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Jakarta ‘Chasing’ Investment at Cost to Environment
Arientha Primanita | November 23, 2010

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Mas-Udin-Yang-Baik
12:02pm Nov 24, 2010

How much will it cost when Jakarta has no water, suffers severe floods, heat island effects push the temperature up another 3-4 degrees, thousands of people are off work due to pollution-induced respiratory problems, thousands more are sitting in traffic instead of producing...this is not a trade off. The city will collapse if environmental issues are not also addressed.

peterR
6:35am Nov 24, 2010

Just what Jakarta needs, a man of great vision. Indeed a friend of the Earth. This is exactly the attitude that has turned Jakarta into something akin to a city out of a Mad Max movie.

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Jakarta. Despite warnings by experts that unbridled urban development would harm the environment, a Jakarta official said the economic benefits were too great to resist.

Hasan Basri, the city secretary’s economic and administrative assistant, said on Tuesday that although experts lamented the explosion of malls and commercial centers at the expense of green space, the capital needed the revenue.

He said retail, trade and service sectors accounted for 72 percent of the city’s economy, valued at Rp 757 trillion ($84 billion) last year.

“Investment creates jobs, so when people start demanding that the development of malls and other construction be stopped, that needs to be carefully discussed,” Hasan said.

He said, however, that the administration would improve the city’s investment climate without forsaking environmentally sound spatial planning.

Edi Kuntadi, chairman of the Jakarta branch of the Indonesian Chamber of Commerce and Industry (Kadin), said programs like the one-stop service for investment licenses would make Jakarta a more appealing destination for capital.

The service, introduced in September, cut down the time it took for business permits to be issued by the government.

However, Yayat Supriyatna, an urban planning expert from Trisakti University, said the city was chasing investment at the expense of caring for the environment.

He also said the administration had failed to allocate funds from its budget to social services and infrastructure.

“The administration easily issues permits for buildings, while things like access to water and good roads are overlooked,” the urban planning expert said.