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Jakarta Post

Budget approved, development to begin soon

The Jakarta administration will soon start its major programs centering on flood mitigation, transportation development and housing for relocated squatters as the city’s 2014 budget worth Rp 72 trillion (US$6

Corry Elyda (The Jakarta Post)
Jakarta
Thu, February 20, 2014

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Budget approved, development to begin soon

T

he Jakarta administration will soon start its major programs centering on flood mitigation, transportation development and housing for relocated squatters as the city'€™s 2014 budget worth Rp 72 trillion (US$6.12 billion) won approval from the Home Ministry on Wednesday.

Jakarta Deputy Governor Basuki '€œAhok'€ Tjahaja Purnama said on Wednesday that the city administration would immediately commence all major programs and projects, although the Jakarta Finance Management Agency still had to make some revisions as some items were axed by the ministry.

'€œWe will prioritize major development programs such as flood mitigation, road repairs and traffic management. We are racing with time to resolve major problems hitting the city,'€ he said.

According to the 2014 city budget, flood and transportation programs accounted for more than 25 percent of the budget.

Ahok said the city would build several low-cost apartments, so squatters living along the riverbanks could be relocated and dredging projects in all rivers, dams and reservoirs could resume.

The Housing and Administration Building Agency plans to finish building seven low-cost apartments in the five municipalities this fiscal year.

'€œWe will also build sheet piles and revamp troubled sluice gates,'€ he said, adding that the construction of kampung deret (village of row houses) would also be prioritized.

Regarding the transportation issue, the deputy governor said the city administration would intensify its coordination with the Government Procurement Regulatory Body (LKPP) to procure 4,000 buses through the electronic catalog (e-catalog).

'€œInstead of processing the bidding system that takes at least 45 days, it is better if we focus on the e-catalog system so we can buy the buses efficiently and rapidly,'€ he said.

Finance Management Agency head Endang Widjajanti said her agency was now revising certain items in the approved budget in accordance with the notes given by the Home Ministry.

'€œThe notes included scrapping budget allocation for the haj pilgrimage program and the General Elections Commission (KPU),'€ she said.

The city had allocated Rp 40 billion from its budget for the development of the pilgrimage program this year.

'€œMeanwhile, the KPU funds will go to the Nation Unity and Politics [Kesbangpol] program,'€ she said.

Endang said the ministry had also asked the city administration to create a bylaw that would mandate the city administration to inject Rp 100 billion in its capital participation to the city-owned PD Pembangunan Sarana Jaya.

'€œWe will probably use the funds for other purposes as creating the bylaw will take a long time,'€ she said, adding that all funds for the major programs and projects could be disbursed by the end of this month.

'€œWe will also revamp the budgeting system by using e-budgeting to spend more efficiently,'€ she said, adding that the city had targeted to spend at least 90 percent of the budget.

The city administration is now setting up a new procurement agency that will take over the procurement process of items and goods in all agencies.

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