The Construction Of PLTU Jawa 9 & 10 Is Believed To Strengthen Banten's Economy

Illustration. (Photo: Unsplash)

JAKARTA - The Central Government has placed a number of national strategic projects (PSN) in Banten Province which are dominated by infrastructure development. PSN is believed to be able to encourage economic improvement in this province, because it involves thousands of local people. One of them is the Java 9 & 10 Steam Power Plant (PLTU).

The Banten Provincial Government (Pemprov) and businessmen believe that the construction of this plant can be a solution to overcoming unemployment and the regional economy which is worsening due to the current prolonged COVID-19 pandemic.

"The construction of the Java 9 & 10 electric power (plant) project will soon be carried out, yes, this is good from the manpower side. As long as it is closely monitored by the Manpower Office that the priority is local workers, it really reduces unemployment," said Chairman of the Indigenous Entrepreneurs Association. Indonesia (HIPPI) DPD Banten, Syaiful Bahri, in his written statement, Friday 11 September.

Hippi assessed that the construction of the new PLTU also opened up opportunities for local entrepreneurs to be able to engage in various kinds of jobs. However, he reminded that regional entrepreneurs must also evaluate themselves and add competency skills. If they are not able to, it is appropriate for local entrepreneurs to work together with outside employers, who prioritize the participation of local workers.

On the other hand, Syaiful also reminded the regional government. The existence of fresh investment in Banten, demands creativity from the local government in managing and exploring economic potential.

Investment also demands good regulation. One of them is taxes, to increase local revenue and reduce unemployment in the regions.

Initiation of Economic Recovery

Banten Province itself is experiencing financial difficulties. The Banten Provincial Government's revenue target for 2020 is down, or an income deficit of IDR 1.796 trillion, with details of the 2019 APBD of IDR 13.2 trillion, down to IDR 11.6 trillion in this 2020 APBD.

Regarding this PSN, the Banten Provincial Government (Pemprov) emphasized that the national strategic project prioritizes local residents as workers. Head of the Banten Province Manpower and Transmigration Office (Disnakertrans), Al Hamidi, said that the absorption of local residents would boost per capita income. That way, he said, will directly contribute to the economic recovery due to the COVID-19 pandemic.

"PSN still prioritizes in order for local workers to work on PSN," said Al Hamidi.

He hopes that the PSN project, including the Java 9 & 10 PLTU will initiate economic recovery in the province. In addition, he said, PSN in Banten also had a direct impact on Banten's Regional Original Revenue (PAD).

"So the hope is for economic recovery how as many people as possible work, both formally and informally," he said.

Previously, the Barito Pacific Tbk Group business group stated its commitment to support domestic economic recovery. One of the efforts is to support the creation of jobs in Indonesia. This is done through PT Indo Raya Tenaga (IRT), a consortium with PLN's subsidiary, PT Indonesia Power, which is ready to absorb up to 10,000 local and national workers. This consortium builds and manages the Java 9 & 10 PLTU which is more efficient and more environmentally friendly.

The President Director of Barito Pacific, Agus Salim Pangestu, said that the entire workforce would be absorbed by the IRT during the construction period of the 2 x 1000 MW advanced technology, ultra super critical (USC) power plant, located in Suralaya, Banten.

"Indo Raya Tenaga is a national strategic project that will absorb thousands of workers, both ordinary workers and special workers such as engineers. We hope that the creation of new jobs can have a positive impact on Indonesia's economic recovery," said Agus Salim.