Jakarta Outer Ring Road project may start next month

JAKARTA (JP): The eagerly anticipated Jakarta Outer Ring Road (JORR) is entering the final stages of its preparation and may begin next month, Minister of Settlement and Regional Infrastructure Erna Witoelar said on Wednesday.

"State-owned toll road company PT Jasa Marga and Malaysia's DRB-Hi Com are working on the final preparation of the project," she said.

"DRB-Hi Com agreed not to ask for tax exemption so that everything will run smoothly. JORR's authority is also preparing an open bid to pick suitable local companies as operators of the project," Erna said after signing an agreement on a 3.9 million euro grant (about Rp 32.6 billion) for a water management scheme with the head of the European Commission Delegation in Indonesia Sabato Della Monica and European Union President Harald Sandberg.

Erna further said about 70 percent of the material to build the road will mostly come from domestic supplies.

The ministry is also preparing for the next road project linking Cikampek - Padalarang in West Java and the Surabaya - Mojokerto road in East Java, she said.

The investors for the roads in West Java and East Java, however, are different from JORR.

The 63-kilometer JORR toll road project which will link all outlying areas of Jakarta is designed to ease traffic congestion in the capital.

Total investment in the project is about Rp 5 trillion (US$526.3 million), she said.

The minister also said that a special team involving related offices, including the Jakarta administration has begun establishing arrangements for land clearance matters.

Erna again asserted that "the project will not involve previous investors".

JORR's initial investors, namely, PT Citra Mataram Satriamarga Persada, PT Marga Nurindo Bhakti and PT Citra Bhakti Margatama Persada, are linked to former president Soeharto's daughter Siti "Tutut" Hardijanti Rukmana.

They had only completed 40 percent of the project when the economic crisis struck the country in the middle of 1997, forcing the government to suspend work on the venture.

Parts of the project still awaiting construction are roads to link Pondok Pinang and Kebon Jeruk road; Jagorawi and Cikunir; and Kebun Jeruk and Penjaringan.

Part of the ring road that will link Cikunir, Cilincing and Tanjung Priok are still at the preparation stage.

The whole project is expected to be completed within three years. (edt)