Jakarta (Antara Bali) - The new chief economics minister Darmin Nasution is urged to approve the draft law on construction service after the government accelerated the process of tender for projects.
"Accelerating tender process is good but it is less significant with the draft law not yet approved that many contractors hesitate to go ahead to carry out their projects," secretary general of the Indonesian Association of Construction Companies (Gapensi) Andi Rukman Karumpa said.
Andi said tender could start this month for projects in the 2016 fiscal year.
"However, the tenders would likely fail to attract bidders with the draft law on construction service not yet approved," he said.
He said he could not understand why the draft law is not yet approved whereas it is vital as the legal basis.
"The law would provide a legal basis for and protect the players bin the construction business. Many construction companies especially small and medium scale companies hesitated to carry out their projects fearing possible criminalization," he said.
Gapensi, therefore, urged the new Coordinating Minister for Economy Darmin Nasution to immediately approve the draft law, he said.
The draft law, which will replace the Law No. 18 of 1999, is ready for approval to be passed into law by the Parliament, he added.
Earlier Public Works and Housing Minister Basuki Hadimuljono called for attention to security in the construction service sector.
"So far we have heard much about security in various aspects such as food, energy and social cultural security.
"Now is the time to address security in the construction service in facing the Asean Economic Community," the minister said.
Basuki said he relied on the Construction Service Development Agency (LPKJ) to serve as the driving motor in preparing the construction business players and workers as well as vendors to contribute to security of construction service community.
LPKJ is expected to be able to contribute constructive views to development of the construction service in the country, he said.
He said infrastructure development is a multi-sector activity that could greatly contribute to economic development.
Currently the construction sector contributes around 10 percent to to the national Gross Domestic Product (GDP)," he said. (WDY)
