Jakarta (ANTARA) - The Government of Indonesia has picked an Indonesian unit of New York-based management consultants McKinsey & Company to help evaluate the new capital city's masterplan in forested East Kalimantan, a high-ranking official stated here, Monday.

McKinsey Indonesia will begin working with the Ministry of National Development Planning (PPN)/National Development Planning Agency (Bappenas) in 2020, Minister Bambang Brodjonegoro noted in a statement.

He expounded that the firm was appointed since it had concurred on working with local experts as well as state- and city-owned companies during the project.

"This firm represents a young generation that aimed for a new green, smart, and sustainable capital city," Brojonegoro noted.

The minister explained that the consulting firm will arrange plans and procedures on relocating the capital city from congested, flood-prone Jakarta to the forested, haze-prone districts of Kutai Kertanegara and Penajam Paser Utara in East Kalimantan Province.

The firm will also be responsible to conduct a feasibility study on the two districts along with its population's projections, financial risk, and other socio-economic aspects affected by the establishment of the new capital city.

Brodjonegoro further revealed that the ministry and firm will chalk out the new capital city's zones, followed by its neighboring regions that will serve as buffer areas.

For the entire relocation project, the ministry will take the lead in supervising the firm as well as offering directions and guidance to it.

Brodjonegoro announced that his ministry had established a strategic coordination team comprising nine representatives of some related ministries and agencies to monitor the relocation project.

"They will offer directions, orders, and guidance to the firm," he remarked.

In 2020, the ministry will establish agencies and regulations to back the new capital city's masterplan, followed by the groundbreaking and completion of the detailed engineering design (DED) of the new capital city in 2021.

Construction work on the capital city will be carried out during the period from 2022 to 2024.
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Translator: Astrid Faidlatul/Genta Tenri M
Editor: Suharto
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