Jakarta, Sept. 9 -- The Jakarta Provincial Government's plan to change the status of water utility PAM Jaya from a regional public company (Perumda) to a regional limited liability company (Perseroda) has been deemed consistent with existing regulations.

The status change is intended to enable PAM Jaya to become a public company and launch an Initial Public Offering (IPO).

"The governor's intention to raise PAM Jaya's status to go public is in line with regulations and does not violate any provisions," said Ahmad Husni, Secretary of the South Jakarta District chapter of the Islamic Students Alumni Association (KAHMI), in Jakarta on Tuesday.

The transformation of a regional-owned enterprise into a local limited liability company is perm...