Ministry seeks extra money for infrastructure

Ministry seeks extra money for infrastructure

Rendi A. Witular, The Jakarta Post, Jakarta

The Ministry of Public Works proposed additional funding on
Wednesday amounting to Rp 5.07 trillion (US$539 million), mostly
to be used for developing public infrastructure in cities and
villages around the country.

In a hearing with the House of Representatives' Commission V
for infrastructure, telecommunications and transportation, the
ministry's secretary-general, Roestam Sjarief, said the
additional money was also needed for the reconstruction of
tsunami-affected Aceh.

Roestam said that some Rp 1.53 trillion would be allocated for
Aceh's reconstruction, while the remaining Rp 3.54 trillion would
be used for the construction of the infrastructure needed to
support economic growth, such as roads, bridges and irrigation
works.

"The ministry needs extra funding to help tsunami-stricken
areas as well as underdeveloped cities and villages throughout
the country. We need to empower these areas so that they can
improve their economies," said Roestam during the hearing.

The extra funds for Aceh are included in the Rp 45 trillion in
reconstruction funds the government has pledged for the tsunami-
affected areas.

Based on the state budget, the Ministry of Public Works is
expected to receive some Rp 13 trillion, with the lion's share of
the funds to be used to improve existing roads as well as
construct new ones.

According to the ministry, some 19 percent of the country's
total of 34,628 kilometers of roads are in bad condition and 81
percent are good condition.

The total length of the roads, however, is still insufficient
to help support economic growth.

Given the current situation, Indonesia is facing a grave
threat of massive congestion in the distribution networks in many
parts of the country that could derail the government's
target of achieving economic growth of more than 6.6 percent
annually within the next four years.

Roestam said that out of the extra money, the ministry would
allocate Rp 515 billion for road maintenance along the northern
and southern corridors in Java, as well as the eastern corridor
in Sumatra. The money would be added to the existing allocation of Rp
4.5 trillion set aside for road maintenance and construction,
excluding toll roads.

Roestam added that the ministry would also allocate some Rp
170 billion for further work on the Suramadu bridge, which is
expected to cost some $177 million and will link Surabaya city in
East Java to underdeveloped Madura island.

Another Rp 2.6 trillion will be spent on improving irrigation
networks around the country.

According to the Ministry of Agriculture, some 40 percent of
the country's irrigation facilities are in dire need of repair
due to poor maintenance as a result of a lack of money.