Indonesia has a $412 billion plan to rebuild the country

[katarabhumi]

Indonesia plans to build 5,000km of roads in five years
By New Straits Times - November 7, 2019 @ 12:41pm

INDONESIA has announced an ambitious five-year target of building more than 5,000 kilometres of roads across the country.

Focus will be on improving connectivity to seaports, industrial zones, tourist destinations and isolated areas as well as in support of the move to relocate the capital from here to East Kalimantan, according to the Jakarta Post.

Deputy Public Works and Housing Minister Wempi Wetipo said the new roads would comprise 1,500km of toll roads and 2,500km of national roads along with bridge links stretching up to 60km, nationwide.

“The construction of new roads will be focused on supporting disadvantaged regions, industrial zones, tourist destinations, especially the priority tourism projects, as well as to support the new capital city development in East Kalimantan," said Wempi.

He added that the development of new roads and bridges would be supported by modern construction technology to achieve efficiency in cost and time as well as to ensure quality.

The ministry's director general of highways, Sugiyartanto, said the building information modelling (BIM) – which can help make three dimensional models, designs and construction – will be used.

This technology has been used in road development projects in Mandalika, West Nusa Tenggara and the Pansela route.

"With BIM technology, the design will be more actual and real. For example when design a bridge, with this technology we will know how thick the concrete will be, how much steel we need, and much more. Everything can be visualized, so it is easier for us to work on it," Sugiyartanto added.

To date, the government has built new toll roads of about 1,000km, regular roads with a total length of 3,387km and 330 elevated bridges in the last five years.

https://www.nst.com.my/world/region/2019/11/536566/indonesia-plans-build-5000km-roads-five-years

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[jamal18]

Eeeeehhhh, honestly, that's debatable. If you're talking about physical infrastructure, such as roads, buildings, government agencies...etc, than I'd argue that they'd be better of increasing education and r&d spending. Better roads and physical infrastructure will inevitably come with time, but a smarter population is far more valuable for economic development than anything else.

That's the mistake we make in Pakistan, endless 'infrastructure' plans. Industrialisation is the key, with increased revenue from these infrastructure will appear automatically.

 

[Nike]

 

[Nike]

 

[Brainsucker]

That's the mistake we make in Pakistan, endless 'infrastructure' plans. Industrialisation is the key, with increased revenue from these infrastructure will appear automatically.

I don't agree with you. Without connectivity, Industrialization is an impossible task. You can't bring factories to a land far from road or rail or even electricity. And without industrialization, the need of high education is low. In contrary, with infrastructure, industrialization can reach deeper and deeper to the land, reach more traditional villages, give them job and more opportunity to move forward, thus make them embrace better education.

 

[Song Hong]

Indonesia need to industrialized.

My suggestion is Indonesia develop Borneo hydro, then build aluminium smelter. The hydro will supply electricity to the smelter.

Indonesia has lots of Bauxite.

I don't agree with you. Without connectivity, Industrialization is an impossible task. You can't bring factories to a land far from road or rail or even electricity. And without industrialization, the need of high education is low. In contrary, with infrastructure, industrialization can reach deeper and deeper to the land, reach more traditional villages, give them job and more opportunity to move forward, thus make them embrace better education.

 

[antonius123]

That's the mistake we make in Pakistan, endless 'infrastructure' plans. Industrialisation is the key, with increased revenue from these infrastructure will appear automatically.

Industrialization require adequate infrastructure: power generations, roads, ports, gas transportation, etc.

To attract investor both domestic and overseas investors, Indonesia obviously need to provide good infrastructure. No infrastructure - no industry.

 

[Indos]

Indonesia need to industrialized.

My suggestion is Indonesia develop Borneo hydro, then build aluminium smelter. The hydro will supply electricity to the smelter.

Indonesia has lots of Bauxite.

Indonesia has PT INALUM, state owned aluminium producer. The company also owned majority stake of Freeport Indonesia, largest gold mining in the world.

PT INALUM also has Asahan dam that generate electricity for the company operation. The location is in North Sumatra. Yup this company will also make Alumina smelter ( joint project with another state owned company, PT Aneka Tambang (ANTAM))with around 1 billion USD investment. Completion is targeted in 2022.

Asahan Dam

PT INALUM

PT INALUM also supplied raw material for Toyota Indonesia Manufacturing.

The next plan is to make aluminium sheet for aerospace company.

