Closure of Controversial “Kampung Russia” Development in Ubud

In a significant move that highlights ongoing tensions over unchecked development in Bali, local authorities have shut down the controversial PARQ Ubud project, dubbed "Kampung Russia" by locals. Nestled in the idyllic rice terraces of Ubud, the development expanded rapidly from a modest cafe and bar during the COVID pandemic to a sprawling 103-room hotel-residence and event space. However, increasing scrutiny over permit violations has led to a decisive action by the Gianyar regency’s government.

Police Action Against PARQ Ubud

This week, hundreds of police officers were deployed to close PARQ Ubud permanently, following a previous suspension of development in November. At the time of the closure, only staff members were present on-site, as residents had already vacated the area amidst growing concerns. Clashes reportedly ensued between police and workers, illustrating the rising tensions surrounding the project.

I Ketut Pasek Lanang Sadia, a representative of the Gianyar regency government, stated, "The closure was carried out in accordance with the law and regional regulations … and has gone through several stages." The decision comes amid ongoing debates about the ramifications of the development on local communities and environmental concerns.

A Multifunctional Center for Tourists and Expats

Prior to its shutdown, PARQ Ubud marketed itself as a multifunctional center aimed at attracting entrepreneurs, young families, and artists. The facility boasted an array of amenities including a luxury spa, dining options, event spaces, a fitness center, and the largest swimming pool in Ubud at 80 meters. The marketing materials painted the project as a unique synthesis of nature and creativity, set against the cultural backdrop of Bali.

Despite attracting various international visitors, the complex had come under fire for contributing to what many perceived as an exclusive enclave of foreign nationals, primarily Russians. Reports highlighted that only half of those checked during an immigration raid were found to be Russian citizens, underscoring a narrative built on perception rather than fact. The project’s shareholders were actually a mix of Balinese, German, and American investors.

The Broader Implications of Development in Bali

The PARQ Ubud shutdown is part of a larger narrative regarding the rapid expansion of developments in Bali which, according to government estimates, is resulting in the loss of approximately 1,000 hectares of farmland each year. The recent influx of expats, particularly following the introduction of long-stay digital nomad visas by the Indonesian government, has further exacerbated concerns about land use and development practices on the island.

With a noticeable increase in Russian visitors amid ongoing global tensions, perceptions of exclusive foreign communities have proliferated, particularly in popular areas like Ubud and Canggu. However, many of the developments marketed as exclusive to Russian buyers are not necessarily Russian-owned. For instance, a controversial housing project known as Taryan Dragon is managed by a Ukrainian company while another high-profile site in Uluwatu is owned by Indonesian interests.

A Pledge for Regulatory Enforcement

The closure of PARQ Ubud suggests a shift in local authorities’ approach to development regulation. Tjokorda Bagus Pemayun, head of Bali’s Provincial Tourism Office, emphasized, "This year is the year of how we enforce existing regulations. We are open to anyone, as long as they follow existing regulations."

As Bali continues to recover from the COVID pandemic, the local tourism sector is witnessing robust growth, with over 6.3 million international arrivals recorded last year, predominantly from Australia, India, and China. Amid this growth, it is becoming increasingly clear that authorities are taking a more proactive stance toward preserving the island’s cultural and environmental integrity.

Conclusion

The closure of PARQ Ubud serves as a poignant reminder of the need to strike a balance between economic growth and regulatory compliance in Bali’s ever-evolving landscape. As the island continues to attract global interest, local authorities are now faced with the challenge of ensuring that development aligns with both community standards and environmental preservation.