[Report] Drawing the Future on the Land of Twisted Opportunities... Visiting the Site of Indonesia's New Capital

Minister Won Hee-ryong and One Team Korea Visit 'Nusantara'

Taking the KTX from Seoul to the administrative capital Sejong City takes less than an hour. However, Indonesia was different. From the capital Jakarta, it took about a 2-hour flight to Balikpapan on the island of Borneo, and from there, over 2 hours by vehicle to finally reach 'Nusantara' in East Kalimantan. This is the area where Indonesia is planning to relocate its capital.

Nusantara, the New Capital Site Equipped with Drinking Water, Accessibility, and Balanced Development

Phase 1 construction, including the presidential palace, is underway in Nusantara, East Kalimantan Province on the island of Borneo, where Indonesia's new capital city is being established. / Photo by Noh Kyung-jo

The One Team Korea bidding support group, led by Won Hee-ryong, Minister of Land, Infrastructure and Transport, visited Nusantara on the afternoon of the 18th. This was the first time a foreign high-ranking official visited Nusantara.

Among the vast green trees, excavators digging soil and tower cranes constructing buildings were quite visible. The first phase of construction was underway, including the presidential palace and the presidential office shaped like 'Garuda,' the mythical bird and Indonesia's national emblem. The presidential palace will be built from one basement floor to four floors above ground. In front of the palace, a space for ceremonies will be prepared, and behind the office, government buildings will be constructed. National roads will be built branching out in two directions from the block where the palace is located to connect with existing roads, measuring 2.9 km and 3.2 km respectively.

The terrain is uneven and hilly. Nevertheless, the Indonesian government chose this area as the new capital because water, including drinking water, can be drawn and used, and it is said that anywhere in Indonesia can be reached within two hours. Balanced development between the east and west is also one of the reasons.

Earlier, Basuki Hadimuljono, Indonesia's Minister of Public Works and Housing, told Korean reporters, "The decision to move the capital to East Kalimantan was made to achieve balanced economic development." Currently, 60% of the Gross Domestic Product (GDP) is concentrated on the western island of Java.

Whether drinking water supply is possible is also an important consideration. Ground subsidence in Jakarta is the main reason for relocating the capital, caused by the low coverage rate of water supply systems. Instead, excessive groundwater extraction causes the ground to sink. Although rainfall was not heavier than usual, seawater overflowed the embankments and swallowed villages in 2007 and again ten years later. In response, the Indonesian government announced the capital relocation policy, which was delayed due to the COVID-19 pandemic but is now regaining momentum.

Minister of Land, Infrastructure and Transport Won Hee-ryong and Diana Kusumastuti, Director General of Housing Development at the Indonesian Ministry of Public Works and Housing, are discussing the development of a new city from the starting point. / Photo by Noh Kyung-jo

Diana Kusumastuti, Director General of Housing Development at Indonesia's Ministry of Public Works and Housing, said about the project site, "The original terrain has significant elevation differences. We want to see this terrain not as a challenge but as a potential opportunity," adding, "We will strive to preserve the environment by covering slopes with soil and planting vegetation."

The project is worth a total of 40 trillion won and will proceed in five phases until 2045. By next year, more than 5 trillion won will be spent to complete the first phase of basic infrastructure and major buildings, with subsequent phases implemented every five years. Indonesian President Joko Widodo reportedly camped twice at the new presidential palace site. Diana explained that camping in one's new home is a Javanese custom.

At the starting point of the new capital development, Minister Won said, "We should not just aim to 'win contracts and make money,' but also share in Indonesia's considerations as it moves toward the future, and it is our role to foster infrastructure investment and technical talent," adding, "Approaching this with a sense of family love will make our role clearer."

Water Supplied to Nusantara, Cleaned by Korea Water Resources Corporation

About 20 km from the new capital project site, Korea Water Resources Corporation (K-water) was focusing on a carbon-neutral water purification plant project. At Indonesia's request, water supply infrastructure construction and smart water management transfer are being carried out through Official Development Assistance (ODA). Originally scheduled until 2027, the Indonesian government reportedly requested the project be completed by next year, when the presidential palace will be established.

A dam was being constructed nearby, aiming for completion in August this year. A project official said, "Water can be drawn from the border area and used through the dam, and after passing through the purification plant, about 30,000 tons of water per day will supply 150,000 to 200,000 people." He added, "Carbon neutrality means balancing carbon inflow and outflow through solar power facilities and artificial intelligence (AI), and the energy used for water purification will be produced from renewable sources."

Minister Won urged K-water to assist Indonesia in technology development and talent cultivation. He said, "Currently, Indonesian officials come to Korea to learn water management expert courses operated jointly by K-water and Hanbat National University, but later, let's establish a university of appropriate scale locally to teach advanced technology," emphasizing, "Let's make Indonesia a hub that can serve the entire ASEAN region."

In response, a K-water official said, "We will respond tailored to the Indonesian government's request to supply clean water and continuously seek ways to move forward together."

Aerial view of the Indonesian new city 'Nusantara' development / Image courtesy of the Indonesian Ministry of Public Works and Housing