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City urged to revoke reservoir agreement

| Source: JP

City urged to revoke reservoir agreement

JAKARTA (JP): The City Council has urged the administration to
revoke a cooperation agreement with private company PT Jaka Setia
Sakti to develop an area surrounding the Ria Rio reservoir in
Pulomas, East Jakarta, since the project had been neglected for
six years.

Deputy head of Commission D for development affairs Suratto
Siswodihardjo and the commission's secretary, Saud Rahman, argued
on Monday that neglect over a six-month period was enough grounds
for breaking a cooperation agreement.

"Why should we continue the agreement if not a bit of work has
been done," he told reporters after a meeting with
representatives of city-owned company PT Pulomas Jaya, which is
in charge of supervising properties in the Pulomas area.

When Pulomas Jaya asked for a progress report on the Ria Rio
project recently, Jaka Setia Sakti said it had not been able to
resume work due to the monetary crisis, Suratto quoted Pulomas
Jaya director Iman Sunaryo as saying.

"They cannot use it (economic crisis) as a reason (for the
project's delay) because the development was discussed long
before the crisis," he said.

A memorandum of understanding (MOU) to build a recreational
park and business offices surrounding the 6-hectare Ria Rio
reservoir was signed by the managements of Pulomas Jaya and Jaka
Setia Sakti in 1992.

The US$120 million project, which includes a three-star hotel,
four apartment towers and a recreational center, was previously
scheduled to be completed next year.

The area around the reservoir, however, is now covered by
hundreds of makeshift huts.

Saud said the administration should revoke the cooperation
agreement as soon as possible so it could concentrate on cleaning
up the reservoir to head off the possibility of massive flooding
predicted to come during the monsoon season.

"The area near the reservoir is frequently hit by flooding
during the rainy season. The administration should dredge the
reservoir to enable it to catch more water," he said.

Suratto also said that Pulo Mas Jaya had been accommodative to
people illegally occupying the company's 12 acres of idle land to
farm vegetables by allowing them to stay for a fee.

He could not provide a figure being charged by the company,
saying that Pulomas Jaya had not informed him.

"The fees are needed (since the land should be put to
productive use)," he said.

The squatters, mostly people of nearby Kampung Ambon
subdistrict, reportedly entered the company's property in the
Kayu Putih subdistrict on Aug. 1 and divided up the land to grow
vegetables. (ind)

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