RI will actively use Buton asphalt instead of importing, here's the reason

JAKARTA - Minister of Public Works (PU) Dody Hanggodo emphasized that the government's steps to strengthen the material independence of road construction by encouraging the use of Buton asphalt (Asbuton) as a substitute for imports.

The policy direction is part of a major national efficiency strategy in the infrastructure sector, especially in cost control and material supply resilience.

"The Ministry of Public Works has taken several concrete steps, one of which is through strengthening the material independence of road construction as part of efforts to achieve national energy independence and efficiency. On this happy occasion, I would like to emphasize our commitment to encourage national asphalt self-sufficiency through the use of buton asphalt or what we know as Asbuton," said Dody in a media discussion at the Ministry of PU office, Jakarta, Thursday, April 2.

In the midst of increasing needs, the government sees a disparity between national consumption and dependence on foreign supplies still dominant, where the current national asphalt needs reach approximately 1 million tons per year and are projected to continue to increase to 1.5 million tons per year in the coming years.

"However, about 80 percent still depend on asphalt based on petroleum or imports. On the other hand, we have a very large reserve of mineral called asphalt buton on Buton Island, but its utilization is currently very limited. This is still about 4 percent of the total national needs," he said.

The government has also begun directing policies so that the use of Asbuton can increase significantly in national road projects as part of a gradual import substitution.

The PU Ministry will encourage the utilization of local commodities through the use of buton asphalt in national road construction to reach a minimum of 30 percent.

In addition to reducing import dependence, the policy is also considered to have a wide economic impact, ranging from foreign exchange savings to strengthening domestic industries.

"The potential for state savings will reach around Rp. 4 trillion and with the addition of tax revenue of almost Rp. 2 trillion. This policy will encourage the growth of the domestic button asphalt industry, create new supply chains in the country and strengthen the national industrial structure," said Dody.

He also highlighted that so far, the Asbuton commodity has actually been used more by other countries, so it's time for Indonesia to optimize these resources for domestic interests.

"If asphalt buttons can be used by other countries, why can't we use it ourselves? So, ladies and gentlemen, asphalt buttons have been exported a lot. If it can be used by other countries, insyaallah we will also be able to use it," he added.

In terms of governance, the increased use of Asbuton is believed to encourage the improvement of quality standards while strengthening the competitiveness of the domestic processing industry.

"The use of asphalt buttons will improve the quality of procurement and quality standards, both for road organizers, manufacturers, associations and construction service providers," he explained.

Furthermore, the development of this industry is expected to have a multiplier effect on the national economy, including job creation.

"The development of the asphalt button industry is expected to create economic added value of up to approximately Rp. 23 trillion, while opening thousands of new jobs for the community," he said.

Even so, the government acknowledges that this step is not without challenges, especially from the perspective of technology readiness and industry adoption is not even.

"This policy is not only about replacing materials, but about our ability to be more able to stand on our own feet. Indeed, it must be admitted, we are not choosing the easy way because the technology is not too massive, but we choose to stand more independently," explained Dody.

To conclude, Dody emphasized that the optimization of Asbuton is part of the big agenda for national development in the future.

"Optimizing the use of asphalt buttons in road construction is a strategic step to encourage economic independence, national industrialization, increase fiscal efficiency and maintain long-term material supply resilience, as well as supporting the 2025-2029 RPJMN towards national asphalt self-sufficiency," he concluded.