Tax Amnesty Implementation: Government To
Transcription
Tax Amnesty Implementation: Government To
Twitter: @President_Post Facebook: The President Post www.readtpp.com IDR 10.000 The President Post T H E S P I R I T O F July 2015 Phone: 02157930347 Advertisement 08172340456 Customer Service 081280006090 I N D O N E S I A HIGHLIGHTS SPECIAL REPORT BANTENASIA.COM PATA Indonesia Chapter Promote Indonesia To Foreign Countries With Dorsett 50 Top Groundbreaking Project Banten Offer PIB and SEZ Tanjung Lesung Investment at WEM 2015 - Page 5 - Page 9 - Page 8 Tax Amnesty Implementation: Government To Prepare Legal Base President University Executive Club (PEC) and Pusat Data Bisnis Indonesia (Indonesian Business Database Center (PDBI)), President University and Rumah Kreasi Indonesia Hebat (House of Wonderful Indonesian Creations (RKIH)) held a discussion on the implementation of tax amnesty for economic security for the years 2015-2020. The discussion took place in the President Lounge at Menara Batavia, Jakarta, on Tuesday, June 30 2015. Tax amnesty has been implemented in many countries in the world, developed and developing. There have been many success stories as well as failures. India (1997), Ireland (1988) and Italy (1982, 1984, 2001/2002) are amongst the success stories of tax amnesty implementation. Meanwhile, Argentina (1987) and France (1982 and 1986) experienced failure in implementing tax amnesty. Second Director of Tax Regulations at The Directorate General of Taxes, John Hutagaol, said during the discussion that at least 31 countries in the world, including Portugal and Australia, had implemented tax amnesty. The success level of said implementation differs from country to country. For Indonesia, the government expects to pull a revenue of IDR 1,000 trillion out of up to IDR 4,000 trillion that is deposited overseas, especially Singapore. “McKinsey said that there is a total of IDR 2,000 trillion (US$ 150 billion) in cash and another IDR 2,000 trillion (US$ 150 billion) in assets belonging to Indonesian citizens in Singapore. Not to mention the funds in Macau, Hong Kong, Luxemburg, Switzerland and Cayman Islands. If we can put a 10% tax amnesty to every IDR 1,000 trillion (US$ 74.8 billion) we can have at least IDR 100 trillion to add to the state budget,” said Hutagaol. The government is currently preparing a legal base for tax amnesty implementation in the form of a set of laws or a presidential decree. Tax amnesty is set for implementation in October 2015 at the earliest. “Ideally we need new laws for tax amnesty as a mere presidential decree is not enough. We are presently waiting for President Joko Widodo’s approval, which should not take long since The THE PRESIDENT POST House of Representatives has shown positive responses,” Hutagaol continued. According to Hutagaol, the implementation of tax amnesty can help the government achieve a tax revenue of IDR 1.239 trillion (US$ 92.7 million) this year, 31% higher than last year’s target. As of June 2015, only 38% of the target revenue has been achieved. Tax amnesty will cover basic taxes, administration and fiscal sanctions as well as fines of crimes such as graft, money laundering and illegal logging. “We have asked business owners for input on the tax amnesty. Some asked for 3%, the others 5% or 7%. We offered 10-15%, including guarantee of confidentiality and immunity to examinations by other instances,” explained Hutagaol. Those entitled to tax amnesty are individual and corporate tax subjects. Tax amnesty procedure includes disclosure of asset ownership, which means filling out a tax amnesty form and attaching documents of asset ownership data. Remission period of tax amnesty has an expiry because it is based on the lex specialis laws. “Should a tax subject wish to apply for next year’s tax amnes- ty, he will have to attach cut-offs of some of his assets by December 31 2015, and the fee for this year is cheaper than next year’s. However, we still apply a 10% off tolerance level, which means that amnesty will not be granted if there is more than 10% deviation between data of taxed assets and facts,” Hutagaol said. Tax amnesty revenues will be used for Surat Berharga Negara (State Treasure Notes (SBN) or property purchase that allows 10 years for installments. “There should be something to keep the revenues in the country, like turning it into SBN or property or other assets so the money will not go back overseas, since we still apply free foreign exchange,” explained Hutagaol again. Meanwhile, not everybody agrees on the implementation of tax amnesty. Suryadi Sasmita, Vice President of Asosiasi Pengusaha Indonesia (Association of Indonesian Business Owners (APINDO)) and member of The Ministry of Finance’s Tax Revenue Optimization Team, said that tax amnesty would mean not giving sanctions to money embezzlers. “Anyone involved in graft can walk free with tax amnesty, but looking at the national reconciliation, about 70% of APINDO members agree on tax amnesty,” he said. Also attending the event was S.D. Darmono, founder of President Executive Club, who also gave an opening remark. Panel members of the discussion consisted of John Hutagaol, Suryadi Sasmita, Chairman of The House of Representatives’ Commission of Human Rights, Law and Security Aziz Syamsuddin, Founder and Chairman of PDBI Christianto Wibisono and President University’s Head of Accounting Study Program Josep Ginting. The discussion was moderated by Media Indonesia News Director Usman Kansong. PT. Jababeka Tbk Regeneration There is no doubt in an enterprise, the human resources (HR) are a key element beyond other elements in management. From these HR, other elements leaning and moving. One indicator of the health of an organization is when regeneration occurs, companies can run their previous condition, even more. Regeneration can be defined as the transfer of the baton of leadership in a company. At the Annual General Meeting of Shareholders (AGM) 2015 PT Jababeka Tbk (the Company) held on Wednesday (24/6) in the President Lounge Menara Batavia, the Company has set a change in the members of the Board of Directors and Board of Commissioners which can be categorized as the regeneration of the Company. This is in line with the principles of the Company to continue to maintain a balance between business performance with practices of good corporate governance (GCG), which aims to provide added value for all stakeholders. At the 2015 AGM of the Company proposes to appoint and establish the composition of the Board of Directors and the Board of Commissioners for a term of three (3) years. Tedjo Budianto Liman, who previously served as Vice President Director, was appointed President Director and Setiawan Mardjuki appointed Director. On the composition of the Board of Commissioners, Setyono Djuandi Darmono who previously served as President Director, was appointed as President Commissioner. Then, Ketut Budi Wijaya was appointed to fill the position as Commissioner. Regeneration of the Company can be seen from the new composition of the Board of Directors and Board of Commissioners, especially in the ranks of the Board of Directors. The new Board of Directors of the Company, average age 48 years that indicate a strategic position in the Company is currently filled by professionals who are younger. Director of the Company concurrently Independent Director, Tedjo Budianto Liman, was 53 years old. Born on March 28, 1962. He has been Vice President Director of PT Jababeka Tbk since 2006 and Corporate Secretary since 1995. He completed his study at the University of New South Wales, Sydney, Australia. He also achieved a Bachelor of Chemical Engineering and Master of Commerce in Accounting. Hyanto Wihadhi, 51 years old, was appointed as Director of PT Jababeka Tbk since 2008. Born on April 14, 1964. He has been a director of several subsidiaries of PT Jababeka Tbk since 2007. He completed his studies at the University of Atma Jaya Yogya- Hong Kong, London. Shanghai to Darmono, who is also the President Commissioner of PT Jababeka Tbk, provides a description of the forms of cooperation undertaken by Dorsett International. PATA Indonesia cooperation with Dorsett International is expected to advance the world of tourism in Indonesia. THE PRESIDENT POST karta. Born on March 23, 1967, Tjahjadi Rahardja was 48 years old. He was before the Director of PT Graha Buana Cikarang from 2012-2013. In 2013, he was appointed as the Director of PT Plaza Indonesia Jababeka. He is the owner and President Director of PT Banten West Java Tourism Development, a subsidiary company of PT Jababeka Tbk. He was entitled as Master of Computer Science and Master of Finance from California State University, USA. Sutedja Sidarta Darmono, 34 years old, is the youngest member of the Board of the Director. He was born on May 20, 1981. He was appointed as Director of PT Jababeka Tbk in 2014 and has been Director of PT Graha Buana Cikarang, a subsidiary of PT Jababeka Tbk, since 2013. He was also a Finan- cial Director of Bakerzin Food Service Management Co Ltd in Shanghai, China, since 2006. He completed his accounting study at Monash University, Australia. Setiawan Mardjuki, 50 years old, born on October 27, 1964. Mr. He was before the Director of PT Graha Buana Cikarang from 2012-2013. In 2013, he was appointed as the Director of PT Plaza Indonesia Jababeka. He is the owner and President Director of PT Banten West Java Tourism Development, a subsidiary company of PT Jababeka Tbk. He was entitled as Master of Computer Science and Master of Finance from California State University, USA. Whereas in the new Board of Commissioners filled by Ketut Budi Wijaya, 59 years old, he was appointed as a commissioner of PT Jababeka Tbk in 2015. Currently he serves for PT. Lippo Karawaci Tbk as the President Director. He is also the President Commissioner of PT Gowa Makassar Tourism Development Tbk, President Commissioner of PT Lippo Cikarang Tbk, and Non Executive Director in Bowsprit Capital Corporation Limited, Singapore. Now, the Board of Commissioners currently filled by Setyono Djuandi Darmono as Commissioner, Bacelius Ruru as Vice President Commissioner and Independent Commissioner, Michael Gan as Commissioner and Independent Commissioner, and Hadi Rahardja and Ketut Budi Wijaya as Commissioner. Regeneration of the Company is expected to promote and bring the Company to be better. Thus, the prospects of the Company in the year 2015 can be achieved and the Company can continue to survive in the midst of nation- al and global economic challenges and to encourage an increase in the application of the principles of Good Corporate Governance (GCG) in the Company on an ongoing basis. “We want to build a network with all business players in the field of tourism, which includes the Dorsett Hospitality International. We give and take. There must be a mutual benefit for both sides,” said Setiono Djuandi Darmono, Chairman of PATA Indonesia Chapter after the breakfasting event in President Lounge Menara Batavia, Jakarta, Thursday (2/7) evening. Dorsett Hospitality International is a consortium of leading business in the field of hospitality based in Hong Kong. Its hotel network spread in various cities such as Kuala Lumpur, "We help promote Dorsett here, we also expect promoted to the overseas market. They are targeting Indonesians who are abroad, we also want foreign tourists come here. So it’s a win-win," he said. Phillip Schaetz, Senior Vice President of Sales & Marketing Dorsett Hospitality International also revealed a similar thing. He considers that Indonesia has potential in the future in the world of tourism. "Indonesia is one of the potential country in Southeast Asia. Its economy is growing quite fast. It's a good move to do business and cooperation in Indonesia," he said. On that occasion, also attended the CEO of PATA Indonesia Chapter Purnomo Siswoprasetijo and Director of PT Banten West Java Mardjuki Setiawan. In addition, there were also travelling agents who try to learn more about business opportunities with PATA Indonesia Chapter and Dorsett International. July 2015 2 www.readtpp.com Opinion Post Presidential Election (2015-2019) Ideal Programs And Infrastructure Development By : Samsul Hadi, Head of LKN RKIH Indonesia has a wealth of professionals and other human resources. We really need to have a collective vision that is in line with Nawa Cita, the government’s post presidential election vision and mission, in order to realize an Indonesia that is integrated, independent and prosperous. Any kind of development costs, and even if the funds are available it does not mean that we can easily reach ideal results. We need short, medium and long term plans, in which we have fit the right human resources and landscapes that are environmentally friendly. To achieve the latter we need to ensure the availability of material construction. Geopolitical changes that have been going on faster than ever demand that the government be able to compete globally. Being able to compete globally means we have to improve the competitiveness of many sectors. Geographically, Indonesia has two thirds more sea than lands. This we can see from coastal lines in every land in Indonesia which altogether form a length of 81,000 km. Therefore, Indonesia has the one of the longest coastal lines in the world, second only to Canada. This is one of Indonesia’s strengths that can help the country better its economy. Combine our long collective coastal line with our natural resources, we have just the right ingredients for the prosperity of all citizens of Indonesia. To manage all these riches well, we need geospatial information as ruled in Law no.4 year 