Indonesian Political, Business & Finance News

Park maintenance to be handed over to private firms

| Source: JP

Park maintenance to be handed over to private firms

JAKARTA (JP): The City Administration's plan to privatize the
maintenance of parks across the capital has so far received
responses from two parties, which have expressed their enthusiasm
to take care of the vast park at the Semanggi cloverleaf in the
heart of the city.

Speaking on Monday before members of the City Council
Commission D on development affairs, City Park Agency head Dadang
Ruskandar identified the two private firms as PT. Kawan Lama
Sejahtera heavy equipment supplier and PT. Hantar Mandiri courier
firm.

Under the offer, which was introduced some six months ago, the
firms -- in return for maintaining the parks -- would be allowed
to place their companies' names at the signboard in the
respective park.

"Each of the companies have to pay Rp 300 million (US$33,330)
per annum to the City Administration (his agency) for the
maintenance fee of a spot in the Semanggi Park," Dadang told the
councillors.

The signboards and their size would be similar to those used
for advertising on the sides of major streets here, he said.

The only difference is that the content should be in the form
of a public service advertisement board with the logo of the
company put at the lower part of the billboard.

Located in a prime site in the capital, the Semanggi park is
divided into four sections with a total size of 105,000 square
meters.

Jakarta used to be home to 529 parks covering an area of
177.29 square kilometers. Currently, it only has some 220 parks
remaining as more than 300 former parks have already been
converted for other purposes, such as trading sites, fuel
stations, community centers and police posts.

According to Dadang, the project for the Semanggi Park would
be started soon, hopefully before the end of this year.

"For the next fiscal year, we will offer Suropati Park in
Central Jakarta for the same project," Dadang said, referring to
the park located at the plush Menteng residential area which has
become a popular site for anti-Soeharto protesters.

In about two or three years from now, he hoped, the
maintenance of all the parks in the capital would be under the
responsibility of private parties.

The City Park Agency spends some Rp 11.6 billion per year for
the maintenance of the parks.

Under the current regulation, companies placing commercial
billboards are required to pay between Rp 4,000 and Rp 5,000 per
square meter per day to the City Administration.

Dadang said the funds collected from the interested parties
participating in the project would be allocated for the planting
of trees in the slum areas of the capital.

"The first slum sites to get the greening project with funds
collected from the Semanggi park would be those at Jatinegara in
East Jakarta and Tanjung Priok in North Jakarta," he said.

In response to Dadang's explanation, Commission D chairman
Sayogo Hendrosubroto said that the commission highly praised the
idea to privatize the parks' maintenance, hoping that the agency
could now focus its work on improving the city's slum areas.

With the National Monument (Monas) project, Dadang said the
rehabilitation of the park around the monument would be
accomplished by the end of the 2001 financial year.

So far, the agency has spent some Rp 30 billion of the funds
allocated for the project.

"The park is the biggest green area in the capital, and by the
end of the rehabilitation project we expect that the park could
also serve as the lung of the city," he added.(dja)

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