JAKARTA - The Indonesian government is determined to build the State Capital (IKN) of the Archipelago in East Kalimantan while still supporting three global campaigns, including the protection of biodiversity, achieving Sustainable Development Goals (SDGs), and fighting climate change.

According to IKN Authority Head Bambang Susantono, 65 percent of the total 324,332 hectares of the new capital area covering land and waters will become tropical forests to protect and enrich biodiversity.

Meanwhile, 25 percent of the area will become green urban areas. No oil-fueled vehicles should enter this area. Only electric vehicles or perhaps hydrogen-fueled vehicles can enter the city", Bambang said in the IKN Investment Forum organized by the Indonesian Embassy in Astana online as reported by ANTARA, Tuesday, July 4.

By creating tropical forests and controlling emissions in green areas, IKN can completely become a carbon-free city by 2045.

"To answer accusations of deforestation against Indonesia, the government has launched plantation areas that can be planted with 15-20 million trees in IKN", said Bambang.

The government also plans to build dams to supply clean water to IKN so that residents of the new capital city can consume water directly from the tap (tap water).

Bambang said the government had partnered with several international institutions such as UNDP, Asian Development Bank, USAID, and WWF to support IKN development which still paid attention to sustainability principles.

"We want to be the first city in Indonesia to meet ESG standards or environmental, social, and balanced governance principles", said Bambang.

"The Indonesian government realizes the importance of ESG as a new norm for investors who want to participate in driving global finance and are active in campaigns against climate change", he said.

Indonesia estimates that the construction of IKN will cost US$35 billion (IDR 524.7 trillion). 20 percent of this funding requirement comes from the state budget, while 80 percent of the private public partnership.

The government has compiled a development plan for IKN from 2022 to 2045 which covers five stages of development.

IKN residents are projected to increase, starting with the transfer of ASN ministries/agencies and TNI and Polri in the early stages of development, until 2045 1.9 million people have occupied this city.

The Ministry of PUPR continues to accelerate the development of IKN which reaches 29 percent until the Republic of Indonesia's Independence Day next year.

A number of buildings that have been completed are the Office of the President, the office of the Coordinating Minister for Political, Legal and Security Affairs, the Coordinating Minister for the Economy, the Coordinating Minister for Maritime Affairs and Investment, the Coordinating Minister for Human Development and Culture, as well as the offices of the Ministry of Public Works and Public Housing.

A number of toll roads are in the hardening stage whose progress has reached 5-10 percent.

The Sepaku Semoi Dam, which functions as an infrastructure for providing raw water needs and flood control at IKN Nusantara, has reached 91 percent.

The PUPR Ministry targets the dam to be completed in July so that it is ready to provide drinking water.


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