2011. Amongst the many advantages of geospatial information, we can use it to minimize the effects of natural disasters. As a base of plans, implementations and supervision of developments, we need an inventory of data on state agrarian assets. This is to optimize the use of agrarian assets through one map policy for developmental purposes. Land use is a space structure and pattern that are formed on the national, regional and local scales. This is ruled in National Land Use, Area Land Use and City Land Use. A space covers land space, ocean space and air space. It also includes space below earth and collectively these spaces are where human beings and other living creatures live and do activities that maintain their survival. President Joko Widodo said that the government currently focused on the use of state budget for infrastructure development. In his opening remarks at the National Development Plan meeting at Bidakara Hotel, Jakarta, on April 29, he said that his government would concentrate on agriculture, irrigation, dams, as well as ports, roads and tollways that connect cities, regencies and provinces. At the same opportunity, President Widodo also said that infrastructure development highly depended on the budget of provinces, regencies and cities. As every development needs a land, we need a breakthrough to prevent any land acquisition problems. The following steps can be applied: (1) Keeping the balance between the need of land for development and land availability; (2) Make sure land value is efficient and fair; (3) Taking control of land market mechanism, efficiency and price rationality; and (4) Combining policies on strategy, implementation and evaluation related to land.We need a state policy that contains necessary legal aspects for the establishment of a “land institution”, which will manage land acquisition in cities. Currently, there are plenty of lands which still comply to Eigendom Verponding. What is Eigendom Verponding (EV)? In the history of Indonesian agrarian law, EV is a Dutch occupation legacy which was set for lands belonging to Indonesian residents. Literally, “eigendom” means permanent ownership of land and “verpoding” means tax bills of land and buildings. “Verponding” is now known as “Bill of Oustanding Taxes for Land and Buildings.” Meanwhile, “eigendom” should be renamed “Land Ownership Rights” in accordance to Law no.5 Year 1960 on Agrarian Affairs. The government has promised to solve agrarian and housing issues one by one. At present, the Ministry of Agrarian Affairs and Land Use has currently been discussing the abolishment of Tax Object Selling Point, Land Building Tax and Revenues of Land and Building Rights. On this abolishment plan, Minister of Agrarian Affairs and Land Use Ferry Baldan said that these bills were of no use. For example, he said, property prices were always above Tax Object Selling Point, and the bill was used to lower the land sale taxes. Meanwhile, to lessen the burden of citizens while buying a house, the Ministry of Agrarian Affairs and Land Use applies one-time taxes for land or building certificates. The ministry also encourages land reform for benefits of land ownership and use of natural resources through renewals of main agrarian laws. In the administration of President Soekarno in the 1960s, ideas of moving the capital city from Jakarta to another city had been bounced. Such ideas were also bounced during the Dutch occupation in the 19th century, and indeed in early 20th century the Dutch tried to move the capital city from Jakarta (then known as Batavia) to Bandung, but the plan failed due to the Great Depression followed by World War II. In 2010, debates went around about a possible new capital city, which was to be separated from the center of business and commerce. Then President Susilo Bambang Yudhoyono supported that idea of a new center for state politics and administration due to the already tense issues of population and environment in Jakarta. Also during the Yudhoyono administration, issues of one time zone in Indonesia went around. No agreement was achieved on a single time zone in 2012, and the Widodo administration is expected to issue approval for a single time zone of GMT +8. The main reason behind this the country’s preparation for ASEAN Economic Community, which will take place in August 2015. Indonesia is on its way to independence, agriculture-based food security , maximum use of energy based on national interests and restoration of maritime economy. To achieve that, the government needs to improve the citizens’ productivity and competitiveness on the global level. Therefore, the needs to build: government -New roads at least 2,000 km long -At least 10 new ports and renovate existing ones -At least 10 new airports and renovate existing ones -At least 10 new industrial areas and provide housing for laborers -At least 5,000 new traditional markets all over the country and renovate existing ones -A number of science and technology parks around universities and schools with the latest facilities built using the latest technology -Overall reformation on the quality of citizens in terms of prosperity, education and health -An agrarian reform of nine million-hectare lands to distribute equally to farmers, and also to be used for subsidized flats and welfare. -One-stop services for investment and licensing efficiency which will shorten processes to just 15 working days maximum. Jakarta, May 2015 Down to Earth Nawa Cita : A Solution For Food and Energy Security By : Hendra Manurung Secretary of International Relations Study Program, Faculty of Humanities, President University Support by: LEMBAGA KAJIAN NUSANTARA Research and Human Resource Cooperate With: PRESIDENT UNIVERSITY Editorial Staff Adviser: Ali Basyah Suryo Atmono Suryo Samsul Hadi Editor in Chief: Rachmat Wirasena Suryo Editorial Secretary: Nourul Ulfah Editors: Qorina Ilma Faradisa Arief V. Natanagara Contributor: Achmad Supardi Graphic Designer: Azwar Circulation: Maman Panjilesmana Rifki Amiroedin Website: Arief Victor N Advertisement & Marketing: Andrian Irawan Address Menara Batavia Lt. 25 Jl. K. H. Mas Mansyur Kav. 126 Jakarta 10220 Ph. (021) 57930347 Fax (021) 5727338 Email: [email protected] Published by PT. Media Prima Nusa www.readtpp.com www.thepresidentpost.com www.thepresidentpostindonesia.com Issues of food security and energy security have emerged not only at regional and global context, but currently have also been experienced by most of the people of Indonesia. The high price of fuel and basic food commodities made public protest to President Joko Widodo during demonstration in front of the Presidential Palace May 20, 2015 (National Awakening Day). The emergence of two issues dominated the political system since the Indonesian presidential election campaign in Presidential Candidates and Vice President on July 20, 2014. However, availability and access to food is a basic human right. The Food and Agriculture Organization has pledged in the Rome Declaration on World Food Security to achieve food security and halve the level of global hunger to 400 million by 2015. While, in Indonesia’s case, the fundamental policies still seem to be unclear. The Global Food Security Index shows that by 2012 in terms of food security Indonesia ranks 65 out of 105 countries studied. Thus, the weaknesses’ of food security programs in Indonesia are: too much focus on rice production but not on farmers’ incomes and the dominance role of the government that leaves little opportunity for people to develop food security initiatives based on local resources. Indonesia’s presidents elect Joko Widodo and his Vice President Jusuf Kalla designed a nine priorities agenda called “Nawa Cita” for his presidency in 2014 to 2019. According to Jokowi’s winning team, this agenda is Jokowi’s priority for Indonesia’s political sovereignty and independence in economy and culture. It is translated here as a recapitulation as Mr Widodo is about to be sworn in as President on 20 October 2014. On 27 May, 2015, the Center of Strategic Analyst (DAS) of State Intelligence Agency (BIN) Republic of Indonesia together with Study Program of International Relations President University, and its affiliated Student Association (HIMA) organized, Seminar and Book Launch of Dr. Muhammad U.S. Hikam, carrying the idea: "Down to earth Nawa Cita: Eradicating Poverty through National Food and Energy Security 2015", in Cikarang, City of Jababeka, Bekasi. Dr. Muhammad A.S. Hikam, Chairman of the Center for Strategic Analyst in front of 400 students, academics, and university researchers explained, "What and how Indonesia’s 'bargaining position' within the next five years (2015-2020) can be survived in the globalization?". It seems match and link with the dynamics balance of the surrounding strategic environment, international phenomena, and government proactive policy issues, in dealing with food and energy crises at regional and international arena. While, DAS BIN Secretary, Brigadier General (Ret) Ir. Nurdiyanto illustrates how the global economic crisis can lead Indonesia into poverty, which will be filled with the productive unemployed and street criminals; bad public health; worst infrastructure; as well as the high cost of energy and electricity consumption ahead of 2025. Such conditions can be so fatal, if the President Joko Widodo does not willing to anticipate the crisis urgently to implementing national strategy based on his Nine Priorities Agenda,”Nawa Cita”. Vice Rector 3, A.A. Banyu Perwita, Ph.D., stressed the need for consistency and commitment of the Indonesian government in regulating agriculture and oil and gas energy policy simultaneously aimed at human sustainable development. Post 2008 global economic financial crisis, the world leaders attention focused on their country's national interests to anticipate food and energy crisis, including Indonesia. Unfortunate absence of resource person with respect to energy security from the PT. Pertamina, which represented Ifki Sukarya, Media Relations Manager; Agus Mashud S. Asngari, CSR manager; and Agoes Boedijono, Brand Manager suddenly, canceled attendance. Joko Widodo had identified three main existing problems in Indonesia, which are: (1) Threats to the authority of the state. The country has lost its capability to impose its authority and failed to ensure the safety of all citizens, detect future threats to its sovereignty, protect human rights and uphold a strong law enforcement, leading to the people’s distrust towards public institutions; (2) Weaknesses in the pillars of the economy: this is shown by the continued high rate of poverty, welfare inequality, development gap between regions, environmental destruction as a result of over-exploitation on the country’s natural resources, as well as a high dependency on food, energy, finance and technology; and (3) Intolerance and crisis of national character: the weakening in Indonesia’s national character as a nation of high-spirited fighters as a result of the spread of sectarian conflict which reduces the spirit of solidarity and mutual cooperation. The following are Jokowi’s nine priorities agenda to tackle those problems: (1) To renew the state’s obligation to protect all people and provide security to all citizens through the free and active foreign policy, national security and the development of reliable national defense based on integrated national interests and strengthening national identity as a maritime nation; (2) The presence of the government through a clean, effective, democratic, and reliable governance, by giving priority and efforts to restore public confidence in democratic institutions and continue the consolidation of democracy through reform of the political party system, electoral and representative institutions; (3) To build Indonesia from its periphery; to strengthening the rural areas within the framework of a unitary state of Indonesia; (4) To reject a weak state by reforming the system through corruption-free dignified, and reliable law enforcement; (5) To improve the quality of Indonesians by improving the quality of education and training through “Smart Indonesia” program and increasing Indonesia’s social welfare and health through the “Healthy Indonesia” and “Prosperous Indonesia” programs. To encourage land reform and land ownership for the people in Indonesia by 2019; (6) To improve people’s productivity and competitiveness in the international market so that Indonesian can move forward and stand up with other Asian nations; (7) To achieve economic independence by moving the strategic sectors to domestic economy; (8) To revolutionize the nation’s character through a policy of restructuring the national education curriculum with advanced civic education; to teach the history of the nation, the values of patriotism and to love the country, as well as to build the passion and character to defend the state through national education; and (9) To strengthen diversity and social restoration of Indonesia by highlighting the policy of education for diversity and creating spaces of dialogue among citizens. Food security has three pillars: availability, access and utilization of food. Experts elaborate that food security systems and strategies can be developed into five interrelated subsystems namely production, process, distribution, access and consumption of food. The paradigm shift toward the production and consumption of a variety of local food will reduce the reliance on one type of staple food, import dependence, increasing access to healthy food as well as economic opportunities. A food diversification program has been introduced by the government and is expected to