Indonesia’s Nusantara to host I-Day events despite drinking water, construction delays

Indonesia will go ahead with planned Independence day events next month at its new capital site in Borneo despite massive construction delays, including the lack of a clean drinking water network, officials said Thursday.

They are confident they will be able to host about 8,000 attendees for the Aug. 17 celebrations by centering events in an area where construction is mostly complete – the water network there will also be ready by then, they claim.

Imam Santoso Ernawi, head of the project’s infrastructure development planning task force, and other officials blamed rain for delays, including of the water network.

“Yesterday, the rain persisted, forcing a delay in the test and commissioning until [July] 17th,” Ernawi told reporters during a virtual press conference.

“After final commissioning tests, we will operate at a minimum capacity of 150 liters per second, effectively meeting the area’s drinking water demands.”

However, analysts said problems went beyond that – the seasonal rains were, after all, to be expected. They said the project had been rushed, lacked cohesion and was the victim of poor research.

The U.S. $32 billion plan for the new capital in East Kalimantan, called Nusantara, has been plagued by delays, land acquisition problems and struggles to attract private investment. Last month, two of the project’s top officials resigned without explanation, likely further eroding investor confidence.

Still, Ernawi said that the Presidential Palace area was nearly 83% complete as of July 4, while the Presidential Secretariat and supporting buildings were 92% finished.

The Independence Day events will take place in front of the Presidential Palace and its associated office buildings, where construction is mostly complete, Ernawi said. He noted that construction efforts are being intensified to accommodate thousands of expected participants at the Independence Day events.

Ernawi showed journalists images of the front lawn of the Presidential Palace, which showed construction material strewn around the building and a partially constructed road.

For President Joko “Jokowi” Widodo, the federal housing ministry’s progress report, which said that drinking water and electricity were not available on the Nusantara site, was enough to convince him that he must delay moving his office.

“Is the water ready? Is the electricity ready? Is the place ready? If it’s ready, let’s move,”Jokowi told reporters on Monday at an event in East Jakarta.

“I have received the report from [the ministry], but it’s not ready.”

Previously, Jokowi announced that he would start working from Nusantara this month.

Ernawi, meanwhile, said less than half of the work contracted for the 2020-2024 period is complete.

“Currently, the overall physical progress of the total 106 packages contracted in 2020-2024 is 45.1% (as of July 4), with a budget ceiling of 83.4 trillion rupiah [$5.18 billion],” several local media reports quoted him as saying.

Jokowi unveiled the plan to move the capital from Jakarta to Kalimantan during a state address in August 2019. He noted that a new capital was needed because Jakarta was plagued by overcrowding, frequent flooding, pollution and the risk of sinking.

The planned relocation is also aimed at spurring economic growth beyond Java island. The project is slated for completion by 2045 to align with the 100th anniversary of Indonesia’s independence from colonial rule.

Legacy concerns

One analyst said Jokowi ought to feel embarrassed for failing to deliver on his promise to begin working from Nusantara this month.

The analyst, Trubus Rahadiansyah from Trisakti University, suggested that the project was  rushed primarily to satisfy Jokowi’s political ambitions and secure his legacy.

“Developing IKN [Ibu Kota Nusantara] requires a long time,” he told BenarNews, referring to the new capital project.

The relocation plan has been touted as the two-term president’s legacy project before he leaves office in October. The constitution bars a president from serving more than two terms.

“The most important thing is that this incident should serve as an evaluation for the government, both for Jokowi and Prabowo,” said Trubus Rahadiansyah, a public policy expert from Trisakti University.

Prabowo Subianto, who was elected president in February, will succeed Jokowi in October.

Trubus also noted that Prabowo has shown little interest in accelerating the project because of the substantial financial resources it requires.

“He is more likely to prioritize free lunch programs, which have been his focus from the beginning,” Trubus said.

He was referring to Prabowo’s top campaign promise to provide free lunches to all 82 million of the country’s school children, a project with a price tag that dwarfs the proposed annual budget for the construction of Nusantara.

“Prabowo might not even support the future development of IKN, leading investors to reconsider their involvement.”

Another public policy analyst, Agus Pambagio, endorsed the relocation of the capital, but underscored the need for a gradual approach.

“Internationally, capital relocations take a long time, at least 15 years,” he told BenarNews.

“It must be realistic, not forced within a short period.”

Pizaro Idrus Gazali in Jakarta contributed this report.