JAKARTA. The government has initiated national-scale priority infrastructure projects, however, at practical level, the projects have hit a lot of problems..
Secretary of the Committee for the Acceleration of Priority Infrastructure Development (KPPIP) Wahyu Utomo said that the projects hit various problems.
For an example, the construction of the oil refinery project in Tuban is still hampered by administrative proceedings regarding the permit to use of state properties. According to him, until now Ministry of Finance has not released yet the license to use the state properties (BMN) for Tuban refinery project.
Another problem is also found in the project of Water Supply System (SPAM) in Umbulan. According to Wahyu, the project has now been hampered by the interests of Pasuruan Municipal Government and Pasuruan Regency Government to receive special allocation funds (DAK). “They ask the DAK allocation for the lacking water area and the location of spring water,” he said.
Head of the Toll Road Regulatory Agency (BPJT) Herry Trisaputra Zuna added that the project of toll road of Panimbang-Serang lane also hits problems. According to him, recently the investors (bidders) of this project asked the government to provide funding support in the form of viability gap fund (VGF) of more than 49% of the total investment value.
Whereas, the existing rule stipulates that the government can only provide VGF with certain portions, which are not dominating the overall costs of a construction project under government-private partnership.
Meanwhile, the construction of another priority projects, namely Patimban Port also hits the problem related to spatial affairs.
Looking for the solutions
The government is looking for the solutions to cope with the problems. For the project of Panimbang – Serang toll road lane, Herry said that the government will negotiate with investors, who bid for this project.
Meanwhile, Wahyu said that the Ministry of Environmental and Forestry and the Ministry of Agrarian and Spatial are formulating the right solutions. “They are following up the letter from the Ministry of Transportation”, Wahyu said. (Translator: Muhammad Farid)
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