Indonesian Political, Business & Finance News

Road project sorts out land dispute

Road project sorts out land dispute

JAKARTA (JP): Most residents of the Pesanggrahan subdistrict
in South Jakarta have agreed to accept the compensation offered
by the city administration for their land, which is needed for
the construction a 13.1-kilometer toll road linking Jakarta and
Serpong, Tangerang.

Deputy Chairman of the City Council's Commission A, which is
in charge of government affairs, M.U. Fatommy Asaari, told
reporters over the weekend, after being informed by officials of
the city administration, that 70 percent of the 180 families in
the subdistrict have agreed to accept Rp 275,000 (US$125) per
square-meter.

Last January 45 people, who claimed to represent the 180
families, filed a complaint with the city administration over
compensation for their land, which they considered too low.

They turned down compensation of Rp 165,000 to Rp 250,000 per
square meter, set by the South Jakarta mayoralty.

They demanded the compensation be raised to Rp 800,000 per
square-meter. The demand was made after seeing that residents in
North Jakarta received compensation of Rp 640,000 per square-
meter for a similar toll road project.

The construction of the road will be done in cooperation with
PT Jasa Marga,

PT Bintaro Serpong Damai, a joint venture between PT Jaya Real
Property (JRP) and PT Bumi Serpong Damai, will be in charge of
the construction of the toll road.

PT Jasa Marga, the state owned company assigned to manage
Indonesia's toll roads, will handle the land appropriation.

Ciputra, chief commissioner of PT JRP, said recently that the
first stage of the project will be built with an investment
commitment of Rp 170 billion (US$78 million). (yns)

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