Indonesian Political, Business & Finance News

Triple-tier developer urged to be open

| Source: JP

Triple-tier developer urged to be open

JAKARTA (JP): Governor Sutiyoso yesterday urged the developer
on the triple-tier transit project to place project
implementation details in the public domain.

"Up until now, no date has been fixed for starting the
project," he told reporters.

"I think it is important for the developer to inform the city
administration (about details of the project) so that we in turn
can begin to inform the public," he said.

The social impact of the project is potentially very large.
The city administration could help solve the problem of moving
people of land and advise the developer on aspects of the project
which affect the city as a whole.

Upon being asked when the mega-project would start, Sutiyoso
immediately said: "The developer has not informed me. Please
asked Mbak Tutut," referring to Siti Hardiyanti Rukmana, who won
the project contract.

The project developer, PT Citra Moda Margakencana, has for the
third time announced a delay in starting construction work. It
has yet to fix a fourth definite starting date.

Meanwhile, head of the City Environmental Impact Supervision
Board (Bapedalda) Prawoto Danoemihardjo told The Jakarta Post
that a coordinating team had been set up by the municipality and
the project developer last month.

Among the tasks assigned to the team is to determine the scope
of the project and to study the social and environmental impact
of the planned construction, he said.

In a related development, Mas Achmad Santosa from the
Indonesian Center for Environmental Law told a discussion on
Monday that public involvement in preparing the environmental
impact study was important.

"In the case of large projects, people are often not
consulted. They know about it only after they have lost their
homes and jobs.

"I agree that the project is needed to help solve the city's
chaotic traffic situation. But please, be more open with the
people about this," Santosa said.

Approximately 3,263 families and 1,278 houses will be affected
by construction in the first stage of the project.

The first phase involves laying 14 kilometers of track from
Dipo in South Jakarta to Tanah Abang in Central Jakarta.

The Rp 6.2 trillion triple-tier system will eventually combine
23.65 kilometers of toll roads, 22km of light railway and the
existing road network along the planned route.

The developer, PT Citra Moda Margakencana, is a joint-venture
between PT Citra Lamtoro Gung Persada, a company owned by
President Soeharto's eldest daughter Siti Hardiyanti Rukmana,
Perumka, the state-owned railway company, PT Jasa Marga, the
state-owned highway corporation.

The system is expected to begin operation in 2001.

The project will affect a total of 38 subdistricts in 13
districts from Bintaro in South Jakarta to Kota in West Jakarta.

Head of commission D for development affairs, Ali Wongso
Sinaga, told reporters yesterday that PT Citra Moda Margakencana
should obey all relevant regulations when acquiring land.

He said that the terms of Presidential Decree No. 55/1993
obliged developers to discuss land acquisition with affected
local residents.

"The process should be carried out before the project starts.
Compensation for the land procured should also be negotiated with
local residents," he said. (edt/ind)

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