News - 15 Downstream Megaprojects to be Implemented This Year, With or Without Foreign Investment

15 Downstream Megaprojects to be Implemented This Year, With or Without Foreign Investment

Apr, 09 2025

BOGOR, investor.id – President Prabowo Subianto revealed that the government is committed to continuing the downstreaming program initiated by the 7th President of the Republic of Indonesia, Joko Widodo. A total of 15 megaprojects will begin in 2025 with a jumbo value.

“The program initiated by Mr. Jokowi, we will continue our downstreaming, we will realize it. We will start this year. This year, at least 15 projects, megaprojects worth billions of dollars,” said Prabowo in his remarks at the 17th Anniversary of the Gerindra Party at the Sentul International Convention Center (SICC), Bogor, Saturday, (2/15/2025).

Prabowo stated that the 15 megaprojects will be carried out without begging for investment from foreigners. However, the government is still open to opportunities if foreign investors are interested.

“We will start without begging for investment from abroad. We will realize Bung Karno's ideals: standing on our own two feet. We will not beg,” he said.

"There are those who come from outside, we say, please. You want to enter Indonesia, we are open. But we will not beg. We will rise with our own strength," he added.

On the other hand, the government will launch an Indonesian investment management agency called Daya Anagata Nusantara (Danantara) on February 24, 2025.

"On February 24, nine days from now, we will launch an Indonesian investment fund that I named Danantara," he added.

Investment Value of IDR 2,000 T

Finally, Prabowo asked former presidents, Joko Widodo, Susilo Bambang Yudhoyono (SBY), Megawati Soekarnoputri and religious organizations to participate in supervising Danantara because it has state assets.

"And we must guard this together. Therefore, I ask all presidents before me to be willing to participate as supervisors in this fund. I also think, if necessary, the NU leadership, Muhammadiyah leadership, perhaps leaders from KWI and some others, also help supervise so that this is the people's money, this is the money of our children and grandchildren," he concluded.

Previously, the Indonesian government through the Task Force for the Acceleration of Downstreaming and National Energy Resilience had mapped out a number of downstream projects. These projects will soon be offered to a number of investors.

Deputy Minister of Energy and Mineral Resources (ESDM) Yuliot Tanjung revealed that there are approximately 35 downstream projects from a number of sectors. Meanwhile, the value of the project is approximately US$ 123.8 billion or around Rp 2,012 trillion (assuming Rp 16,260 per US dollar).

"The Task Force has identified and prepared 35 projects with a value of around US$ 123.8 billion. It is still being prepared and consulted with ministries/institutions," said Yuliot when met at the ESDM Ministry Office, Jakarta, Friday (2/14/2025).

[SOURCE]

Here are 5 provinces that have promising investment potential in 2024, which ones are they?

