Nusantara, the proposed new Indonesian capital, an ecological scourge or a strategic economic boon?

The United Nations definition of a developing country is a country with a relatively low standard of living, an underdeveloped industrial base, and a moderate to low Human Development Index (HDI). This definition itself calls for decisive, bold and original thinking and action by the competent leaders of these economies in order to catalyze changes that will benefit future generations. More often than not, these actions create a dilemma that could impact various concerns including those of displacing societies, environment or ecology while seeking economic gains, improving standards of human development, administrative cohesion or even the safeguarding of the sovereignty of the nation in question. . It is a delicate balance that must be struck by the duly elected leaders of these countries in order to lead their nation to its next level of development.

The Republic of Indonesia, a rapidly developing country, has a population of nearly 280 million and constitutes 40 percent of the 700 million people in the Association of Southeast Asian Nations (ASEAN), the regional grouping from 10 Southeast Asian nations. It is the largest archipelago in the world, covering an area of ​​1.9 million square kilometers and made up of more than 17,000 islands.

It is a nation that stretches 5,000 kilometers from east to west and is located between the Indian and Pacific Oceans. Its geographic scope requires three time zones to operate: Western, Central and Eastern Indonesia Time. The plane trip covering the entire archipelago can take between 7 and 8 hours. Flight time from the westernmost city of Medan, in the north of the island of Sumatra, to Jakarta, the current national capital of the island of Java, takes 2 hours and 20 minutes. The flight from Jakarta to its easternmost point in West Papua takes more than 6 hours.

It is ranked 16th economy in the world, which earns it a seat in the G20. Its gross domestic product (GDP) of $1.32 trillion accounts for more than a third of ASEAN's total output of $3.6 trillion. Its GDP is expected to grow by more than 50% to surpass the $2 trillion mark by 2028. With this growing economic weight, Indonesia has recently made significant efforts to become a key member of the Organization of Economic Cooperation and Development (OECD).

On the other hand, concerted development and wealth creation in this complex and geographically difficult archipelago have not been as balanced. Oxfam International has ranked Indonesia as the country with the 6th largest wealth disparity in the world. While the Indonesian government has worked to reduce the overall poverty rate, its Central Statistics Agency (BPS) has emphasized that overall development and the resulting concentration of wealth have been mainly concentrated in Jakarta and the island of Java. Java is home to 60% of the country's population and concentrates more than half of its economic activity. The island of Sumatra, to the west, saw a lesser, but still quite significant, proportion of development and prosperity. However, most other islands in the archipelago experienced much lower development and sequential wealth accumulation. This is particularly evident in its easternmost dominion, West Papua, which has one of the highest poverty rates in the country.

Additionally, Jakarta, located on the island of Java, home to 10 million people and a population three times that in its surrounding metropolitan area, is considered one of the fastest declining cities in the world. Estimates suggest that a third of the city could be submerged by 2050. It also experiences some of the worst traffic congestion and is highly prone to flooding. In addition, its air and groundwater are heavily polluted. The total annual loss to the economy from this growing impasse is estimated at $4.5 billion.

In addition to overcrowding and complex infrastructure, according to the Indonesian Meteorology, Climatology and Geophysics Agency, Jakarta is surrounded by active fault lines that make it extremely vulnerable to earthquakes. The government nevertheless plans to spend an additional $40 billion over the next decade to continue mitigation efforts in and around Jakarta.

After years of mitigation efforts, the Indonesian government recently decided to build a new capital some 2,000 kilometers northeast of Jakarta on the island of Borneo. Nusantara, which is an ancient Javanese term for the archipelago, is a 2,560 square kilometer site located in the dense forest of East Kalimantan. By moving the capital, the government hopes not only to redistribute wealth, but also to create a more centered administrative seat of government and with fewer travel and operational complexities to access the confines of this archipelago.

Under the project, Jakarta will remain the country's commercial and financial center for the foreseeable future, but government administrative functions will be transferred to Nusantara. With an estimated cost of $35 billion to develop the new capital, the ambition is for it to be an environmentally friendly city with the hope of becoming carbon neutral by 2045. The plans of the city stipulate that it will be a green city. , a walkable metropolis powered by renewable energy sources with more than 65 percent of the developed area remaining forested.

However, some researchers and environmentalists have expressed concerns that the project could harm the biodiversity of surrounding forests and coastal waters. The area contains mangroves and wildlife including orangutans, sun bears and long-nosed monkeys. Additionally, it is believed that at least five villages comprising more than 100 Balik indigenous people are already in the process of relocating and more villages are expected to be affected as the pace of development in the town continues.

The inauguration date for Nusantara is set for August 17, 2024, which coincides with Indonesia's Independence Day. This legacy project of the current Indonesian President, Joko Widodo, or better known as Pak Jokowi, is expected to continue under the leadership of its President-elect, Mr. Prabowo Subianto, when the latter officially takes office in October 2024. The Indonesian government predicts that nearly 2 million people will settle in this new capital by 2045, which coincides with 100 years of Indonesian independence.

Voices of concern from environmental groups around the world have grown louder as Nusantara's inaugural date fast approaches. However, the urgent need for such a project has been precipitated by the fact that current capital is proving to be a continuing economic drain, the need to rapidly redistribute development and wealth to the most remote regions of the country, alleviate logistical challenges and establish an administrative system. center that would best meet the needs of a rapidly developing country. This is clearly a dilemma for leaders seeking to lead radical change actions that could help propel this nation into the next phase of development while balancing the impact on the ecology, wildlife and displacement of people. companies.

Some comparisons with other rapidly developing countries include the recently approved land bridge project in southern Thailand, connecting deep-water ports in Chumphon and Ranong provinces. This bold project, straddling the Malaysian Peninsula, is expected to ensure greater connectivity between Cambodia, Myanmar, Laos and Vietnam and the member countries of the Bay of Bengal Initiative for Multi-Sectoral Technical Cooperation. Thailand, whose economy currently exceeds $500 billion, could well double its GDP in a relatively short period of time thanks to such an ambitious project which is also expected to create several hundred thousand jobs. However, environmental groups opposed the project, citing the impact on water tables and the possible displacement of existing fishing communities.

Another prime example is the controversial 825-kilometer Char Dham Highway extension project in Uttarakhand, India. The ambitious project has also encountered active opposition from vocal activists citing environmental concerns. The Indian Supreme Court, however, allowed the project to proceed in the keen interest of India's national security.

Ultimately, developing countries must undertake bold projects that help alleviate traffic congestion and security threats and unequivocally contribute to providing strong growth prospects for their respective economies. This is not to say that environmental activism or concerns should not be considered. These nations have democratically elected governments, bound by their commitment to ensuring minimal environmental or ecological damage to the community, flora or fauna. The electorate, in turn, has a moral responsibility to monitor the commitment and integrity of these elected governments to act in the best interests of each sovereign nation. This balances environmental sustainability with an unwavering and unwavering focus on economic growth and security in the developing world.

This article is written by Ravindran Devagunam, Senior Correspondent – ​​Foreign Policy and Politics, Malaysia Gazette.