Residential area demolition postponed

JAKARTA (JP): The City Council has postponed the demolition of residents' houses in Kebon Kacang, Central Jakarta, as negotiations between councilors and the private developer behind the demolition are underway.

"But we still need to know whether there are plots of state land on the site, for which the demolition order would be effective," M. Aman, chairman of Commission A for government affairs said yesterday.

The postponing of the order, issued by the City Council last week, was against the mayoralty order, which backs a plan by the developer -- PT Asia Troika -- to build a five-star hotel in the area.

Aman repeated earlier statements by councilors that the mayor does not have the right to issue a demolition order for a private interest.

"We will meet Mayor Abdul Kahfi on Monday," Aman said after meeting with the management of PT Asia Troika.

The mayoralty has ordered the demolition of 40 buildings, including the homes of 19 families and one mosque, which occupy 2,000 square meters of land in the area.

The mayor was quoted in yesterday's edition of the Pos Kota daily as denying the councilor's allegations of interfering in land disputes for private interests.

Abdul Kahfi said his order was backed by a land use permit for public facilities.

Aman said the results of the commission's meeting with PT Asia Troika resulted in the management's statement that they would not increase their offers of land compensation.

Residents owning certified land want Rp 5 million (US$2.17) per square meter while those owning non-certified land want Rp 4 million per square meter.

The management said it could not go higher than Rp 2.5 million per square meter for certified, and Rp 2.25 million for non- certified land based on their feasibility study.

The management explained that it could not gain enough profits for the benefit of the tourism industry if land compensation was too high, Aman said. (anr)