The role of the energy and mineral resources (ESDM) sector is crucial for increasing economic activity and national development. For this reason, the direction of future energy and mineral resource management policies must be guided by the paradigm that ESDM is no longer used as a source of foreign exchange. However, as national development capital to realize independent energy management, ensure energy availability and meeting domestic energy resource needs; optimizing the management of energy resources in an integrated and sustainable manner, increasing the efficiency of energy use, ensuring fair and equitable access to energy, developing technological capabilities, the energy industry and domestic energy services, creating jobs and controlling the impacts of climate change and preserving environmental functions.
Departing from this condition, PWYP Indonesia, together with the Sub Directorate of ESDM – Directorate General of Regional Development, Ministry of Home Affairs, see the need for quality improvement in the planning, implementing and supervising strategic policies in the ESDM sector. As a first step, on September 2, 2020, a discussion was held with the topic “The Urgency of Preparing a Strategic Plan and Monev for ESDM Sector Policy”. Various stakeholders from related Ministries / Institutions, namely the Ministry of Energy and Mineral Resources, the National Energy Council, and Bappenas, were involved in the discussion.
From this discussion, it can be seen that the importance of synchronization and integration in planning from central to regional levels. It can be a practical step because it takes collective work to pursue big targets implemented in all regions or regions in Indonesia, especially when considering Indonesia has a large area and covers up to 34 provinces. Therefore, clear direction or guidance from the centre is essential in planning development. Synchronization of targets and strategies from the RPJMN, RPJMD, RUED, and various derivative plans are needed in guarding the improvement of Energy and Mineral Resource governance, which is expected to contribute significantly to economic growth and people’s welfare.
Synchronization and Integration of ESDM Sector Planning and Targets
In this agenda, Ministries and Agencies recognize the importance of integrating roles and support for improved governance in the EMR sector. For example, the Ministry of Energy and Mineral Resources discussion asked for support from the Ministry of Home Affairs regarding synchronization and ease of regulations in the regions related to the construction of 31 smelters. Besides, they also asked for the role of the Ministry of Home Affairs in socializing projects that the central government schedules in the regions, such as gas pipelines and providing stimulus to existing efforts in the ESDM Strategic Plan. The Ministry of Energy and Mineral Resources also asked the Ministry of Home Affairs to ensure sustainable development in the regions, for example, in oil palm projects for renewable energy development.
Siding with renewable energy has coloured this discussion; various agencies have also implemented it. It shows that by sector, renewable energy has become a particular concern of the central government. They also understand that the realization of renewable energy is still low to pursue the 23% target by 2025. The presence of the Covid-19 pandemic also adds to the problem of renewable energy development targets. However, some are still optimistic that renewable energy will continue to develop.
Changing targets and refocusing, especially for 2020 and 2021, is also a common problem at the ministry/agency level. Bappenas itself has made many revisions, such as the 2020 RKAP, which, of course, will have an impact on the Regional Government Work Plans (RKPD) and regional Strategic Plans. Then, the Ministry of Energy and Mineral Resources also has the same view regarding the difficulty in compiling the Strategic Plan amid a pandemic because it has to adjust the macro target whether the region can achieve it. For example, currently, there is a decrease in natural gas production by 5%, not because it cannot produce it entirely, but considering the reduced industrial demand for gas. Not to mention the preparation of the Strategic Plan at the Ministry of Energy and Mineral Resources, which also needs to consider the Strategic Plans from other ministries.
Nur Laila W. from Bappenas said that Bappenas was doing macro planning by considering economic growth, poverty, and various other macroeconomic indicators. Also, Bappenas detailed plans into the Strategic Plan, RKAP, and Workplan. The success of this plan cannot be separated from planning at the regional level, including the RKPD. Bappenas needs the Ministry of Home Affairs and the Ministry of Energy and Mineral Resources in coordinating with the government and regional apparatus so that the central government’s plans can be included in the regional Strategic Plans and RKPD agendas.
The National Energy Council has a reasonably massive integration agenda for national and regional energy plans. In addition to the National Energy General Plan (RUEN), they also encourage the birth of a Regional Energy General Plan (RUED) in each province. They assisted in the drafting of the RUED quite intensively. Besides, it also enhances the capacity of human resources by providing training for MEMR staff with the aim that staff in the regions can understand modelling and energy potential in each region.
DEN targets that in 2020 29 RUED Regional Regulations will be issued, and from the results of current monitoring, 18 out of 34 provinces have stipulated their RUED Perda, and several others have entered the finalization process. Finally, they also introduced the SPEND application, an application that aims to monitor, evaluate, and disseminate information to provinces that already have RUED.
Aryanto Nugroho, National Coordinator of PWYP Indonesia, highlights DEN’s SPEND, namely what if different indicators can confuse local governments. Suharyati answered from the Secretary-General of DEN that differences in assumptions could be resolved by coordination between agencies. The hope is that related agencies can directly contribute to this application. For example, it can be filled by the Directorate General of electricity or even the local government and various related stakeholders related to electricity infrastructure. It shows the openness and spirit of collaboration of a government agency.
Integration and improvement of planning from the central to regional levels are needed to smooth regional and national development. Maryati Abdullah from PWYP Indonesia also highlighted how to integrate macro and micro development indicators. Nur Laila from the Bappenas representative also answered that the 2020-2024 RPJMN matrix does not go to districts/cities. Several indicators were not derived to determine the need for regional intervention or not.
Besides, Aryanto also saw the importance of reviewing the RPJMN, RPJMD, Ministries/Agencies Work Plan and Regional Government Strategic Plan documents as provisions in producing a solid RKPD and APBD. Then, Tavip Rubianto from the Ministry of Home Affairs also added that the evaluation of planning and measuring the Strategic Plan documents, whether it is good or not in normal conditions, could be output for the future. He hopes that the regions can understand their contribution to the national level.
Author(s) : Wicitra & Meliana Lumbantoruan