 

[Song Hong]

Aluminium plant needs lots o cheap power. Sumatra has little potential. Indonesia Borneo has about 25 GW of hydro potential.

But Borneo hydro is difficult to develop. You got to build a road that cuts the forest, then up the valley. Indonesia got to ask China to help.

I am happy China is already working with Indonesia on it.

****************
https://www.globalconstructionreview.com/news/china-indonesia-set-18bn-hydro-plan-power-borneo/

https://aluminiuminsider.com/inalum...-annum-aluminium-smelter-in-north-kalimantan/

This development is expected to be completed within four years. Subsequent phases may add five further dams over the next 20 years to create between 9GW and 11GW of installed capacity at an investment cost of almost $18bn, with most of the necessary capital to be supplied by China.

Indonesia has PT INALUM, state owned aluminium producer. The company also owned majority stake of Freeport Indonesia, largest gold mining in the world.

PT INALUM also has Asahan dam that generate electricity for the company operation. The location is in North Sumatra. Yup this company will also make Alumina smelter ( joint project with another state owned company, PT Aneka Tambang (ANTAM))with around 1 billion USD investment. Completion is targeted in 2022.

Asahan Dam

PT INALUM

 

[Indos]

Aluminium plant needs lots o cheap power. Sumatra has little potential. Indonesia Borneo has about 25 GW of hydro potential.

But Borneo hydro is difficult to develop. You got to build a road that cuts the forest, then up the valley. Indonesia got to ask China to help.

I am happy China is already working with Indonesia on it.

****************
https://www.globalconstructionreview.com/news/china-indonesia-set-18bn-hydro-plan-power-borneo/

This development is expected to be completed within four years. Subsequent phases may add five further dams over the next 20 years to create between 9GW and 11GW of installed capacity at an investment cost of almost $18bn, with most of the necessary capital to be supplied by China.

After Indonesia plan to stop exporting nickle about 10 years ago and has been effective since this year, China companies start making many nickle smelter in Indonesia, some of them have already been in operation.

 

[Song Hong]

From Borneo hydro, Indonesia can build HVDC to Java. Again need China help.

Next Indonesia produce too little steel locally given her population, lesser than Holland. Even though it can get steel cheaply from China, Indonesia should build own capabilities.

Indonesia is very near to Australia Pilabra region. She can get iron ore at dirt cheap price.

China has lots of excessive capacity. Perhaps Indonesia should strip few of China steel plants and ship it into Indonesia.

Again need China help.

After Indonesia plan to stop exporting nickle about 10 years ago and has been effective since this year, China companies make many nickle smelter in Indonesia.

 

[Indos]

From Borneo hydro, Indonesia can build HVDC to Java. Again need China help.

Next Indonesia produce too little steel locally given her population, lesser than Holland. Even though it can get steel cheaply from China, Indonesia should build own capabilities.

Indonesia is very near to Australia Pilabra region. She can get iron ore at dirt cheap price.

China has lots of excessive capacity. Perhaps Indonesia should strip few of China steel plants and ship it into Indonesia.

Again need China help.

View attachment 652107

About the steel industries, we are still blessed that the remaining steel companies can still compete with China. Yup, Indonesia has made free trade agreement with Australia, the raw material will be cheaper this time although Indonesia also produce raw material for steel companies.

The strategy of Indonesia to speed up the industrialization beside investing in infrastructure is to ban our raw material starting in 2022. Nickle ban has been expedited and effective since the beginning of this year.

Indonesia to consider expediting export ban on bauxite, others

Sept 12 (Reuters) -

* Indonesia will consider expediting an export ban on minerals such as bauxite, tin, and alumina, among others, subject to the scale of investment, a senior minister said on Thursday.

* This comes after the country last week announced a surprise nickel ore exports ban, two years earlier than planned.

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* Under the current rules, exports of bauxite is allowed till January 11, 2022.

* “Later on, if we already have investors coming in for downstreaming in tin, asphalt, alumina, bauxite, and so on, why not?” Coordinating Maritime Affairs Minister Luhut Pandjaitan told reporters when asked about a timeline.

* According to the minister, talks are going on with several firms who are interested in investing in bauxite processing plants, including with Japanese companies. (Reporting by Wilda Asmarini; editing by Uttaresh.V)

https://www.reuters.com/article/ind...ng-export-ban-on-bauxite-others-idUSL3N2631IS

 

[Nike]

From Borneo hydro, Indonesia can build HVDC to Java. Again need China help.

