Until 2023, The Government Claims For National Strategic Projects To Absorb 2.71 Million Workers

Deputy for Regional Development and Spatial Planning Wahyu Utomo (Kemenko Perekonomies)

The Coordinating Ministry for Economic Affairs claims the total national strategic projects (PSN) as a whole that have been completed from 2016 to 2023 to 190 PSN and have absorbed 2.71 million direct workers. Deputy for Regional Development and Spatial Planning Wahyu Utomo explained that related to PSN, 37 PSN had been completed in 2023, valued at IDR 475.4 trillion. Meanwhile, these details consist of 7 dams, 3 ports, 5 toll roads, 4 areas, 5 critical sectors, 3 airports, 1 energy, 1 education, 1 technology, 5 cross-border posts, and 2 electricity sectors. "With the addition of this settlement, the total PSN that has been completed from 2016 to 2023 will be 190 PSN, with an investment value of IDR 1,515.4 trillion, and is estimated to have absorbed 2.71 million direct workers," he explained in his official statement, quoted on week 11 February. Wahyu said that in supporting the realization of the vision of Indonesia Gold 2045, equitable development in all regions is one aspect that the Government continues to encourage to increase national economic growth. According to Wahyu, a number of strategic policies that are the basis for economic development based on regional development have been completed and recorded significant achievements, especially related to infrastructure transformation. Furthermore, PSN infrastructure has also provided various benefits, one of which is to support connectivity. With the operation of 24 new ports and the improvement of services for 60 ferry ports, PSN is able to strengthen maritime axis infrastructure. In addition, there is also air infrastructure that has been operated, such as 19 new airports, and 6 air cargo facility locations that will facilitate logistics flow. Furthermore, PSN is also considered capable of increasing road transportation efficiency by adding 2,864.4 km of new toll roads and 2,650 km of new roads. In the energy security sector, PSN also contributes to increasing availability and electricity distribution by providing 20.6 GW of new power plants, and connecting transmission networks along 1,172 km. In addition, the PSN Infrastructure is also able to increase the potential for natural gas production by 23.3 MTPA or 3.3 BCFD. Regarding aspects of food sovereignty and disaster mitigation, the completion of the 42 PSN dams has increased raw water supplies by 27.78 m3/dtk, and provided supplies to irrigation covering an area of 283.752 ha. Meanwhile, the construction of the dam can also reduce flooding by 710,905 m3/dtk and provide potential for the development of 149 MW of electricity. On the downstream side of industry and investment, PSN is able to support the acceleration of the development of Special Economic Zones (SEZs) and Strategic Industries by encouraging the development of 20 SEZs with investment realization of IDR 117 trillion. As well as the addition of 8 Strategic Industrial Estates that have operated with investment realizations of IDR 299.7 trillion and labor absorption contributions of 149,282 people. "“Referring to the Study of Macro-Economic Impacts on National Strategic Projects, which were conducted joint research with KIT and Bappenas, it will take 5 to 7 years for PSN to provide a multiplier effect so that the benefits can be fully felt," said Wahyu.

With these various significant impacts, PSN development will continue to be pushed for 2024 with a completion target of 41 PSN. As for the 31 projects, it is estimated that they can be completed until October 2024, and the remaining 10 PSNs will be completed from October to December 2024. In the future, Wahyu hopes that this positive performance achievement can make an optimal contribution to improving the economy and regional development.