SP-Indonesia.com, Indonesia – The Jodoh Central Market Utilization Cooperation Project (KSP), estimated to be worth hundreds of billions of rupiah, is now under scrutiny. This is not only due to its large scale, but also due to the small number of tender participants and the emergence of a number of requirements deemed burdensome by business actors.
Amidst expectations of significant investment, the fact that the tender was only attended by a small number of participants raises questions. Several sources familiar with the process stated that from the beginning, the scheme offered was not easily accessible to many parties.
One crucial point was the requirement to deposit a large initial guarantee. Bistok Nadeak, the attorney for the winning bidder, PT Usaha Jaya Karya Mandiri, confirmed that the initial guarantee amounted to approximately IDR 1 billion.
“It’s not that there are no interested parties, but it’s true that not all business actors are able to meet the stipulated requirements,” Bistok told reporters.
According to him, the guarantee is not merely an administrative formality. Under certain circumstances, the funds could potentially be forfeited if further obligations are not met.
Investigations indicate that financial obligations do not end with the initial guarantee. In the cooperation documents circulating among business actors, the project manager is also required to pay a fixed contribution of IDR 600 million per year to the Batam City Government, in addition to the profit sharing scheme that also applies.
Furthermore, the cooperation period is set for 30 years. After this period ends, the assets, including the building and market land, will fully revert to the government.
This scheme is considered by some business actors as a cooperation model with high initial risk and long-term certainty of return.
A business actor who admitted to having studied the tender documents but requested anonymity stated that the business calculations for this project are not simple.
“With large upfront obligations and uncertainty on the ground, many ultimately choose to withdraw before entering,” he said.
The small number of tender participants is one indicator that has attracted public concern. In general practice in large-scale project procurement, high investment values are usually accompanied by intense competition among participants.
Public policy observers contacted believe that this situation needs to be examined comprehensively, particularly regarding the tender design and the established obligation structure.
“If the requirements are too stringent from the start, it can become a barrier to entry. As a result, competition is reduced,” he said.
He added that minimal competition in tenders has the potential to affect the quality of the final results and public perception of the transparency of the process.
An internal source stated that the cooperation agreement for this project has been signed and is receiving assistance from the Batam District Attorney’s Office through the Civil and State Administration (Datun) division.
This assistance is generally aimed at ensuring the legality of agreements between the government and third parties.
However, as of the time of this report’s writing, there has been no comprehensive official explanation from the Batam City Government regarding the rationale for the cooperation scheme design, including the considerations behind the collateral requirements and financial obligation structure.
Meanwhile, around 1,200 traders at the Jodoh Central Market are in a waiting position. The unclear direction of the project’s implementation has made some of them worried about the future of their businesses.
A number of traders hope the government will provide a transparent explanation, especially regarding the relocation plan, the rental scheme, and guarantees for the sustainability of their businesses.
“We just want certainty. We, the small ones, don’t want to be the victims,” said one trader.
Several parties believe that a project with such a large value and wide-ranging impact as the Jodoh Central Market KSP requires strong transparency from the planning stage through implementation.
The lack of adequate information has the potential to give rise to public speculation. In this context, transparency is crucial for maintaining public trust.
To date, fundamental questions remain: whether the project’s design was based solely on sound business calculations, or whether other factors remain undisclosed.
The editorial team is seeking official confirmation from the Batam City Government and other relevant parties to obtain a more complete explanation.
(Indonesian Reporter: Jim)