encourage increasing the variety of food consumption patterns. As reported by The Ministry of Agriculture (2012), that rice consumption in Indonesia was still around 316 grams per capita per day, considerably larger than the target of 275 grams per capita per day. The demand for rice is still very huge, amounting to 2.7 to 2.8 million tons per month. Meanwhile the consumption of tubers is still considerably low, only at 40 grams from the target of 100 grams per capita. But, rice production has been rather stagnant over the last 10 years. The Central Statistics Agency (BPS) reported that rice-harvesting areas increased from 11.53 million hectares in 2002 to 13.35 million ha in 2012, while rice production rose from 51.49 million tons (un-husked) in 2002 to 59.04 million tons in 2012. However, rice production is still concentrated in a few provinces in Java, accounting for over 50 percent of national production. The other provinces that contribute above 5 percent to total production are South Sulawesi (7.1 percent), North Sumatra (5.4 percent) and South Sumatra (5.0 percent). Noted by the National Food Security Council (2010), in an macro perspective, the level of grain consumption tends to decrease (ranging from 0.45 per cent in the period 2005-2009), through a reduction in consumption of rice (0.67 percent per year) and maize (5.96 percent per year). The reduction of rice consumption has caused new food problems, because this decrease caused wheat consumption to increase by 6.63 percent per year. The latest data shows that the import of wheat and wheat flour has reached about 7 million tons. National development policy of food diversification can be interpreted as the presence of wide varieties of food at all times, which is an important strategy for food security. Appropriate policy measures on food diversification should be introduced at any level ranging from the central government to village level. It includes systems of production, distribution, purchasing and marketing, protection and consumption of local food. So, the advocacy of communication strategies on food security and food diversification should be properly arranged with targets on related governmental agencies, political leaders, pressure groups, business organizations, and social leaders at any level through interpersonal and media approaches. The government policy of one day no rice, non-rice dishes made for meetings and guest visits, development of various refined products made from local food such as the development of various modified cassava flour, full use of root and tuber crops in several regions of Indonesia could be an alternative strategy to reduce rice and wheat consumption. Thus, the clear roadmap of research and action on the development of local food sources is badly needed. Local food development will lead to an increase in the variety of processed healthy food and their modifications, as well as attract young consumers and urban consumers. In changing the behavior of local food consumption the schools have a strategic role in the provision of knowledge through curriculum support as well as behavioral models, for example: school regulations to endorse bringing lunch meals from home, the availability of a variety snacks made from local food commodities in school cafeterias and also the use of school yards or gardens for experimental local food cultivation. The nurture of awareness on food diversification can be helped by the utilization of various groups both formal and non-formal institutions, such as healthcare institutions, research, religious groups, farmer groups, women’s groups and youth groups. The Ministry of Agriculture stated Joko Widodo government immediately establishes an integrated regional food estate in Borneo by 2016, with provided a land area of 500 thousand hectares. Consequently, the character of Indonesian agriculture and food will be shifted from rural farming system based on the family agriculture into corporate farming system based agricultural production. There are five solutions offered to the President, namely: (1) Develop land, sea, and air transportation infrastructure facilities supporting the food commodities leading sectors, namely rice, corn, soybeans; as well as oil and gas energy inter-connection; (2) Ensure food and energy availability through 2025; (3) Establish and manage early warning food and energy crisis mechanism transparently, measurable, and integrated; (4) Eliminate mafia of food and energy in Indonesia; (5) Build Food, Energy, and Water Sovereignty as a basic requirement of sustainable human development, as mandated by Article 33 of the 1945 Constitution. July 2015 www.readtpp.com 3 Opinion ATMONO SURYO ASIAN-AFRICAN RELATION The Developing World 1955 ASIAN-AFRICAN CONFERENCE The recent Asia-Africa summit of April 2015 in Jakarta was held to commemorate the 60th anniversary of the Asian-African Conference in Bandung. The 1955 Bandung Conference was in fact the first largest and strategic gathering between leaders of the two largest continents of the world. It will be recalled that the historical meeting was attended by a number of prominent leaders of the two continents. As shown on the pictorial drawing below. It shows from left to right: Zhou Enlai, Gamal Abdel Nasser, Jawaharlal Nehru , John Kotelawa, Sukarno, U Nu and Muhammad Ali Bogra. It was an extremely large gathering with Indonesia chosen as the host and lead country. Attended by delegates from 109 Asian-African nations, 16 observer states, and 25 international organizations. Observed by 5000 domestic and international members of the media. It will be noted that the very large number of participants during the recent Jakarta meeting demonstrated once again that the nations of Asia and Africa still recall with respect and admiration what happened in Bandung on April 24, 1955. THE BANDUNG SPIRIT There are different and even opposing views on the 1955 Bandung Conference. One of the positive suggestion is to see the Conference not as an ordinary large meeting. Or as a usual diplomatic gathering of heads of states. As is frequently happening today. But that the 1955 Bandung AA conference be seen as a unique event with its special spirit. Known as the Bandung spirit. A conference where the aspirations of the once oppressed nations of the world was launched. By representatives of two very large underdeveloped continents of the world. There is the impression that it was a gathering where the socalled “battle cry” of leaders of underdeveloped nations was heard. With the purpose to end colonialism, to abolish racism, and to avoid the use of force in settling disputes. Dasa Sila : A major result of the conference The Changing Global Economy Today, some sixty years later, one can observe in clear terms the immense changes taking place in the global economy. Amidst their many obstacles and shortcomings and the declining trend of the global economy, Asia and Africa are showing that they have the ability and strong desire to transform their countries from poor to more well-off countries. such as produced by Indofood, and pharmaceutical items produced by Kalbe Within a few decades Asia has succeeded to be on top of countries with rapidly growing economies (+ 5.7% growth) led by China, India but also Indonesia. Followed by Sub-Sahara Africa, and the Middle East and North Africa. At the same time there is the deep recognition that much has still to be done to achieve better conditions for their people. The following pointers contain (right or wrong) some preliminary observations and suggestions: • The Asian–African Conference provide Indonesia with an added economic-business area to play with. Needed to expand and strengthen the weak country’s external economic relations; INDONESIA According to a recent survey by Bloomberg among the 20 Fastest-Growing Economies for 2015 some 11 countries represent Asia-Africa. Namely China, the Philippines, Kenya, India, Indonesia, Nigeria, Malaysia, Thailand, South Korea, Singapore and Taiwan. Peru, Colombia and Mexico from Latin America. Indonesia- Africa economic relations : Indonesian trade with Africa has been low. Especially compared to such Asian countries as China, Japan, India and South Korea. According to the IMF the largest traders from ASEAN include Thailand and Indonesia. It must be surprising to know, however, that in fact some 14 Indonesian companies have been quietly on the move to explore and reach Africa. To bring up business ventures particularly in the area of trade which now amounts to some US$ 10,7 billion. Apparently the presently attractive products from Indonesia are presently in such fields as : palm oil, textiles, culinary products But also electronics, Toyota cars and automotive components. Even Wijaya Karya is already in the construction area and another company in the area of petro-chemical items. Trade with Africa is still difficult to pursue but the prospects ahead are plentiful as many countries experience. TO EXPAND EXTERNAL ECONOMIC RELATIONS • The global economy is changing quite rapidly. With the developing countries fastly on the move. To reach the position closely on par with the developed countries. To face the growth of a multipolar world, with Asia as the epy-center; • The G-7 countries, however, remain the richest and strongest group of countries in the world. Particularly in the area of technology, combined with their vast experience; • Much of world business is currently moving to centers of growth: To Asia with China and India in the lead; to the Middle East particularly the Gulf countries. And to the Latin American countries a.o Brazil, Mexico, Columbia. To take advantage to go global: Jokowi kumpulkan menteri ekonomi di istana Bogor there is the need for most Indonesian business to have a good look to the upcoming prospective regions of the world. Particularly among the developing countries. Among others to Asia-Africa and Latin America. And to develop in particular good partnership such as joint-ventures with enterprises from other countries to strengthen their competitive position to go regional and global. (A/S) was the adoption of the Ten Principles, the Bandung Dasa Sila on international relations. In addition the meeting highlighted the urgent need to promote the birth of new independent countries, particularly in Africa. It has also resulted in the emergence of the Non-aligned Movement at the time of the cold war. And the frequent calls for a better situation and position for the people of the under-developed nations in Asia and Africa. 4 www.readtpp.com July 2015 Advertorial Opinion A2 September 2013 Vol. 2 No. 9 www.thepresidentpost.com Industrial Golf Club, 23 Years of Building Togetherness Our Oil and Gas Reserves Regardless of whether or not we still have plenty of oil and gas reserves, all agree that Indonesia must carefully manage them in order to improve the welfare of the Indonesian people. Like family, perhaps that can describe the unity of members of Industrial Golf Club (IGC). The Club which was established on May 11, 1992 is now entering the age of 23 in the 2015. It is certainly not easy for a Golf Club to be able to survive for more than 20 years consistently, but the IGC managed to prove that fairness in sport can unite the members to be a great family. It is Tjokro Eddy Sutrisno, one of the founders of Industrial “International Golf Club, who has always been administration, able to unite its members. At the 23rd anniversary even celebration when it isof IGC at Damai Indah Golf aligned with the Kapuk, Eddy again was elected wishes of the people Chairman. "Not everyone can unite a large concerned, is almost number of people as Mr. Eddy always can; being a leader,imposed he always runs 3 functions, namely as a from outside”(David commander who must be firm, Harland) as the father who always nurtures as well as a teacher who always becomes a role model," said the Guardian of Industrial By Siraj El Munir Bustami F ormer Energy and Mineral Resources Deputy Minister Prof. Rudi Rubiandini made a startling statement right after he was installed as the head of the country’s oil and gas regulator SKKMigas on 15 January 2013. Rudi said that the oil production in 2013 reaches the lowest level. The country’s oil production target continues to drop despite the production target of 900,000 barrels/day in the 2013 state budget. Prior to that, the late Prof. Widjajono Partowidagdo, whom Rudi succeeded as the deputy minister following his sudden death, said that our biggest mistake was that we kept believing that Indonesia has huge oil and gas reserves. Such matter has been a source of debates for the government and groups in the public who are critical because the govern- Golf Club, Djokolelono. Agustinus Hariyadi, Chief Executive of the Industrial Golf Club added that the principle and foundation applied in IGC is 'Of, By, and For Members', so it is not just a sport that emphasizes discipline and gentlemanship, but each member can respect each other so that togetherness is always maintained. ment has not been able to provide reliable data about the real oil and gas reserves in Indonesia. For how long will they still be available and keep up with our daily production target? Can’t it be measured with a more reliable data rather than with assumptions that only lead to wild opinions? The government would actually face a dilemma if it came out with a reliable data. If the data showed that there were only little left, it would automatically create pessimism. Pessimism would have implications on the government’s policies especial- ly those related to cooperation contracts with contractors. But if the answers were that we still have plenty of reserves, it