T

he government has downplayed business players’ doubts over the 10 new tourist destinations, insisting that now is the right time for them to invest.

The business players previously expressed their reluctance to enter the new destinations, citing their lack of proper infrastructure.

The destinations include Mandalika in West Nusa Tenggara, Tanjung Lesung in Banten, Wakatobi in Southeast Sulawesi, Lake Toba in North Sumatra and Bromo-Tengger-Semeru in East Java.

However, Hiramsyah S. Thaib, the Tourism Ministry’s head of development acceleration for priority tourist destinations, said the pace of infrastructure development there had actually been faster than expected, with the construction of various facilities underway.

He cited the construction of the 84-kilometer Serang-Panimbang toll road in Banten as an example. The Banten governor has approved the site for the road that will provide access for people wanting to visit Tanjung Lesung.

“So land procurement can begin soon as the Banten governor has agreed on the toll road route as well,” he said over the phone on Tuesday.

The construction of other toll roads, such as the Medan-Tebing Tinggi in North Sumatra and the Pasuruan-Probolinggo in East Java, are also underway to support tourism in Toba Lake and Mount Bromo, respectively.

“This is actually the perfect time to invest in these places because once the infrastructure has all been set up, land prices will just soar. It’s a big mistake to wait until the infrastructure has been established in the area.”

Many of the infrastructure projects supporting the areas are included in the national strategic project list, based on Presidential Regulation No. 3/2016, thus highlighting the importance of the new emerging tourist destinations.

The government expects the alternative destinations can help it reach its ambitious target of attracting 20 million foreign tourists in 2019, which may not be achieved by relying only on existing tourist attractions like Bali.

Hiramsyah said several business players had responded well, like the Korean company Daewoo Development that recently signed a memorandum of understanding (MoU) with industrial estate developer PT Jababeka to build a resort in Tanjung Lesung.

National flag carrier Garuda Indonesia has also launched a direct flight to Silangit, North Sumatra, from Jakarta to help tourists reach Lake Toba. Garuda is now mulling over a new route to Bali and Wakatobi as well, said Hiramsyah.

State-owned Indonesia Tourism Development Cooperation (ITDC) is also gearing up to put various infrastructure projects up for bidding by investors, including a wastewater treatment plant and road and water access.

ITDC secured Rp 250 billion (US$19 million) as a state capital injection (PMN) last year. It is using the funds to finance the construction of infrastructure and hotels in Mandalika.

However, it turns out that other business players remain skeptical about the new destination’s prospects.

“Is there infrastructure there? What about transportation? Taxis? What if the airports are not developed and we cannot land there?” Indonesia AirAsia commercial director Andy Adrian asked recently.

Indonesian Hotel and Restaurant Association (PHRI) executive director Cyprianus Aoer also stated that the business players would like to see first how the government developed the infrastructure before they decided to invest.

Meanwhile, the marketing head of the North Sumatra chapter of the Association of Indonesian Tours and Travel Agencies (Asita), Robert Lam, said that the government should carefully pick the kind of infrastructure to work on.

In Lake Toba, for instance, tourists have long complained about poor internet and electricity.