Nusantara: Indonesia's $33BN Future Capital City

Summary

Indonesia's ambitious plan to build Nusantara, a 'smart forest city' to replace the sinking capital Jakarta, is explored in this script. With a $33 billion budget, the city promises to be a high-tech, eco-friendly metropolis powered by renewables, blending with the environment and featuring 65% green space. Challenges include funding, illegal mining, and displacement of indigenous communities. The project's timeline is tight, with the first phase due for completion by 2045, and questions remain about its feasibility and environmental impact.

Takeaways

• 🌆 Jakarta, the current capital of Indonesia, is facing severe issues including over-crowding, pollution, and land subsidence.
• 🏢 Nusantara is being planned as a 'smart forest city' with an estimated cost of $33 billion, aiming to be a high-tech, environmentally friendly metropolis.
• 🌿 The new capital promises 65% green space, integrating urban development with nature, and targeting carbon-neutrality by 2060.
• 🚶‍♂️ 80% of journeys within Nusantara are planned to be made by public transport, walking, or cycling, emphasizing sustainable living.
• 🏗️ Construction of Nusantara is divided into five phases, with the first phase focusing on the governmental zone and basic infrastructure, aiming for completion by 2045.
• 📍 The location for Nusantara in East Kalimantan, Borneo, was chosen for its central position, natural disaster resilience, and abundant resources.
• 🔍 The idea of relocating the capital has been discussed since the 1950s, but it was President Joko Widodo who pushed it forward, aiming for a modern and efficient capital.
• 🏛️ The design of Nusantara by Indonesian firm Urban+ emphasizes harmony with the natural environment, featuring elevated walkways and buildings on stilts for better airflow and rainwater management.
• 🕊️ The Presidential Palace is designed in the shape of Garuda, a mythical bird and national symbol of Indonesia, symbolizing knowledge, power, and bravery.
• 🚧 Construction challenges include illegal mining operations, funding issues, and the need to relocate indigenous communities, raising concerns about the project's feasibility and impact.
• 💡 While Nusantara is planned to be powered by renewables, the current reliance on coal for power generation in Indonesia may compromise its green credentials during construction.

Q & A

Why is Indonesia planning to move its capital from Jakarta to Nusantara?

Indonesia is planning to move its capital due to Jakarta's over-crowdedness, pollution, and the fact that it is sinking into the ocean at an alarming rate, with some areas sinking as much as 11 inches a year.

What is the estimated cost of building the new capital city, Nusantara?

The estimated cost of building Nusantara is around $33 billion.

What is the vision for Nusantara in terms of environmental sustainability?

Nusantara is envisioned to be a 'smart forest city' with 65% of the city designated as green space, powered entirely by renewable energy, and aiming for carbon-neutrality by 2060.

How does the design of Nusantara reflect Indonesia's cultural heritage and natural environment?

The design of Nusantara, created by Indonesian architecture and design firm Urban+, aims to work with the natural environment rather than against it, capturing the biodiversity and rich cultural heritage of Indonesia.

What is the significance of the Presidential Palace's design in the shape of Garuda?

The Garuda, a mythical bird and the national symbol of Indonesia, represents knowledge, power, and bravery. The Presidential Palace's design, with its giant glass wingspan stretching 177m, embodies these qualities and stands as a unique landmark in Nusantara.

What are the main criticisms and challenges faced by the Nusantara project?

Major criticisms and challenges include illegal mining operations affecting the site, funding difficulties with foreign investments, rushed parliamentary approval without proper oversight, displacement of indigenous communities, and concerns about the actual use of renewable energy during construction.

How does the construction of Nusantara plan to address the issue of illegal mining in the area?

The government is working on refilling abandoned mine pits, a task that should be undertaken by mining companies but is largely being funded by the government due to the scale of the issue.

What is the role of the Vice-Presidential Palace in the architectural design of Nusantara?

The Vice-Presidential Palace was designed through an open competition won by SHAU. Its design connects with indigenous Indonesian architecture, using traditional features and a longhouse concept, reflecting a modern yet culturally rooted approach.

How does the construction timeline for Nusantara break down into phases?

The construction is split into five phases, with the first phase focusing on the Governmental Zone and basic infrastructure, and subsequent phases developing mixed-use areas, mass transportation systems, and expanding services to accommodate a growing population, all due to be completed by 2045.

What is the projected population for Nusantara upon completion of all construction phases?

The final phase of construction aims to accommodate a stable population growth with a planned 1.9 million residents by 2045.

