Those Who Are More Convinced Formula E Are Lucky Than They Are

Formula E Racing (Instagram / @ fiaformulae)

JAKARTA - Confusion over determining the location for the implementation of Formula E has prompted a member of the PDIP faction of the DKI DPRD, Gilbert Simanjuntak, to pay close attention to the amount of expenses. However, according to him, it is not worth the benefits that will be obtained.

In organizing the electric-powered car racing event, the DKI Jakarta Provincial Government must spend at least IDR 1.6 trillion in the 2020 APBD. This cost is even greater than the holding of Formula E in Hong Kong which costs IDR540 billion.

Gilbert questions, why the implementation in Jakarta can be many times bigger than Hong Kong. "What is the basis for the cost of organizing in Jakarta to be higher than overseas costs? In fact, materials for building such as cement and stone are available in Indonesia," Gilbert told reporters, Tuesday, February 11.

Furthermore, Gilbert asked the Governor of DKI Jakarta Anies Baswedan to reflect on the experience of organizing in Hong Kong which had suffered losses. In 2016, the implementation of Formula E in Hong Kong did not return on investment and only made a profit of 16 percent of the costs incurred.

"During the race in Hong Kong, a profit of HKD 50 million or around Rp.88.3 billion was generated. The 2017 Hong Kong race was also a deficit," he said.

Gerindra denied

Separately, Gerindra faction adviser Muhammad Taufik disagreed with Gilbert's statement. According to him, it is not appropriate for PDIP to compare profit projections only with direct revenue.

Taufik said, organizing international activities in Jakarta will lead to the perception that the capital city is a safe place to visit. Taufik is sure that this perception will increase income in the investment sector.

"There will be a perception that this safe operation will emerge from various parts of the world towards Jakarta, so investors will automatically enter," said Taufik.

"So, fortunately there. It's not like selling a hodgepodge of trade. Once you open a business, you immediately want to make a profit. That's not the way to judge international activities," he added.

For information, Formula E is the second most popular racing tournament after Formula 1. The difference with Formula 1, Formula E already uses an electric-powered engine so it is emission-free. Later this speeding action will be held on a highway that has been converted into a temporary circuit.

Various preparations were immediately carried out, including preparing the track for the Formula E racing event. This racing event will be held on June 6, 2020. The plan is that this event will be held for 5 consecutive years.

In order to be able to hold Formula E, the DKI Provincial Government has proposed the DKI budget in the APBD to reach around Rp1.6 trillion. In detail, there is a budget of IDR 360 billion for the commitment fee to the Formula E federation.