Batam, Riau Island - The Batam Industrial Development Authority (BP) and PT Makmur Elok Graha (MEG) have signed an agreement to develop a 17,000-hectare area in Rempang since 2004. After 18 years, the launch of the Rempang Development Program for Free Trade Zones and Free Ports (KPBPB) Batam was finally carried out today.

Minister of Economic Affairs Airlangga Hartarto said that the issue of documents related to the development of the Rempang area had finally made progress. The Ministry of Environment and Forestry (KLHK) has established a decree regarding changes in forest areas of about 7,560 hectares, while the Ministry of Agrarian and Spatial Planning (ATR) has gradually established a Right of Land Management (HPL) decree.

Entrepreneur Tomy Winata was present at the event. Also present were the Head of BP Batam and Mayor of Batam Muhammad Rudi, along with the Governor of Kepri Ansar Ahmad. Tomy Winata was reportedly going to invest trillions of rupiah in the Rempang-Galang area in Batam. Currently, the process of relocating residents from the area is ongoing.

Around 2004, Tomy planned to develop Rempang-Galang into an Exclusive Integrated Tourism Area (KWTE) but was delayed for 18 years due to the status quo of the land.

BP Batam has also established a development plan or estate regulation and land tariff rates. PT MEG has also prepared the implementation of investment in Rempang.

"We hope that PT MEG's investment can reach IDR 381 trillion with 306 thousand direct workers. And of course, we hope that in the first phase, it can be completed with IDR 29 trillion. So 50% of that IDR 50 trillion burden will be carried by MEG," said Airlangga as quoted by detikcom.

The Head of BP Batam, who is also the Mayor of Batam, Muhammad Rudi, added that the period of the agreement between BP Batam and PT MEG to develop the Rempang area is for 80 years. The overall planned investment value of PT MEG until 2080 is approximately IDR 381 trillion, with a population of 306 thousand people living and working in the area.

Meanwhile, the target investment value achieved in the first phase until 2040 is IDR 29 trillion with the absorption of 186 workers. The industries targeted include manufacturing, logistics, tourism, MICE (meetings, incentives, conventions, exhibitions), trade, and services.

However, PT MEG has not yet disclosed who the investors are. This project's development involves private investment and cooperation with other parties. Airlangga hopes that the economy in the Rempang area can develop and change the horizon in Singapore and Batam.

"We hope this area can change the horizon in Singapore and Batam. If we are in Batam, Singapore is shining, if we are in Singapore, Batam is shining," he added.

With the official launch of the Rempang Development Program for Free Trade Zones and Free Ports (KPBPB) Batam, it is expected to open new opportunities for investment and development in the Batam region.