How does the Nusantara project address the issue of transportation within the city?

Nusantara plans to have 80% of journeys within the city made by public transport, walking, or cycling, with a smart public transport system designed to ensure that all necessary amenities are accessible within 10 minutes from any point in the city.

Outlines

00:00

🌆 Introducing Nusantara: Indonesia's Future Capital

The script introduces Jakarta, the current capital of Indonesia, as a city facing significant challenges such as overpopulation, pollution, and subsidence. It contrasts this with Nusantara, the planned future capital city, which is touted as a 'smart forest city' with an estimated cost of $33 billion. The city promises to be a high-tech, environmentally friendly metropolis powered by renewable energy. The video will explore the development of this new megacity, its benefits, and the potential issues it may face. A quick note mentions the upcoming name change of the YouTube channel to MegaBuilds and highlights the scale of the project, which is significantly larger than Jakarta and Manhattan, with a focus on green spaces and sustainable living.

05:01

🏞 Designing a Sustainable City: Nusantara's Vision

The second paragraph delves into the design and architectural vision for Nusantara, which aims to harmonize with the natural environment and reflect Indonesia's biodiversity and cultural heritage. The city's design features elevated walkways for transportation, buildings on stilts for better airflow and rainwater dispersal, and the Presidential Palace designed in the shape of Garuda, the national symbol of Indonesia. The Vice-Presidential Palace, selected from an open competition, draws on traditional Indonesian architecture. The city's plan emphasizes green spaces and integration with nature, presenting a new approach to urban development.

10:03

🛠 Construction Challenges and Criticisms of Nusantara

The final paragraph discusses the construction and timeline of Nusantara, highlighting the ambitious five-phase project with the first phase due for completion in the same year of the video's release. It outlines the prioritization of governmental zones and infrastructure in the initial stages. However, the paragraph also raises several criticisms and challenges, including illegal mining operations, funding issues with foreign investors, rushed parliamentary approval, potential displacement of indigenous communities, and questions about the city's green credentials given the reliance on non-renewable energy sources for construction. The video concludes by inviting viewer opinions on whether Nusantara is a viable solution to Jakarta's issues and the feasibility of the city's plans.

Keywords

💡Nusantara

Nusantara is the proposed new capital city of Indonesia, set to replace the current capital, Jakarta. The term itself means 'archipelago' in Indonesian, reflecting the country's identity as a nation composed of thousands of islands. In the video, Nusantara is described as a 'smart forest city' with a focus on green spaces and sustainable living. The city's design aims to integrate with the natural environment, leveraging Indonesia's rich biodiversity and cultural heritage.

💡Smart Forest City

A 'smart forest city' refers to a futuristic urban development that prioritizes green spaces and sustainable practices. In the context of the video, Nusantara is envisioned as a smart forest city, with 65% of its area designated as green space, including forests, gardens, and parks. This concept aligns with Indonesia's goal to be carbon-neutral by 2060, emphasizing the use of renewable energy sources and promoting eco-friendly transportation methods.

💡Renewables

Renewables, or renewable energy, is energy generated from natural sources or processes that are constantly replenished, such as sunlight, wind, and water. The video highlights Nusantara's commitment to being powered entirely by renewables, which is a significant aspect of its environmental strategy. This commitment is crucial for reducing the city's carbon footprint and aligns with global efforts to combat climate change.

💡Carbon-neutral

Carbon-neutral refers to a state where the net carbon dioxide emissions are zero, achieved by balancing emissions with an equivalent amount of carbon offset or by capturing and storing carbon. Indonesia's target to be carbon-neutral by 2060 is mentioned in the video, with Nusantara playing a part in this ambition by being powered by renewable energy and promoting sustainable practices.

💡Public Transport System

A public transport system is a network of vehicles, such as buses, trains, and subways, that provide transportation to the public. The video describes Nusantara's smart public transport system, which aims to make 80% of journeys within the city either by public transport, walking, or cycling. This focus on public transportation is part of the city's strategy to reduce traffic congestion and carbon emissions.

💡Indigenous Peoples' Alliance of Nusantara (AMAN)

AMAN, or the Indigenous Peoples' Alliance of Nusantara, is an organization that advocates for the rights of indigenous peoples in the region where Nusantara is being built. The video discusses the potential displacement of indigenous communities due to the construction of the new capital, highlighting the social and ethical considerations that must be addressed in the development process.

