Indicative ceiling of Rp141.6 billion: RIDA supports regional infrastructure development

This article has been translated by PwC Indonesia as part of our Indonesia Infrastructure News Service. PwC Indonesia has not checked the accuracy of, and accepts no responsibility for the content.

Investor Daily - Pagu indikatif Rp141,6 M: BPIW dukung pengembangan infrastruktur di daerah

9 June 2023

 

Jakarta - The Regional Infrastructure Development Agency (RIDA) of the Public Works and Housing (PUPR) Ministry will receive a budget of Rp141.6 billion in 2024. The budget will be used to support the development of several infrastructures in various regions.

“RIDA will receive an indicative budget ceiling of Rp141.6 billion,” RIDA Head Yudha Mediawan said at a hearing with House of Representatives (DPR) Commission V in Jakarta on Thursday (8/6/2023).

Yudha explained that the budget would be allocated to develop infrastructures, synchronise annual programmes, perform monitoring and evaluations, and carry out the long-term and medium-term national development plans. Then, the budget will also be allocated to perform studies to improve the infrastructures of the PUPR Ministry, support integration to handle extreme poverty and stunting, boost internal compliance, and support RIDA’s internal management.

RIDA of the PUPR Ministry was established to create integrated plans, synchronised programmes, regional infrastructures that are in harmony with regional development to realise balanced development among sectors, regions, and government levels, as well as high and sustainable economic growth. RIDA guarantees the integration of the PUPR Ministry’s infrastructure construction planning and the synchronisation of programmes in water resources, highways, human settlement, and housing.

RIDA also responds to construction issues that are in different scales and scopes to realise integration among sectors, regions, and government levels.

Meanwhile, the PUPR Ministry’s budget of 2024 has been set to reach Rp128.15 trillion. Next year, the main priorities of the ministry that is led by Basuki Hadimuljono are multiyear contracts, operation, maintenance, optimisation, and rehabilitation programmes, and presidential directives.

“Based on PPN Minister/Bappenas Head Circular No. B.292/M.PPN/D.8/PP.04.02/04/2023 and Finance Minister Circular No. S-287/MK.02/2023 dated 10 April 2023, the PUPR Ministry’s indicative budget ceiling for fiscal year 2024 is set at Rp128.15 trillion,” PUPR Minister Basuki Hadimuljono said at a work meeting with DPR Commission V in Jakarta on Wednesday (7/6/2023).

According to Basuki, for the adjustment of the total indicative budget ceiling, the PUPR Ministry is proposing Water Resources Directorate General to receive Rp44 trillion, Highways Directorate General to receive Rp49 trillion, and Human Settlement Directorate General to receive Rp27 trillion. Then, the Housing Directorate General is proposed to receive Rp6.19 trillion and the Construction Development Directorate General is proposed to receive Rp580 billion.

Basuki also said that, in line with President Joko Widodo’s direction, all constructions must be completed in 2024, so the benefits of the infrastructures could be enjoyed immediately by the people.

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