Nusantara Infrastructure Optimistic on Indonesia's water sector
Rome, Italy, 2 May 2012
PT Nusantara Infrastructure Tbk participates in the Global Water Summit 2012 that ends today in Rome, Italy, and we are the only representative from Indonesia. The international conference on water and desalination industries is the world's leading event in the water sector and was attended by approximately 500 major global players in the sector.
This year's conference discussed the latest advances in water industry and the challenges in acquiring funds to support major water projects around the world. Bernardus Djonoputro, the Managing Director of PT Nusantara Infrastructure Tbk was one of the appointed speakers at the Round Table Meeting. During the meeting, the panel discussed the development of Indonesia’s flagship PPP projects which gained underwriting support from the government through "viability gap fund". This financial support is expected to ensure the acceleration of infrastructure development in the country. Water sector is very promising. Currently, only 46% of people in Indonesia have access to clean water. To achieving the MDG target of 60% will need real effort to accelerate water infrastructure development through public-private partnerships (PPP).
Indonesia has significant potential for PT Nusantara Infrastruture Tbk in water supply sector. At present, the Company has passed pre-qualification for Maros project, and is seeking approval for a MOU with PDAM Way Rilau in Lampung to conduct a Feasibility Study for water services in Bandar Lampung.
“Drinking water industry in Indonesia should immediately adopt various innovation both water production and desalination technologies and funding. With the roll out of major projects in the near future, it is believed that PDAM performance optimization to provide clean water service to local communities could be realized,” said Bernardus.
Both PPP and B to B schemes serve as alternatives in project management. The government needs to take actions immediately, especially in strengthening the management capacity of public and private partnership (PPP) and the affirmation of regulatory aspects at regional level.
Bernardus added, “Indonesia has a big chance to provide a market in water sector development and it has attracted attention worldwide, and we have to take advantage of this momentum. PT Nusantara Infrastructure is committed to being the industry leader and partnering with the government in its effort to accelerate infrastructure development in Indonesia.”