Indonesia-Malaysia: “Rising Tensions in the South China Sea” - A Special Press Summary:
Executive Summary
1. Assessment: Following several days of ‘gunboat’ diplomacy over long disputed offshore oil and gas reserves in the South China Sea, Indonesia and Malaysia have agreed to stand down, in an effort to ease escalating tensions. Since the crisis began mid-February, both the government and public - mainly from Indonesia - have released increasingly aggressive statements in favor of guarding territorial integrity. Already riled by Kuala Lumpur’s recent expulsion of Indonesian migrant workers, Indonesian’s appear unaffected by Jakarta’s tempering of the situation. Moreover, Malaysia has accused the Indonesian media of unnecessarily intensifying the issue, with some reports suggesting this as a tactic to distract from other unpopular domestic issues such as the recent fuel price hikes. However, despite both governments’ assurance for a diplomatic solution, and Indonesia’s withdrawal of several warships from the area, the initial swift military response continues to be a cause for concern to regional stability.
2. Summary: In late night talks [Wednesday, 9 March] in Jakarta, the foreign ministers of both nations agreed to stand down following a military escalation which erupted after Malaysia last month granted an oil exploration concession in disputed waters. A joint statement issued by Indonesia's Foreign Minister Hassan Wirayuda and his Malaysian counterpart Syer Hamid Albar said the two sides would "take necessary steps" to ease the recent tensions. According to the statement, the two sides would organize a "technical team" with representatives from both sides to discuss the problem on a regular basis beginning 22 March. Indonesian navy spokesman Rear Admiral Malik Yusuf said Wednesday that five of its vessels had pulled out of the disputed region but could be redeployed again if necessary. Tensions flared on 16 February 2005 when Malaysian oil company Petronas awarded production-sharing contract to two units of the Anglo-Dutch giant, Royal Dutch/Shell Group, and to the local oil company, Petronas Carigali for deepwater oil and gas exploration in the disputed area off the east coast of Borneo Island. This latest military buildup came after a report last Thursday that a Malaysian Navy Beechcraft had apparently breached Indonesian airspace over the Sulawesi Sea—the fifth such incident in less than two week. Jakarta had sent seven warships, and four F-16 Fighter Falcon fighter planes to the area. The Royal Malaysian Navy deployed two warships as well. On Monday, the Indonesian Navy maintained that it will “not let an inch of [Indonesia’s] land or a drop or [Indonesia’s] ocean fall into the hands of foreigners.” On Monday, [7 Mar] about 50 demonstrators held a protest - chanting “Crush Malaysia” - outside the Malaysian Embassy in Jakarta. In Makassar, South Sulawesi, protestors torched Malaysian flags. Indonesian hackers also launched attacks on Malaysian government websites, defacing Internet pages with defiant slogans and Indonesian flags. In Jakarta, the Speaker of the House of Representatives (DPR) has urged stern action on Indonesia’s part, including the use of military force to solve the dispute. Separately, a request has been made to recall Indonesia’s ambassador to Kuala Lumpur. The dispute centers on overlapping claims to waters surrounding the Sipadan and Ligitan Islands, off the east coast of Borneo Island. After agreeing to international arbitration, Indonesia was bitterly disappointed when the International Court of Justice ruled in 2002 that the islands belonged to Malaysia. According to Jakarta, the Malaysian claim is erroneous, as it is based on a self-made and outdated 1979 map of the area that is not recognized by the Indonesian government or most other Southeast Asian countries
3. Prepared by: Virtual Information Center; (80
477-3661 ext. 2900 on 9 March 2005
Comments?