''Such a situation is not good,'' says Indra Istianto, head of the East Java government's social affairs department. ''It's not good for children and, besides, the reputation of Surabaya is tainted. ''There are many things to see in Surabaya and East Java other than these girls.'' East Java Governor Soekarwo has vowed to shut down Dolly and Surabaya's six other red light districts by 2014, promising an ''unlimited'' budget and an innovative program that mixes financial incentives with retraining and religious instruction. ''If they quit prostitution, we will give them 3 million rupiah [$A313] to start a new life,'' says Mr Indra, who is in charge of the program. ''If they take the money, they will have to go back to their home town and use it to start a new business. It's enough to start a warung [small food stall] or kiosk.''

For pimps, the payout is 5 million rupiah. The government is offering sex workers money management classes, and cooking and sewing lessons. There are also monthly Koran reading classes. Still, even as Mr Indra believes his ''humane'' approach will work, many have their doubts. ''Of course, this is not enough money,'' says Liliek Setyowati, known widely as ''Vera'', who has worked for 25 years educating sex workers about reproductive health and other employment options. ''They earn between 7 and 10 million rupiah a month. There are complex reasons why people become prostitutes … many are running away from violence, others are victims of trafficking.''

Ms Vera is caring for Mujiana, a 17-year-old who became a sex worker when she was 15 after her father was imprisoned and her mother ran away, leaving her to look after her three younger siblings. She fell pregnant and her prospects looked dire until she was given a scholarship to study public relations through Ms Vera's Abdi Asih Foundation. ''There are so many cases like this and this will not change,'' Ms Vera says. ''I am concerned because the training needs to last at least six months [to be worthwhile] and the government program only offers a few sessions.'' Even so, the authorities are claiming some success. A pilot program in the Dupak Bangunsari red-light district reduced the number of prostitutes from 274 to 173 last year.

The owner of the biggest brothel in the area, Siti Fatimah, reportedly quit and now runs a food store. But only 45 prostitutes have taken up the 3 million rupiah payment and no pimps have been enticed by the 5 million rupiah offer. Mr Indra counters that the program will be ramped up this year and at least 20 prostitutes in the past two weeks alone have indicated they will accept the money and return to their villages. As for the pimps, he attributes their lack of interest to a sense of honour. ''They already have enough money to start a business, so I think they are sort of embarrassed to take the offer,'' he says.

While it may appear a meagre financial incentive, the East Java administration's approach is progressive given the persistent sweeps by Islamist groups through the area and their calls for the brothels to be destroyed and sex industry workers locked up. Mr Indra said the punishment would be ''harsh'' for any prostitute or pimp who takes the money but returns to Dolly. ''The girl will be immediately sent back home and the brothel will be closed,'' he says. One sex worker, who asked to be identified only as ''Dewi'', has mixed feelings about the scheme. In nine months as a prostitute, she earned enough to set up a kiosk in her village that sells instant noodles, shampoos and soaps. Her parents - who think she works in a cafe - run it.

She says her clients are generally well behaved and she would ideally like to work for another two years in the sex industry. ''If they close it down, I guess I will just go back home,'' she says.