Kideco Jaya Agung's road project suspended
Tuesday, December 19 2000 - 04:00 AM WIB
A local contractor has refused to complete the road-construction project financed by South Korean coal mining company Kideco Jaya Agung in the Batu Sopang district, East Kalimantan.
Local daily Kaltim Post said it remained unclear why CV Aspirasi Tanah Grogot stopped improving the 3-kilometer road linking the Lolo village to the Biu village.
Some sources said that the company was displeased by the Biu villagers who made a lot of demands during the construction works.
For instance, the villagers demanded the company improve several bridges in the village, which were not included in the budget provided by Kideco.
Other sources said the company lacked experience in road building that the villagers often criticized it. The company was reportedly owned by a local governmental official.
Kideco has provided Rp 500 million (US$1=Rp 9,374) for the road-improvement project as part of its community development program.
A Kideco official said the company had disbursed some of the funds to the contractor but it would withhold the remains until the company finished its works. (*)