Jakarta Council Scrutinises Unseen Flood Warning System Funded by PEN Loan
A member of the Jakarta Regional House of Representatives (DPRD) Budget Committee, Lukmanul Hakim, has questioned the existence of a flood warning system project reportedly financed through a National Economic Recovery (PEN) loan. He stated that although the debt is still being repaid by the Jakarta Provincial Government, the existence and function of the early warning system remain unclear.
Lukman highlighted that the Jakarta APBD posture is still overshadowed by debt financing. He argued that the government needs to openly explain the use of every loan it undertakes. “This debt issue must be explained transparently. The public should not only know that the government continues to borrow, but not know exactly the results of using that budget,” Lukman said in a statement on Wednesday (15/7).
He then touched on the PEN loan, part of which was reportedly used for the procurement of a flood warning system worth approximately Rp250 billion. According to him, to date, the existence and benefits of the system cannot be clearly identified. “One of the uses of the PEN loan was for a flood warning system. But until today, we do not know where it is,” he said.
He urged the executive to ensure that regional financial management is conducted transparently and accountably. To that end, he asked the government to disclose all information regarding the use of the loan funds. “This is the people’s money. In the Budget Committee forum, we want the Jakarta APBD to be truly transparent and accountable. The budget must not be used improperly,” he stated.
He pressed the Jakarta Inspectorate to immediately submit the results of its internal examination regarding the use of the budget for the flood warning system procurement to the DPRD Budget Committee. He argued that the audit report is important so that the council can ascertain whether the budget use complied with planning and applicable regulations. “I ask the Inspectorate to immediately submit its examination results to the Budget Committee. We want to see whether an internal examination has been conducted or not,” he said.
In addition to the internal audit, Lukmanul also requested that law enforcement officials help trace the use of the PEN loan funds if any indications of problems are found in its implementation. “I am asking law enforcement to step in and investigate the PEN loan, for which the debt is still being paid by the Jakarta Provincial Government to this day,” he stated.
According to Lukman, oversight of budget use is becoming increasingly important given that the Jakarta Provincial Government plans to again utilise a financing scheme through regional bonds in the upcoming APBD posture. “I actually do not agree if we keep borrowing. We must not end up paying off debt while the goods financed are nowhere to be found,” he said.
He hopes the regional government will provide an open explanation regarding all uses of loan funds, including the flood warning system project, so as not to raise questions among the public or the DPRD. “My main concern is the flood warning system. If there is indeed a problem, why is it being ignored? This must be explained clearly to the public,” Lukmanul said.