Jakarta – Grant Thornton Indonesia in its report Unraveling Indonesia Prospects in 2024 stated that there are five provinces that will be the center of attention in 2024. The five provinces include North Maluku, Central Sulawesi, East Kalimantan, West Java and Riau. Grant Thornton Indonesia CEO Johanna Gani said that each province has a unique and promising economic landscape, and offers a variety of investment opportunities in the country. Joanna added that this report also provides an in-depth picture of economic conditions amidst global uncertainty and highlights the promising investment potential in the five leading provinces above. "Even though President Joko Widodo's change of leadership has created a wait-and-see attitude among some investors, Indonesia is still able to attract the interest of foreign investors. "Government infrastructure projects, development of the Indonesian Capital City (IKN) and consistent business-friendly policies," said Johanna in a press conference, Wednesday 27 March 2024. In the report, North Maluku was named as the province with the largest investment interest. The reason is, North Maluku is the largest nickel producer in Indonesia. North Maluku also recorded the fastest growth in Indonesia boasting gross domestic product (GDP) growth of 20.5 percent in 2023 driven by the nickel industry. “Investment in nickel mining and related manufacturing offers access to a rapidly growing market driven by global EV (electric vehicle) demand. Coupled with green initiatives, the market also offers a long-term sustainability commitment,” he explained. Then, Central Sulawesi is also another source of nickel. As the highest recipient of FDI in Indonesia, Central Sulawesi offers attractive opportunities for sustainable growth for investors seeking exposure to Indonesia's dynamic nickel landscape. East Kalimantan, is said to be a province that can offer double profits for investors in 2024. Its economy is strong, driven by mining, manufacturing and natural resources. "Now, transformational IKN projects add unprecedented potential, attracting investment in infrastructure, environmentally friendly technology and others," he said. Meanwhile, West Java, which is the manufacturing center in Indonesia, offers investors a proven track record and extraordinary electric vehicle potential. "West Java has become a major competitor and a manufacturing center accounting for 42.9 percent of GDP. West Java now also has rapidly growing electric vehicle battery production," added Johanna. Finally, Riau offers fertile ground for investors looking for sustainable profits in the agribusiness sector. As the largest CPO producer in the country, producing 20 percent of national production, Riau presents unique opportunities in processing palm oil and downstreaming its derivative products. “This growing sector, as well as a diversified economy in the fields of agriculture and mining. "Riau promises stable growth with projected GDP growth of 4.0-4.8 percent in 2024," he concluded. (*) (SOURCE)

Apr, 01 2024

Coordinating Minister Luhut to Lead a Follow-up Meeting on TPPAS Legoknangka Groundbreaking

BANDUNG - The West Java Provincial Government continues to rush to realize the groundbreaking of TPPAS Legoknangka, Bandung Regency. After the cooperation agreement with PT Jabar Enviromental Solutions (JES) in the management of TPPAS Regional Legoknangka last May, the Provincial Government together with the Coordinating Ministry for Maritime Affairs and Investment began discussing technical steps. Pj Jabar Governor Bey Machmudin said there will be a meeting with Coordinating Minister for Marvest Luhut Binsar Pandjaitan regarding Legoknangka. "It will be discussed, tomorrow [Saturday] Mr. Luhut is here. I will discuss how," he said at Gedung Sate, Bandung, Tuesday (6/8/2024). This meeting also dismissed the news that President Jokowi would carry out Legoknangka groundbreaking in the near future. According to him, the construction of Legoknangka must be mature so that after the groundbreaking it does not stall. "Because groundbreaking according to our understanding, there is already direct development. Don't let the construction stop just because there is a president that day," he said. "So we discussed it with Mr. Luhut first, Saturday we will come here," he said. Previously, Bey Machmudin said the provincial government as the Person in Charge of the Cooperation Project (PJPK) was committed to managing regional waste in the Bandung Basin by accelerating the operation of the Legoknangka Regional TPPAS. The signing of the agreement with PT JES marks an important milestone in that commitment. Under the agreement, PT JES is obliged to maintain a debt-to-equity ratio of at least 80:20. The agreement also stipulates a concession period of 20 years as of the Commercial Operation Date (COD), which is expected to begin in February 2029. Included in the signed cooperation, the fulfillment of transaction documents in December 2024 and commissioning tests scheduled for August 2028. The agreement with PT JES will be complemented by a commitment with PT Penjaminan Infrastruktur Indonesia. "The Legoknangka Regional TPPAS project is proof of our commitment to a greener and cleaner West Java. This collaboration will pave the way for advanced waste management and sustainable development in Greater Bandung," he said. The Legoknangka Regional TPPAS will be built on 20 hectares of land in Nagreg District, Bandung Regency. TPPAS Legoknangka will accommodate waste in Greater Bandung, namely Bandung City, Bandung Regency, West Bandung Regency, Cimahi City, plus Sumedang Regency. TPPAS Regional Legoknangka is designed to process waste utilizing advanced technology to be converted into electrical energy. TPPAS Regional Legoknangka will focus on waste acceptance ratios, environmental preservation targets, and efficient waste processing cycles. The Legoknangka Regional TPPAS is expected to significantly reduce the environmental impact of waste in the Bandung Basin while providing reliable electrical energy. However, reduction efforts at the household level still need to be carried out by the community with support from district and city governments. The population of the Greater Bandung metropolitan area continues to increase and is directly proportional to the increase in waste volume. Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan hopes that the infrastructure work of the Legoknangka Regional TPPAS project can be accelerated while still observing good results so that it can have a positive impact on the environment. "I hope the completion of the infrastructure can run smoothly with good results because it is very important (indirectly) for the cleanliness of the Citarum River water," he said. SOURCE

