DKI Provincial Government Explains Why Jakarta's Commitment Fee Is More Expensive Than Other Countries

JAKARTA - The DKI Provincial Government has clarified the issue of paying the commitment fee. Formula E Jakarta is more expensive than cities in other countries.

The DKI Provincial Government stated that the actual amount of the commitment fee cannot be compared between cities. This is because the cost of each city determined by the Formula E Operation (FEO) is different.

"Comparison of commitment fees between cities cannot be done on an apple-to-apple basis. Some cities bear almost the entire cost of the implementation, while in other cities FEO covers a lot of costs," wrote the DKI Provincial Government statement, Wednesday, September 29.

He explained that the difference in the value of the commitment fee of each city was influenced by several factors. Starting from what is covered by FEO, the distance from the location to other host cities, to when the city becomes the host because the later the commitment fee gets higher.

As for Jakarta, there are several factors that affect financing. FEO covers broadcasting and live broadcasting costs in 150 countries.

Then, accommodation for thousands of officials for about 1 month. Then, the stage and stage, as well as Indonesia's geographical position make FEO's logistics costs much higher than other cities in Europe and America.

"For the cost of broadcasting (production and broadcasting) alone is estimated at 2 million pounds," he said.

Previously, Deputy Chairperson of Commission E of the DKI DPRD, Anggara Wicitra Sastroamidjojo, regarding the high cost of the commitment fee for Formula E for 5 years of implementation, which must be paid by the Governor of DKI Jakarta, Anies Baswedan.

Anggara calculated the commitment fee for Formula E borne by the Jakarta APBD, which was £122.102 million or equivalent to Rp2.4 trillion.

In fact, he said, the implementation of Formula E in Montreal, Canada only costs 151,000 Canadian dollars for Nomination fees for the City of Montreal or equivalent to IDR 1.7 billion and Race fees of 1.5 million Canadian dollars or 17 billion IDR, with a total cost amounting to Rp. 18.7 billion.

“The DKI Jakarta Provincial Government and PT Jakpro should be observant and ask why the application of the commitment fee fee in different cities is different? Why does Montreal only pay 5 percent of the commitment fee charged by Dispora? "said Angga.