IAW Urges Transparency on Rempang Investment Certainty to the Public

IAW Secretary Iskandar Sitorus reminded that the announcement of investment does not always have to wait for a final contract. According to him, the government must honestly explain the level of investment certainty to the public so as not to create a perception that the entire project already has a legal basis and funding certainty. This was stated by Iskandar in response to an official statement from Xinyi Glass Holdings Limited, which claimed it had never signed a contract or been involved as the developer of the Rempang Eco City project. He added that the National Strategic Project (PSN) status attached to Rempang Eco City needs to be reviewed, considering land readiness, recognition of Kampung Tua, environmental studies, and public acceptance, which still present many issues from the outset. He said it is not enough for the government to merely explain that investment dynamics are normal. According to him, what needs to be answered is the extent of the prospective investor’s commitment when the Rempang project was promoted as a national strategic investment. “How can a company be placed at the centre of a national investment narrative worth hundreds of trillions of rupiah, while the company itself then states it never reached an agreement or contract and was never involved in the project’s development?” Iskandar said in his statement on Wednesday, 22 July 2026. According to Iskandar, the discrepancy between the government’s narrative and Xinyi’s official explanation does not automatically prove a legal violation or abuse of authority. However, this condition is sufficient grounds to conduct a comprehensive governance audit of the project planning process. “The audit must answer what the government actually possessed when the investment was announced. Whether there was a written commitment, a memorandum of understanding, a feasibility study, funding certainty, or if it was merely an initial exploration. The public has the right to know the difference between investment interest, commitment, contract, and realisation. All these stages must not be mixed into a single narrative as if the investment is already certain to proceed,” he said. Iskandar assessed that the journey of the Rempang project shows two contradictory narratives. On one hand, the government builds optimism through the investment value, employment projections, and green industrial area development.