Aug, 07 2024

Finally West Java Will Have an Inner-City Toll Road Worth Rp8.3 Trillion, This is the Route Leak!

LENGKONG, AYOBANDUNG.COM - West Java Province will finally have an inner-city toll road soon. It is known, the inner-city toll road that will soon be owned by West Java Province is precisely in Bandung. The toll road which is planned to have a length of about 27.3 kilometers is called the Bandung Inner City Toll Road or Bandung Intra Urban Toll Road (BIUTR). The Bandung Inner City Toll Road was built with a fantastic investment cost of Rp8.3 trillion. Swallowing investment costs of up to Rp8.3 trillion, this toll road is said to be a solution in solving the congestion problem in the city of Bandung because its route will cross several points of the city center. Reportedly, the route of this toll road is Pasteur Toll Road - Jalan Junjunan - Flyover Pasirkaliki - Flyover Pasupati - Gasibu - Jalan Surapati - Junction Pusdai - Jalan PHH Mustofa - Junction Ujungberung - Cibiru - Junction Cileunyi. The Rp8.3 trillion Bandung Inner City Toll Road is estimated to be able to accommodate as many as 45,000 vehicles per day. For information, the construction of the Bandung Inner City Toll Road was stalled for 17 years. The stalled construction of the 27.3-kilometer toll road was due to obstacles in land acquisition. Having stalled for 17 years, the construction of the Bandung Inner City Toll Road was then resumed in 2024. In fact, the Bandung Inner City Toll Road or Bandung Intra Urban Toll Road (BIUTR) is said to have been included in one of the National Strategic Projects (PSN). Reporting from the jabarprov.go.id page, Basuki Hadimuljono as the Minister of PUPR revealed that the PUPR Ministry is committed to accelerating the implementation of this toll road construction in 2024. SOURCE SUMBER

Sep, 02 2024

West Java Provincial Government is Looking for Investments That Can Have a Direct Impact on Reducing Unemployment and Poverty

PRFMNEWS - The West Java Provincial Government (Pemprov Jabar) has stated its commitment to continue looking for investments that can have a direct impact on reducing unemployment and poverty. West Java Regional Secretary, Herman Suryatman stated that investment in West Java must be inclusive. This means that it has a direct impact on society, especially to overcome the problems of unemployment and poverty. Herman explained that currently West Java is the province with the highest investment in Indonesia, reaching IDR 210.6 trillion. This figure is the investment realization in 2023 last year. "Of course we hope that we will continue to maintain this investment, especially not exclusive, but inclusive investment, which has a direct impact on reducing unemployment and poverty," he explained at the Coordination Meeting for the Preparation of the 2024 Strategic Investment Downstream Study in West Java Province, which was held in Bandung City , Thursday 4 July 2024. Herman continued, one of the West Java Provincial Government's strategic steps to make this happen is by downstreaming existing investments in West Java. "One of the strategies in this investment is to carry out downstream strategic investments, one of which is in the oil and gas sector," he said. Herman added, the investment downstream strategy has been implemented long ago by the central government, and the West Java Provincial Government itself will follow these steps and is committed to becoming the leading province in carrying out downstreaming. "The end is how the people of West Java prosper. Because investment is really only a target, the main target is making our country strong, making West Java strong, advanced, branched, which is marked by a prosperous society," he concluded. (SOURCE)

Jul, 08 2024

Greater Bandung, Bandung City Government is Optimistic to Achieve Investment Target of IDR 7.2 Trillion