💡Environmental Impact

Environmental impact refers to the effects that human activities have on the environment, including changes to ecosystems, habitats, and natural resources. The video raises concerns about the environmental impact of Nusantara's construction, particularly in relation to the use of coal mines for power during the building process and the potential harm to the local environment.

💡Infrastructure

Infrastructure refers to the basic physical and organizational structures needed for the operation of a society or enterprise, such as roads, bridges, and public utilities. In the video, the construction of Nusantara's infrastructure is a critical aspect of the project, including the development of roads, electricity, water supply, and a core public transport system.

💡Phases of Construction

The phases of construction refer to the different stages of development in a large-scale project like Nusantara. The video outlines five phases of construction, each with its own timeline and focus areas, such as the governmental zone, mixed-use areas, and industrial development. This phased approach is designed to manage the complexity of building a new city from scratch.

💡Indonesia's Archipelago

Indonesia is the world's largest archipelago, consisting of over 17,000 islands. The term 'archipelago' is used in the video to describe the geographical makeup of Indonesia and to explain the rationale behind choosing a new location for the capital city. The new capital, Nusantara, is intended to be more centrally located, improving connectivity and resource distribution across the vast island nation.

💡Jakarta

Jakarta is the current capital city of Indonesia, located on the island of Java. The video discusses the challenges faced by Jakarta, such as overcrowding, pollution, and sinking due to poor water management and excessive groundwater extraction. These issues have prompted the Indonesian government to seek a new capital city, which is expected to alleviate some of the pressures on Jakarta.

Highlights

Jakarta, the capital of Indonesia, is overcrowded, polluted, and sinking into the ocean.

Nusantara, the future capital, promises to be a 'smart forest city' with construction estimated at $33 billion.

Nusantara aims to be a high-tech metropolis powered by renewables and integrated with the environment.

The new city is planned on a site four times larger than Jakarta, with 65% designated as green space.

Indonesia targets carbon-neutrality by 2060, with Nusantara designed to be entirely powered by renewables.

80% of journeys within Nusantara are planned to be by public transport, walking, or cycling.

Nusantara's design includes elevated walkways and buildings on stilts for better airflow and rainwater dispersal.

The Presidential Palace in Nusantara is designed in the shape of Garuda, the national symbol of Indonesia.

The Vice-Presidential Palace design incorporates traditional Indonesian architecture.

Indonesia's decision to build a new capital is due to Jakarta's inability to support its growing population and sinking issue.

Nusantara's location in East Kalimantan is more central, offering better connectivity and resource redistribution.

The construction of Nusantara is divided into five phases, with the first phase focusing on the Governmental Zone.

President Widodo aims to inaugurate Nusantara on Indonesian Independence Day, showcasing his legacy.

Critics argue that the construction has been rushed without proper oversight and consideration for indigenous communities.

Funding for Nusantara is a challenge, with a significant portion relying on uncertain domestic and foreign investments.

Environmental concerns arise from the need to refill abandoned mines and the reliance on coal for construction power.

The ambitious timeline for Nusantara's construction faces potential delays due to weather and supply chain issues.

The video invites viewers to share their opinions on whether Nusantara is a viable solution for Indonesia's capital city issues.

Transcripts

This is Jakarta.

The capital of Indonesia and home to over 10 million people.

It’s over-crowded, polluted and it’s literally sinking into the ocean.

And This is Nusantara.

The future capital city, opening later this year with construction being in full swing.

Nusantara isn’t ready yet but it promises to be a “smart forest city”.

With a price tag of an estimated $33 billion, it’s supposed to be a high-tech metropolis,

powered by renewables and perfectly blending in with the surrounding environment.

In today’s video, we’re going to look at how South East Asia’s biggest country

is planning to carve a brand new megacity out of the jungle and why this is not only

beneficial but also problematic.

Quick Overview

Just a quick reminder, in 7 days we will change our YouTube name to MegaBuilds!

Indonesia’s newest city doesn’t look like much yet, but it’s going to be a game-changer.

On a site 4 times bigger than Jakarta and 40 times bigger than Manhattan, construction

is underway on the first of five phases, all of which are due to be completed by 2045.

It might seem enormous, especially since it’s only being built for less than two million

people, but that’s because 65% of the city is going to be green space, with forests,

gardens and parks.

Another 10% of the city will be taken up by farming, meaning that only one quarter of

Nusantara will be covered in buildings.

This is all part of Indonesia’s target to be carbon-neutral by 2060, and Nusantara is

part of that.

It will be powered entirely by renewables and 80% of journeys within the city will be

by public transport, walking or cycling.

