In 2019 the Indonesian Government has decreed a regulation to drive the acceleration of economic regional development in Central Java through the Presidential Decree number 79 year 2019. Within this decree there are 270 strategic projects / programs that becomes the attention and focus of the Indonesia Government that will support the regional’s competitive advantage which is expected to provide impact to the investment growth and the increase in the integrated and sustainable national economy.
Amongst the strategic projects / programs that become the Government’s focus in Central Java are;
- The development of economic region with prominent sectors; processing and manufacturing industries, tourism, agriculture and plantation, farming, as well as fisheries and maritime;
- The development of infrastructure in order to grow the connectivity between regions; construction of toll roads, revitalization of national roads and train tracks, construction of sea ports, increase of airports as well as development of cities and towns integrated transportation systems;
- The development of infrastructure which sustains the region’s economic activities that is oriented to the optimalization of natural resources; drinking water sourcing systems; dams, waste water treatment facilities and development of renewable energy sectors that support electricity power sector, as well as development of telecommunication and informatics system;
- The development of local economic sectors; and
- The growth of human resources quality.
As coming into early of year 2023, some questions have been raised on the progress of this specific program that is initiated by the Government since 2019. From the available articles, mainly around the development which supports the advancing of Batang area and its economic ecosystem, amongst them:
- The development of Kawasan Industri Terpadu Batang and Batang Industrial Park. KITB with a total size of 4 thousand hectares has reached final development phase and is expected to finish in year 2024. As for Batang Industrial Park, the development of the infrastructure for the industrial estate as reached 90% progress and is projected to be ready for operation in mid of 2023.
- The further expansion of Trans Java Toll Road; The progress for Semarang – Demak Section has reached 94% and as for the Bawen – Yogyakarta segment yang has a total distance of 75,82 km for the first section of 8,25 km is expected to finish at the end of 2023.
- The Regional Government of Batang has spent Rp 81 billion for the repairment of roads in 2022. There are 62 road points within the Batang Region that are prioritized for this program.
- The construction of natural gas piping transmission Cirebon – Semarang (Cisem) phase 1 for Semarang – Batang has reached progress of 55% and is projected to finish in end of 2023. With the availability of this gas piping transmission it is expected that the factories which resides in industrial estates in Batang can consume the natural gas to support their production and operational activities.
- The construction of Batang Power Plant has reached 97,5% progress. Upon completion this power plant is expected to have a capacity of 2 x 1.000 MW, capable of providing electricity to Java Island as a whole, and has a strategic role to drive investment further especially to the development of industrial estates – industrial parks that are growing in Central Java.
- The establishment of outside of main campus program study or PSDKU by Dipenogoro University at Batang that has a purpose to increase the quality and competitive advantage of workers in the area to support the growing numbers of new factories opening in Batang. The availability of skilled and ready for work employees are heavily needed in order for production industries to operate with sustainability.
In relation with the acceleration of Central Java’s economic development, especially in Batang area, Batang Industrial Park has been in synergy and participated as following:
- Contributing to the repairing and upgrading the regional’s road quality from and to the industrial estate therefore improving the surrounding people’s mobility.
- Opening new road access from Pantura National Road into the industrial estate. The opening of the new access with road width and quality that meets the industrial park or area’s standards has also helped the local government and surrounding people to have an alternative road.
- Has established cooperation with Perusahaan Listrik Negara (PLN) for the supply of power to the industrial estate (dedicated) with present capacity of 2 x 60 MVA.
- Has opened communication with Perusahaan Gas Negara (PGN) for the supply of natural gas whereas the gas piping is planned be available passing through Batang Industrial Park in end of 2023 – early 2024.
- Has developed its own waste water treatment facility for the industrial estate with processing capacity of 2 x 2.500 cubic meter per day.
- Empowered the surroundings community since the star of project until the maintenance of the estate, staring fro land clearing, development of infrastructure, estate maintenance to securing the estates wellbeing.
- Has established partnership with Batang Regional Government and also opening communication with Dipenogoro University to support the sourcing of skilled workers if needed by potential investors, mainly foreign direct investors.
Batang Industrial Park – BIP is the latest industrial estate project developed by PT Intiland Development, Tbk. adding to the industrial estate portfolio that is developed earlier in Ngoro, Mojokerto, East Java. Located in a hilly area of 500 hectares in Batang Regency, Central Java, Batang Industrial Park is established by utilizing the best practices using the extensive experience from developing and managing industrial estate as well as applying sustainability business; from the aspects economy, social and environment.
Batang Industrial Park is set to catalyze not just for the growth of Batang and its surrounding area, but also Central Java growth by furnishing the area with critical infrastructure necessary to attract businesses from various scale and industry.