MP3EI s Influence on Jabodetabek Metropolitan Priority Area (MPA)
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1 MP3EI s Influence on Jabodetabek Metropolitan Priority Area (MPA) ABDUL KAMARZUKI Assistant Deputy Minister to The Coord. Ministry For Economic Affairs Presented At Workshop on The Study for Efficient and Integrated Transport/Logistic Development in Eastern MPA On 31 October 2013 at Tokyo, Japan
2 OUTLINE MP3EI Target and Strategic Program MP3EI Project : International Hub Jabodetabek Metropolitan Priority Area (MPA) Projects
3 MP3EI TARGET AND STRATEGIC PROGRAM
4 MP3EI Target GDP: USD 700 Billion Income/Capita : USD 3, GDP : USD Tn Income/Capita : USD 14,250-15,500 GDP: Tn Income/Capita : USD 44,500-49,000 Lead Indonesia becoming the 12 th largest economy in the world by 2025 and the 8 th largest economy in the world by 2045 To achieve per capita income by 2025 is USD 14,250-15,500, real economic growth of is expected for the period of with the decrease in the rate of inflation from 6.5% in to 3% in
5 The Projected National GDP Structure 2025 (By Economic Corridor) The expansion means that processing types of economic activities must flourish in many stategic locations outside Java islands so that economic modernization will taking shape in much more balanced fashioned 5
6 Strategic Focus Areas to Boost Regional Development 6
7 MP3EI Project : International Hub
8 Creating An Efficient yet Integrated National Logistic System is The Ultimate Goal 8
9 Coastal Shipping Development Development of this short-distance shipping ports aims to meet the following challenges: 1. The congestion of road-based transportation, especially in the northern coast of Java and eastern coast of Sumatra, is very severe. The current road conditions are poor and prone to frequent accidents. 2. The costs of fuel for transport are notably high, thus, theoretically fuel consumption per unit of goods transported by trucks is higher than one transported by ships (economies of scale). Creating a sea transport (International Hub) system reform that is both comprehensive and integrated by covering four major components, namely: 1. Development of port infrastructure; 2. Increase the fleet of ships; 3. Shipping and port management reforms; 4. Development of human resources for sea transportation sector.
10 Jabodetabek Metropolitan Priority Area (MPA) PROGRAMS
11 Concepts for Development Goals Programs A1. Development of MRT-based New Urban Transport System High Quality of Life Clean Safe Smart Efficient Synergetic Resilient A. Better Urban Environment A2. Development of Road Network in and around Jakarta A3. Promotion of Urban Re-Development A4. Improvement of Water Supply and Sewerage System A5. Solid Waste Treatment A6. Flood Management Growth Inclusive Balanced High value-added Eco- Friendliness Low Carbon Energy Saving Efficient Synergetic Resilient Efficient Synergetic Resilient B. New Growth Sub- Corridor for Jabodetabek MPA C. Multiple Gateway D. Low-Carbon Energy Development Source: MPA Development VISION approved by Steering Committee on 22 September 2011 B1. Development of New Growth Sub-Corridor for Jabodetabek MPA B2. Development of New Academic Research Cluster B3. Development of Road/Railway along New Growth Sub-Corridor for Jabodetabek MPA C1. Development of Cilamaya Port C2. Improvement of Tanjung Priok Port C3.Development of New International Airport C4.Improvement of Soekarno-Hatta International Airport D1.Low-Carbon Power Supply Development D2.Development of Smart Grid 11
12 TARGET EFFECT INDICATOR TO ACHIEVE CONCEPT FOR MPA DEVELOPMENT Public Transportation Target Effect IndicatorR Increase passenger movement by Railway/Bus 27 % to 45 % Share of railway/bus in urbanized area is expanded from 27% (2010) to 45% (2020). Road Urban Development Industrial Estate Water Supply Sewerage Solid Waste Flood Average vehicle speed in the morning peak 7 km/hour to 15 km/hour Accelerate multi-core urban development 4 million people in new urban at Suburban Areas Expedite the industrial estates development 6,800 ha at Suburban Areas Improve piped water service coverage (DKI Jakarta) 54 % to 77% Improve sewerage coverage ratio 2% to 20% Treated/disposed volume 4,500 ton/day to 9,000 ton/day Capacity of discharging flood water to the sea Securing pumping capacity (126 m3/s, 2010) Average vehicle travel speed will be doubled from 7 km/h (2010) to 15 km/h (2020). Reduce 3% of population density of DKI Jakarta, and increase 5% of suburban area High-value-added industries are introduced to suburban areas Piped water supply will be improved from 40.8 m3/s (2010) to 68.3 m3/s (2020). Population of the using sewerage system will be expanded from 0.1 million (2010) to 2 million (2020) people. Treated/disposed rate will be enhanced from 40% (2010) to 60% (2020). Reduce the risk of flooding in line with the Master Plan proposed by PU/DKI Jakarta. Polder and retention pond are provided to secure pumping capacity. Seaport International container cargo capacity 4.9 million TEUs to 9.1 million TEUs Unload 35% of container handling volume from DKI Jakarta (Tj. Priok Port) to new Cilamaya Port. Airport Annual passengers capacity 22 million to 90 million Actual annual passengers have already reached 42 million at SHIA in Power Supply Secure Reserve Margin for Peak Demand More than 30% Secure 30% of reserve margin (Peak Demand/System Capacity) in Java-Bali System.
