South Sulawesi has been expanding a copper recycling industry facility, which is part of the Investment Coordinating Board (BKPM)’s 47 national projects, in Takalar regency. The investment worth about IDR 3.08 trillion in 2020.
South Sulawesi is a province in Indonesia with its capital in Makassar. The province borders West Sulawesi and Central Sulawesi on the North; Bone Bay and Southeast Sulawesi to the East; Makassar Strait to the West; and Flores Sea to the South. The province has an area of 46,717.48 square kilometers (sqkm). It had a total population of 9,139,531 in 2021, mostly were Muslims with a percentage of 89.78%.
Takalar is a regency in South Sulawesi with an area of 566.51 square kilometers (sqkm), with its capital in Pattallassang. The regency has an estimated population of 302,695 people in 2021. The region has 8 investment opportunity, 1 industrial area, 8 airports, 45 ports, 113 educational facilities, 124 hotels and 70 hospitals.
The BKPM is an government institution that deals with investment coordination, implementation and projects all across Indonesia since 1973. The institution is currently led by Bahlil Lahadalia since 2021.
Copper recycling industry facility
The facility is located in Takalar, South Sulawesi, with an interest rate of return (IRR) of 32.73%, a net present value (NPV) of IDR 1.43 billion and a payback period of 4.6 years.
The project is currently managed by PT Kawasan Berikat Nusantara in Takalar Integrated Industrial Park which has three zones of industries: nonferrous metal processing industry zone recycling bonded zone, oil and gas and petrochemical industries and agribusiness industry zone.Â
The copper recycling industry facility is a priority project about recycling investment project on copper, using left over materials and scrap coppers to produce copper catodes through electrolytic purification. The facility is able to produce a planned production of 96,000 tons per year.
The planned project for the facility has an area of 126 hectares, with its phase 1 with 350 ha and the long term plan of about 3,500 ha. The land, however, is currently still in the process of acquisition with a land rent price of about IDR 400,000 per square meters (sqm) in a period of 30 years.
Risks behind devopment
According to the South Sulawesi National Disaster Mitigation Agency (BNPB), the province is prone to natural disasters. The area’s vulnerability is due to the geology and earthquakes traversed by the Walanea Fault. This fault could threaten the livelihood of 1,177,380 people. The fault moves about 21-29 milimeters each year. It could cause an earthquake reaching a magnitude of 6.6 Richter scale.
Another major problem is that many buildings in the province are vulnerable and are not quake proof, said Head of the BNPB Early Warning Sub-directorate Abdul Muhari.
According to BNPB, from 2010 to 2019, South Sulawesi experienced natural disasters such as flood, landslides, typhoons and drought.
South Sulawesi, meanwhile, has been infamous as a hiding place for terror suspects. According to Tempo.co, the province is a place for a terrorist group led by Santoso that scattered and fled to the border areas to hide.
South and West Sulawesi Police spokesman
South and West Sulawesi Regional Police spokesman, Sr. Comr. Frans Barung Mangera, said terrorist groups used South Sulawesi as their hiding place because it geographically bordered with Central Sulawesi. Central Sulawesi’s Poso regency is notorious as the center of terrorist group training ground.