would automatically create a sense of optimism and it will increase our bargaining power. However, regardless of whether or not we still have plenty of oil and gas reserves, all agree that Indonesia must carefully manage them in order to improve the welfare of the Indonesian people. The government has still not until today issued data on Indonesia’s oil and gas reserves either by the Energy and Mineral Resources Ministry or the National Energy Board. In one of the hearings between the House Commission VII and geologists in 2011, geologists said that they too didn’t know how much oil and gas reserves Indonesia has. The government, in this case the Ministry of Energy and Mineral Resources, should compile data and issue an official information so that the public can understand the real condition. The data should of course be based on international standards so that the public can support all policies that the government decides to take. The government has still not until today issued data on Indonesia’s oil and gas reserves either by the Energy and Mineral Resources Ministry or the National Energy Board. In one of the hearings between the House Commission VII and geologists in 2011, geologists said that they too didn’t know how much oil and gas reserves Indonesia has. THE PRESIDENT POST To find out a management man's true characministration of a country. interventer, play International golf with him - PG tion, in thisIndustrial case international Wodehouse Golf Club administration, often unprecurrently has a is membership of ventable in domestic lives. This is 175 people from both domestic because a wide range of issues, and overseas. The selection of processes and actors involved in members is quite tight. Apart the administration/bureaucracy from reference, dimensions. a candidate have the international is also given tests of the The question now is howgame; a coun- this is done in order to keep togetherness. "By playing golf, we can know a person's character with ease. Patience, sportsmanship, even his side of humanity," said Eddy Tjokro. IGC regularly holds monthly tournaments; in addition, IGC also regularly holds meetings and social activities. "We must routinely hold charity activities; every month we collect voluntary funds from members and after a year we distribute the collected funds to the needy. However, if there are special cases such as natural disasters, the funds will be channeled directly by us," added Eddy. Eddy Tjokro hopes that the IGC members can continue to be committed to jointly maintain and develop IGC into a club with exceptional harmony and togetherness by upholding sportsmanship and integrity. Ever Onward Industrial Golf Club! try with its administration capacity can maintain its integrity and sovereignty in managing its bureaucracy to achieve its national development agenda. Domestification and internationalization process will play bigger roles in the government’s management in the era of globalization in which traditional borders of a country will become more and more blurred. One of the impacts that we will encounter from such a process is growing demand for better transparency, accountability and professionalism in dealing with both national and international issues. Our unwillingness and incapability in managing nation- al development matters professionally will only open the door to foreign intervention, either by countries that have signed certain accords and those that have not. These are already reflected in a wide range of development problems, especially in the management of the domestic natural resources. There are at least three crucial points related to the actors involved in our bureaucracy management. First of all, the country actors are the most important actors in the administration and bureaucracy management. Sec- Globalization and the Challenges of Indonesia’s Management of the Bureaucracy "Executives and members can mingle together; young and old regardless of age canPerwita understand By Anak Agung Banyu each other, support each other so that the IGC could last for 23 he sentence above years," said Agustinus Hariyadi, shows that there Chief Executive of the Industrial are international Golf Club. (globalization) roles T in the public ad- avadtechnologies.com ondly, the specific inter-governmental actors such as the World Bank, IMF and others. Thirdly, multinational actors such as multinational companies. Based on the explanations above, there are at least two consequences that we need to know and understand about international administration development. quires an understanding about countries’ needs for coordination cooperation pattern among state bureaucratic institutions. On the other hand, this model also refers to the interaction patterns between the state actors and non-state actors in providing public policies and services. In this context, the term commonly used to explain the interaction pattern between state and non-state actors is informal international administration and bureaucracy. This concept refers to administration and bureaucracy regulations and manage- First of all, pragmatism, the necessity to understand what international administration and bureaucracy is in order to understand the “relational state model”. On one hand, this model re- ment which make both domestic and international accords become more flexible, not too binding with regards to many of the state’s non-political issues. At this point, the demand for full competence on international administration and bureaucracy in this globalization era becomes higher because it will affect the effectiveness level that can be applied in various local, national and global issues. The administration competence is also related with the quality of good public governance which carries 8 (eight) characteristics, namely: participatory, consensus, accountability, transparancy, responsiveness, effectiveness and efficiency, equitability and compliance with the law. Secondly, the lack of or absence of competence in bureaucracy will only lead to three types of malgovernance, namely bad governance, weak governance and underdeveloped global governance. The three malgovernances which are marked by weak national leadership and lack of austerity will only result in various multidimensional problems in the local, national and international level. That’s exactly what Indonesia is facing right now in its national development management. THE PRESIDENT POST Tjokro Eddy Sutrisno, Co-Founder Industrial Golf Club The lack of or absence of competence in bureaucracy will only lead to three types of malgovernance, THE PRESIDENT POST namely bad governance, weak governance and underdeveloped global governance. THE PRESIDENT POST The President Post The President Post Menara Batavia 25th Floor THE PRESIDENT POST Jl. K.H. Mas Mansyur Kav. 126 Jakarta 10220, Indonesia Phone: +62 21 Fax.: +62 21 572 7338 Email: [email protected] THE SPIRIT OF INDONESIA SUBSCRIBE NOW! PERSONAL INFORMATION Name Mr. Address Mrs. Home Office Postal Code POST YES!THEIPRESIDENT WOULD LIKE TO SUBSCRIBE The President Post Date of Birth THE PRESIDENT POST Company Jabodetabek SAVE 6 Issues Rp. 120,000 - Mobile 12 Issues Rp. 216,000 10% Email 18 Issues Rp. 306,000 15% 24 Issues Rp. 384,000 20% Position Phone Fax. What other business newspaper do you read? PLEASE FAX THIS FORM AND PAYMENT RECEIPT TO: 021 FOR MORE INFO PLEASE CALL: 0812 8000 6090 ENGLISH EDITION The President Post T H E S P I R I T O F I N D O N E S I A TO SUBSCRIBE Call: (021) 572 7337 CEO & EDITOR IN CHIEF: Rachmat Wirasena Suryo I CONTRIBUTORS: Atmono Suryo; Jeannifer Filly Sumayku; Andri Marsetianto; T Manivasugen; Paulus Khierawan; Hendra Manurung; Iqbal Alaik REPORTER & PHOTOGRAPHER: Rians Rivco; Heros Barasakti I CIRCULATION: Sheila Febria Putri DESIGN: Mohamad Akmal I MARKETING MANAGER: Achmad Iqbal I SALES MANAGER: Andrian Irawan EVENT MANAGER: Deavy Anggita I MEDIA PARTNER MANAGER: Daniel Trioska PUBLISHED BY: PT Kawasan Industri Jababeka. Menara Batavia 25th Floor Jl. K.H. Mas Mansyur Kav. 126 Jakarta 10220, Indonesia I Phone: (021) 572 7337 Fax: (021) 572 7338 I Email: [email protected] Printed by: PT Dian Rakyat www.readtpp.com July 2015 5 Highlights PATA Indonesia Chapter Promote Indonesia to Foreign Countries with Dorsett Pacific Asia Travel Association (PATA) Indonesia Chapter in cooperation with the Dorsett International to do tourism promotion to foreign countries in accordance with Indonesia's target to get 20 million tourists in 2019. “We want to build a network with all business players in the field of tourism, which includes the Dorsett Hospitality International. We give and take. There must be a mutual benefit for both sides,” said Setiono Djuandi Darmono, Chairman of PATA Indonesia Chapter after the breakfasting event in President Lounge Menara Batavia, Jakarta, Thursday (2/7) evening. Dorsett Hospitality International is a consortium of leading business in the field of hospitality based in Hong Kong. Its hotel network spread in various cities such as Kuala Lumpur, Hong Kong, Shanghai to London. Darmono, who is also the President Commissioner of PT Jababeka Tbk, provides a description of the forms of cooperation undertaken by Dorsett International. PATA Indonesia cooperation with Dorsett International is expected to advance the world of tourism in Indonesia. "We help promote Dorsett here, we also expect promoted to the overseas market. They are targeting Indonesians who are abroad, we also want foreign tourists come here. So it’s a win-win," he said. Phillip Schaetz, Senior Vice President of Sales & Marketing Dorsett Hospitality International also revealed a similar thing. He considers that Indonesia has potential in the future in the world of tourism. ‘’ "Indonesia is one of the potential country in Southeast Asia. Its economy is growing quite fast. It's a good move to do business and cooperation in Indonesia," said Phillip Schaetz. THE PRESIDENT POST On that occasion, also attended the CEO of PATA Indonesia Chapter Purnomo Siswoprasetijo and Director of PT Banten West Java Mardjuki Setiawan. In addition, there were also travelling agents who try to learn more about business opportunities with PATA Indonesia Chapter and Dorsett International. THE PRESIDENT POST THE PRESIDENT POST YOUR TRUE MEDIA PARTNER MPN Media Prima Nusa THE PRESIDENT POST KIJA 1Q15 Financial Highlights PT Jababeka Tbk (“KIJA”) recorded a total revenue of Rp 695 billion as per March 31, 2015, down slightly compared to the first quarter of 2014 when KIJA recorded Rp 726 billion in revenue. KIJA recorded a Rp121 billion bulk sale in the first quarter of 2014 whereas no such sale was recorded in 1Q15. PT. Media Prima Nusa Menara Batavia 2nd Floor Jl. K.H. Mas Mansyur Kav.126 Jakarta 10220, Indonesia. Phone: +62 21 5793 0347 Fax. : +62 21 5793 0347 Recurring revenue from the infrastructure businesses (mainly power, water & port) make up 65% of the revenue in 1Q15, compared to 55% in 1Q14. This overall larger portion of recurring revenue is the main reason that the consolidated gross profit margin reduced from 47% in 2014 to 40% in 2015. Infrastructure revenue, although providing steady, predictable cash flows, have lower gross profit margins than the land development business. Net income was recorded at Rp81 billion as per March 31 2015, significantly lower compared to the same period of 2014 when KIJA recorded Rp 301 billion in net income. The main reason for this difference is because KIJA recorded a forex loss of Rp43billion as of March 31, 2015, compared to a forex gain of Rp 131 billion in as of March 31, 2014. Moreover, in an effort to continue and further mitigate the impact of foreign exchange fluctuation, the Company has added an additional US$ 50 million notional worth of call spreads. As a result, the total hedged principal now stands at US$ 150 million. As a result of this latest transaction, the average lower strike now stands at 12,787 Rupiah per 1 US$ with an average spread of 1,933 Rupiah. KIJA continues to monitor the markets and contemplates to execute more call spreads in the near to medium term. 6 www.readtpp.com July2015 Event Gallery TAX Amnesty Implementation Implementation of Tax Amnesty for economic security 2015-2020. Tuesday, June 30th 2015 at President Lounge, Menara Batavia. THE PRESIDENT POST The event was opened by Mr. Darmono , the main speaker Ir . Sigit Priadi Pramudito , MA from the Directorate General of Taxation Ministry of Finance of the Republic of Indonesia , moderated by Mr. Usman Kansong which is the News Director of Media Indonesia . There are four panelists , namely Aziz Shamsuddin ( Chairman of Commission III of the House of Representatives),Suryadi Sasmita (Vice Chairman of APINDO), Christianto Wibisono (Founder of PDBI), and Dr. Josep Ginting (Head of Accounting Studies Program President University). THE PRESIDENT POST The Declaration of State Intelligence Agency New Head The Declaration of State Intelligence Agency New Head Letnan Jenderal TNI (Purn.) Dr.