13 MPA IS AIMED AT REDUCING TRAVEL TIME, SPURRING ECONOMIC GROWTH, AND LIVABLE CITY ENVIROMENT MPA is launched with focus on infrastructure development and enhancement of livelihoods in urban areas The Metropolitan Priority Area (MPA), consists of 45 projects aimed at transforming the metropolitan area (Jabodetabek) into attractive and suitable area for direct investment and industrial development by accelerating infrastructure development MPA is aimed to follow the orientation of MP3EI, which is positioned to encourage the realization of long and medium term National Development Plan MPA focuses in acceleration of multi core urban development especially to address 4 million people in new urban areas at suburban areas. This involves : Improvement of piped water service coverage in DKI Jakarta Improvement of sewerage coverage ratio from 2% into 20% Improvement of treated/disposed volume of waste from 4,500 tons/day into 9,000 tons/day Improvement of capacity to discharge flood water to the sea from initial pumping capacity of 60 m3/s into 126 m3/s Securing electricity reserve margin for peak demand In addition, MPA also targets enhancement of Mass Urban Transport and better Road Networks, which includes: Increase passenger movement by public transportation : railway & bus through Mass Transportation Network Increase average speed of driving and access to residential areas 13
14 HIGHLIGHTS OF MPA FLAGSHIP AND FAST TRACK PROJECT PROGRESS TO DATE Finance Commitment Project Name 1. (FG) (FTP) Jakarta MRT (N S I (I)) 2. (FTP) North Kalibaru 3. (FTP) Smart Community 4. (FTP) East Pump Station at Pluit 5. (FTP) Java Sumatera HVDC 1. (FG) Sewerage system in DKI 2. (FTP) JABODETABEK Railways Project Status Formal Finance Requests have been submitted before May 2013 Formal Finance Requests have been submitted after May (FG) (FTP) Jakarta MRT (N S (II)) 2. (FG) (FTP) Jakarta MRT (E W (E/S)) 3. (FG) (FTP) Cilamaya New Port Development (E/S) 4. (FTP) Java Sumatera HVDC (II) Formal Finance Requests are currently being accelerated by GoI Commencement of Works 1. (FTP) North Kalibaru 2. (FTP) East Pump Station at Pluit 1. (FG) (FTP) Jakarta (N S I (I)) 2. (FTP) Smart Community Initial work started before May 2013 Initial work started after May
15 GOI IS COMMITTED TO MOVE FORWARD WITH THE MULTIPLE PORT DEVELOPMENT SCENARIO Good end-to-end transport time Cilamaya provides attractive access to Jakarta East industrial user, while Kalibaru absorbs additional Jakarta West user demand Reduced traffic flow into Jakarta Traffic congestion could be mitigated because industrial trucks from Jakarta East will not flow into central Jakarta Diversified port construction completion risk Concurrent development will diversify port capacity shortage risk Competitive port services A healthy competition between Kalibaru and Cilamaya will allow for enhanced port services (including lower tariff) to industrial user Availability of alternative during crisis Able to provide alternative sea transport even if one port location function is paralyzed due to vessel accident or road flooding Development of Cilamaya Port supports the multiple port development scenario and enables the achievement of mentioned benefits 15
16 THANK YOU
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