Thanks to a smart public transport system, you’re supposed to reach everything you

need, like shops, restaurants and so on, within 10 minutes, no matter where you live.

And the urban rainforests that weave through the city will make Nusantara feel more like

something out of Avatar than real life.

If the plans are anything to go by, living here doesn't look too bad.

How the idea was born At first glance, Nusantara looks like a paradise,

perhaps even too good to be true.

So, to understand it properly, let’s zoom out for a second and look at why exactly it

is being built.

Indonesia is an island nation, otherwise known as an archipelago.

In fact, it’s actually the biggest archipelago in the world, with over 17,000 islands!

Since the 1600s, the capital city has been here, on the North coast of the island of

Java.

But Jakarta was never built to house the 10 million people that live there today.

Thirteen separate rivers run through Jakarta and flooding is now a massive problem.

This is made even worse by poor water management.

A large percentage of the population relies on groundwater which also comes from wells.

These wells draw water from far below the city, weakening the earth and causing the

ground to move.

As a result, Jakarta is sinking into the ocean.

The speed varies, but some neighborhoods sink as much as 11 inches a year, making it the

fastest sinking city in the world.

In fact, 40% of Jakarta is already below sea-level and with oceans set to continue rising, Jakarta

has a major problem.

Given this whole situation, Indonesia decided to build a new capital city.

Over 700 miles away, in the middle of the jungle.

This is the island of Borneo.

It’s the third largest island on the planet and it’s covered by a massive rainforest.

The island is split between Malaysia and Brunei in the North and Indonesia in the South, and

over here, in a region called East Kalimantan, is where Nusantara is being built.

But why here?

Well, the location is more in the center of Indonesia.

This should allow better connectivity between the government and the many parts of the country.

At the same time, it will also redistribute resources, and people, away from the island

of Java, which currently makes up over 60% of the national economy.

East Kalimantan is also better protected from natural disasters like floods and earthquakes

that affect much of the country.

On top of that, the rainforest offers an enormous amount of natural resources, as well as the

natural beauty and biodiversity.

There’s also just a lot more space, something severely lacking in Jakarta.

It’s been overcrowded and sinking for decades now, which might make you wonder why this

is only happening now.

Well, the idea of moving the capital isn’t actually new.

It was first discussed way back in the 1950s but no-one was prepared to push for it as

much as the current President, Joko Widodo.

Widodo, who was a furniture maker before getting into politics, became the Governor of Jakarta

in 2012.

But it wasn’t until he was elected President in 2014 that he could really make progress

on his dream of a new Indonesian capital.

Finally, in 2019, he announced the plan to officially relocate.

Design & Architecture So what is the vision for this new capital?

300 different companies submitted designs for Nusantara but it was an Indonesian architecture

and design firm, Urban+, who were eventually selected to design the majority of the city.

Their vision - to create a city that works with the natural environment rather than against

it.

A smart urban landscape that captures the biodiversity of Indonesia, as well as its

rich cultural heritage.

Nusantara actually means archipelago and a look around the city clearly shows how the

designers have tried to capture the identity of the island nation.

So let's take a look at some design details.

Elevated walkways will provide links between transport hubs, allowing residents to access

the fully electric public transport system and avoid the hilly jungle terrain.

These walkways, along with some of buildings that are on stilts, will allow better airflow

and rainwater dispersal throughout the city.

It sounds rather elaborate to put buildings on stilts, but this is nothing new in Indonesia.

Many homes are raised above the ground to protect them from flooding, and the same technique

is used here in Nusantara too.

And that’s not all.

At the heart of the city is the Presidential Palace.

This unique masterpiece will be in the shape of Garuda - a mythical bird and the national

symbol of Indonesia.

There is also a huge statue of it in Bali, which we have already featured in our video

about the world's tallest statues.

The Garuda represents knowledge, power and bravery and its giant glass wingspan will

stretch out for 177m as it towers above Nusantara.

Along this long straight road through the middle of the city it will certainly stand

out.

Then there is the Vice-Presidential Palace, which was actually designed as part of an

open competition run by the government, with the winning design coming from a company called

SHAU.

Despite its more modern appearance, the design was actually selected thanks to its connection

with indigenous Indonesian architecture.

It’s based on a classic building, known as a longhouse, and uses traditional design

features that split the building into three parts.

All these renders show that the plan for this city is to integrate it into nature and preserve

many green spaces.

And that is definitely an advantage compared to existing cities.

They can allocate the space entirely from scratch.

For a city of this size it would definitely be a new approach… if Indonesia is actually

able to build it.