(H.C.) H. Sutiyoso at Madame Ching Restaurant, Jakarta, June 25th 2015. THE PRESIDENT POST THE PRESIDENT POST THE PRESIDENT POST CNBC Managing Asia - ASIA Builders President University 10th Graduation CNBC Managing Asia - ASIA BUILDERS Thursday, June 11th 2015 at Hotel Indonesia Kempinski Jakarta President University (PresUniv) successfully organized its 10th graduation ceremony on June 6th, 2015 at President University Convention Center, Cikarang. The theme of this year’s ceremony was Transforming Innovative Higher Education System to Bolster Self-Employment. Christine Tan brings together a high-powered panel of influential builders who are behind some of the biggest urban development projects in Southeast Asia, to explore innovative and long-term solutions necessary to tackle the urban challenges of today, and the building blocks needed in Asia to develop sustainable and creative cities for the future. THE PRESIDENT POST THE PRESIDENT POST THE PRESIDENT POST THE PRESIDENT POST ITBC - Welcoming Taiwan CIECA Delegation Indonesia Taiwan Business Council (ITBC) welcoming Chinese International Economic Cooperation Association (CIECA) Taiwan on June 14th, 2015 at President Lounge Menara Batavia, Jakarta. THE PRESIDENT POST ITBC Monthly Gathering Indonesia Taiwan Business Council (ITBC) held monthly gathering on June 10th, 2015 at President Lounge Menara Batavia, Jakarta. This event regularly held by the board that facilitates the investment of Taiwanese firms to Indonesia by providing necessary information on doing business in the country and establish contacts with local businesspeople as potential partners. The delegation to the 20th Joint Economic Cooperation Conference between Indonesia and Taiwan led by Dr. Wenent Pan, Chairman of Indonesia Committee, CIECA. During the visiting, the delegation visit industrial park, relevant local companies and Indonesian Government Officials. THE PRESIDENT POST THE PRESIDENT POST THE PRESIDENT POST THE PRESIDENT POST THE PRESIDENT POST July 2015 www.readtpp.com 7 Event Gallery Business Forum, Central Java National Dialogue (RKIH) Central Java Business Forum (FBJT) has been inaugurated in Wisma Perdamaian Semarang on June 5th, 2015. The FBJT inauguration conducted by Central Java Governor and continued with the signing of the Joint Declaration by Prof. FX Sugiyanto representing Academics, some businessmen and Chief BPMD Central Java, Ir. Sujarwanto Dwiatmoko, M.Si representing the Government. Rumah Kreasi Indonesia Hebat (RKIH) with the Coordinating Ministry for Political, Legal and Security Affairs held a national dialogue "Building Economic & Infrastructure Border As the Leading Region" themed Building a Border Economic Zone As Exclusive Territory, in Economic, Social, Cultural, Political & Defence Perspective in Flores Room Borobudur Hotel Jakarta, May 27th, 2015. President Director of PT Jababeka Tbk, as one of the initiators of the formation of FBJT states, the challenges of the world economy that could threaten national and regional economy, need to be addressed by bringing together the strengths of Academics, Business and Government. THE PRESIDENT POST THE PRESIDENT POST THE PRESIDENT POST Indonesia Australian Business Council Gathering Indonesia Australia Business Council (IABC) held a members gathering on May 20th, 2015 at Hotel Borobudur, Jakarta with the theme of tourism. Since 2000, the IABC has introduced a monthly networking program, the IABC Members Gathering. This program has been very successful and attendance is growing, with an average attendance of over 200 people at each event. THE PRESIDENT POST THE PRESIDENT POST THE PRESIDENT POST THE PRESIDENT POST THE PRESIDENT POST Amcham Indonesia - Networking Evening AmCham (American Chamber of Commerce in Indonesia) held a monthly networking evening on June 10th, 2015 with Crown Record Management and AIG Insurance. This event is hosted by Fraser Residence Menteng Jakarta - Relish Restaurant. Ministry of Marine Affairs and Fisheries Republic of Indonesia held a national symposium in commemoration of World Ocean Day 2015 themed "Healthy Oceans, Healthy Planet" on June 8th, 2015 at Ballroom GMB III, Jakarta. According to the Minister of Administrative Reform and Bureaucratic Reform Reform Yuddy Chrisnandi as a keynote speaker at the event, Commemoration of World Ocean Day should be a momentum to inflame the issue of maritime shaft. AmCham Indonesia is a voluntary organization of professionals with commercial activities in Indonesia. Its central mission is to promote US-Indonesia commercial relations and to serve its members as a key resource for information and business networking. First formed in 1971 as a committee, AmCham Indonesia has grown to hundreds of members representing more than 250 companies. THE PRESIDENT POST World Ocean Day THE PRESIDENT POST THE PRESIDENT POST THE PRESIDENT POST HRD Forum Jababeka Jababeka held HRD Forum Jababeka at the Metro Suites Hotel Kota Jababeka, New Cikarang, Bekasi, West Java, on Tuesday, June 16th, 2015. On the occasion discussed about Blue Collar Salary Plus Survey presented by the Head of Market Business Talent Mercer Consulting, Glenn Mambo. The second speaker was the CEO of PT Business Intelligence Technologies, Mr. Rajan, who gave an overview of the HR Management System. Participants in the event approximately 120 people who are representative of the HR firms that are in Jababeka Industrial Estate, as well as members of the HR Forum Jababeka. Also present at the event Vice Director, Group Head of Human Resources of PT Jababeka Tbk, Reza Widyaprastha and HR & GA Manager Cikarang Dry Port, Carin Sharma. THE PRESIDENT POST THE PRESIDENT POST THE PRESIDENT POST THE PRESIDENT POST THE PRESIDENT POST www.thepresidentpostindonesia.com Edisi Mei 2015 Minggu ke-3 8 Pesantren Kilat While Travelling in SEZ Tanjung Lesung Development of SEZ Tanjung Lesung Will Beneficial to Residents Pandeglang Regent Erwan Kurtubi declared the construction of Tourism Special Economic Zones (SEZ) which will be built in Tanjung Lesung, Panimbang, will benefit the community. "We always say, the establishment of the SEZ should be rethinking not only the construction but also the benefits of what can be perceived by the public, and I'm sure the people around will feel the presence of the region," he said in Pandeglang, Friday (19/6). THE PRESIDENT POST Management of Special Economic Zone (SEZ) Tanjung Lesung, Pandeglang, held the boarding or known as pesantren kilat (sanlat) and tourism awareness followed by a number of students in the village of Tanjung Jaya, Panimbang subdistrict, which aims to strengthen the relationship with the surrounding communities. Moreover, this activity also aims to encourage students around SEZ Tanjung Lesung for tourism awareness. As they traveled they also do sanlat (boarding) activities with the camping ground concept so that the students seemed to enjoy this activity. One adviser, Kristin Natalia said, students who participate in the event, among others, from Darma Jaya Junior High School and Krida Taruna Vocational School. school students and 25 students of vocational school. We hope that through this activity can give positive energy to the people who were around Tanjung Lesung,” said Kristin. “The number of participants total, there were 45 people, consisting of 20 junior high Meanwhile, Krida Taruna Vocational School Principal, Soleh, said he supports this activity as it is a positive activity. “We welcomed sanlat with the concept of the camping ground. Because in this way the citizens and students would know very well about the tourism. Through this activity also religious values will continue to be embedded,” said Soleh. Erwan also expressed optimism that many opportunities that can be achieved by the community after the Tourism SEZ built. Approximately 200 thousand workers will be absorbed in the establishment of the Tourism SEZ. Including direct impact on the establishment of SEZ as many as 85 thousand people, as well as South Banten Airport development impact as many as 35 thousand people. Then, he said, the employment impact of the direct construction of Serang-Panimbang toll roads are as many as 5,000 people and indirect impact on other sectors 75 thousand workers. Therefore, he said, the Pandeglang Government hope that the formation of tourism SEZ as well as other support, such as airports and toll roads can be realized according to a predetermined schedule. President, he said, is targeting the development of tourism SEZ whose center is located in the tourist area of Tanjung Lesung was completed in three years. That is, he continued, those responsible for the development of the region should work hard so that the target can be realized. SEZ built on an area of 1,500 hectares, and in it provided plenty of facilities so that tourists will be welcome to stay. In SEZ Tanjung Lesung, he said, will be built 26 hotels, resorts and condominiums as well as other facilities including a golf course and a place of education. Banten Offer PIB and SEZ Tanjung Lesung Investment at WEM 2015 Banten Provincial Government through the Investment Coordinating Board and Integrated Services (BKPMPT) will offer investment opportunities in the construction of Bojonegara International Port development (PIB) and investment in the development of Special Economic Zones (SEZ) Tanjung Lesung to participants of World Expo Milano 2015 held in Milan, Italy, during the six months, starts in May-October 2015. International exhibition held every five years were followed by 147 countries, including Indonesia. As Indonesia will send 15 provinces, including the province of Banten. Indonesia in the international exhibition on the theme: "Indonesia Stages of the World," with displays of natural biodiversity and cultural diversity. In addition, Indonesia also displays a wealth of harmony Indonesia in tourism, arts and culture, creative industries and culinary with the best work of the sons of the nation. Head of BKPMPT Banten Soeharta Ranta explained, the group of Banten Provincial Government who will go to Milan, Italy consisting of Acting Governor of Banten Rano Karno, Dept. of Manpower and Transmigration (Disnakertans) Banten Province Hudaya Latuconsina and his own team of BKPMPT Banten. The delegation will leave for Milan, Italy on June 12, 2015 and was in Milan for two to three days. "Banten Provincial Government attaches strategic importance of this exhibition event to be used as a means of disseminating information and investment opportunities particularly to the businesses in the European region as a real effort to boost regional economic growth through increased interest and investment realization in particular Foreign Direct Investment (FDI)," said Ranta told reporters on Thursday (4/6). Ranta said, the amount of capital investment from Europe in Banten still relatively less than those from Asian countries such as Singapore, South Korea, China and Japan. Based on data Activity Report (LKPM) since 2000, until the first quarter of 2015, only eight Italian companies to invest in Banten, worth US $ 11.593 million. "They are engaged in chemicals and other chemical goods, refinement fabrics, articles of leather and artificial leather, footwear industry, industrial coating material and pigment, wholesale and construction of the installation and distribution of gas," he explained. Furthermore Ranta said, BKPMPT Banten will convey information to entrepreneurs about the investment opportunities that are directly by foreign private parties or joint ventures with national domestic. "The investment that we offer in Milan, Italy is the scheme of public private partnership (PPP), including in the infrastructure sector in the form of toll road-Bojonegara Cilegon, Serang-Panimbang toll road, construction of PIB, development and investment in Airstrip and SEZ Tanjung Lesung," he said. According to Ranta, Banten Provincial Government participation in WEM 2015, is expected to be introduced Banten as a strategic investment destination in Indonesia, which has a favorable climate and highly competitive. HUFFINGTONPOST.COM Photography Workshop “Membuat Foto Layak Jual di Tanjung Lesung” THE PRESIDENT POST The President Post Special Report 9 July 2015 1. Groundbreaking of Tanjung Lesung Special Economic Zone (SEZ) President Joko Widodo accompanied by Minister for Economy Sofyan Djalil inaugurate the Special Economic Zone (SEZ) Tanjung Lesung on Monday (2/23). Also present at the inauguration, Governor Banten Rano Karno and Director of PT Jababeka Tbk Setyono Djuandi Darmono. Standing on an area of 1,500 hectares with a coastline of 13 km, SEZ Tanjung Lesung is the first SEZ in the field of tourism. SEZ Tanjung Lesung developed by PT Banten West Java Tourism (BWJ), which is a subsidiary of PT Jababeka Tbk. The value of investment in the region reached Rp4,83 trillion and is targeted for completion in 2020. Jokowi said the government is ready to build the highway, but the developer of SEZ Tanjung Lesung had to finish the construction of Tanjung Lesung in 3 years. “Both should be completed at the same time. Land acquisition carried out by the Government the Province of Banten and Pandeglang. I expected the toll road will be completed in three years, because the distance is 80 kilometers,” said Jokowi in his speech. According to Jokowi, access along the 80-kilometer toll road will be built to support investments in a based tourism SEZ Tanjung Lesung. Thus, expected to increase state revenues and the local area. Jokowi targets the development of SEZ Tanjung Lesung phase I is completed in the next 3 years. Therefore, Jokowi invites investors to not be afraid to invest in Tanjung LEsung. He also promised to provide some facilities accelerated development. "As incentives, will be prepared, but not everything we give, based on the calculation that will be studied then there is getting full, there is not," he said. President Jokowi listening an explenation from President Director PT. Jababeka Tbk, S.D. Darmono about SEZ Tanjung Lesung. THE PRESIDENT POST President Jokowi with Act. Governor of Banten Rano Karno and Coordinator Minister of Economic Sofyan Djalil at SEZ Tanjung Lesung, Banten (2/23). THE PRESIDENT POST Tanjung Lesung is a flagship attraction of Banten province, in addition to other attractions such as Carita Beach. The region has a culture heritage because of its location close to the National Park Ujung Kulon (TNUK), Mount Anak Krakatau and Umang Island. President Jokowi arrive at SEZ Tanjung Lesung, Banten (2/23). THE PRESIDENT POST 10 www.readtpp.com July 2015 Special Report 2. Groundbreaking of Raknamo Dam Jokowi, accompanied by First Lady Iriana Jokowi, conducted groundbreaking of construction of Raknamo Dam in the district of Amabi Oefeto, Kupang Regency, East Nusa Tenggara, which has a capacity of accomodating water by 14.09 million cubic meters, Saturday (20/12/2014). The president said the government aims to build 49 dams in the next five years. Construction of reservoirs in the province becomes the first development of the whole development plan that has been prepared. "The development of Raknamo Dam is the first that we do within the next 5 years; since 17 years ago NTT has not built any dam, and this dam should be completed within a period of 3 years" said Jokowi. The President advised the public to participate in keeping, maintaining the area around the dam, not cutting trees down in the area around the dam. Raknamo dam area, covering 147 hectares at a cost of 710 billion, is expected to hold water in the rainy season and drain the water in the dry season for the citizens of the province. Minister of Public Works and Public Housing (PUPR) Hadimuljono Basuki explains construction of Raknamo Dam requires funds from the state budget of about Rp732 billion with a multiyear contract which consists of the construction of about Rp710 billion more and the rest for supervision /control. Water from this dam, said Basuki, will serve as a supplier of water source for residents of Kupang district as much as 100 liters per second. In addition, to support irrigated land area of 1,250 hectares of rice fields, flood control, tourism and the construction of macro hydro power plants (MHP) of 0.216 MW. METROSIANTAR.COM President Jokowi at Groundbreaking Port of Kuala Tanjung, North Sumatera (1/27). 