"Indeed, the mandate of the Law on Capital City states that the IKN Authority will operate no later than 2022. However, this does not mean that the operational process will only take place at the end of the year," he said in a written statement, Sunday.
The Article 9 of the Law (UU) No 3 of 2022 concerning IKN issued on February 15, 2022, states that IKN is led by Authority Chief and assisted by a Deputy. Both are appointed and dismissed directly by the President after consulting with the House of Representatives (DPR).
The government has experiences in establishing ministry-level institutions. According to him, an establishment process of an institution would take time and it usually would fully operate within three or four months.
"So for the establishment and operation of the IKN Authority, it will certainly refer to existing experiences. The government has designed various acceleration mechanisms," he said.
He said the Presidential Staff Office together with the National Development Planning Agency (Bappenas) would continue to oversee various discussions and finalization of the draft derivative regulations of the IKN Law, namely the Presidential Regulation (Perpres) on the IKN Authority, the Presidential Regulation on the IKN Master Plan, Government Regulation (PP) on Funding, and Presidential Decree (Keppres) concerning the transfer of functions of Jakarta (the current capital city) to the next capital city, IKN.
"We will do our best to make the transfer of IKN successful because the momentum is now, when the government and the DPR can produce an important agreement, Hence, the gap between Java and outside Java can be overcome immediately, There is no guarantee that a momentum like this will come again after 2024," he said.
The government estimates that the total budget required for the new capital city construction will reach Rp466 trillion.
Of the total funds, Rp89.4 trillion is expected to be derived from the State Budget (APBN), Rp253.4 trillion from public private partnership (KPBU), and Rp123.2 trillion from the private sector.
Related news: Saudi Crown Prince reaffirms commitment to Nusantara development
Related news: Nusantara authority head will need to meet several criteria: expert
Related news: IKN Authority Head's wide network will bring additional value: KSP
Translator: Fardah Assegaf
Editor: Sri Haryati
Copyright © ANTARA 2022
