Wed, 09 May 2001

JORR project tender

I would like to draw the attention of all parties, including the government of this republic, to the currently growing controversy about the development of the Jakarta Outer Ring Road (JORR). From my observations in this case, it appears that the government needs to review the project tender in a more responsible way so that the process can be perceived by the public as a transparent and fair one.

The following are some arguments to support the need to review the tender in question:

1. The appointment of RHB Hicom Malaysia as a preferred bidder in the tender was not considered transparent as it was not known to the public.

2. As a preferred bidder, RHB Hicom, with its privileges, had a greater chance of winning the tender.

3. The government's action in granting the privileges has naturally aroused the public's curiosity. Is there anything behind all this? This question is, I think, natural, because actually there are many domestic developers. However, the door for them has already been closed.

One of the domestic developers that has openly declared its ability to undertake JORR is PT Citra Marga Nushaphala Per- sada Tbk (CMNP). CMNP has in its televised statement said it made a lower tender than the one payable by the government for the JORR project.

Accordingly, for and on behalf of the Foreign Investment Monitoring Community (MAPIA), I hereby propose and recommend the following:

a) The government should review the tender policy, which has caused a particular party to enjoy a profit or benefit, by retendering the JORR project more transparently and more fairly.

b) Actually, the openness of information like that is easy to achieve through advertising in the newspapers in more detail. Perhaps they can adopt the spirit of transparency and fairness demonstrated by the Capital Market Supervisory Agency (Bapepam).

c) Openness of information that is handled as a genuinely full disclosure will help the government to achieve the recovery of the national economy and will not trap the government or anyone else into corruption, collusion and nepotism (KKN) that has obviously brought about the various crises our country has faced.

BUDI PURNOMO

MAPIA Coordinator

Jakarta