Record attendance for Indonesia Infrastructure Week
Record attendance and support for Indonesia Infrastructure Week 2015
13,620 participants over three days and 30% of exhibition rebooked for 2016
Opened by Indonesia’s Vice President, Jusuf Kalla, on 4 November, Indonesia Infrastructure Week (IIW) went on to achieve record attendance, extensive media attention and an impressive amount of business concluded over the three days at the Jakarta Convention Center.
At the Opening Ceremony, the Vice President, was symbolically presented with a book titled “It’s time to be heard” (Saatnya Didengar), containing the results of an infrastructure survey among 4,500 Indonesians across the country. It was a poignant reminder that infrastructure remains a pivotal point for the economy and the future of Indonesia.
“Every Indonesian needs good infrastructure and I project that the government will allocate another IDR 50 to 100 trillion on top the current IDR 100 trilion investment to meet the demand,” the Vice President stated to more than 1,500 delegates at the Opening Ceremony of IIW, including: Basuki Hadimuljono, Minister of Public Works and Housing; Rudiantara, Minister of Communications and Informatics; and Suryo Bambang Sulisto, Chairman of Indonesia Chamber of Commerce and Industry (KADIN Indonesia)
This year’s IIW consisted of four infrastructure sector events - Indonesia International Infrastructure Conference and Exhibition, Konstruksi Indonesia, Airports and Aviation Indonesia and Connect Expo Comm Indonesia. Collectively, they produced 266 exhibitors (a 29% increase over 2014) and 13,620 participants (a 32% increase over the previous year).
Key issues discussed and debated during the four conferences
Alongside the exhibitions, the conferences in each of the four events addressed critical issues in the different sectors of infrastructure and were attended by more than 800 delegates. Some of the key sound bytes emerging from each of the forums were;
The infrastructure sessions discussed key elements such as seaports, transportation, power generation, water supply, waste management and manufacturing base expansion.
Stakeholders highlighted three key concerns in Indonesia’s infrastructure development: slow processing time, managing public and private sectors’ expectations, and fluctuating investment policies.
Suryo Bambang Sulisto, Chairman of KADIN Indonesia, said, “Indonesia is spearheading its infrastructure development by rolling out four economy package policies, which shows the country’s commitment to build an investor-friendly climate. I would like to convey the message to our investors that Indonesia is ready and fully committed to develop domestic infrastructure.”
According to KADIN, there are 43 infrastructure projects currently funded by the private sector, amounting to USD 52 billion, with USD 23 billion by the public sector. “KADIN fully supports the public-private partnership scheme to ensure that implementation goes smoothly,” added Sulisto.
During the Construction sessions, Basuki Hadimuljono, the Minister of Public Works and Public Housing, emphasized the importance of construction to work side by side with other sectors of infrastructure development. “We are rolling out construction projects in Papua and Kalimantan, completing the 4000 km Transpapua road, while building a 7000 km road that will connect Aruk in West Kalimantan and Longidang in North Kalimantan. This shows that we are committed to build Indonesia’s infrastructure and will continue to realize President Joko Widodo’s vision to unlock our country’s potential amidst the ASEAN economic market”.
In addition, the Minister also said that the government is adding another 2600 km national roads, constructing 49 new dams, while also completing 16 dams currently underway. In total, Indonesia will have 296 operational dams. He added, “It is my wish that all stakeholders gathered here can work together and synergize to build our country.”
In the Airports and Aviation conference, it was highlighted that Indonesia’s national aviation faces several challenges from this year’s ASEAN Open Sky policy. Critical issues will be safety, human resources, and the strategic development of infrastructure at national airports.
Secretary General of Indonesia National Air Carriers Association (INACA), Tengku Burhanudin reitterated the continuing issues of limited facilites in the airports and aviation sector “Everything from navigation equipment, through to runways, and airport security. These things require a lot of money, so we need the governments continued support to solve the problems,” he explained.
PT Angkasa Pura II spoke of their expansion of services and infrastructure, from 22 million to 62 million passenger capacity over the next few years. Djoko Murjatmodjo, Director of Operations and Engineering, said that the company is also increasing its capacity to 86 aircrafts per hour and acquiring more land for additional runways.
For the ICT Sector, Kristiono, Chairman of Indonesian Telematics Society (MASTEL), said “After the implementation of Indonesia Broadband Plan, Indonesia will be one of the biggest digital economies in the world. However, it is not without challenges. The first is to engineer a broadband infrastructure that would engage 120 million Indonesians and the second, is to establish a secure digital environment.”
Shinta Dhanuwardoyo, founder of Bubu, stated “A study has shown that 10% broadband growth would lead to 1% GDP growth and that 1000 new broadband users would effectively create 80 new jobs. Public and private sectors’ active participation would not only actualize this statistic but multiply it.”
Show highlights and looking forward to 2016
More than 600 people took part in face-to-face appointments at the newly introduced Global Meetings Programme, where all visitors and exhibitors could pre-arrange meetings online before the event. The meetings generated much new business and many introductions between buyers and suppliers.
During the event, the organizers also hosted 50 leading investors and 50 top CTO’s. The Investors enjoyed a tailored programme, including a breakfast briefing from SMI, hosted luncheons with key stakeholders and access to the conference programmes and the BKPM market soundings. Meanwhile the CTO’s, who between them had a purchasing power of $383 million, were given free access to the conference programmes and VIP lounges. Also participating in the event were many State Owned Enterprises, including Sarana Multi Infrastruktur (Persero) PT, Bank Mandiri, Telekomunikasi Indonesia Tbk. PT, AirNav Indonesia, Angkasa Pura I (Persero) PT, Angkasa Pura II (Persero) PT, Jasa Marga (Persero) PT, PT Pelabuhan Indonesia II (Pelindo II-IPC), PT MRT Jakarta, PT Penjaminan Infrastruktur Indonesia (Persero) and BUMN Karya.
Among other features taking place at IIW this year were three sets of awards presentations, outdoor heavy equipment displays and social networking gatherings. It was a show that brought the world of infrastructure together to share knowledge, discuss and demonstrate solutions to accelerate Indonesia’s infrastructure projects.
The unique mix of Public and Private stakeholders, combined with foreign investors and other foreign companies eager to collaborate with Indonesian businesses at the show saw considerable business being done throughout the infrastructure sectors.
“We will continue to work closely with the government to provide strategic platforms where investors and business players can meet and decide on which projects they will undertake,” said Alan Solow, CEO of Infrastructure Asia, the organizers of the event.
“I am optimistic that if we work together, we can reach our goals and boost economic growth,” said Darmin Nasution, the Coordinating Minister for Economic Affairs, in his closing remarks at the Indonesia Infrastructure Week at Jakarta Convention Center.
Looking forward to the 2016 event, almost a third of floor space has already been reserved from this year’s exhibitors, together with International pavilions confirmed for China, Germany and Turkey with several others close to signing including Singapore, Malaysia, Norway, India and Taiwan.
Another boost for next year’s event will be the co-location of The Big 5 Construction Indonesia event alongside the Konstruksi Indonesia – it comes with a worldwide pedigree and a launch event last year of over 5,000 participants. It promises to be a spectacular IIW 2016!