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Investor Daily - Investor incar proyek transportasi cerdas RI
3 June 2024
By Heru Febrianto
Jakarta, ID – The government’s effort to boost the implementation of smart transportation systems in Indonesia is being positively welcomed by foreign investors that are interested in investing.
Transportation Minister Budi Karya Sumadi said that the 19th Intelligent Transport System (ITS) Asia Pacific Forum 2024 offered opportunities for funding cooperation to develop smart transportation systems.
“It is not limited to selling [transportation] services and products, there are also financing offers,” the Transportation Minister said when he attended the 19th ITS Asia Pacific Forum 2024 in Jakarta recently.
The Transportation Minister stated that the forum, held at Jakarta Convention Centre (JCC), offered opportunities for all regions in Indonesia to establish funding cooperation in developing their transportation systems with the latest technology.
“This implies that a city lacking independence can collaborate with a specific party to establish connectivity between different locations within the city. We can even jump right in,” the Transportation Minister said.
Hence, the Transportation Minister hopes that regions in Indonesia unable to independently develop smart transportation systems can collaborate with entities present at the forum, such as the World Bank, Asian Development Bank, and European Investment Bank.
“The forum is important, we are not only talking about technology, but also how to collaborate and acquire funding. It is imperative that we are not late. Jakarta was a little late. However, there are many cities in Indonesia that require smart transportation systems,” he revealed.
Meanwhile, Indonesia Chamber of Commerce and Industry (Kadin) Chairperson Arsjad Rasjid added that the forum held from 28 to 30 May 2024 could be an opportunity to attract investors for smart transportation development in Indonesia.
“Investors are particularly enthusiastic, especially regarding the development of transportation systems aligned with green principles,” Arsjad stated.
According to Arsjad, there are many investors who want to invest in Indonesia to support the creation of eco-friendly smart transportation systems.
“There are many investors who want to participate. So, at the forum alone, there were various countries [who want to invest],” Arsjad said.
However, Arsjad did not specify which countries are interested in investing in the development of smart transportation in Indonesia. Nevertheless, he remains optimistic that numerous countries, not only from the Asia-Pacific region, are keen on investing in Indonesia.
“With the World Bank and ADB (Asian Development Bank) here, investors from across the Asia-Pacific region have come to Indonesia to participate. They are enthusiastic about the opportunities here. As a large country in Asia and the world, Indonesia attracts a multitude of investors,” he added.
On a separate occasion, Indonesian Transportation Society (MTI) Urban Transportation Forum Chairperson Budi Yulianto emphasised that with the technological advancements in the transportation sector, we must also ensure preparedness in terms of legality, specifications, and standardisation.
“This is because transportation technologies develop non-stop. So, when we implement a sustainable transportation ecosystem, another platform can be developed,” he said to Investor Daily.
He also stressed the importance of ensuring the sustainability of the technologies used to prevent them from becoming obsolete. “So, when we implement a smart concept for monitoring with traffic lights that is integrated with E-TLE, it ensures the technology is not wasted. By incorporating artificial intelligence, we avoid halfway implementations,” he revealed.
He added that smart transportation systems have been implemented by numerous developed countries. All challenges in Indonesia must be addressed. “The legality is already established, so it is only a matter of preparing the public as their habits must change. Even minor violations must still be met with sanctions,” he said.
Producing three main achievements
Intelligent Transport System (ITS) Indonesia President William Sabandar highlighted three main achievements resulting from the ITS Asia Pacific Forum 2024.
“There are three main achievements resulting from the forum,” William stated.
Willaim said that the first achievement is the signing of Jakarta Declaration on Sustainable and Intelligent Urban Mobility.
This declaration is backed by the Transportation Ministry, several countries in the Asia-Pacific region, and international institutions, all affirming a commitment to enhance urban mobility, making it smarter and more sustainable.
He said that the second achievement was the launching of Jakarta Initiative on Sustainable and Intelligent Urban Mobility.
This initiative is a product of collaboration of Indonesia Kadin, ITS Indonesia, and the 5P global movement.
“There are five key initiatives in the Jakarta Initiative,” William stated.
The five key initiatives encompass the establishment of an electric vehicle ecosystem in Nusantara Capital City (IKN) and other cities, promotion of integrated public transportation services and ticketing systems, development of a smart traffic management system, implementation of electronic and digital payment systems for transportation services, as well as environmental sustainability through various initiatives aimed at achieving net-zero emissions.
“The third [achievement] is the launch of an initiative supporting climate change mitigation efforts, which we call the E-Mobi (Electric Mobility) Road from Jakarta to COP 29 in Baku,” William explained.
Transportation Ministry Secretary General Novie Riyanto highlighted the main achievement of the ITS Asia Pacific Forum 2024, the development of a concrete plan towards smart and sustainable transportation systems in the Asia-Pacific region and its vicinity.
Novie considered the signing of the Jakarta Declaration, supported by various countries in the Asia-Pacific region and international organisations, as a crucial milestone in the effort to create efficient, safe, and sustainable urban mobility solutions in the Asia-Pacific region.
