Indonesia/China: The potential of Chinese development cooperation lies in financial strength, infrastructure experience and technology transfer. However, negative effects must not be underestimated, as the example of the Jakarta-Bandung high-speed railroad shows.

From Jakarta to Bandung in 30 minutes

The explosions come during the day or at night, but always without warning. Cracks open in the walls of the houses. The lives of those who live in the four small mountain communities of Bandung along the route of the high-speed railroad changed abruptly in 2020 when construction began on the transit tunnel barely 100 meters away from them.

The 142km new rail link between the Indonesian capital Jakarta and the provincial capital Bandung in West Java is a prime example of Chinese development cooperation under its Belt and Road Initiative (BRI).

The China Development Bank provided over four billion euros for this project. Technology and construction are in Chinese hands. Indonesian President Joko Widodo endorses the project as an important component of his strategy to modernise Indonesia's transportation, logistics and travel infrastructure. China Railway Group (CREC), the executing Chinese state-owned enterprise, together with the Indonesian state-owned company Wijaya Karya (WIKA), formed Kereta Cepat Indonesia China, (KCIC), which is responsible for the project.

The construction of the line was controversial from the beginning. The financial risks of the project, especially in relation to Indonesia's debt burden, as well as land grabbing, violations of workers' rights and environmental damage were criticised by civil society as well as the local population.

Impressions from the visit on site

At the invitation of Walhi (Wahana Lingkungan Hidup Indonesia), the oldest Indonesian environmental protection organisation founded in 1980, I travelled to Bandung in October 2022 as part of the Civil Society Dialogue on the Belt and Road Initiative project of the China Program of Stiftung Asienhaus. In a district of Bandung, which lies less than 250 metres away from a tunnel passage of the high-speed railroad, representatives of the residents told us about their struggle against the devastating effects of the tunnel construction. The construction companies used over 300 massive detonations to build a tunnel through the mountain, which caused permanent damage to the surrounding communities. Contrary to the requirement to keep a distance of 750 metres to adjacent settlements, four communities were shaken by the blasts for a year. The results were metre-long cracks in the walls of houses, displacement of entire buildings down the slope, damage to the water distribution system and wild animals, such as cobras, fleeing from the blasts into the communities.

Following residents’ complaints, it became known that a think tank, based at the University of Bandung, had allegedly conducted an environmental impact study. While this study was not available to the general public, Walhi was allowed to view it. The information from the study claimed there were no communities near the tunnel, while also noting that the blast levels, both in quantity and strength, were not comparable to what community members described. After Walhi began publicising the case, three of the four communities accepted the meagre compensation offered by the company. The fourth community is still fighting for adequate compensation.

Following residents’ complaints, it became known that a think tank, based at the University of Bandung, had allegedly conducted an environmental impact study. While this study was not available to the general public, Walhi was allowed to view it. The information from the study claimed there were no communities near the tunnel, while also noting that the blast levels, both in quantity and strength, were not comparable to what community members described. After Walhi began publicising the case, three of the four communities accepted the meagre compensation offered by the company. The fourth community is still fighting for adequate compensation.

Implementing large infrastructure projects in a socially and environmentally responsible manner in developing countries is always a challenge. However, the work of internationally recognised research institutes and NGOs, such as AidData and Boston University Global Development Policy Center, among others, point to structural weaknesses in primarily Chinese projects, which include:

• lack of information transparency and participation opportunities for local populations;
• funding conditions that have little or no regard for local political, economic or social conditions;
• influence of a political nature through created dependency relationships;
• non-compliance with environmental standards;
• negative impacts on labour rights, Indigenous Peoples and other human rights.

The case of the Jakarta-Bandung high-speed rail clearly shows signs of these structural weaknesses. In the context of the Asienhaus’ project, Walhi started to exchange lessons learned with Chinese NGOs on their experience in monitoring infrastructure projects and engaging with the Chinese banks or companies. On the Chinese civil society side, there are also complaints mechanisms, contact points and strategies used by NGOs to hold stakeholders accountable. Identifying these and overcoming the institutional and linguistic hurdles is much easier with the support of a Chinese NGO.

Strong civil society commitment is needed

Chinese development cooperation holds great potential, especially due to the country's financial strength, its experience in implementing large infrastructure projects and enabling technology transfer. However, the risk of negative impacts should not be underestimated, as we see in the example of the Jakarta-Bandung high-speed railroad. Free dialogue spaces, intensive knowledge exchange and trust are needed to enable joint work at eye level. Continuous negotiation processes between local populations, companies, development banks and government agencies must be co-designed by transnationally active, competent and strong civil society actors.

Note: The article is translated and slightly edited for length from the original published at Südostasien Magazin in German. 

Joanna Klabisch, China-Programme Manager at Asienhaus Stiftung. Joanna studied East Asian Studies and Intercultural Communication in Heidelberg, Tianjin and Taipei. She has been working in the China Program of Stiftung Asienhaus since 2016, supervising the EU-China NGO Twinning Program between 2016 and 2019 and travelling to Jakarta in 2022 as part of the Civil Society Dialogue on the Belt and Road Initiative project of Stiftung Asienhaus. There, she spoke with concerned citizens and Indonesian NGOs who are actively working towards more sustainable development projects.