INILAHKORAN, Bandung - The Bandung City Government continues to boost economic growth. One of them is by attracting investment interest in the city of Bandung. In fact, to make it easier for investors to carry out activities and make investments, the Bandung City Government issued two special regional regulations, namely Regional Regulation Number 5/2022 concerning Spatial Planning and Regional Regulation Number 4/2022 concerning the Implementation of Capital Investment. "The Bandung City Regional Spatial Planning Regulation is the most important platform for providing investment certainty. Around December 2023 or January 2024, a detailed plan for the spatial planning regional regulation can be immediately established. This is the main means for the Bandung City Government to provide permits," said the Acting Mayor of Bandung. Bambang Tirtoyuliono, Tuesday 5 December 2023. According to him, certainty regarding regulations, incentives and disincentives provided by the Bandung City Government supports investment certainty. "Apart from that, there are 12 investment projects that we are offering to potential investors. Through this program we hope to increase investment interest in the city of Bandung. The value is around IDR 6 trillion. We are optimistic that the target of IDR 7.25 trillion can be achieved," he said. He added that the impact of growing investment in the city of Bandung has had a huge impact on the human development index (HDI). In 2022, the HDI in Bandung City will reach a value of 82.5. In 2023 the target is 83.05. Then, economic growth in the city of Bandung in 2022 will reach 5.41 percent. In 2023 the target is to reach 5.70 percent. "There are three HDI indicators, namely health, economy and education. I am optimistic about the results of our investment value and inflation conditions this year. In November, inflation in Bandung City was the lowest. This is the result of collaboration between all of us. This is one of the investment opportunity variables, " he said. Apart from that, with the increase in HDI and economic growth, Bambang said, more and more workers in Bandung City could be absorbed. This is a source to support investment in Bandung City. Meanwhile, Head of Bandung City DPMPTSP Ronny Ahmad Nurudin explained that BIS is an annual routine agenda to promote investment in Bandung City. BIS's main focus this year is to create a higher quality and more sustainable urban environment. Realized investment value in 2022 reached IDR 7.79 trillion from the target of IDR 6.65 trillion or 117.14 percent achieved. Meanwhile, in the third quarter of 2023, the realization reached IDR 6.3 trillion from the target of IDR 7.25 trillion or 87.12 percent achieved. Apart from that, DPMPTSP also gave appreciation to a number of foreign and domestic companies and stakeholders who contributed positively to the economy of investment projects in the city of Bandung. His party also gave appreciation to the three sub-districts which have the highest number of business identification numbers (NIB) through the Sakedap service (a platform for facilitating licensing). "In Sundanese it means a moment. So, within 10 minutes the NIB can be issued to MSME players," said Ronny Ahmad Nurudin. He added that the number of NIBs issued through the Sakedap service during 2023 was 1,569. With a total of 33,961 NIBs published from January-November 2023. So, in total since the implementation of the risk-based OSS in 2021, 73,881 NIBs have been issued "This achievement received appreciation from the West Java Provincial Government as the city with the most published NIBs," he said. Apart from that, the city of Bandung also became a corruption-free area (WBK) in 2019. Then, it was upgraded to a clean bureaucracy serving area (WBBM). "Only Bandung City has received this title. We also received an award as the organizer of the MPP in the Excellent category. Even though the Bandung City MPP is only one year old, it was inaugurated on August 23 2023," he said. In the BIS 2023 event, there are six investment categories that received appreciation. This category was won by several companies and stakeholders, including: 1. Foreign investment categories with the greatest level of compliance:- Kereta Cepat Indonesia China- PT Shell Indonesia - PT Mitshubishi Tanabe Farma Indonesia 2. Medium and large business investment categories with the greatest level of compliance:- PT Indisi- PT Mahkota Permata Perdana- PT Medikaloka Arcamanik 3. Small business domestic investment with the greatest level of compliance:- PT Asia Vaporindo Berjaya- PT Indosal Jaya Mandiri- PT Tanjung Cemerlang Shipping (SOURCE)

Dec, 08 2023

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