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Jakarta Post

Reclamation developer ready to pay for permit violation

Agnes Anya (The Jakarta Post)
Jakarta
Wed, May 4, 2016

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Reclamation developer ready to pay for permit violation Despite lacking a building permit, PT Kapuk Naga Indah, a subsidiary of developer PT Agung Sedayu, has built hundreds of residential and commercial buildings on Islet D in Jakarta Bay. The area is even equipped with electricity from state-owned electricity company PLN. (JP/Agnes Anya)

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T Kapuk Naga Indah, a subsidiary of developer PT Agung Sedayu, says it is ready to pay a fine for violating a permit relating to hundreds of buildings on Islet D, one of 17 man-made islets in Jakarta's north coast reclamation projects.

A director at PT Kapuk Naga Indah, Nono Sampono, admitted to his company’s violation of permit regulations as it had constructed the buildings, which are slated for residential and commercial purposes, without a building permit (IMB).

The company decided to unilaterally proceed with the construction, he said, as the Jakarta administration had not responded to its IMB proposal for more than two years.

He admitted that proceeding with the construction without obtaining a building permit was a violation. However, he claimed, it was a normal action for developers when they were proceeding with projects.

"Try asking other developers. Do they proceed with construction while taking care of their permit, or after receiving it first?" Nono said.

Nonetheless, he said the company had acknowledged the risk of violating the regulation and, hence, had prepared funds in case fines were imposed.

Nono attended a Wednesday press conference regarding the Jakarta Bay reclamation with Coordinating Maritime Affairs Minister Rizal Ramli, Maritime Affairs and Fisheries Minister Susi Pudjiastuti, Environment and Forestry Minister Siti Nurbaya Bakar and Jakarta Governor Basuki "Ahok" Tjahaja Purnama.

During the press conference, Nono expressed his company's hopes of acquiring the IMB from the Jakarta administration as soon as possible.

The company may have to continue waiting, however, with Siti saying permits were unlikely to be issued before her ministry, along with a joint team involving the other ministries and the administration, finished examining overlapping issues in the reclamation project, including regulations and environmental analysis.

The central government has frozen all activities regarding the Jakarta Bay reclamation as it wants to work on balancing perceptions of overlapping reclamation planning between the ministries, the administration and developers. (dmr)

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