Tue, 18 Nov 1997

Toll road projects to be prioritized next year

JAKARTA (JP): The government would prioritize certain toll road projects and other infrastructure projects to be continued next fiscal year beginning in April, Minister of Public Works Radinal Moochtar said yesterday.

Radinal said the projects were the Jakarta outer-ring roads, the East Bekasi-Cawang-Kampung Melayu toll road, the triple- tiered toll road, the Pondok Aren-Ulujami toll road, the Aloha Waru-Tanjung Perak road, the Simpang Susun Waru-Tanjung Perak road and the Ujungpandang road.

He said the government would also continue development of the Jayapura-Wamena road and improve the bridges connecting Merauke, Tanah Merah and Ubrub, all in Irian Jaya.

"We need to prioritize these projects so that we can reach the target of the Sixth Five-Year Development Plan," Radinal told the House of Representatives Commission IV for public works yesterday.

The development plan, which will end in 1999, targets to improve roads and bridges and develop 16,000 kilometers of main non-toll roads and 50,000 km of secondary roads.

In September, the government postponed and put under review some US$37 billion in infrastructure projects -- many of which were toll road projects -- financed with foreign loans to cope with the rupiah's sharp depreciation against the U.S. dollar.

But some of the projects, including four toll road projects, were allowed to continue by a presidential decree Nov. 1.

The Semarang Section C, Ujungpandang and Pondok Aren-Serpong toll road projects were changed from reviewed to continued status, while the Aloha Waru-Tanjung Perak toll road was taken off the postponement list and will be continued as well.

At the hearing, Radinal also explained that the currency crisis had also lowered the profitability of some state-owned firms under the Ministry of Public Works.

Radinal predicted the government would receive less revenue than what was targeted under the current development plan. He did not mention the amount.

However, he said, state-owned toll road developer and operator PT Jasa Marga and public housing company Perum Perumnas would likely not face any problems meeting their five-year targets.

"Jasa Marga is working on finishing the development of a 310- km toll road, and hopefully Perumnas will reach its target of 250,000 low-cost homes," he said.

Radinal said the government would also continue its project to convert one million hectares of peat fields into rice paddies, and would also develop new irrigation systems. (das)