Indonesian Political, Business & Finance News

Teluk Naga developer pledges to help locals

| Source: JP

Teluk Naga developer pledges to help locals

JAKARTA (JP): The management of the Salim Group of companies
has been quoted as saying that it will place the local people's
needs before the group's business interests in carrying out its
Teluk Naga project in Tangerang.

A statement released yesterday by the Indonesian Environmental
Development Organization (BLHI) quoted representatives of the
Salim Group, which is now developing a large housing complex in
Teluk Naga, as saying that the project is being carried out for
the benefit of the local community.

The BLHI said that the Salim Group's director, Anthony Salim,
told the organization at a recent meeting that the company would
do its best to pay fair compensation for land appropriated from
local people and would try to provide job opportunities for them.

The Teluk Naga residential and commercial complex, located 26
km west of here, is being developed jointly by the West Java
provincial administration, the Salim Group and several other
developers. The project was approved by President Soeharto in
August.

The plan includes the reclamation of 4,000 hectares of the
Teluk Naga shoreline and 2,500 ha of swamp land. The
appropriation of 13 villages and surrounding rice fields will
affect an estimated 72,000 people.

The complex will include apartments, shopping malls,
recreational attractions, a fishermen's village and low-cost
housing facilities. It is expected to be completed in 2015.

According to reports seven developers have been recommended by
West Java authorities for participation in the project.

The governor of West Java said last month that the project was
aimed mainly at restructuring coastal development to bring into
line with the rapid growth in Greater Jakarta, which includes
Bogor, Tangerang and Bekasi.

Last month, the Environmental Impact Agency reminded
developers not to break environmental rules and that construction
should only start after the project's environmental impact study
had been approved.

The BLHI said it expected the Salim Group would honor its
assertions about the project. The statement, which was signed by
BLHI chairman Agus Miftach, said the success of the project
depends on the ability of the Salim Group to anticipate the
ecological, social and economic demands which will be generated
by the development.

The BLHI said the carrying out of the project should help to
reduce poverty in the area, "not the other way around." (03)

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