Public Works Minister agrees to revise regulation on Sunda Straits project
TEMPO Interactive, Jakarta: Minister of Public Works, Djoko Kirmanto, has agreed to revise Presidential Decree Number 86 Year 2011 on the Development of the Strategic Areas and the Infrastructure linked to the colossal Sunda Strait project. However, said Djoko, the Ministry of Public Works did not agree to a total revision – only to adding clauses.
"We are proposing the addition of a clause regarding the procurement process of goods and services," Djoko said on Monday, July 9, 2012 at his office, about including Section 62 of Presidential Decree Number 54 Year 2010 regarding Procurement of Goods / Servicesin the Presidential Decree Number 86 Year 2011.
The Minister of Finance, according to Djoko, proposed two alternatives: total or partial revision. He prefers a partial revision because the Sunda Strait bridge project remains a ministry program.
Currently, discussions of the revision process are ongoing; consequently, he prefers not to speculate whether the feasibility study of the project will be financed by the State Budget or the private sector.
Finance Minister Agus Martowardojo insisted on the revision concerning the preparation of a feasibility study by the project proponent.
Agus believes that the clause will adversely affect state finances because if the private sector prepares the study and it’s not used, the government must pay compensation.
Agus expressed his appreciation to the proponent for the project, PT Graha Banten Lampung Sejahtera, who had made a pre-feasibility study. However, he reminded everyone that preparing feasibility studies is the government’s authority, in this case the Ministry of Public Works.
Graha Banten Lampung Sejahtera is a consortium of companies consisting of the Artha Graha Group owned by Tomi Winata, Banten Provincial Government and the Government of Lampung province. The company was the initiator of the Sunda Strait Strategic Areas andInfrastructure project, valued at Rp150 trillion. Pending revision of the regulation, the Ministry is conducting a technical review of the bridge construction site. This review aims atfinding the installation points of the bridge beams.
10 July 2012