Suherdjoko, Semarang – State-owned cement producer PT Semen Gresik has had to postpone its plan to build a cement plant in Sukolilo district, Pati regency, Central Java, due to strong protests from local residents.
"We are temporarily delaying (our plan), while we wait for the situation to become more conducive to our project," Semen Gresik communication division head Syaefuddin Zuhri told The Jakarta Post.
"Moreover, the situation is heating up ahead of the presidential election," he added.
The construction of Pati plant was initially scheduled to start May 19, with an estimated investment of Rp 4.5 trillion (US$441 million) and produce 2.5 million tons of cement per year by 2012.
But local farmers have strongly opposed the construction plan, arguing the new plant's presence would cause water shortages for their agricultural fields, and would not improve the welfare of residents living close to the new plant.
Syaefuddin, however, said the planned project had obtained its environmental impact analysis (Amdal) report from experts at Diponegoro University in Semarang, Central Java.
The Amdal report, which was approved by Central Java Governor Bibit Waluyo, recommended a hill in the North Kendeng mountainous area as an appropriate location to build a cement plant, he said.
Protesters reacted positively to the company's decision to delay the cement plant, shutting down their "Reject Cement" post on the Pati-Grobogan highway, where they gathered for meetings.
The protests also upset the governor of Central Java. "I'm really upset about the resident's rejection (of the plant) because the Amdal report says the project is feasible," he said. "I'm puzzled. Why do residents trust non-governmental organizations, and not experts who conducted the Amdal study?"
As a result of the plant construction delay, the company has switched its focus instead on a plan to build another cement plant in Tuban regency, East Java, said Syaefuddin.
"We are going to build a new plant in Tuban, near an existing one," he said. "The investment (required to build the Tuban plant) is also much smaller than the one required to build the Pati plant. We already have the land (for the construction of a new plant) in Tuban."
Syaefuddin said the Tuban plant was expected to produce 2.5 million tons of cement annually by 2012, while refusing to disclose the investment required for this project.
"We'll continue waiting for any development. However, we'll build the plant in Pati, once cement production starts at the Tuban plant," he said. "This is all necessary for the long term as there is a large demand for cement."