KADIN INDONESIA

Indonesian Chamber of Commerce and Industry

KADIN INDONESIA

Indonesian Chamber of Commerce and Industry

Plan to Accelerate Strategic Programmes, Kadin Holds Rakernas on PUPR and Infrastructure

Kadin Indonesia always supports the government in its efforts to increase national economic growth, including by maintaining the quality of physical infrastructure which is one of the main pillars of national development in order to ensure the creation of resilient, independent and sustainable national economic growth. The implementation of various construction sector programmes and national strategic infrastructure has been launched and in its implementation and completion continues to strive towards meeting the indicators of on time, on quality, on cost, on safety and on guarding the environment and the public.

Deputy Chairperson of Kadin for PUPR and Infrastructure, Insannul Kamil said, activities to realise National Strategic Infrastructure are expected to have a significant impact on Indonesia's economic stability both nationally, regionally and globally. The National Strategic Infrastructure that has been built is spread across various regions of Indonesia and consists of various sectors ranging from the construction industry sector, transportation, energy and new renewable energy technology, food, plantations, and even the tourism sector.

"It is certain that almost all elements in the development and realisation of Indonesia's economic stability cannot be separated from the elements of green and sustainable construction and infrastructure preparation activities," said Insannul in Semarang (31/8/2023).

According to him, the governance of national strategic projects is carried out with the main priority on connectivity between infrastructures and/or the development of economic activity centres to encourage the acceleration of regional-based economic growth by taking into account regional development contained in the National Development Planning Strategic Plan.

As is known, National Strategic Infrastructure financing can be sourced from the State Budget (APBN), Regional Budget (APBD) and other legal financing in accordance with statutory provisions, such as Government and Business Entity Cooperation (PPP).

National Strategic Infrastructure Financing sourced from other legal financing is carried out by taking into account technical integration with the master plan in the sector concerned, economic and financial feasibility and financial capacity of business entities in financing the implementation of the provision of national strategic infrastructure, as well as in the event that the business entity acts as the initiator or gets an assignment from the Government.

"To be able to ensure the implementation of the expected national strategic infrastructure, it is very necessary to have a strong and competitive Construction Sector Business Entity with adequate business capabilities to solve these challenges supported by competent Construction Workers as implementers of infrastructure development activities," said Insannul.

He said it is necessary to identify the fundamental problems that are a challenge for Kadin Indonesia as a government partner, especially in the fields of Public Works, Public Housing (PUPR) and Infrastructure to play an active, progressive and contributive role in the implementation of National Strategic Infrastructure development.

Furthermore, Insannul mentioned several challenges that need to be studied in depth and found solutions including how efforts need to be made by National Construction Sector Business Entities, especially Small and Medium Enterprises in order to participate more in the National Development process that prioritises the form of green and sustainable infrastructure, then regarding efforts that must be made to increase the capacity and ability of National Construction Sector Business Entities in order to carry out construction activities effectively, efficiently and sustainably.

"Another challenge is how to protect and ensure business certainty for construction entrepreneurs in facing a dynamic business climate and increasingly competitive business competition, and how to improve the competence of the Construction Workforce to be able to carry out the implementation of quality, green and sustainable construction work," he said.

Based on these main points, he continued, KADIN Indonesia in the PUPR and Infrastructure Sector plans to accelerate strategic programmes that will be a solution to these challenges.

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KADIN INDONESIA

Indonesian Chamber of Commerce and Industry