Indonesian Political, Business & Finance News

Developers need to exchange data

Developers need to exchange data

JAKARTA (JP): State Minister of Environment Sarwono Kusumaatmadja called yesterday for better exchanges of information between real estate developers in order to prevent conflicts of interest.

"There's nothing wrong with large-scale development, but if megaprojects are centered in one area, such as Greater Jakarta, there are bound to be conflicts over spatial arrangements, water sources and pollution control," he said.

Sarwono was speaking on the topic of the business ethics of developers in environmental management at the national congress of the Indonesian Real Estate Developers Association.

The minister told the third day of the congress that early access to information on water supplies could prevent conflicts of interest from occurring.

"Information on water sources is the top priority for developers," he said, "because how can real estate industries survive if there's a shortage of water?"

Sarwono even suggested that the developers themselves should set up a center for information services, saying that such information could be pooled from various government bodies. "It could even be a good business," he added.

However, outgoing association chairman Enggartiasto Lukita said it is the government that should set up the proposed center, as it has the best access to the information.

"But if the government has other priorities, developers could help by collecting the funds for the information services," he said.

Sarwono said developers could have the required environmental impact analysis conducted in a much simpler manner if an information center for developers existed.

The minister told the developers to be responsible in their use of the information they have. For instance, if the information they have implies that they choose another site for their project, they should do so, he said.

Enggartiasto promised that the leadership of the association would develop further the Sarwono's idea of an information center.

The congress will hold its chairmanship elections today.

Sarwono said that developers face great risks if they treat government land use permits as a form of guarantee that the land in question is free of environmental problems.

A developer with "a pro-active ethical attitude" would not be content with pocketing a permit, he said. Sarwono conceded that the officials issuing permits for land use may not understand environmental matters.

Therefore, the responsibility for the preservation of the environment rests with developers, he said. "And in that they should be guided by ethics...which depend on proper information," he said.

Sarwono said that since developers are increasingly becoming part of the nation's "strategic elite", they are expected to show a higher degree of professionalism. He said there was an urgent need for developers to show "ethical commitment". (anr)

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