Body To Supervise Study Of US$27.7 Billion Project

Jakarta, July 11 (ANTARA) - The government will form a body for the development of the Sunda Strait bridge that would supervise the feasibility study of project The draft for the setting up of the body has been prepared, chief economics Minister Hatta Rajasa said here on Wednesday. The body will be made up of professionals , officials of the central government and regional administrations . The 29 kilometer bridge spanning the sea between Java and Sumatra in the Sunda Strait is expected to be built by a consortium . The government calls on companies operating around Merak of Banten and Bakuheuni of Lampung to join the consortium . Deputy public works minister Hermanto Dardak said participation of the companies in the two areas would make easier land clearing needed to build the project to cost around US$27.7 billion. Contribution in land from the companies will help reduce the cost of acquiring lands , Hermanto said earlier. The government has said the project would be fully handled by investors from feasibility studies to construction. The investors, therefore, must be financially powerful with experience in handling big projects, said Luky Eko Wuryanto, a deputy at the office of the chief economics minister The system is expected to attract more investors to build the country�s longest bridge . Luky said feasibility study on the 29-kilometer bridge alone will cost around US$150 million Hatta said the cost of feasibility study is expected to be paid by the winner of the tender. Public works minister Djoko Kirmanto has said the consortium involved in the plan is Graha Banten Lumpung Sejahtera, a joint operation between the Lumpung and Banten provincial governments and tycoon Tommy Winata�s Artha Graha Group. According to Djoko the government was discussing terms with the consortium, saying �We are still negotiating terms."