Construction firm PT Wijaya Karya (Wika), Manufacturing company PT Rajawali Nusantara Indonesia (RNI) and plantation company PT Perkebunan Nusantara VIII (PTPN VIII) have signed a Memorandum of Understanding (MoU) to develop four industrial estates in Subang, West Java, covering a total area of more than 11,000 hectares.
The project will be gradually implemented over a period of 50 years, with a total investment of USD 191.25 billion. Plans are in the works to start construction in the second half of 2019 for the industrial estates, which will include residential areas, commercial buildings, public facilities as well as water and gas pipelines and roads.
Half of the industrial estates will be built on two plots of land owned by PTPN VII, comprising of 3,700 ha and 3,300 ha respectively. The two other plots, at 5,249 ha and 11,300 ha are owned by RNI.
The partnership, which will establish a joint venture, is timely as the government has marked Subang, Majalengka and Cirebon as a growth triangle and destinations for Special Economic Zones. For this reason, Subang has ongoing major Infrastructure development and will soon welcome its own air- and seaport.
(Source: The Jakarta Post)
