New Indonesia Capital Construction Tenders to be Signed in August: Minister

TheIndonesia.co - The tender signing for infrastructure development projects for the new capital (IKN), Nusantara, in East Kalimantan will take place at the end of August 2022, and will be followed by infrastructure construction.

Public Works and Public Housing (PUPR) Minister Basuki Hadimuljono made the announcement at the PUPR Ministry’s Office in Jakarta on Thursday.

"The contract signing will take place at the end of August, followed by infrastructure construction," he said as quoted by Antara.

He assured that there would be no problem in terms of the availability of budget from the government to start infrastructure construction this year. Finance Minister Sri Mulyani Indrawati has approved the budget for Nusantara's construction development, he said.

However, the Finance Ministry will still review the budget proposal from the PUPR Ministry for inclusion in the Budget Implementation List (DIPA), he added.

The PUPR Ministry has proposed a budget for the development of land, toll roads, roads, national roads, logistics roads, and workers' apartments. In addition, the government will hold an auction for the construction of the National Capital City Government Center (KIPP) project.

"We are about to launch the tender for the KIPP project. The land development and logistics have been done, and the toll road has been tendered. We hope that the flats for the workers would be determined by the end of this month," Hadimuljono said.

He said he is optimistic that his ministry will optimally absorb the IKN Nusantara development budget of Rp5.4 trillion this year.

However, he could not confirm news reports about whether President Joko Widodo (Jokowi) will directly attend the groundbreaking ceremony for IKN Nusantara’s infrastructure development projects. The President does not like groundbreaking ceremonies and prefers to review projects once construction is already underway, Hadimuljono said.

"The President does not really like groundbreaking ceremonies. He prefers to review the infrastructure progress. Because he has visited the groundbreaking for Bocimi toll road, but the project seems to be stagnant," he disclosed.