Indonesian Political, Business & Finance News

Singaraja empire set to make a big comeback

Singaraja empire set to make a big comeback

Moch. N. Kurniawan and Novan Iman Santosa The Jakarta Post Singaraja, Bali

The Buleleng regency in North Bali is ready to open its region for investment, ranging from tourism to plantations, to fully exploit its underutilized, abundant natural resources.

Head of The Buleleng Development Planning Board (Bappeda) I Nyoman Yasa, said Buleleng needed new investment to boost its development and catch up with other regencies, particularly those of southern Bali such as Gianyar and Badung regencies and Denpasar mayoralty.

"We will exploit our natural resources and tourism potential to get new investment. It is the best thing to do for our people," he told The Jakarta Post on Wednesday.

Buleleng is the largest regency in Bali with 136,588 square kilometers of land or about 24 percent of the whole of Bali island with a population of some 580,000 people.

Buleleng Bappeda has divided the regency into three development areas, namely western, central and eastern development areas.

"Dividing the regency in an east and west direction allows each area to fully take advantage of the resources here," he said. "Each development area will have their own share of mountain and beach."

Despite the abundant resources, Buleleng has yet to take full advantage of it.

"We have, for example, the longest beach in Bali, which is 144 kilometers long and huge fishery potential but there are only a few fishery investors," said Yasa.

"Buleleng also has various tourist destinations to be further developed. In agriculture, we also have vast coffee and clove plantations as well as vegetables and fruit.

"These sectors are waiting for investors," he insisted.

His office is ready to speed up licenses for interested investors, he said.

Buleleng, the capital of Singaraja once was the center of economic activity during the Dutch colonial era. Singaraja was the main gate to Bali. Singaraja also housed the Dutch resident for Bali and Nusa Tenggara.

After Indonesia gained its independence, Singaraja was the capital of the Lesser Sunda province which covered current provinces of Bali, East Nusa Tenggara and West Nusa Tenggara.

Everything changed when the Ministry of Home Affairs decided in 1960 to move the provincial capital to Denpasar as Lesser Sunda province was divided into the three current provinces.

Since that change, Buleleng business activity declined. The centralized policy of the central government served as a death blow to Buleleng.

Denpasar and Badung regency, which encircles Denpasar, became the beneficiary of the decision.

Buleleng's income per capita is lower than other regencies in the southern part of Bali. Buleleng income mainly comes from tourism and coffee and clove plantations.

In 2000, Buleleng income per capita was only Rp 3.1 million (US$352.27 ) compared to Rp 8.9 million for Badung, Denpasar at Rp 5.9 million, and Gianyar at Rp 4.98 million.

Investment mostly flowed to the southern part of the island which offered better infrastructure such as an airport, roads, electricity and telephone lines.

The provincial administration, however, has decided to limit tourism-related investment in Denpasar and Badung so that other regencies can develop their tourist destinations.

Yasa said that Buleleng administration would start promoting the Batu Ampar area in the western part of Buleleng, which has a less developed beach, West Bali National Park, ancient villages, namely Pedawa and Sidatapa, and a hot spring.

"But there are only four hotels in the western region. It still needs many hotels there but we also must lure more and more tourists to come here," he said.

At present, for example, the beach development in Buleleng is only in Central Buleleng on Lovina beach, a peaceful black sand beach which features a dolphin show.

According to Yasa, Lovina beach, would soon be declared a closed area for new investment, thus opening opportunities for other beaches to be developed.

The regency also planned to develop the ancient village of Sidatapa in the eastern part of Buleleng to become a tourist destination.

The regency also looks to promote its potential in the fishery sector.

In the agriculture sector, Yasa said Buleleng had great potential for crops such as grapes, mangoes, strawberries and rambutan which could be offered to investors.

In plantation sector, the regency would continue to develop coffee and cloves, its leading commodities in the province, he said.

So far, the regency was able to maintain its leading position in coffee trading due to the shift of coffee types from Robust to a new variety of coffee, Yasa said.

To support investors, he said Buleleng had adequate facilities such as roads, electricity and telephone lines.

"Our regency roads are 70 percent asphalted, electricity has been distributed to more than 90 percent of Buleleng areas covering all 127 villages but not yet to all 467 hamlets, so, in fact our infrastructure is quite strong," he said adding that the regency was planning to increase its asphalted roads by two or three kilometers a year.

A new airstrip for small planes was built in 2000.

"One investor, Yusuf Merukh, has already discussed a plan with us to enlarge the airport to enable 100-seat Fokker airplanes to land there," he said.

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