flown by Garuda from Denpasar's Ngurah Rai airport. It's expected that this latest decision will allow more international direct connections to Bali from Europe, avoiding the Jakarta stopovers that have proven unpopular with many of the airline's international Bali-bound passengers.

The formalization of Denpasar as an international hub will eventually necessitate the basing of 200-flight crew in Bali.

Minister Still Bullish on Arrivals

Minister Ardika Insists that Target of 5.4 Million Foreign Arrivals Will Be Met.

Despite a negative travel picture globally, Indonesia's Minister of Culture and Tourism, Mr. I Gede Ardika is still optimistic that the targeted 5.4 million foreign arrivals will be achieved for 2001.

According to the Minister, tourism arrivals were up 6.5% prior to the September 11 events and he hopes that following a temporary decline, the numbers would begin to right themselves by the end of the year sufficient to hit the 5 million plus mark. To achieve the original target, Indonesia will have to attract the very substantial total of 1,860,000 foreign visitors during the last 3 months of the current year.

Because of widespread rumors of "sweeping" in certain areas of Indonesia in September in combination with the decline in international travel generally, the Government claims they are taking proactive steps to publicize Indonesia's safety for foreign visitors while encouraging the national tourism industry to attend international travel exhibitions. Major foreign tour operators and members of the press are also being invited to visit Indonesia to see first-hand the very positive security situation.

Not only is the government holding fast to its target of 5.4 million foreign arrivals for this year, but still insists that 5.8 million visitors will pay Indonesia a visit in 2002.

Jenny Hartatik to New Sales Role

Bali Inter-Continental Names Jenny Jimbaran Property's Acting Director of Sales.

The Bali Inter-Continental Resort has named Ms. Jenni Hartatik to the post of Acting Director of Sales for the 425 room property in Bali's Jimbaran beach area.

A sales professional with five years of managerial experience in resorts, Ms. Hartatik has a proven track record in sales, coming to her new position as the sales manager responsible for the Australian, New Zealand, South African, Korean, Middle Eastern and European markets for the Ritz-Carlton Bali.

Fluent in Japanese, Ms. Hartatik's experience includes stints with ITT Sheraton, Grand Hyatt Bali and Four Seasons Resort.

More information: Congratulate Jenni on her new appointment!