Construction & Timeline So how exactly do they plan to realize this

massive undertaking?

The project has been split into 5 phases and construction is already underway, though the

deadlines are tight.

As we will see, certain areas, such as the governmental zone, will take priority and

infrastructure will be upgraded as the city grows in line with the later phases.

The first, and perhaps the most ambitious phase has a timeline of only 2 years and is

scheduled to be finished later this year.

President Widodo, who leaves office in October, has made Nusanatara his legacy and plans to

officially inaugurate the city with the opening of the presidential palace on Indonesian Independence

Day…

August 17th!

In the first phase the Governmental Zone is being carved out of the jungle.

On top of that all the very basic infrastructure needs to be put in place before anyone can

move in.

That means roads, electricity and water supply as well as a core public transport system.

During phase one, the focus is on the so-called Governmental Zone, made up of government offices,

the palaces and buildings for branches of the army and police.

The next phases of construction have a little more time to come together, with 4 - 5 years

planned for each stage.

Phase 2 will see big developments in what’s called “mixed-use areas”.

This means that areas will be developed for industry and business, as well as educational

institutions, food and retail.

By the end of this phase, in 2029, the government plans for 1.2 million people to have relocated

to Nusantara.

Kind of hard to believe when you look at the building site that’s standing there today.

In only 5 years, 1.2 million people should live here?

Do you think that’s possible?

Phase 3, starting in 2030, will see the development of a mass transportation system, as well the

expansion of waste and water management projects and a focus on the economic development of

local businesses.

Regional railway networks will be laid as part of Phase 4 as well as an extension of

education and health services due to the projected population increase.

The final phase of construction, due for completion in time for the 100th anniversary of Indonesian

Independence in 2045, will involve more industrial development and a focus on stable population

growth, with a planned 1.9 million residents.

That's if everything goes to plan though.

With only a few months to go until the official opening, it is already being talked about

that meeting the deadlines will be tough.

Construction has been slower than planned due to severe tropical weather and supply

chain issues.

Gathering all the necessary resources to build a city from scratch isn’t easy, especially

in this jungle location.

Problems And this is where multiple issues arise.

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So let’s take a look at 4 major points of criticism & problems.

Firstly, there have been a lot of illegal mining operations in this area.

East Kalimantan has enormous reserves of natural resources including coal, oil, nickel and

gold.

According to surveys from the Environment and Forestry Minister Siti Nurbaya Bakar,

there are around 2,400 abandoned mines on the site of Nusantara alone.

In order to continue construction, these pits need to be refilled, and although this should

be done by the mining companies, the government is now largely paying for it.

Secondly, funding also appears to be a big challenge.

20% of the $33 billion budget is coming from the Indonesian state but the remaining 80%

is supposed to be financed through domestic and foreign investments and this is proving

difficult.

A big Japanese investor pulled out in 2022 as they could no longer agree on investment

conditions.

And despite Indonesia offering tax breaks and land rights to potential investors, it

seems like no major investment has been signed.

As of December 2023, the government said they had received letters of intent from 323, mostly

Asian, investors.

Also Australia has formally signed on, with a relatively small investment and the offer

of “expert technicians” to help with development (1).

Thirdly, critics within the Indonesian population say that the plans have been rushed through

parliament without proper oversight, and that President Widodo rushes to open the city before

he leaves office.

The Indigenous Peoples' Alliance of Nusantara, also called AMAN, advocates for the rights

of indigenous peoples.

In a report they said that 21 indigenous communities live on the site of Nusantara and they estimated

that at least 20,000 indigenous people would have to be displaced.

So, solutions still need to be found to further integrate the locals into the project.

Of course, the developers are in talks, but this topic needs more attention.

Many think that the government has been pushing ahead without properly considering, consulting

or informing local residents.

And lastly, some call into question the green credentials of Nusantara.

Whilst it is planned to operate with clean energy, only 19% of Indonesian power is currently

generated by renewables.

That means that the enormous coal mines in Borneo will be used to power the construction

of this green utopia, and the resulting impact on the local environment may well be extreme.

To conclude this, we can say that the road ahead isn’t clear yet.

In regard to the problems in Jakarta, it is obvious that something needs to be done.

However, it remains to be seen whether this new plan is the best option.

That’s why we want to hear your opinions on it.

What do you think?

Is Nusantara a good solution for their current situation?

And will their plans work out?

Let us know in the comments below.

Thanks a lot for watching and supporting us and we’ll see you in the next one.