Tue, 27 Jan 2004

Activist opposes official houses

Rusman, The Jakarta Post, Samarinda, East Kalimantan

A local non-governmental organization activist lashed out on Monday at the East Kalimantan provincial government for allocating a budget to build houses for council officials that far exceeds the market price.

The normal price for a luxury house in Samarinda is Rp 350 (US$41,176) to Rp 500 million, but in the 2004 budget, the government has earmarked Rp 7.6 billion (US$894,117) for the construction of four houses for the leaders of the provincial council.

Therefore each house will be built with a working capital of Rp 1.9 billion.

"This is insane. If the plan materializes, we are afraid that there will be a mark up in the construction of the houses," said Achmad Bashori, the executive director of Concern for State Assets (PKN).

The four houses will be the official residences for the speaker of the provincial council and the three deputies.

Bashori demanded that the government revise the budget. The East Kalimantan provincial budget this year stands at Rp 2.77 trillion.

The provincial government has handed over the draft of the 2004 budget to the East Kalimantan provincial council, and the council is expected to approve it in the near future.

Meanwhile, Kasyful Anwar, the coordinator for the budget committee at the East Kalimantan Legislative Council, acknowledged that the government had proposed a budget of Rp 7.6 billion for the construction of the four houses.

"But, it does not mean that the council will approve it. We are still discussing it," he said.

If the proposal is approved by the provincial council, the houses will be built by East Kalimantan Public Works office.