Indonesian Political, Business & Finance News

On toll road

On toll road construction

From Rakyat Merdeka

We are really concerned about Minister of Resettlement and Regional Infrastructure Soenarno's tardiness in settling major problems within the scope of his job. There are two things that are worth questioning concerning his policies.

First, in our opinion, the construction of the Jakarta Outer Ring Road (JORR) has dragged on for way too long and has violated a joint agreement. Take the Malaysia Consortium for example. The government will reportedly reimburse them for the expenses arising from their feasibility study. This will set a bad precedent because other companies failing to win the tender will ask for similar compensation. In fact, every bidder in a tender runs the risk of failing to win the tender.

Second, the government has not treated toll road investors equally. Only certain companies' tolls have been raised. Besides, the toll rate per kilometer differs, a situation that is not conducive for investment in toll roads. Ordinary roads, meanwhile, are practically always jammed.

Every time there are rumors about an increase in tolls, the government cannot give sound reasoning for it. Instead, it pretends to take a populist stance and, therefore, scares toll road investors away.

In the public works sector, a visionary minister would help stimulate economic activities, provide employment opportunities and promote the community's standard of living without adding pressure to the government's budget by, among other things, constructing toll roads and providing drinking water and electricity.

HANS SUTA WIDHYA

Deputy Chairman

of Consortium

for Transparency

in Public Information

(KUTIP) Jakarta

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