"Building a deep tunnel can be part of a long-term solution to Jakarta`s flooding problem," Jokowi said, adding that the project might require an investment of Rp16 trillion.
Jakarta (ANTARA News) - Jakarta is likely to suffer losses of up to Rp20 trillion (US$2 billion) as a result of the floods that have inundated the capital since January 15.

In order to better tackle floods in the future, Jakarta Governor Joko Widodo proposed the construction of a multipurpose underground tunnel in the city.

"Building a deep tunnel can be part of a long-term solution to Jakarta`s flooding problem," he said, adding that the project might require an investment of Rp16 trillion.

The governor also expressed hope that Jakarta`s Members of Parliament would support the plan to build the multipurpose tunnel soon.

Earlier, Indonesian Entrepreneurs Association (APINDO) chairman Sofjan Wanandi stated that businesses in Jakarta lost at least Rp1 trillion due to delayed delivery of raw materials in the wake of floods.

"The minimum loss is a total of Rp1 trillion, incurred by various industries - especially upstream industries - because the raw materials cannot be delivered to the downstream industries," he said.

Sofjan noted that the estimated loss did not include the losses that were yet to be reported by several other industries, such as the insurance industry, since the flood had claimed many lives and destroyed a number of vehicles.

"There are many industries that have not yet reported their material losses, but it seems the retail industry has been hit the hardest," he said.

Sofyan stated that the flooding hampered many businesses in the Jakarta Industrial Estate Pulogadung (JIEP).

"I have received a report that out of a total of 375 factories in JIEP, more than half have been forced to shut down because the workers are unable to get inside," he said.

The floods disrupted the transportation of raw materials from the capital city to the industrial areas. Besides, electricity supply was also cut to many areas, such as Pulogadung, Tangerang and Banten.

Sofyan said the upstream industry resumed normal activities on Monday, but transportation expenses had increased as a result of the floods.

"Our expenditure has gone up, but if we raise the price of our goods, no one would want to buy them. We are yet to find a solution to this problem," he added.(*)

Editor: Heru Purwanto
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