Wed, 11 Feb 2004

Financial woes delay garbage projects

Damar Harsanto, The Jakarta Post, Jakarta

Jakarta administration officials admitted on Tuesday that they still had made little progress in dealing with the city's 6,000 tons of daily waste as investors who had proposed high-tech garbage management were mostly still waiting for the approval of bank loans to finance their projects.

"The plan to introduce hi-tech waste management, which would be fully financed by investors, is still far from being realized. Most of the investors are facing financial problems...we are planning to cross several off the list," said Jakarta Sanitation Agency head Selamat Limbong.

He was speaking in a meeting between Jakarta officials and the City Council's Commission D that oversees development affairs.

Limbong was accompanied by assistant to the City Secretary for Development Affairs, IGKG Suena, and the Jakarta Environmental Management Body (BPLHD) head, Kosasih Wirahadikusumah.

The administration has received proposals from nine companies, who will provide bale-press machines and various other facilities to transform organic waste into bio-fertilizer.

However, only PT Wira Gulfindo Sarana seems ready to operate the bale-press machines at the city dump in Bojong, Klapanunggal, Bogor, in March, although the continued presence of the dump has met with rowdy protests from locals.

The officials, however were unable to evade the councillors' harsh criticism.

"You have made no progress at all. The report you presented just now is the same as the one you gave us six months ago. You just changed the color of the report covers," said Tjuk Sudono of the National Mandate Party (PAN) faction.

He recalled that officials had claimed in an earlier report that most of the deals with the investors were near realization, pending the approval of bank loans.

He accused Limbong's office of failing to lure reliable investors as it never made public the specific requirements for companies willing to be involved in the garbage management projects.

Councillor RS Harriyanto also voiced similar concern about the sluggish progress in waste management projects.

"You must stop using the conventional way of managing garbage and start telling the people to sort and manage their own garbage at their own households," he said.

In a related development, Jakarta Governor Sutiyoso said on Monday that the administration had given compensation to the fish farmers whose farms near the Rawa Malang dump in Cilincing, North Jakarta, were polluted by Jakarta's garbage.

"We will remove the garbage we have dumped there...We will be responsible for the (environmental) damage there," he said, without detailing the amount of the compensation.

Investors for Jakarta's garbage management

Company Location Problem(s)

1. PT Wira Gulfindo Sarana Bojong, Bogor protest from locals

2. PT Interindo Global Duri Kosambi, W.Jakarta financial problems

3. PT Karya Mitra Selaras Rorotan, Cilincing awaiting loan approval from Bank Mandiri, Bank DKI

4. PT Pupuk Sriwijaya Ind. Sunter, North Jakarta building permit, environmental analysis in process

5. PT Galuh Chanda Kirana Rawa Buaya, West Jakarta financial problems

6. PT Farce Tamajaya four areas in the city awaiting loan approval from Bank Mandiri, Bank DKI

7. PT Nusa Bangun Sejahtera Marunda, North Jakarta building permit, environmental analysis in process

8. PT Acme Corporation Rorotan, Cilincing in negotiation with the investor

9. PT Patriot Bangkit Bekasi Bantar Gebang proposal still being studied