JAKARTA - An alleged extortion incident at the PT Chandra Asri Alkali\n(CAA) project has tarnished Indonesia\u2019s investment climate. Moreover,\nthe construction of the Chandra Asri Alkali plant is designated as a\nNational Strategic Project (PSN), in accordance with Presidential\nRegulation Number 12 of 2025 on the National Medium-Term Development\nPlan (RPJMN) 2025-2029. The PSN designation was signed by Prabowo on 10\nFebruary 2025.<\/p>\n
The government swiftly took firm action by requesting law enforcement\nto pursue the Cilegon Chamber of Commerce (Kadin) individuals involved.\n\u201cWe regret the incident that occurred and we will hand the matter over\nto law enforcement, in this case the Banten Provincial Police, who will\ncarry out the investigation process,\u201d said Deputy Minister of Investment\nand Downstreaming Todotua Pasaribu in Jakarta on Wednesday, 14 May\n2025.<\/p>\n
So will Chandra Asri\u2019s investment come to a halt? The management of\nPT Chandra Asri Pacific Tbk (TPIA) affirmed its commitment to continue\nmajor investment in Indonesia, despite being rocked by the alleged\ndemand for project allocations by individuals from Kadin Cilegon. The\ncompany stated it would continue to comply with regulations and\nexpressed hope for healthier cooperation among all parties going\nforward.<\/p>\n
\u201cWe at Chandra Asri once again express our gratitude for being well\nfacilitated, and of course Chandra Asri remains committed to investing\nin Indonesia,\u201d said TPIA Director of Legal and External Affairs Edi\nRiva\u2019i at a press conference at the BKPM office.<\/p>\n
Investment Supports Economic Growth Target<\/strong><\/p>\n He added that his company supports the government\u2019s target of\nachieving 8 per cent economic growth. According to Edi, cooperation\nbetween investors and stakeholders must run synergistically so that\ndevelopment is not hampered by matters outside official mechanisms.<\/p>\n \u201cThe directives from the government, from Kadin, from the police, and\nalso from the regional government are our commitment. We always adhere\nto compliance and prevailing regulations,\u201d he stressed.<\/p>\n The case involving Kadin members allegedly demanding project\nallocations came to light after a video circulated showing a suspected\ndemand for Rp5 trillion in project allocations from Kadin Cilegon\nindividuals directed at Chandra Asri. Edi acknowledged that the incident\nhad caused disruption around the project, but his company remained\noptimistic about completing the construction on schedule.<\/p>\n \u201cWe also apologise if this project has caused any disruption,\u201d he\nsaid.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/hit-with-rp5-trillion-extortion-attempt-will-chandra-asri-still-invest-in-indonesia-1771241770",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}