The Government of Indonesia receives grants to support the national development program and deal with the impact of national disasters, as well as carry out humanitarian assistance. Regarding Government Regulation No. 10/2011 on the Procedure for the Procurement of Foreign Loans and Grants, the Ministry for National Development Planning/The Leader of the National Development Planning Agency (Bappenas) has the mandate to coordinate the planning process for projects financed by Grants. DRKH 2015, which was issued by Decree of the Minister of National Development Planning/National Development Planning Agency Indicators Number KEP.96/ M.PPN/HK/06/2015, consists of 7 projects proposed by ministries/agencies in total. grant amount of 54.7 million USD.
The preparation of this document was entrusted to the Ministry of National Development Planning/National Development Planning Agency (Bappenas). In accordance with the provisions of the RS Government Regulation no. 10/2011, donations are divided into direct and planned, and according to sources into domestic and foreign. Grants that are part of external lending activities are not included in DRKH 2015, but are shown in the external borrowing planning document.
DRKH 2015 consists of 7 proposed projects of ministries/agencies with a total grant amount of USD 54.7 million. A recapitulation of the proposed projects in DRKH 2015 according to the ministries/agencies that proposed the projects is shown in Table 1. The list of planned grant projects 2015 is compiled in accordance with the principles and policies of the use of grant funds, which are stated in the Plan of use of grant funds or Rencana Pemanfaatan Hibah (RPH as stipulated in the Decree of the Minister of National Development Planning/Head of Bappenas number KEP.56/M.PPN/.
The following table (Table 2) is the list of projects in the DRKH 2015 as laid down in the Decree of the Minister of National Development Planning/Head of the National Planning Board for Development Planning, number KEP.96/M.PPN/HK/06/2015 , while the summary for the respective projects (project digest) is presented in Chapter 2.
Project Digest
The Coordinating Ministry of Economic Affairs/
- Project Title : Stepping Up Investments for Growth Acceleration Program (SIGAP)
- Background and Justification
- Scope of Work
- Priority
- Output and Outcome a. Output
- Indicative Funding Source Indicative Source
- Disbursement Plan
- Project Title : Technical Assistance for Sustainable and Inclusive Energy Program
- Executing Agency : Ministry of Forestry 3. Implementing
- Indicative Funding Source
- Project Cost
Achieving higher levels of investment will require the government to increase private and public investment. Despite the rapid growth inflow of foreign direct investment (FDI), 60% of investment is concentrated on the main island of Java. The main constraints on budget implementation in the infrastructure sector are a complicated budget preparation process, a lingering hope that the program's impact will be increased investment as shared in GDP.
The Technical Assistance (TA) will assist the Investment Coordinating Board (BKPM) to implement policy actions that will further facilitate the ease of doing business and to conduct a diagnostic and technical review of the government's supply-side tax policies. TA will assist the Ministry of Finance to develop the Regional Infrastructure Development Fund (RIDF) and will also assist the government and other relevant stakeholders Indonesia Financial Services Authority (OJK) and Indonesia Stock Exchange to introduce a project bond. The TA will assist the government in improving the e-government procurement system by ensuring that its components are integrated under one entity.
Third, the TA will assist the government in improving the regulatory and legal framework of procurement by developing regulatory and legal instruments and implementing guidelines. A Study on Income Tax Allowance as an Input in Drafting Government Regulation on Tax Allowance;. A study on the mechanism of the other innovative financing mechanism for regional government, including through Islamic financial for local infrastructure and consultation with the stakeholders at the central and regional level;.
The biggest problem in the electricity sector is the under-target energy system expansion efforts, while transmission and distribution also suffer from infrastructure shortages and underinvestment. Long delays in the completion of projects under Fast-Track Programs I and II and continued delays in major energy projects in the country indicate that these objectives may be difficult to achieve in a 'business as usual' scenario. Rural electrification efforts currently still lack a comprehensive regulatory framework, a national program with the required roadmap that already takes into account field conditions, and institutional strengthening and optimization of the necessary financing sources.
If the problems in rural electrification are not resolved, the government's goal of providing access to electricity to 90% of the country's people by 2020 may not be achieved. Based on the above analysis, some emphasis should be placed on efforts to overcome persistent challenges in the energy sector, provide possible political solutions to the problems, and prepare plans to implement the necessary steps. Therefore, the government needs to formulate policies, work plans and timelines to meet the challenges in the energy sector.
However, sustained and comprehensive efforts are needed to translate national development goals into tangible results in the medium term. This project involves other agencies such as the Ministry of Energy and Mineral Resources, the Ministry of Finance, the Ministry of State Development Planning, Bappenas, the Ministry of State-Owned Enterprises, the National Energy Council and the State Electricity Company.
