Wed, 18 Sep 1996

Indosat, Telkom to help develop tallest tower

JAKARTA (JP): State-owned telecommunications operators PT Telkom and PT Indosat will participate in the development of Menara Jakarta, which is set to become the tallest tower in Indonesia. The multi-million-dollar tower will be erected in Kemayoran, Central Jakarta.

Minister of Tourism, Post and Telecommunications Joop Ave told Commission V on transportation, tourism and telecommunications of the House of Representatives in a hearing here yesterday that the planned 500-meter tower will become a tourist attraction.

He told reporters after the hearing that the tower will be developed as a multimedia center. "That's why we are involving Telkom and Indosat in the development of the building."

Indosat, which runs international telecommunications services, has announced its plan to enter the multimedia business. The company has just acquired a stake in PT Yasawirya Tama Cipta, a Jakarta-based firm which produces video recordings for television broadcasters.

In its financial report, Indosat said it is currently exploring the possibility of providing multimedia services and has budgeted $13.5 million for the development of a pilot network for 1996.

Telkom has also signed a preliminary agreement with PT Telekomindo Primabhakti and PT Rajawali Citra Televisi Indonesia (RCTI) to develop multimedia services.

Telekomindo is a private cellular telecommunications operator. Telekomindo, partly owned by Telkom, is controlled by the Rajawali Group, which has ties with both businessman Peter Sondakh and the Bimantara Group, which owns RCTI.

Joop, Indosat's president Tjahjono Soerjodibroto, and Telkom's top executives, all refused to say how much money the two companies will invest in the US$400-million project.

The tower project is being managed by PT Indocitra Graha Bawana, a consortium involving businessmen Sudwikatmono, Prayogo Pangestu and Henry Pribadi.

The building, part of the Kemayoran development plan, is set to be about four times taller than the 132-meter national monument, Monas. The highest part of the building will be used as a telecommunications center and house broadcasting and television facilities, in addition to restaurants, hotels and offices.

When announced last year, the project sparked controversy but the government eventually gave the go-ahead.

The planned 500-meter tower is expected to be the third highest in the world after the CN Tower (555 meters) in Toronto, Canada, and the Oskantino (530 meters) in Moscow.

Architects grouped in the East China Architecture Design Institute reportedly won the competition among a limited number of world tower designers. Completion is scheduled for the latter part of the ongoing Sixth Five-Year Development Plan (Repelita V), which will end in March 1999.

Joop reiterated yesterday that the tower was not setting out to rival Monas. (icn)