Photo: TheInsiderStories

JAKARTA (TheInsiderStories) –  The Committee for Acceleration of Priority Infrastructure Delivery (KPPIP), targeting the completion of 49 by 2018 from a year ago has finished 26, spending Rp46.5 trillion (US$3.44 billion), according to one official on Wednesday (20/12).

The Government has completed six projects in 2017, worth Rp13.1 trillion. KPPIP has also done a 998-megawatt electricity generation plant, for Rp26.96 trillion, as one of the 26 projects.

President Joko Widodo’s government has set a goal of 245 infrastructure projects, with a total value of Rp 4,417 trillion. According to Deputy Coordinating Minister for Economic Affairs Affairs Wahyu Utomo, speaking on Dec. 20, six have been done, nine are in transaction, 145 projects and one program are under construction, with a total investment of Rp1,711 trillion; finally, 85 projects plus one program are in preparation.

Utomo, who also serves as Chairman of the KPPIP, enumerated the six projects completed as of December 2017: the Tanjung Priok access toll road Soreang-Pasirkoja, the Surabaya-Mojokerto toll, Post Transboundary States Nanga Badau in Kapuas Hulu, Aruk in Sambas district, and Wini in North Central Timor district.

Thus, by the end of 2017, there are 239 PSN and two programs-electrification and aircraft industry – still to be resolved. According to information received, of the 239 projects and two programs, consisting of 145 projects, these are still under construction, nine projects are in transaction, 85 projects and one program are just being set up.

“There is still a lot of unfinished business for projects such as toll roads; these are more complex, given the need to set up an environmental impact assessment, design, land acquisition – all before any new construction can commence. So of course it is a multiyear affair,” he stated.

Wahyu said that from 145 projects still under construction, 37 projects have been operating partially and in the near future can be resolved, such as the Medan – Tebing Tinggi toll road in North Sumatra, Bekasi- Cawang – Kampung Melayu in Jakarta, Trans Java, LRT Projects in South Sumatra, part of the Palapa Ring projects, Tanjung Lesung Special Economic Zone in West Java and Mandalika in West Nusa Tenggara.

Program Director Rainier Haryanto added that of the 10 of SEZ projects, only four are operating, namely Sei Manke, Mandalika, Tanjung Lesung and Palu in Central Sulawesi. Currently, he continued, several investors have expressed interest in Sei Manke (Malaysia, Taiwan and UK), Mandalika (Europe, Taiwan, US and Middle East), Tanjung Lesung (China) and Palu (South Korea).

“All will be keener if the land is ready, infrastructure and smart sales moving. Investor interest for infrastructure projects in Indonesia is huge, from the US, Europe and East Asia,” Haryanto said.

The Government has selected projects that have a strategic role for the economy, social welfare, defense and national sovereignty, obtained as stipulated in Presidential Decree No. 3 of 2016, in conjunction with Presidential Decree 58/2017.

The latest list covers 245 priority projects, noting that there are two programs with a total investment value of Rp 4,417 trillion. The entire set of projects is divided into 15 sectors, in which the three with the highest number of projects is the road sector, with 74 projects.

Written by Linda Silaen, email: linda.silaen@theinsiderstories.com

 

 

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