Ministry of Forestry/
- Project Title : Biodiversity Conservation and Climate Protection in the Gunung Leuser
- Project Title : Enhancing Protected Area System in Sulawesi (E-PASS) for Biodiversity Conservation
- Implementing Agency : Directorate General of Forest Protection and Nature Conservation, Ministry of Forestry
- Location : Sulawesi Island 6. Background and Justification
Project Title: Biodiversity Conservation and Climate Protection in the Gunung Leuser Conservancy in the Gunung Leuser Ecosystem. As one of the largest carbon sinks in Asia, the Gunung Leuser ecosystem in the northern part of Sumatera Island is a tropical rainforest with an area of about 2.6 million hectares. The area is known for its biodiversity and is probably the last refuge for Sumatran orangutans, elephants, rhinoceroses and tigers – the only place in the world where these species are found together.
The carbon in the standing biomass of the Leuser forest has been estimated at 2.5 billion tons. Furthermore, the Gunung Leuser ecosystem originally contains three freshwater peat swamps (Singkil, Kluet and Tripa) with a total area of about 160,000 hectares, which themselves act as highly efficient carbon sinks. For the sheer size of the Gunung Leuser ecosystem, it – not surprisingly – faces multiple threats.
Illegal logging, conversion of forests to agricultural land for palm oil plantations, drainage of wetlands and infrastructure and new settlements are the main threats that threaten the health of the ecosystem to contribute to the conservation of biodiversity and climate protection in the area, thereby significantly stabilizing biodiversity and net of CO2 emissions in Indonesia. The project will focus on the Biodiversity and Community Development Program and support additional biodiversity conservation measures. The purpose of the project is to support the sustainable conservation management of part of the Gunung Leuser ecosystem.
This will contribute to the conservation of biodiversity and climate protection in the Gunung Leuser ecosystem and thus significantly stabilize Indonesia's biodiversity and net CO2 emissions. Project Title: Enhancing the Sulawesi Protected Area System (E-PASS) for Biodiversity Conservation (E-PASS) for Biodiversity Conservation 2. Implementing Agency: General Directorate of Forest Protection and Nature Conservation, Ministry of Forests, Nature Conservation, Ministry of Forests.
Protection and management of existing protected areas (PA) have not been sufficient to prevent extensive encroachment and damage within PA boundaries, while natural areas outside PA boundaries have deteriorated even more rapidly as a result of logging, redevelopment, mining, fire and hunt. The long-term solution to conserving Sulawesi's biodiversity is an improved PA system that is well integrated into its surrounding landscape, with the capacity and financial resources to protect biodiversity from existing and future threats. The proposed objective is to strengthen the effectiveness and economic sustainability of Sulawesi's PA system to respond to existing threats to globally significant biodiversity.
Ministry of Agriculture/
Implementing Agency : Directorate General of Plantations, Ministry of Agriculture
Location : Riau, South Sumatra, and West Kalimantan Province
Improve the capacity of palm oil smallholders and preserve the environment Indonesia's sustainable palm oil system.
Ministry of Finance/
Location : Nationwide 6. Background and Justification
An inclusive green economy aims to boost growth, employment, environmental improvement, poverty reduction and social equality by shifting investments towards clean and efficient technologies, natural capital and social infrastructure while ensuring social inclusiveness. Climate Change Mitigation Action Plan (RAN/RAD-GRK), Climate Change Adaptation Action Plan (RAN-API) and Strategic Action Plan for Biodiversity in Indonesia (IBSAP). Therefore, based on the above, budgetary instruments and performance-based budgeting are needed to track budgets, monitor expenditure and budget planning and strengthen the quality implementation of environmental activities, especially in the areas of climate change mitigation, adaptation and biodiversity program.
Support to the Ministry of Finance in the preparation of fiscal instruments and performance-based budgeting developed to strengthen the quality implementation of environmental activities (climate change mitigation, climate change adaptation and biodiversity) at the national and sub-national level;. Strengthening capacity and systems for piloted line ministries and sub-national governments to implement environmental fiscal instruments and performance-based budgeting that includes additional benefits for poverty reduction.
Output and Outcome a. Output
Ministry of Transportation/
Project Title : Implementation of the Sustainable Urban Transport Program Indonesia (NAMA SUTRI)
Developing an effective financing mechanism to co-finance the implementation of public transport projects and transport demand management; Implementation of demonstration projects in up to 5 cities to monitor the effects achieved and increase their transparency; Establish a measurement, reporting and verification system that initiates the systematic monitoring of urban transport development, which is urgently needed for effective decision-making.