Next Indonesia produce too little steel locally given her population, lesser than Holland. Even though it can get steel cheaply from China, Indonesia should build own capabilities.

Indonesia is very near to Australia Pilabra region. She can get iron ore at dirt cheap price.

China has lots of excessive capacity. Perhaps Indonesia should strip few of China steel plants and ship it into Indonesia.

Again need China help.

View attachment 652107

Indonesia not focused on crude steel production like Vietnam or other as the market already saturated by large margin, Indonesia steel companies focusing more on refined products like Stainless steel slab and other and just importing crude steel for most of our consumption. And it is not Indonesia not Mastered the production skill needed, but it was the market for crude steel already saturated by the likes of China and India products

Indonesia is second largest stainless stell exporter btw

http://www.worldstopexports.com/top-stainless-steel-exporters-by-country/

 

[Song Hong]

Another area I see lots of advantage is agriculture. Indonesia has too much unused flat land and too much rainwater -- everywhere except Java (all used up though Java is excellent for agriculture).

This is excellent condition for industrial agriculture. Maybe Indonesia should strategically bring in China investment to build agri conglomerates. (I know Indonesia has your own big agri companies)

 

[Indos]

Another area I see lots of advantage is agriculture. Indonesia has too much unused flat land and too much rainwater -- everywhere except Java (all used up though Java is excellent for agriculture).

This is excellent condition for industrial agriculture. Maybe Indonesia should strategically bring in China investment to build agri conglomerates. (I know Indonesia has your own big agri companies)

We also have big plan on the agricultural. Here is the recent plan.

Government to develop 165,000 hectares land in Central Kalimantan for food-estate program

• Mardika Parama
  The Jakarta Post

Jakarta / Thu, June 11, 2020 / 08:32 am

Farmers harvest rice using a new machine in Sleman, Yogyakarta on April 1. President Joko “Jokowi” Widodo has instructed the Public Works and Housing Ministry to expand the government’s food-estate program by developing 165,000 hectares of land in Pulang Pisau regency, Central Kalimantan, into farmland. (JP/Tarko Sudiarno)


President Joko “Jokowi” Widodo has instructed the Public Works and Housing Ministry to expand the government’s food-estate program by developing 165,000 hectares of land in Pulang Pisau regency, Central Kalimantan, into farmland, a senior official has said.

Minister Basuki Hadimulyono said a total of 85,500 ha of land in the area already functioned as farmland so the ministry only needed to clear 79,500 ha of scrubland for the development. The project aims to boost productivity by 2 tons of rice for each ha of land.

“We will start developing the land this year until 2022. This project is our second-highest priority after the development of the National Strategic Tourist Areas [KSPN],” he said during an online video conference on Tuesday.


He further said the land designated for the project was alluvial and not peatland, even though it was previously used in the government’s Peatland Development Project (PLG).

The ministry will require Rp1.05 trillion (US$74.5 million) to build the project’s irrigation system, according to Basuki, and the development project will be carried out in conjunction with the State-Owned Enterprise Ministry through an investment scheme.

“We will handle the irrigation system rehabilitation program on this former PLG land,” he said.

Government data presented by President Joko “Jokowi” Widodo on April 28 showed that over 20 provinces faced shortages of staple foods, such as garlic, sugar, chilis and eggs, making food security one of his administration’s priorities.

However, Agrarian Reform Consortium (KPA) secretary-general Dewi Kartika said the government’s botched agrarian reform program was to blame for the shortages as vast plots of farmland were constantly being encroached on by mining concessions and corporate plantations.

Agrarian reform was among the National Priority Programs pushed by Jokowi’s first-term administration in an effort to better distribute development and improve the quality of people’s lives.

It includes programs that are expected to alleviate poverty in villages, improve the country’s food security and land production, acknowledge ownership rights over land owned by individuals, the state and the general public, including land utilization in the popular interest.

“According to National Land Agency data, our farmland shrank by 650,000 ha in 2018. Much of this was converted to be used by other business sectors such as palm oil, natural resources extraction and infrastructure,” Dwi said in May.

She added that she feared the government’s plan to clear 600,000 ha of peatland in Central Kalimantan would yield the same result as a similar measure taken under former president Soeharto, which ended up leading to crop failures and subsequent food shortages.

https://www.thejakartapost.com/news...ntral-kalimantan-for-food-estate-program.html