3. Groundbreaking of Pharaa Market in Sentani, Papua Groundbreaking of Pharaa Market in Sentani, Papua, was carried out on 27 December 2014. The market of approximately 48.339 square meters will be supported with a prosperous family home (healthy home) and home for children of hope (smart home). "I came to Papua to fulfill my promise to build markets in Sentani and Jayapura. Keep in mind, this market is given free of charge to the merchants, no pay. So consider this, if somebody pays for it, report to me," said Jokowi. Jokowi added, Pharaa market development will take about a year. Thus, the new year 2016, I will come to Papua again to inaugurate this market, said Jokowi and immediately was applauded by the people present at that time. 4. Groundbreaking of Bhuyaka Market Sentani, Papua In addition to Pharaa Market, Jokowi also did groundbreaking for the construction of Bhuyaka market in Sentani, Papua. The event was also held on December 27, 2014; the President was warmly welcomed by the people around Sentani. The construction of Bhuyaka market uses the budget of Rp 15 billion from the Ministry of SOEs, the regional budget, and the state budget. "I ask Mama Makdalena and Mama Yuliana to monitor the market development process, if there are shortcomings in the implementation, report to me," said Jokowi. Further, Jokowi planned Bhuyaka Market development is to be completed in 2016 and he will return to Papua to inaugurate the opening of the Bhuyaka Market. 5. Groundbreaking of Kuala Tanjung Port With the aim of encouraging investors to Kuala Tanjung district of North Sumatra, Jokowi did groundbreaking of 7 strategic projects in North Sumatra. One of them was the construction of the Port of Kuala Tanjung in the area of PT Pelindo Branch Kuala Tanjung on January 27, 2015. According to Jokowi, Port of Kuala Tanjung will become the largest port in western Indonesia. The Government, he said, has prepared 200 hectares of land for the Port of Kuala Tanjung. Jokowi said Port of Kuala Tanjung is targeted to be completed before March 2017. "Tell the port investor it is to be completed by March 2017. So manufacturing industry, factories wanting to get in, grab it immediately. Promote this area, also the existing facilities. In order for all to flock in," said Jokowi. President Jokowi speech at Groundbreaking of PLN Substation Project in Sei Mangkei, North Sumatera (1/27). 7. Groundbreaking of Sei Mangkei Industrial Zone In addition to the groundbreaking of the Port of Kuala Tanjung, Jokowi also did groundbreaking of Special Economic Industrial Zone of Sei Mangkei on January 27, 2015. Special Economic Zones (SEZ) of Sei Mangkei has a land area of 2,020 hectares (ha). This area becomes the first major region and is expected to increase the value of exports of semi-finished goods and finished goods from western part of Indonesia. Thus, in the end the national trade will record a surplus and of course will boost economic growth in Indonesia. "I'm very optimistic with work like this. I believe our economy will grow well, and the wellfare will increase. And unemployment can go down as it is accommodated in this industrial area. And let's see in 2-3 more years, " said Jokowi. 8. Groundbreaking of PLN substation Project in Sei Mangkei Groundbreaking of electricity project which was done by Jokowi on January 27, 2015 is the construction of 150 kV substation with the capacity of 60 MVA power transformer or equivalent with a load of 50 MW services that can be developed up to 120 MVA in accordance with the growth of the electric energy needs of the region of Sei Mangkei. At this early stage, 60 MVA power transformer is planned to operate by the end of 2015. PLN President Director Sofyan Basir, who was accompanied by Director of Operations Outside Java Bali Amir Rosidin, General Manager of PLN UIP II Robert Purba, PLN Region General Manager and General Manager of North Sumatra PLN Dyananto KITSU, Bernadus S said PT PLN (Ltd) has been prepared and has installed electric power of 2.18 MW for electricity needs for the construction phase in the Special Economic Zone (SEZ) in Sei Mangkei located in Simalungun, North Sumatra. 9. Groundbreaking of Special Economic Zone Operation in Sei Mangkei METROSIANTAR.COM 11. Groundbreaking of Construction of Toll Road Medan-Binjai Still included in the 7 strategic projects of groundbreaking by Jokowi on January 27, 2015, the construction of Toll Road Medan-Binjai of 17km in length by PT Hutama Karya was the last project in North Sumatra. 12. Groundbreaking of Old City Performing Arts Building Recently the Old City of Jakarta was officially designated by UNESCO as a world cultural heritage nomination or World Heritage Site. The Ministry of Tourism (Kemenpar) continues to monitor the development as well as providing support so that the Old City of Jakarta is set to be a world heritage site. "Our support, among others, is to declare the Old City as a major tourist attraction in Jakarta, at the same time the groundbreaking of Performing Arts Building which is the Quick Wins program of President Jokowi- JK," said Arief Yahya, Wednesday (02/04/2015) So far, the Ministry of Tourism claimed a number of attempts have been made to increase the attractiveness of the Old City of Jakarta. One attempt was to do groundbreaking of the Performing Arts Building that took place in the Old City area recently in accordance with the Decree of the Minister of Tourism KM.02 / PW.202 / PM / 2014. Minister Arief Yahya said the Old City area has a unique history of art that is characterized by its architecture. Even the history of the triumph of maritime archipelago before the Portuguese and the Dutch is depicted in the atmosphere of the Old City of Jakarta. On the same occasion on January 27, 2015 groundbreaking of Special Economic Zone Operation in Sei 13. Groundbreaking of Mangkei was done by commissioning PT Unilever Oleochemical Indonesia. 6. Groundbreaking of Logung Reservoir Aluminum Diversification of Logung Reservoir was performed by Jokowi on Project in Kuala Tanjung 10. Groundbreaking of Frying Oil Factory Groundbreaking 29 January 2015. The irrigation area of 2,800 hectares is to be repaired and located around the dam. While the expansion of new irrigation Still on the same day, on January 27, 2015 Jokowi also did groundarea is estimated to be of 1,000 hectares. When referring to the PTPN III (Ltd) in Sei Mangkei breaking of aluminum diversification project in Kuala Tanjung, the original plan, both of these activities will be carried out in 2016-2017. projects of aluminum smelting plant that will process the ingot into a billet, which is located in the factory of PT Inalum (Ltd), Kuala Tanjung. Groundbreaking of frying oil factory with a capacity of 600,000 tons/year located in Sei Mangkei and managed by PTPN III was also conducted on January 27, 2015. The goal, when Logung Reservoir is completed, is to use irrigation water to increase rice production. The development will take three years starting from 2015. www.readtpp.com July 2015 11 Special Report 14. Groundbreaking 15. Groundbreaking of Toll Road Section I of Krueng Keureuto Reservoir Ciawi -Sukabumi The Ministry of Public Works and Housing (PU-Pera) and PT Trans Jabar Tol, planned to conduct groundbreaking of the construction of Ciawi-Sukabumi Toll Road section I of Ciawi-Cigombong as long as 15.3 kilometers (km). The project will be inaugurated by CEO of MNC Group Hary Tanoesoedibjo (HT) along with Minister of Public Works and Housing (PU-Pera) Basuki Hadimoeljono, and attended by West Java Governor Ahmad Heryawan, Monday (02/09/2015). For information, the construction of the first section of the toll is projected to spend an investment of Rp 2.9 trillion. Moreover, this project is expected to be completed within the next 24 months. Meanwhile, workmanship of Ciawi-Sukabumi Toll Road section I will be done by the contractor PT Waskita and a contractor from Korea. Under the concession agreement, the construction of Ciawi-Sukabumi Toll Road will reach Rp7.7 trillion, with a concession period up to 40 years. 16. Groundbreaking of Construction of Wind Power Plant in South Sulawesi One of the central government plan through the Ministry of Maritime and Ministry of Energy and Mineral Resources (ESDM) is the construction of Wind Power plant, which will be conducted in Sidrap and Jeneponto Regency. Governor of South Sulawesi, Dr. H. Syahrul Yasin Limpo, SH., M.Sc., MH, in Soppeng Regency, Monday (23/03/2015) said that in order to realize the plan the Government of South Sulawesi has been in talks with businessmen from the United States and has come to an agreement. Groundbreaking of the plant will be done in April or May by adopting the system of windmills in the Netherlands. The construction of the power plant that generates initial power of 175 MW will take a considerable cost, but it certainly will be a profitable investment. The availability of sufficient electricity will make investors attracted to invest because their energy needs have been met and it happens in South Sulawesi where the growth of investment and industry is very rapid. Jokowi did groundbreaking of Krueng Keureuto Reservoir in his visit to the village of Blang Pante, Paya Bakong sub-district, Aceh in the efternoon on March 9, 2015. The construction of Krueng Keureuto Reservoir will spend Rp. 1.7 trillion. Project budget comes from the Ministry of Public Works and Housing and will be performed by PT Abi Praya. "The construction of this Keureuto Krueng reservoir the fund of which comes from the state budget amounted to Rp. 1.7 trillion. This development will take four years, "said Jokowi. Keureuto reservoir has many functions one of which is to prevent flooding and to drain water for farmers in North Aceh District and Bener Meriah. "There are so many benefits of this dam because it is made for a variety of functions that can be benifited by Bener Meriah Regency which is located near-by," said Jokowi. President Jokowi Groundbreaking of Krueng Keureuto Reservoir, Aceh (3/9). METROTVNEWS.COM 17. Groundbreaking of Road Widening of 18. Groundbreaking of Submarine Production Facilities Merak Port The Government will immediately start road widening project to access the port of Merak; the road span is 3 km with estimated value of Rp23 billion. Head of Toll Road Regulatory Agency (BPJT) Ministry of Public Works and Public Housing Achmad Gani Ghazaly said it currently holds an auction for the construction of the road widening project which will be funded by the state budget. Minister of PU-Pera, Basuki Hadimuljono stated road widening project of Merak port access is one of the projects of regional development programs of Merak, Bakauheni, Bandar Lampung, Palembang and Tanjung Api-Api (MBBPT) initiated by the government of President Joko Widodo. According to him, the purpose of this MBBPT regional development program is to facilitate the process of logistics and distribution services from Sumatra Island to the island of Java, and vice versa. President Joko Widodo plans to conduct groundbreakings of a number of projects that are part of this MBBPT program at the end of April, he said. Groundbreaking of the construction of submarine production facilities was performed on 7 April 2015 and was attended by Deputy Chairman of Commission I of the House of Representatives, Deputy Assistant Agro Industry Enterprise and Strategic Industries Ministry of SOEs, Kapusada Baranahan Ministry of Defense, Executive Team of KKIP, Representative of Daewoo Logistics, President Director of PT Waskita Karya (Ltd), Board of Commissioners and Directors PT PAL INDONESIA (Ltd), as well as the PAL personnel who follow TOT of submarine. The first pile erection (groundbreaking) of submarine production facilities, to mark the beginning of construction work at the site of the submarine facility construction project that is located in the area around the pier division of Maintenance and Repair (Harkan) PT PAL INDONESIA (Ltd). Submarine fulfillment by the Government of Indonesia in securing sea borders of Indonesia was accomplished with the purchase of three submarines from Daewoo Shipbuilding and Marine Engineering, South Korea (DSME) by the Ministry of Defence. The purchase of submarines was also accompanied with Transfer of Technology which involved about 206 personnel of PT PAL INDONESIA (Ltd) to study the production of submarines in Korea. This is in line with the implementation of Law No. 16 Year 2012 on the defense industry, where PT PAL INDONESIA (Ltd) is mandated to independently produce submarines for Indonesia. 