The government is moving one step closer to realizing its plan to move the capital city from Jakarta to East Kalimantan with a design contest for the new city to be launched, open to experts from Indonesia and abroad.

Public Works and Housing Minister Basuki Hadimuljono told journalists on Friday that the design contest would be launched soon. "Within the next four years, progress should be made on the new capital city. Therefore, we will start with a design contest for the new capital,” Basuki said after officially opening the Indonesian Contractors Association (ICA) International Conference in Nusa Dua, Bali.

President Joko “Jokowi” Widodo has officially announced the government’s plan to relocate the country’s capital to North Penajam Paser and Kutai Kartanegara regencies in East Kalimantan to ensure, among other things, economic development, which is currently centered in Java, is evenly spread across the archipelago. The government expects the plan to cost Rp 466 trillion (US$32.73 billion), more than half of which will be sourced from public-private partnership schemes, with construction to begin late next year.

Currently, the ministry’s team is in the process of selecting seven to nine judges for the contest. Basuki said two judges had already been selected.

The contest will be held in two stages. The first stage will be held at the national level, with the ministry to invite city planners, architects, urban planners and everyone across Indonesia to design the new capital city. The judges will choose the three best designs, with the national level competition expected to be completed within five months.

Once the three best designs from the national level have been selected, the ministry will open the contest to international designers to improve the selected designs. “To make our city become the best capital city,” he said.

Basuki emphasized that the involvement of international designers was important to create the best capital city. “It will be used for the next 50 to 100 years. We can’t regret it later,” he said.

“I am sure many people will be eager to contribute to the new capital city. We will accommodate all of them through this contest,” Basuki said.

“We will announce the TOR, which will include the basic concept and what buildings are needed, such as a palace, house of representative building, presidential office, police headquarters and other things,” Basuki explained, adding that the new capital city would be a city inside a forest.

Basuki said the government would also invite contractors to take part in the construction of the new capital city. “In addition to contractors, we will also invite investors,” he said.

Basuki said only the construction of public facilities such as roads and drainage would be covered by the state budget. Office buildings, public transportation and other facilities are expected to be financed through public-private partnership schemes.

In his speech at the opening of the ICA conference, Basuki emphasized that Indonesia had high expectations for the new capital city. “President Joko Widodo has confirmed that the new capital city will be located in East Kalimantan. It will be a great challenge as well as a good opportunity for all contractors to participate in building a new capital city that needs massive amounts of additional infrastructures," Basuki said.

ICA chairperson Budi Harto said contractors in Indonesia remained optimistic about the future, despite the recent weakening of the global economy. “We, in Indonesia, are still optimistic, especially because our president has a new capital city program. For sure, it’s a new market for us,” Budi said.

He said that construction companies in Indonesia were not concerned about the state of the global economy. “Because we know the government has a vision to improve infrastructure,” he emphasized.

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