Port attracts land speculators

Multa Fidrus, The Jakarta Post, Serang

As the construction project of Bojonegara International Port (BIP) in Serang, Banten province, has started, a local non- governmental organization suspects that it has attracted land speculators who expect huge profits should the port operator expand the site.

The suspicion rose after the Serang administration revealed that many Jakarta businesspeople had bought hectares of land next to the site for their companies' expansion.

"If those businessmen were serious in expanding business here then they should have started construction activities.

"But for months all we see are idle plots of land," West Serang Community Forum (Formaseb) chairman Sanwani said on Thursday.

He added that based on an investigation, Formaseb found that the businesspeople actually intended to resell the properties for higher prices after they had obtained rights to build and use a building in Bojonegara.

"Therefore, we urge the Serang regency administration to scrutinize those coming to apply for the permits," Sanwani said.

Formaseb also criticized the administration's policy to hand out permits to reclaim the sea for investors who intended to build hotels, restaurants and commercial buildings along Bojonegara coastline.

"We found that the investors obtained the permits even though they don't have the required environmental impact analyses as stipulated in Bylaw No. 17/2001 on beaches and riverbanks," Sanwani said.

Responding to the complaints, Serang regent Taufik Nuriman said that the land-use and reclamation permits were issued by his predecessor.

"It would not have happened if I was the regent at the time. However, I will assign some officials to study the matter soon," he said.

The newly elected regent replaced former regent Bunyamin in July.

The port will occupy 455 hectares of coastal land in the Pule Ample district.

Designed by the central government, the port is expected to support the Tanjung Priok port in North Jakarta and to boost economic growth in the province.

The ground-breaking ceremony for the BIP project was officiated by then president Megawati Soekarnoputri in 2003. State port operator PT Pelindo had begun to reclaim 700 hectares of the area for a container port while the construction of another 335 hectares for industrial plants and trading activity had been planned to start in 2010.