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For more info, please contact: [email protected] ORGANISED BY: SUPPORTED BY: PARTNERING EVENT: COACHING PARTNER: MEDIA PARTNER: 12 www.readtpp.com www.thepresidentpostindonesia.com July 2015 April 2015 Special Report 26. Groundbreaking of Trans Sumatra Toll Road Palembang-Simpang Indralaya After conducting groundbreaking of Trans Sumatra Bakauheni-Terbanggi Besar in Sabah Balau, Lampung, Thursday (30/4) afternoon, Jokowi went straight to Palembang, South Sumatra for groundbreaking of Trans Sumatra Toll Road Palembang-Simpang Indralaya. Jokowi mentioned to the Directors of both state-owned and private enterprises, relating to the construction of the Trans-Sumatra highway, that the project can be completed in a faster time than the target; besides, Jokowi also promised to continue to oversee the development process. SETKAB.COM Groundbreaking of Kutai Kartanegara Smart City(4/18). 27. Groundbreaking of Toll Road Ngawi-Kertosono After conducting groundbreaking of Trans Sumatra on 30 April 2015, Jokowi went straight to Ngawi, East Java to perform groundbreaking of Trans Java Toll Road Ngawi-Kertosono. Accompanying Jokowi, among others, were the Minister of PUPR Basuki Hadimuljono, Minister of SOEs Rini Sumarno, East Java Governor Sukarwo, President Director of PT. Jasa Marga Tbk Adityawarman. "I allocate a maximum of 2.5 years to complete the construction of this highway," said Jokowi. Jokowi said that if it cannot be completed within 2.5 years, it will be transferred to the SOE and if it still fails, it will be transferred to the Ministry of PUPR through state budget. 28. Groundbreaking of Accelerated Development of Toll Road Solo-Ngawi President Jokowi speech at Groundbreaking of TransSumatera Toll Road Palembang-Simpang Indralaya, Sumatera (4/30). 19. Groundbreaking of Airport of Kutai Agung Minister of Trade of the Republic of Indonesia Rahmat Gobel, Saturday (04/18/2015) did groundbreaking of Airport of Kutai Agung in the District of Loa Kulu. Rahmat Gobel deeply rejoiced on that day, because it was a very important day that he managed to be present at the groundbreaking of airports and smart city, a city development concept in which there is its airport. "This development is a proof of a long-term vision and should be supported. Moreover, as of January 1 2016 there will be an agreement on the implementation of the Asean Economic Community (AEC). The step to build an airport and a smart city of course has something to do with the anticipation to enter the era of globalization," he said. 20. Groundbreaking of Kutai Kartanegara Smart City Besides inaugurating the airport groundbreaking, Trade Minister Rahmat Gobel also did groundbreaking of Smart City. Kutai Kartanegara utilizes all held to be able to carry out the process of improving productivity and efficiency, namely by having a smart city. "Kukar must not be inferior to Singapore and Arab Emirates. Not again, competing against districts in Indonesia, but against countries in Asean," Rahmat Gobel said. The event was attended by the Chairman of Commission III of the House of Representatives Aziz Syamsudin, Assistant IV Setprov Kaltim, Regent Rita Widyasari, Vice Regent Kukar, Director of PT Nusa Energindo Perdasa Zolnahar Usman, Chairman of the Parliament of Kutai Kartanegara, the heads of departments / agencies within the local government and Dandim 0906 of Tenggarong. RMOLSUMSEL.COM 22. Groundbreaking of Inexpensive Houses Minister of SOEs Rini Soemarno represented Jokowi to do groundbreaking of low-cost housing construction program in Cengkareng, Jakarta (04/29/2015). Rusunami is planned to be built on land owned by the National Housing covering an area of 4.97 hectares; it will include 5 blocks of Rusunami with a total of 18 towers and each tower consists of 24 floors. Through cooperation between the city government and Perumnas it is expected that permits can be arranged more smoothly so that the process of construction of towers in Jakarta can be done immediately. This year Perumnas plans to build as many as 33,500 units of houses in the form of flats and landed houses. 23. Groundbreaking of Construction of 245 Thousand Houses For MBR The government carried out groundbreaking of construction for 245 thousand units of flats for low-income communities (MBR) on April 30, 2015. The portion for the government to build is 28 thousand units. "The houses will be of landed house type and flats spreading in 34 provinces," said Minister of Public Works and Public Housing (PU-Pera) Basuki Hadimuljono. The rest is held by Perumnas numbering 4102 units for civil servants and the public, by private developers numbering 192 564 units for civil servants, workers and the public, and by the local government numbering 12,400 units for civil servants and by BPJST numbering 2,500 housing units. 24. Groundbreaking of Trans Sumatra Toll Road BakauheniTanjung Api-Api Jokowi did groundbreaking of Trans Sumatra toll road of Bakauheni-Bandar Lampung-Palembang- Tanjung Api-Api (MBBPT) of the length 434 km on April 30, 2015. This toll road will connect with the sea transport 'sea motorway' in the Sunda Strait up to Merak, Banten. Head of Communications of the Ministry of Public Works and Public Housing (PUPR) Mursito Djoko said the inauguration was centered at Sumatra Institute of Technology (ITERA), in Bandar Lampung, Lampung. 21. Groundbreaking of Development Program of Two Tower Rusunawa 25. Groundbreaking of Trans Jokowi announced the Accelerated Development of Toll Road Solo-Ngawi in East Java, on Thursday (04/30/2015). Toll Road Solo-Ngawi and Toll Road Ngawi-Kertosono become part of Trans-Java toll road that has an important role in running the economy while at the same time connecting the provinces of Central Java and East Java. Ngawi-Solo toll road has a total length of 90.1 kilometers that is operated by PT Solo Ngawi Jaya with a payback period of 35 years since the issuance of SPMK (Warrant Start Work). The project requires an investment cost of business entities amounting to Rp 5.14 trillion, which is met through the equity of Toll Road enterprises (BUJT), and loans from banks. The location of this highway is in the regencies of Boyolali, Karanganyar, Sragen, and Ngawi. 29. Groundbreaking of Mega Power Project of 35,000Mv Saturday, May 2, 2015, Jokowi did groundbreaking of power projects of 2,000 MW in various regions in Indonesia, such as in Yogyakarta, West Java, South Sulawesi and South Sumatra. Minister of Energy and Mineral Resources (ESDM) Sudirman Said said the launch will take place in Yogyakarta. The plan will be signing and groundbreaking of power projects of 2,000 MW. The project of developing power plant of 35,000 Mv is for the initial phase of various types, including Steam Power (power plant) which is the largest. However, the government will also encourage the development of new renewable power plant. The launching of 35,000 MW power projects was conducted at Samas Beach, Bantul, Yogyakarta where a wind power plant is located. 30. Groundbreaking of hydro power plant Jatigede (West Java) 2x55 MW Jokowi did groundbreaking of hydro power plant Jatigede, Sumedang, Monday (04/05/2015). The event was conducted long distance. Jokowi did a video confrence from Bantul with power projects in Takalar Jeneponto South Sulawesi, Pangkalan Susu North Sumatra, and Jatigede Sumedang. The inauguration of hydropower plant Jatigede was carried out in access road Jatigede in Sanghyang Beuheung, Cijeungjing Village, District of Jatigede. Jatigede hydropower generates 2 x 55 megawatts. Present at the location of the ground breaking were Governor Ahmad Heryawan, GM PLN Jabar Bajten Joko R Abumanan, Deputy Regent Eka Setiawan and other officials. Jokowi conducted groundbreaking of development program of two tower Rusunawa for workers / laborers in Ungaran, Semarang, Central Java, on Wednesday (29/04/2015). The activities are part of the development program 1 of Houses for the People led by the Ministry of Public Works and Public Housing (PUPR). 31. Groundbreaking of Steam Power Plant Takalar (South Sumatra Toll Road Bakauheni- Sulawesi) 2x100 MW Terbanggi Besar In the first stage 103 135 homes were built, from a total of 331 693 houses that will use the government budget. The construction site is spread in 9 regions, namely North Nias (North Sumatra), Pelembang City (South Sumatra), West Jakarta (DKI Jakarta), Tangerang (Banten), Cirebon (West Java), Semarang (Central Java), Malang (East Java), Kota Waringin Timur (Central Kalimantan), and Bantaeng (South Sulawesi). On 30 April 2015 Jokowi performed groundbreaking of Trans Sumatra Toll Road Bakauheni-Terbanggi Besar, in Sabah Balau, Lampung. "The road that we are building is wide. In the middle is the highway, at the side is the railway, over here is for power transmission, underneath is for the gas pipeline. We think not only for 5-10 years, it can be used a hundred years. The main vision must be over a hundred years," said Jokowi in his speech. Still on the same day, Monday (05/04/2015) Jokowi also did groundbreaking of Steam Power Plant Takalar South Sulawesi, with a capacity of 2x100 MW. Minister of Energy and Mineral Resources (ESDM) Sudirman Said said that this program is a breakthrough in the electricity sector, which aims to accelerate the economic development of Indonesia. The 35,000 MW program is one of the flagship programs in order to achieve one of the objectives of Nawacita, namely to bring about the economic independence by moving the strategic sectors particularly energy sovereignty. www.readtpp.com April 2015 July 2015 13 Special Report 32. Groundbreaking of Steam Power Plant Pangkalan Susu units 3 and 4 (North Sumatra) 2x220 MW On the same day, May 4, 2015 was also conducted groundbreaking of Steam Power Plant Pangkalan Susu units 3 and 4 North Sumatra with a capacity of 2x220MW. The power plants are intended to strengthen the current system of Sumatra that has been interconnected and there is an affort to increase interconnection capacity which is planned to be completed in 2017. 33. Groundbreaking of Infrastructure Projects of Rp35 T in Manado Jokowi in May performed ground breaking of construction of several infrastructure projects worth Rp35 trillion in Manado, North Sulawesi. Governor of North Sulawesi, Sinyo Harry Sarundajang who accompanied Jokowi in his state visit to the People's Republic of China (PRC) revealed, infrastructure projects which will soon begin construction consists of 'Bitung Port Hub', the expansion of Sam Ratulangi International Airport, Special Economic Zones (SEZ) Tanjung Merah, as well as the supporting infrastructure of the tourism sector (including the 'Monaco Bay' of Lippo Group). "Chinese investors are ready to begin construction. Mr President Jokowi requested the groundbreaking should be done as soon as possible so that it begins immediately this year," said Sarundayang. Sinyo Sarundayang also said the construction of infrastructure projects involve state-owned company from China, which is China Communications Construction Company Limited and China Road and Bridge Construction. 35. Groundbreaking of New Town Development for the capital of North Maluku province During his visit to North Maluku on May 8, 2015, Jokowi did groundbreaking of development of the New Town to the capital of North Maluku province. In addition, Jokowi also conducted the inauguration of several infrastructure projects in the province. SETKAB.GO.ID President Jokowi opening the Groundbreaking of New Town Development for the Capital of North Maluku Province (5/8). 34. Groundbreaking of SEZ of Tanjung Merah Development of Special Economic Zones (SEZ) covering an area of 534 hectares in Tanjung Merah Bitung is increasingly certain, the value of investment in the region is expected to absorb thousands of workers and is estimated at trillions of rupiah. "The initial area to be built covering an area of 114.6 hectares includes 92.96 hectares which is currently inhabited, and 22 hectares of the total area of 534," explained Head of Planning Agency of Bitung Drs Albert Sarese, through the Head of Infrastructure Division Denny Moningka ST, Wednesday (6 / 5). He explained that when he was in Beijing China, North Sulawe- si Governor Dr SH Sarundayang signed a Memorandum Of Agreement (MOA) between the Government of North Sulawesi with one of the SOEs of China or China Communications Construction Company (CCCC). The investment value is Rp 35 trillion. In the future, it will be allocated for the development of SEZ ENGLISH EDITION T H E S P I R I T O F I N D O N E S I A / Bitung-Minut, the construction of highway infrastructure, and development of fisheries and agro-industry. "We have already done MoU concerning SEZ infrastructure development investments. Groundbreaking of industrial estate development was carried out in May 2015," said Moningka. 