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New capital will take decades, not years: Bappenas

Rome wasn’t built in a day, and neither will Indonesia’s new capital. Turning the plan into reality will take decades, authorities have said, putting a damper on hopes that the project would get off the ground during President Joko “Jokowi” Widodo’s term in office.

Vincent Fabian Thomas (The Jakarta Post)
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Jakarta
Sat, September 4, 2021

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New capital will take decades, not years: Bappenas President Joko “Jokowi” Widodo (center), Defense Minister Prabowo Subianto (right) and Public Works and Housing Minister Basuki Hadimuljono inspect the government's plan to build a road to connect the Balikpapan-Samarinda toll road with the site of the new capital city, which is to occupy a 256,000-hectare area in East Kalimantan's regencies of North Penajam Paser and Kutai Kartanegara. (Presidential Secretariat Press Bureau/Lukas)

T

he National Development Planning Agency (Bappenas) estimates that the construction of Indonesia’s new capital city in East Kalimantan will take decades, indicating that the project will stretch far beyond President Joko “Jokowi” Widodo’s current and final five-year term.

Bappenas head Suharso Monoarfa told lawmakers on Wednesday that the agency estimated 15 to 20 years would be needed for the relocation, including all requirements. Suharso, who also serves as national development planning minister, said the agency would divide the development period of almost two decades into several stages, each with its own tasks and timeline.

The city is to occupy an area of 256,000 hectares in the East Kalimantan regencies of North Penajam Paser and Kutai Kartanegara. As the future capital, it would take some of the pressure off Jakarta, which currently serves as both the country’s administrative center and business hub.

According to current plans, the project will cost Rp 466 trillion (US$32.7 billion), only about 19 percent of which is to come from the state budget.

“I want to make it clear that it's impossible to build the [new] capital through magic in two, three [or] four years. In Bappenas's master plan, it is estimated that [the move] will take [between] 15 and 20 years to complete,” Suharso said during a meeting with the House of Representatives.

He added that the agency had finished a draft for the relocation bill, as the prevailing law clearly determined Jakarta as the legitimate state capital. Once the bill was passed, the government would form an authority with the sole purpose of overseeing the new capital.

The agency was also making several adjustments to the plan in response to the COVID-19 pandemic, he said.

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