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Problematic: Bali International Park Project

Major Hotel Project in Bali Challenged Due to Legal and Zoning Impediments.


Bali News: Problematic: Bali International Park Project
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(7/2/2011)

Plans to build 40 luxury villas and a 10,000 person conference facility at the Bali International Park (BIP) - a 250 hectare plot of land in Jimbaran, intended to house visiting heads of state during a 2013 Asia Pacific Economic Cooperation Summit (APEC), still faces a number of obstacles.

Kompas.com reports that the elements of the provincial governments, the local House of Representatives (DPRD-Bali) and the Forum for the Environment (WALHI) are all raising questions on the legal status of the project’s developer PT Jimbaran Hijau. The Bali office of the National Land Authority (BPN-Bali) says they have no records showing PT Jimbaran Hijau as the official leaseholder on the subject plot of land, with their files showing PT Citratama Selaras as the party holding that leasehold since 1993.

The chief of Bali’s Planning and Development Agency (Bappeda), Cok Ngurah Pemayun, told the DPRD-Bali on Monday, June 27, 2011: “The Governor of Bali has not yet issued a recommendation for the villa. If the status of Jimbaran Hijau is clear, then the governor will issue a recommendation."

Pemayun said his office is waiting for an explanation from the developers on the business connection between PT Citratama Selaras and PT Jimbaran Hijau. He was quick to explain that this was not a mere legal technicality as decision issued by the Minister of Culture and Tourism giving permission to build the project was issued to PT Jimbaran Hijau.

Putu Agung Prianta, the President Director of PT Jimbaran Hijau, explained to the press that his company is part of a group company with PT Citratama Selaras and that a sale of the land to PT Jimbaram Hijau had only been concluded on June 17, 2011.

When quizzed by the DPRD-Bali and the provincial government on what will be the continuing operation of the BIP after the APEC Conference is concluded, he was at a loss to explain. Adding, “Yah, we are still trying to open this company so anyone can own shares in BIP.”

The US$ 280 million project has been in the news in the past, meeting strong resistance from the DPRD-Bali and WALHI who accused the development of violating the 2009 zoning plan for Bali. Others said the project would create an excess of rooms in Bali leading to unhealthy competition among accommodation providers.

Governor Pastika had previously admitted the project was problematic, weighing the desire of the central government to grandly host the APEC Summit while, at the same time, holding true to a commitment to impose a moratorium on new development in Bali.


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