14 www.readtpp.com July 2015 Special Report 37. Groundbreaking of 38. Groundbreaking of Sea 39. Groundbreaking of Flyover Hamadi-Holtekam Cable System of Sulawesi- Moh. Ridwan Meuraksa Maluku-Papua (SMPCS) Kodam Jaya Hospital Jokowi, accompanied by Minister of Public Works and Public Housing (PUPR), Basuki Hadimuljono, did groundbreaking for the commencement of construction of the flyover Hamadi-Holtekam that is worth Rp1.5 trillion, in Jayapura, Saturday, May 9th, 2015. "The funding comes from the central government amounting Rp 900 billion, the provincial government and the city of Jayapura amounting Rp 600 billion," said Jokowi. According to Minister Basuki, the flyover is expected to be completed by 2018. The flyover that connects Hamadi Region, South Jayapura District with Holtekamp village, Muara Tami District, Jayapura City has been reinforced by the signing of a memorandum of understanding (MoU) between the Government of Papua Province and the Ministry of Public Works some time ago. Under the deal, the construction covers 1,322 meters along the access road and the main bridge with a span length of 400 meters. It is coupled with approaching bridge of 342.2 meters. Jokowi, accompanied by First Lady Iriana, hit the drums marking the start of construction and inauguration of Backbone Network System Broadband Optical Fiber of Sulawesi-Maluku-Papua (SMPCS), at the office of PT. Telkom Manokwari, Papua, Sunday (10/05/2015). Tourism Minister Arief Yahya who also accompanied Jokowi, in his report mentioned, SMPCS is building a fiber optic network that reaches 8 Provinces and 34 regencies in Eastern Indonesia. The provinces that are reached include North Sulawesi, South East Sulawesi, South Sulawesi, North Maluku, Maluku, East Nusa Tenggara, West Papua and Papua. Infrastructure with a total length of 8722 kilometers connects the West Zone of Indonesia and Eastern Zone of Indonesia. To make it happen, PT. Telkom must spend investment of Rp 3.6 trillion to build infrastructure consisting of two packages namely package 1 at the length of 5617 km and package 2 of 23155 km. "I think this is a big test to be resolved and the public will be able to enjoy internet services anywhere in Papua, and the conditions are the same as in the whole country," said Jokowi. Jokowi attended the groundbreaking of Hospital Moh. Ridwan Meuraksa Kodam Jaya, in Pinang Ranti-Bambu Apus, Jakarta, Wednesday (05/13/2015). On that occasion, Jokowi expressed the Government's commitment to improve the welfare of Army personnel by raising the performance benefits of the Indonesian Army. In addition, Jokowi said, the Government will also set a budget of Rp.1.7 trillion to build housing for TNI soldiers. While associated with selecting the location it is left entirely to TNI. Furthermore, Jokowi explained that the welfare of TNI soldiers can be increased if the economic growth and development in the country can run properly. "Development can be reached if there is stability of security and it is all in your hands," said Jokowi. 40. Groundbreaking of Border Roads Development In the near future, groundbreaking of construction of roads on the border will be carried out, precisely in the District of Mensalong Nunukan. This was revealed by the Acting Governor of Kaltara Triyono Budi Sasongko when met at the Division Office of Public Works Kaltara Province, Thursday (07/05/2015). Acting Governor and Principal Secretary of Border Management National Agency mentioned that the length of road to be built on the border is 60 kilometers. The construction of this border road starts from Mensalong-Sasipu-Tou Lumbis, the regency of Nunukan. "The infrastructure program, particularly by the Ministry of Public Works, has started. And later we will do groundbreaking of construction of roads in the border especially in the District of Mensalong with a span of about 60-70 kilometers. It will connect districts, " explained Triyono. For information, the construction of this road is a follow-up of the signing of a memorandum of understanding between the Ministry of Public Works and Public Housing and the Armed Forces in Jakarta 27 April last month. 41. Groundbreaking of Infrastructure Development Project Kaltim SETKAB.GO.ID Groundbreaking of Development Facility for PON 2020, Papua (5/9). Various development programs and the commitment that were carried out by the Provincial Government of East Kalimantan under the leadership of Governor Awang Faroek Ishak were assessed very much in line with the programs created by the central government. Recognition was conveyed by Minister of Communications and Information Technology (Communications) Rudiantara while attending the National Awakening Day-107 Year 2015, Inauguration and Groundbreaking of Infrastructure Projects and Thanksgiving Party for the Continued Development of Toll Road Samarinda-Balikpapan at kilometer 13 Balikpapan, Wednesday (20/5 / 2015). According to Rudiantara, East Kalimantan provincial government is one of the local governments that have committed to the successful development of joint efforts as set up by the central government to achieve progress and prosperity. "I was watching and listening to a part of the ritual of reading of the Trisakti and Nawacita. From there I see the East Kalimantan Government's commitment to build the region is in line with that of the central government, "said Rudiantara. 42. Groundbreaking of Construction of DieselPower Plant at Border Area of Kaltim and Kaltara On the 107th ceremony of National Awakening Day in Balikpapan May 20, 2015, MCIT Rudiantara also did groundbreaking of Diesel Power Plant at Border Area of Kaltim and Kaltara. In addition, Minister of Kominfo also signed an MOU with the East Kalimantan Governor and North Kalimantan Governor on the construction of BTS in border areas in Kalimantan and strengthening TVRI and RRI stations in Border Areas. 42. Groundbreaking of Toll Road Balikpapan-Samarinda MCIT Rudiantara performed groundbreaking of Toll Road Balikpapan-Samarinda on May 20, 2015. On that occasion a number of other activities were also carried out in order to commemorate National Awakening Day. 44. Groundbreaking of Makassar New Port After inaugurating the Shipping Channel Revitalization of West Surabaya and Terminal of Teluk Lamong, in the Terminal of Teluk Lamong , Port of Tanjung Perak Surabaya, East Java, on Friday (05/22/2015) morning, President Joko Widodo went straight to Makassar, South Sulawesi, to do groundbreaking of Makassar New Port, in Passenger Port Terminal of Soekarno-Hatta. "4 months ago we started the construction in Kuala Tanjung for an area of 2,200 ha for the port to the west. Then in Tanjung Priok by 2018 it probably will increase the capacity of 5.5 million, then to 15 million per year, " said Jokowi explaining in detail that all the port infrastructure development shows that we must return to the sea. Groundbreaking of Moh. Ridwan Meuraksa Kodam Jaya Hospital, Jakarta (5/13). 36. Groundbreaking of Development Facility for PON 2020 On Saturday (09/05/2015) Jokowi performed groundbreaking of construction of facility for National Sports Week (PON) 2020 in Papua. Jokowi said that the construction of facilities for PON 2020 will cost approximately Rp 10 trillion. "I asked Mr. Deputy Governor, of the Rp 10 trillion, how much comes from the state budget, how much comes from the regional budget, it should be clear from the start, the Rp 10 trillion may come from provincial budget as much as 8, and the state budget as much as 2, or the other way round," he said. SETKAB.GO.ID 45. Groundbreaking of Syamsudin Noor Airport Banjarmasin Vice President Jusuf Kalla, accompanied by Transportation Minister Ignatius Jonan, did groundbreaking of Syamsudin Noor International Airport Banjarmasin, Monday, May 18, 2015. Corporate Secretary of AP I, Farid Indra Nugraha at the location of groundbreaking, Banjarbaru, South Kalimantan, said airport development aims to improve service to the passengers. According to Jokowi, Papua needs to be built not only physically but both mentally and physically. Building the land of Papua also means building the soul and spirit through sport and the choice of the location of PON 2020 in Papua and it is an early revival of the sport in Indonesia, especially in the eastern region. During the past 2014, Syamsudin Noor Airport has served 3.7 million passengers, whereas the capacity of the airport with an area of 6.600m2 is only 1.3 million passengers. With this development, the terminal's capacity will increase to 10 million passengers per year with a terminal area of 125.000 square meters. 43. Groundbreaking of Toll Road Balikpapan-Samarinda 46. Groundbreaking of Twin Towers MCIT Rudiantara performed groundbreaking of Toll Road Balikpapan-Samarinda on May 20, 2015. On that occasion a number of other activities were also carried out in order to commemorate National Awakening Day. Building Project Director, Michael Lie, said that the building has pocketed certificate of Platinum Grade Green rating that consists of two towers, each of which has 60 floors with a height of 303 meters each. Jokowi did groundbreaking of construction of the twin towers, each of which has a height of 60 floors in Jakarta, Saturday (23/05/2015). The skyscraper that will be named "Indonesia One" is located on Jalan MH Thamrin, Central Jakarta. www.readtpp.com July 2015 15 Special Report 47. Groundbreaking of Pier Additions Phase II at Container Port in Bitung On May 28, 2015 Jokowi did groundbreaking of Pier Additions Phase II at Container Port in Bitung. Bitung Port Development Phase I is estimated to be completed by 2017 with an investment of Rp506,5 billion, which is focused on container loading and unloading facilities. internal cash of PT Pelindo IV of Rp141,5 billion and the utilization of state capital funds (PMN) amounting to Rp365 billion. Corresponding to the road map of Bitung Port development which has been prepared by Pelindo IV, the plan is divided into three stages. The fund source for the port development comes from The first phase is estimated to be completed by 2017 that includes the expansion of the field for stacked containers (container yard / CY) covering an area of 6.5 ha and 500 meter pier extension. Furthermore, the second phase is planned to be executed from 2018 to 2022 with the addition of pier extension of 250 meters, where the pier is designed to form a 90 degree angle and connected to the mainland. 48. Groundbreaking of Lolak Reservoir Jokowi did groundbreaking of giant reservoir in District of Lolak, Bolmong Regency, North Sulawesi, on Thursday (28/05/2015). In addition, during his visit to North Sulawesi with regard to the Gotong Royong Day and the anniversary of the PKK, the President will officially inaugurate several projects, among others, Soekarno Bridge that extends 1,127 meters in the city of Manado and Jalan Soekarno that runs for 17 km in North Minahasa, as well as several other projects. The construction of Lolak Reservoir costs Rp 880 billion from the state budget. Being the largest reservoir in North Sulawesi, it is planned for completion within the next five years and is projected to irrigate rice fields of about 2,200 hectares and will accommodate 16 million cubic meters of water. Head of Work Unit/Project Implementation of of Balai Sungai North Sulawesi Jidon Wantania said that around the reservoir will also be built a micro hydro power plant and become a tourist area. "So, this gigantic dam gives a lot of benefits to people in Bolmong," he said. The dam is the largest in North Sulawesi, because the depth reaches 56 meters and it is a government project in building irrigation that could produce rice for the people of the province. 49. Grounbreaking of Steam Power Plant Batang Steam Power Project (Power Plant) Batang, Central Java, which once stalled, finally shows a bright spot along with the completion of land acquisition matters. Coordinating Minister for maritime Indroyono Susilo said, the project that takes up Rp 40 trillion once had stalled due to the difficulty of land acquisition, but it is now ready for construction to be undertaken within the coming one month. "I thank the Minister of Agrarian and Spatial Planning, Minister of Environment and Forestry, the Regent of Batang, Attorney General, Minister of Energy and Mineral Resources (because land acquisition is completed). This is a breakthrough," said Indroyono, in his office, Wednesday (13/5). With the completion of the acquisition of land, the ground- SETKAB.GO.ID President Jokowi at Groundbreaking of Batang Steam Power (5/13). breaking of power projects with a capacity of 2,000 Megawatts (MW) could be implemented immediately. Deputy III for the Division Coordination of Infrastructure Ridwan Jamaluddin added, groundbreaking will be done in June 2015. 50. Groundbreaking of Toll Road Pemalang-Semarang The government targets that land acquisition for toll road Pemalang - Batang and Batang Semarang can be accelerated so that groundbreaking can soon be done in June 2015. Director of Engineering Directorate General of Highways Ministry of Public Works and Public Housing Subagyo said that at present it has received a letter of approval of the establishment of the two toll roads from the Governor of Central Java. After the completion of the documents at Ditjen Bina Marga, this week all completed documents will be forwarded to the National Land Agency of Central Java. According to him, the land acquisition process is not going to take a long time because the entire measurement process has been done earlier. Furthermore, just waiting for appraisal from BPK by virtue of BPN request to begin the assessment on the land. www.thepresidentpostindonesia.com Edisi Mei 2015 Minggu ke-3 16