Triple-tier project funding uncertain<\/p>\n
JAKARTA (JP): City councilors urged the developer of the
\ntriple-tier transit system yesterday to reveal who will finance
\nthe Rp 6.2 trillion (US$730 million) project.<\/p>\n
Helmy AR Syihab of the United Development Party faction said
\nCity Council should be informed of the sources of funds for the
\nsystem, which would link Bintaro in South Jakarta to downtown
\nKota in West Jakarta<\/p>\n
\"It is important for the developer to explain where and how
\nthey will obtain the funds,\" he said.<\/p>\n
Rusdji Hamka, one of the council's deputy chairmen, said an
\nassurance that the developer could bankroll the mega-project was
\ncrucial.<\/p>\n
\"We still haven't been informed about the sources of funding
\nduring this time of (economic) crisis,\" he said.<\/p>\n
\"I'd say they'd be better off not trying to push ahead and
\ncomplete the project during the crisis.\"<\/p>\n
Helmy said the developer should also discuss the possibility
\nof involving the city administration in the project by giving it
\nan opportunity to own a share.<\/p>\n
\"Of course, the administration will not be able to buy its
\nshare in cash,\" he said.<\/p>\n
\"But I think the developer could let the administration have
\nan interest to compensate for the city-owned land and properties
\nto be used or demolished for the project.\"<\/p>\n
Lukman Mokoginta of Commission D for public works, development
\nand environmental affairs shared Helmy's view and insisted that
\nthe municipality have a stake in the project.<\/p>\n
\"The administration must be involved in the discussion and the
\ncalculation of the project together with the two state-owned
\ncompanies Perumka and PT Jasa Marga which are involved in the
\njoint venture,\" he said.<\/p>\n
\"It should know all about it, from the costs to the point it
\nbreaks even.\"<\/p>\n
However, Lukman said the urgent completion of the project's
\nenvironmental impact analysis (Amdal) by the developer was far
\nmore important than explaining its financial readiness.<\/p>\n
\"The developer is a private company. If it is confident that
\nit has all the money needed to finance the project, then go
\nahead.\"<\/p>\n
He said the sooner the project started, the better.<\/p>\n
\"The launch of the project during this time of crisis will
\nhelp provide job opportunities for hundreds of people out there,\"
\nLukman, who represents the Indonesian Democratic Party faction,
\nsaid.<\/p>\n
\"The developer must publish its Amdal because the people have
\na right to know exactly what the developer will build, what will
\nhappen to their land and what the costs and benefits of the
\nproject are.\"<\/p>\n
Helmy said the developer had given hardly any information to
\nthe public regarding the project, which was scheduled to start
\noperating in 2001.<\/p>\n
\"Many people still have no clear picture about the project,
\nsuch as what it will be like or what areas will be used for it,\"
\nhe said.<\/p>\n
\"They don't know much about the project which will actually
\nuse the land on which their houses stand.<\/p>\n
\"Lack of information will just create chaos and resistance
\nwhen the developer later asks people, whose land and properties
\nwill be affected by the project, to move away.\"<\/p>\n
The triple-tier system will combine 23.65 kilometers of toll
\nroads, 22 km of light-rail tracks and existing roads.<\/p>\n
The project will be developed jointly by PT Citra Lamtoro Gung
\nPersada, a company owned by Soeharto's eldest daughter who is
\nalso the Minister of Social Service, Siti Hardijanti Rukmana, the
\nstate-owned railway company Perumka and the state-owned highway
\ncorporation PT Jasa Marga under the company flag PT Citra Moda
\nMargakencana Persada.<\/p>\n
Helmy and Rusjdi said the City Council was still uncertain
\nwhether the project would be continued as the developer had yet
\nto provide further information on the groundbreaking ceremony.<\/p>\n
The ceremony was postponed for the third time in February due
\nto the city's preparations for the General Assembly in March.
\n(cst)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/triple-tier-project-funding-uncertain-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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