Governor: Jakarta needs more retail centers

Bambang Nurbianto, The Jakarta Post, Jakarta

Construction of supermarkets, shopping malls, and other shopping facilities will likely continue in the city as Governor Sutiyoso says his administration welcomes those interested in the business.

"We still need more shopping facilities as you can see that the existing shopping malls are always crowded," Sutiyoso told the media on Friday.

Another indication that Jakarta still needs many more shopping facilities, according to the governor, is that developers' interest in building such facilities remains very high.

According to data from PricewaterhouseCoopers (PwC), up to December 2002 shopping centers in the city occupied some 1.54 million square meters of floor area. But, there is no official estimate on the city's actual need for shopping centers.

The figure, however, did not include some 370 square meters of shopping facilities built in Greater Jakarta: Tangerang, Depok, Bekasi, and Bogor.

The latest shopping centers constructed last year in the city are the ITC Kuningan, Plaza Ciputat, Senayan Trade Center, Plaza Kelapa Gading, Kelapa Gading Mall III, Cilandak Town Square and Citra Gran Mall.

Head of planning and development division at the City Planning Agency Agus Subardono said the majority of the city's shopping centers are built in Central Jakarta, followed by South Jakarta, North Jakarta, West Jakarta, and East Jakarta.

Shopping centers which are still under construction include those in Kemayoran, Cempaka Putih, Senayan, Permata Hijau, Semanggi, Lebak Bulus, Cipulir and Mangga Dua.

At least four shopping centers will be opened next year, namely the Mangga Dua Square, North Jakarta, Plaza Semanggi, South Jakarta, Cililitan Wholesale Center, East Jakarta, and Mal Arta Gading, North Jakarta.

Earlier on Thursday, Sutiyoso gave the green light to a private company to construct a textile and garment trading center in Cipulir, South Jakarta. The two-hectare market is expected to ease the burden of the Tanah Abang garment and textile market in Central Jakarta.

Rusdi Yusuf, head of the City Development Planning Board (Bappeda), revealed on Thursday that the proposal for the Cipulir market was submitted by private company PT Aspac Mitra Consultindo.

Many of the shopping malls occupy land that was originally allocated for open green spaces. They include Plaza Senayan, Mal Taman Anggrek, and a number of malls in Kelapa Gading, North Jakarta.

Environmentalists have often criticized the city administration for issuing permits for shopping centers even though the city suffers from a serious shortage of open green spaces.

The existing green area is now less than 10 percent of the total Jakarta area of 650 square kilometers. Based on the 2010 City Master Plan, the city plans to increase the green area to 13.94 percent, but there have been no concrete efforts to implement the program. The proposed increase in green area is still far from the ideal figure, which should be around 30 percent of Jakarta's total area.

Environmentalist have warned that the decrease in the green area will have serious consequences. Among them, water shortages, since a lack of open spaces will reduce the city's ability to absorb rainwater.

"As a result, the city suffers serious floods during the rainy season, and serious water shortages during the dry season," chairman of the Environmental Tax Force Ahmad Syafrudin told The Jakarta Post recently.