Thu, 08 Dec 1994

Govt denies new talks over Koja

JAKARTA (JP): The Ministry of Transportation yesterday denied reports that it has reopened negotiations on the amount of land compensation owed to residents of the Koja Utara subdistrict in North Jakarta.

A release made available to The Jakarta Post said that SM Hasan Saman, a representative of the Koja Utara residents, had misinterpreted the results of a meeting on Oct. 31 between representatives for the Ministry, state-owned port company PT Perum Pelabuhan II (Pelindo II) and Hasan himself.

Spokesman for the Ministry of Transportation Salam Susanto said that the meeting was aimed only at accommodating complaints from the residents and at showing the government's concern over the matter.

Last week, however, Hasan claimed that the ministry and PT Pelindo II have reopened negotiations by involving the participation of local residents to resolve the matter.

Saman said that the local residents have maintained their earlier decision to demand compensation of Rp 2.27 million per square meter. This demand is based on the value of taxable properties and the presidential decree on land appropriation, he said.

The dispute over land compensation arose after PT Pelindo II announced last year it would appropriate 90 hectares of the land inhabited by 9,037 families (almost 40,000 people.) The company plans to build a new cargo terminal expansion project in a joint- venture with PT Humpuss. The new terminal, built at a cost of US$498-million, is expected to start operations in October 1998.

After a number of sessions failed to reach an agreement, North Jakarta Mayor Soeprawito decided to break the deadlock by offering between Rp 100,000 (US$46.8) and Rp 160,000 ($75) per square meter, Rp 10,000 higher than the rate set by PT Pelindo II. This offer, however, was rejected by the residents. (yns)