Indonesian Political, Business & Finance News

Ciputat traders may lose land to overpass

| Source: JP

Ciputat traders may lose land to overpass

Multa Fidrus, The Jakarta Post, Tangerang

The Tangerang regency administration plans to employ
controversial Government Regulation (PP) No. 36/2005 to force
traders to sell their land for the Ciputat flyover project.

"We have no choice. As a last resort, the administration must
turn to PP No. 36/2005 on land clearance for public projects so
construction on the flyover can start soon," Regent Ismet
Iskandar said on Tuesday.

The regulation, which has been widely criticized, allows the
authorities to force citizens to sell their land for public
projects.

Thirty-three traders have refused to vacate their land on Jl.
Dewi Sartika in Ciputat, Tangerang, to make way for the Ciputat
flyover, effectively stalling the project that was originally
scheduled to begin earlier this year.

Ismet said his administration had already notified the
landowners that the deadline for reaching an agreement on
compensation was Aug. 15, and that if no agreement was reached
the owners would be forced off their land.

"The construction project must start soon or not at all since
the central government has twice warned us that the funds from a
Japanese consortium will go to other regions if we fail to settle
the land issue by August," the regent said.

The Tangerang regency administration has offered landowners
compensation of Rp 1.5 million per square meter for their land.
All but the 33 traders accepted the compensation.

"Landowners who refuse the offer will have to accept whatever
the Tangerang District Court decides to give them for their land
and buildings," Ismet said.

Some 120 buildings will be affected by the 800-meter-long
flyover stretching from the Ramayana department store on Jl. Dewi
Sartika to a gasoline station on Jl. Juanda.

Most building owners who accepted the compensation began
demolishing their stores soon after they received the money from
the administration in November.

Regency administration assistant Bunyamin Davnie said the Rp
250 billion flyover should be completed by December 2007.

"The administration must take stern action to protect the
public's interests, and if the land clearance problem is not
settled by the end of August the central government will divert
the Japanese aid to other regions," he said.

The flyover, which is expected to ease chronic traffic around
Ciputat Market, will be financed by the central government in
cooperation with a Japanese consortium.

Davnie said the regency administration had spent Rp 125
billion from the 2004 budget and another Rp 25 billion from the
2005 budget to acquire land for the project.

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