Reflecting Indonesia’s infrastructure development: A call to reinvent sustainable growth
Indonesian President Joko “Jokowi” Widodo, has been known for his legacy on infrastructure development. It seems to further continue following his succeed to re-elected as Indonesian president for the second term.
Jokowi have been progressively targeting infrastructure development predominantly to connect remote-urban area. His slogan ‘Indonesian centric’ is to counter current believed, stated that Indonesian development is ‘Javanese centric’. Even more, one of the reasons of his intention to move the capital city is to ensure that Indonesia development would not centralize in Java.
During the first period he was able to realized many big infrastructure projects such as national road, toll road, power plant, port, airport and so forth. In addition, since 2015 Jokowi development project has been built 3.387 Km road, 782 Km toll road, 55 dam, 41.063 m bridges, and many more. The development remained to continue in Jokowi second terms, considering 2020 budget ceiling allocation for Ministry of Public Works and Public Housing (PUPR) that reached over Rp120,21 trillion for infrastructure, included Rp42,95 trillion for connectivity.
Nevertheless, the progress of infrastructure development generates concern. Jokowi’s development program tends to have a negative impact on the environment.
Indonesia’s projection
According to United Nations (UN), sustainable development has been defined as development that meets the needs of present without compromising the ability of future generations to meet their own needs. UN also stressed that sustainability consists of three elements that are economic growth, social inclusion and environmental protection. Conversely, Jokowi administration tends to exploit economic growth with less considering social and environmental responsibility.
Indonesian and foremost the government is in endeavor to achieve what the current projection shows that Indonesia would be in the sixth biggest economy by 2030. It was understandable given its large marketplace and the bonus demography that would soon upscale national productivity.
Many projects have been initiated to prepare the upcoming economic boom in Indonesia. Ensuring regional connectivity is an important one for the government which, to a larger extent, realized through an infrastructure development program. The programs were designated to boost logistics distribution, so that will enact price stability and economic equality throughout Indonesia.
Indeed, as Calderon and Serven was stated that infrastructure development has a significant impact on economic growth. Also, World Economic Forum emphasizes the importance of infrastructure development to upgrade state competitiveness. Considering its impact on economic growth, many argued that investing in infrastructure will ended up to national prosperity.
Although, transitional policy in economy is required in order to conform with global economic regime, that has been campaigning on sustainable growth. Neglecting three core elements of sustainability can causing to the widen gap of economy for the poorer, so that the poorer might never see what the so-called as “economic growth”. Therefore, government vision to injecting national economy through infrastructure development should be in conjunction with the idea of sustainability.
Promoting sustainable growth
Indonesia is the sixth-largest emitter of greenhouse gases (GHG) in the world, which contributed to 1.7% of global emissions. Energy sector dominates Indonesia GHG production that attributed to 1.12% of global emissions. Such facts had pushed the government to committed in reducing national GHG. In its Nationally Determined Contribution (NDC) submitted to UNFCCC, Indonesia committed to reduce 29% of its GHG emissions below its business-as-usual (BAU), and up to 41% with international assistance by 2030.
In response, World Resource Institute (WRI) identified that Indonesian efforts to boost its economic growth potentially conflicted with its NDC commitment. Given that Indonesia national GHG emissions dominated by land-used and energy sector, which contributed to 80% of total Indonesian GHG emissions. Whereas the Indonesian government has a target to optimize the energy sector to boost its economy.
In many occasions, Jokowi expressed his intention to upscale national growth up to 6% each year, likewise any other developing countries. But putting aside socio-environment aspect does not seems like a wise policy. Indeed, seeking for solution to integrate economic growth and sustainability has never been an easy policy. It requiring fully commitment, yet might not have an effect on electoral vote nor political legitimacy.
However, people surely have a strong reason to glorified environmental activism instead of building a toll road. Peoples demanding participatory development and environmental protection for their livelihood.
The Indonesian Forum for Environment (Walhi) in 2017 assessed that rapid target to finished development project resulted in ignoring the preparation of Analysis on Environmental Impact (AMDAL), or using it only as a form of formalities procedure. Walhi also criticized government approach for neglecting people’s participatory on development projects. Take, for example, what happened in Kertajati Airport construction that causing many farmers lose their job due to their rice fields are obliged to switch function.
Most of the aforementioned issues are demanding to be addressed in a short term. In so doing, the political recognition to applied sustainable development in infrastructure sectors are urgently needed. Jokowi’s second term development need to have a tangible action to integrate infrastructure projects with environmental conservancy, and involves public participatory through human security approach.
Moreover, Given its 36% of infrastructure development were funded by the private sector, the multi-sectoral approach to deliberate collaboration among the government, civil society and private sector are notable, in order to achieve a policy outcome that promote sustainable financing for Indonesian development.