JORR tender to start next Monday

The Jakarta Post Jakarta

The government said on Wednesday it would start the re-tender of the long delayed Jakarta Outer Ring Road (JORR) project on Jan. 21, with five developers expected to bid for the Rp 4 trillion (about US$384 million) project.

Minister of Resettlement and Regional Infrastructure Soenarno said that of the five developers, three were Malaysians, one Italian and the other the local PT Jakarta Propertindo (Jakpro).

He said JORR's former investor, PT Citra Nusapala Persada (CMNP), remained off the list of bidding participants.

"The FSPC has demanded that none of the old investors are to join the project," Soenarno told reporters, referring to the Financial Sector Policy Committee (FSPC) which groups together senior economic ministers.

The FSPC is in charge of handling major debt restructuring deals worth more than Rp 1 trillion under the Indonesian Bank Restructuring Agency (IBRA).

CMNP defaulted on bank loans to develop JORR, which was then handed over to IBRA in return for the agency taking over the bad debts.

CMNP, linked to former President Soeharto's eldest daughter Siti Hardiyanti Rukmana, has since been banned from joining the project.

Local developer Jakpro is owned by the Jakarta administration.

Based on The Jakarta Post records, the Malaysian bidders were BRD-Hicom Berhad, Road Builder Holdings Berhad, and Ranhill.