Indonesian Political, Business & Finance News

Developer told to move cement mixing plant

| Source: JP

Developer told to move cement mixing plant

JAKARTA (JP): The city administration yesterday ordered the
developer of the Taman Rasuna apartments in Kuningan, South
Jakarta, to move its cement mixing plant 500 meters away from a
nearby school building to protect students from dust and noise
coming from the plant.

"The city administration has given the developer two weeks
from Sunday to move the plant to the other site," said Prawoto S.
Danoemihardja, an assistant to the deputy governor for economy
and development.

The city administration, according to Prawoto, has ordered the
developer to take the measure because the dust and noise from the
plant, which is now located just 20 meters away from a nearby
school building, is feared to not only cause health problems for
the students but also disturb the learning process.

The management of PT Catur Swasakti Utama (CSU), led by
director Iwan Hendradi Djarot, yesterday met Deputy Governor for
Economy and Development Tubagus M. Rais at City Hall to solve the
matter, which made headlines in Jakarta-based newspapers.

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PT CSU agreed to move the cement mixing plant and will notify
its sub-contractor immediately.

"We will instruct our contractor to remove the plant soon
because they decided to erect the plant at the location," Iwan
said.

The City Council recently summoned and asked executives of CSU
to clarify the matter following reports that the developer had
illegally appropriated state-owned property, including elementary
school buildings and an unoccupied 6,000-square-meter plot.

CSU is controlled by Bakrie Investindo, a holding corporation
of the Bakrie business group, whose major shareholder is Aburizal
Bakrie, the chairman of the Indonesian Chamber of Commerce and
Industry (Kadin).

Kurniasih, the school headmistress of one of the schools,
earlier said that 334 of her students had abandoned the school
building and moved to two other nearby schools because the
project produced thick dust and noise, posing serious health and
psychological problems to the students.

PT CSU said that it had demolished the two elementary school
buildings within the 3.7 hectare area on the grounds that the
physical condition of the buildings was so bad that they might
have tumbled down anytime, particularly with the workers starting
to use heavy equipment.

The developer is building one 4,000-apartment unit in the
strategic area, popularly known as the Golden Triangle.

Therefore, the company preferred to build temporary classrooms
and demolish the aging school buildings.

However, the developer's executives admitted that they made a
mistake in pulling down the old school buildings without first
asking for an official permit from the city administration.

When asked if the city administration would revoke the
developer's license as a penalty for breaking the rule, Prawoto
said that it would only cause losses to the city administration.

"It will affect not only the development of the area but also
other city plans," Prawoto said. (yns)

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