Ministry of PUPR Gets Additional Budget of Rp 33 Trillion

January 7, 2015, Investor Daily

JAKARTA – Ministry of Public Works and People’s Housing (PUPR) will get additional funds of Rp 33 trillion in the Revised State Revenue and Expenditure Budget (APBNP) of 2015. This figure has been approved by the Ministry of Finance and will soon be submitted to the President in a cabinet meeting, and then to the House of Representatives (DPR).

“It is almost certain; the total budget for the Ministry of PUPR in APBNP 2015 will get an additional amount of Rp 33 trillion. Previously, we have proposed some numbers, but in the end that amount has been approved,” said Minister of PUPR, Basuki Hadimuldjono, in Jakarta, Tuesday (6 January).

He explained that his ministry filed a request for an additional budget of Rp 47 trillion some time ago. But of that request, the President cannot grant the full meet amount because [available funds] will be allocated to some other sectors, such as agriculture.

“With the additional budget of around Rp 33 trillion, the total funds we have would reach Rp 118 trillion this year. Previously, in APBN 2015, we already have a budget of Rp 85 trillion, so that represents an increase of approximately 38 percent,” Basuki said.

For the record, if the amount of Rp 118 trillion is approved by the Parliament, the total budget of the Ministry of PUPR this year will increase by nearly 59.4 percent, from 2014’s amount of about Rp 74 trillion.

Met in the same place, Acting (Plt) Secretary General of the Ministry of PUPR, Taufik Widjoyono, explained that the additional budget of Rp 33 trillion is projected for financing infrastructure development in five major sectors, namely food sovereignty with Rp 8.45 trillion, improvement in the quality of life with Rp 5.4 trillion, housing (apartment, special houses, as well as homes for military and police personnel) with Rp 3.7 trillion, reduction in regional disparities with Rp 10 trillion, and connectivity infrastructure with Rp 5.75 trillion.

In more detail, said Taufik, the development of food sovereignty includes irrigation development worth Rp 5.8 trillion, rehabilitation of dams and embungs [ponds] worth Rp 1.1 trillion and flood control worth Rp 1.6 trillion. This relates to the government’s focus to boost the development of new irrigation networks covering around one million hectares (ha) and to rehabilitate old irrigation networks around 3.3 million ha until the year 2019.

He added that the aspect of improving the quality of life includes revamping access to drinking water access with a budget of Rp 2 trillion, improvement of environmental health in settlements (improved sanitation, garbage, etc.) worth Rp 1.4 trillion, also the development of border regions and slums valued at Rp 2 trillion.

As additional information, PUPR Ministry is pursuing the target of 68 percent access to drinking water by 2015, in line with the declaration of the Millennium Development Goals (MDGs) programme. In the past year, Indonesia recorded 67 percent of the public that had been able to access drinking water. Additionally, the government is boosting efforts to improve slums until the year 2019, when it is expected [the problem] will have been fully resolved. The sanitation sector is also targeted to be fulfilled 100 percent in the next four years.

Meanwhile, to reduce regional disparities, Ministry of PUPR is focusing on building a number of roads, particularly in the border regions. “From the Rp 10 trillion budgeted to reduce disparities between regions, Rp 2 trillion will be allocated to build roads in border regions, such as in Kalimantan, East Nusa Tenggara and Papua,” said Taufik.

In another part, actual budget absorption of the Ministry of Public Works prior to its merging with the Ministry of People’s Housing, reached 92.94 percent, or approximately Rp 71.06 trillion of the total ceiling amount of Rp 76.45 trillion in 2014. In terms of physical construction of infrastructure projects, the realisation reached 93.87 percent. The realisation rates are as of 30 December 2014

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