PSN BSD does not escape the accusation of returning the favor politic
JAKARTA - The government has designated BSD City (Bumi Serpong Damai) as one of the newest National Strategic Projects (PSN). In addition to BSD, there are 13 other projects that were recently designated as PSN. For the Jabotabek area in addition to the BSD development project, there is also the Development of the Pantai Indah Kapuk Tropical Concept and the Toll Road Development Project at Section Harbor Road II, North Jakarta.
The 14 strategic project proposals mentioned by PSN whose financing comes from private investment and do not pay for the state budget. This project with financing by the private sector is estimated to absorb an investment of Rp. 18.54 trillion.
Spokesperson for the Coordinating Ministry for the Economy Haryo Limanseto explained that the development of the new 14 PSNs is located in a number of areas such as the Riau Islands, Banten, DKI Jakarta, West Java, East Java, East Kalimantan, Central Sulawesi, and Southeast Sulawesi. Covering various development sectors, the 14 PSNs are in the form of 8 Industrial Estates, 2 Tourism Areas, 2 Toll Roads, 1 Education, Research and Technology, Health, and 1 Offshore Oil and Gas Project.
Well, the development of the BSD area is based on the education, research and technology development sector, health, the development of digital networks. In addition, the selection of BSD as PSN was due to considerations for growth and equitable development in the context of efforts to create work and improve welfare. BSD City which was founded by the Sinarmas Group and was inaugurated on January 16, 1989, became one of the icons of self-developing, growing and developing cities.
"PSN BSD is intended for the advancement of the Digital Biomedical Education sector which is supported by the Ministry of Health," said Spokesperson for the Coordinating Ministry for Economic Affairs Haryo Limanseto in his statement, Wednesday, March 27, 2024.
According to Haryo, there were no political considerations in the appointment of the BSD area to become PSN because the decision to determine PSN was carried out through the results of a complete study and clear parameters.
Haryo explained, the BSD area is not entirely for the development of the project. The area used is only about 59.6 Ha. Haryo mentioned the plan for the development of Biomedical Campus in an integrated manner in the area to support the education quality development program and quality of health care (medical) nationally.
The project will in the future be developed into a Special Economic Zone (SEZ) with the condition that all routes connecting the area have been opened. Among other things, the Toll Road towards the Airport, Serpong - Balaraja Toll Road, Serpong-Jagorawi toll road has been operated. Chief Transformation Officer of Sinar Mas Land Mulyawan Gani confirmed the plan to increase BSD into a SEZ (creative economy area).
"The Biomedical Campus project is estimated to be able to absorb at least 10,065 workers, it is also estimated that foreign exchange savings of IDR 10.1 trillion and foreign exchange income of IDR 5.6 trillion from health and Biomedical services generated from there." Haryo explained in a written answer to VOI, Monday, July 22.
According to City Administration Observer, Yayat Supriatna is not all PSN in the form of the government that is building infrastructure projects. PSN developed in BSD and also PIK 2. Those are PSN whose projects are financed and fully funded by the private sector. This PSN government provides services in the form of convenience, for example related to permits, taxation, import duties or other conveniences.
In addition to the environment formed, other prerequisites, for example, are to be developed as a location for hospitals and educational places. BSD already has adequate road facilities, wide enough and meets standards. Also supported by the installation of railroad lines, with a number of stations, the latest station of Jatake stations. Also with the opening of the toll road to Bandar, Toll Roads to Serpong and Toll Roads towards Jagorawi. There are residences, apartments and hotels and international standard performance locations. Can serve for a place to stay, for treatment or those who will study.
"So with future development, people will no longer go far to Singapore for treatment, it can be done at BSD to save foreign exchange. Thus, with educational facilities here, international standard educational facilities will be available," Yayat said, to VOI, Sunday, July 21. "If the government has stalled its project which is embarrassing to endorse with PSN, it must be maintained and consistent," said Yayat.
Becomes A Biomedical Development Center
This project has been supported by the Minister of Health, Budi Gunadi Sadikin, who has issued a Letter of Recommendation for the Development of Special Economic Zones in the BSD City Area. This recommendation strengthens BSD's proposal to become a PSN project. The idea of building Biomedicals began with the COVID-19 pandemic case in 2022 which paralyzed almost all countries. This triggered the Ministry of Health to have a breakthrough to build a more alert, anticipatory, responsive and resilient health service center in the face of future health threats.
The Ministry of Health has also compiled 6 pillars of health transformation as the foundation for perfecting the health system in Indonesia. One of them is information technology and biotechnology and launched the Biomedical and Genome Science Initiative. Namely the provision of accurate development and diagnosis services and precision treatment by utilizing biobanking-based genetic information. This effort was developed with the collaboration and support of the National Research and Innovation Agency (BRIN). By establishing the Center for Collaboration Research Precision Oncology based Omics (PKR Promics).
According to the Minister of Health, Gunadi Biomedical Campus is in line with the digital transformation agenda carried out by the Ministry of Health in entering the era of Society 5.0. This facility will complement the international educational facilities that have been developed at that location, such as Apple Academy and Monash University.
Reasons For Appointing BSD To Become PSN
The determination of PSN status for BSD had attracted public attention and had sparked presumption, what are the real considerations of assigning PSN to self-projects as well as conglomerate-owned projects. So that various speculations emerged. The provision of PSN is an effort to repay the government, to BSD and PIK 2 who both play a role in the development of IKN (Nusantara Capital). We know that both Sinar Mas and Agung Sedayu owned by Aguan alias Sugiarto Kusuma both have a role in the formation of a consortium for the development of Nusantara Botanical Garden in East Kalimantan. A land reforestation project in IKN.
Previously, it was known that Sinar Mas and the Nusantara Consortium also participated in the construction of the Nusantara Hotel in IKN whose groundbreaking was carried out by President Joko Widodo last year. The Nusantara consortium is led by Agung Sedayu Group, consisting of Sinar Mas, PT Indofood Sukses Makmur Tbk (INDF), PT Barito Pacific Tbk (BRPT), Pulau Intan, PT Adaro Energy Tbk (ADRO), Astra Group, Mulia Group, and PT Kawan Lama Group. This was conveyed by the Minister of Investment/Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia. Sinar Mas conglomerate Franky Oesman Widjaja will invest in the Penajam Paser area of East Kalimantan. The conglomerates formed a consortium whose groundbreaking was held in September 2023. Indeed, it has not been confirmed regarding other physical projects that will be built in IKN.
Apart from forming a Consortium to build a Botanical Gardens. Sinarmas is still with the Nusantara Consortium also investing in IKN by building a Nusantara Hotel, a five-star inn building at IKN. This Sinarmas also involves a consortium of 9 Naga group companies. "Again, development, there will be another groundbreaking as soon as possible," said Sinar Mas Land CEO Michael Widjaja, last February.
As quoted on the KPPIP website (Purity Infrastructure Provision Acceleration Committee) is stated in accordance with Article 5 of Presidential Regulation 76/ 2014 in conjunction with Presidential Regulation 122/ 2016 that the determination of a priority project included in PSN must have met the provisions including conformity with RPJM/D Renstra, RT/RW regularity, also have inter-sectoral, inter-regional relations, and have a strategic role, and have government support and guarantees.
Another requirement is the value of the project of more than 100 billion, the construction of the project must start in the 3rd quarter of 2019. Because of Sinarmas' contribution, it was then suspected that BSD as a subsidiary of Sinarmas got the status of PSN. Although this speculation has been denied, by the spokesman for the Coordinating Ministry for Economic Affairs, Haryo Limanseto.