A message from Mrs. Novie Andriani, Director for Innovative and Strategic Financing, Bappenas
Welcome to the PPP Toolkit!
The Government of Indonesia (GOI) has identified inclusive infrastructure development as a priority in its National Medium-Term Development Plan (RPJMN) 2025-2029. To achieve Indonesia’s infrastructure stock target by during 2025-2029, a total investment of IDR 10,303 Trillion is required. Of this total investment, the state budget is expected to contribute 40% i.e., IDR 4,121 Trillion and the rest is expected to be contributed by the participation of communities and the private sector (business entities). GOI has been actively encouraging private sector participation in infrastructure development through public-private-partnerships (PPP) and other alternative financing mechanisms.
To facilitate private investment in infrastructure creation and service delivery, GOI has taken various measures to create a robust and streamlined PPP enabling framework including policies, regulations, institutions, and financing and funding mechanisms. Bappenas – the Ministry of National Development and Planning - is keen to catalyse private infrastructure investments to support Indonesia’s infrastructure development targets and contributes to this enabling framework. In this context, the Minister of National Development Planning (MoNDP) Regulation No. 7 of 2023 on PPP Implementation introduces important regulatory reforms to streamline the PPP process which are being harmonised by the National Procurement Agency (LKPP) and other line ministries. Having established the overarching principles and processes through the new regulation, the next step was to ensure their uniform and consistent understanding and application by Government Contracting Agencies (GCA).
Hence, Bappenas intended to develop a PPP Toolkit and undertake capacity building of GCAs to effectively use the Toolkit. The purpose of the Toolkit is to help plan and prepare better quality PPP projects by GCAs. Subsequently, this would help streamline the evaluation of such project proposals received by Bappenas from the GCAs for inclusion in the PPP Book.
Given its relevance and the Toolkit’s ability to significantly improve the quality of project proposals, a need for such a solution has been felt since long. This Toolkit is a creative solution for the first time in the country for nation-wide application by GCAs and to bring superior grade of PPPs to generate private sector interest. To that extent, this is a pioneering and transformative milestone from Bappenas.
This PPP Toolkit is a web-based resource. It is designed to help improve decision-making for GCAs at all government levels. It focuses on both - the completeness and the quality of structuring PPP projects. The Toolkit strengthens GCA’s decision-making at three key stages of the PPP project cycle including planning, preparation and management of contract. It should be used as a learning tool as well as a resource for best practice approach in developing PPP projects. The Toolkit, hosted on the Bappenas website, is a single interactive platform and repository of know-how on the PPP process, sector examples & case studies, guidance material on how to proceed with the use of the planning & preparation toolkits. It houses tools, templates, and checklists to facilitate developing preliminary study (PS) reports and pre-feasibility (Pre-FS) study reports. It also has comprehensive guidance on supporting activities that correspond to these stages of the PPP process. The Toolkit comes embedded with four key sector examples – housing, railways, solid waste management, and water. At the same time, the toolkit can be applied to other infrastructure sectors stipulated in MoNDP Regulation 07/2023. The Toolkit is available in both Bahasa and English.
I place on record my appreciation and thanks to Kemitraan Indonesia Australia untuk Infrastruktur (KIAT) and its entire team for supporting Bappenas in building and offering this new initiative to the PPP practitioners of Indonesia. Over more than a year’s painstaking effort, KIAT’s expertise in delivering a robust Toolkit will have a noteworthy contribution to bringing better prepared and improved quality PPP projects to fruition. My team and I already marvel at the simplicity and efficiency of the Toolkit.
We also thank Department of Foreign Trade (DFAT), Australia for funding the development of this Toolkit. The availability of this Toolkit comes at a time when the country requires a push in private sector investment in infrastructure and increasing private sector confidence by way of better prepared projects. Besides, the world is now increasingly focused on managing environmental, social, and governance (ESG) risks. This is of particular interest to investors and to policy makers alike. This Toolkit provides opportunities for such analysis, thus not only fulfilling regulatory requirements but also facilitating private investment with coverage of issues that matter. To that extent, the introduction of this Toolkit couldn’t be more timely.
I also acknowledge the support of GCAs, the PPP Joint Office, Sectoral Directorates in Bappenas, and other infrastructure ministries in being curious to learn and adapt to the Toolkit.
Overall, this Toolkit represents significant progress in strengthening the capacities of PPP practitioners to plan, prepare, and procure PPP projects towards the goal of improved access to infrastructure to all people of the country in the long run.
When developing the Toolkit, all possible details, provisions, and handholding support were conceived and included. Although due care has been taken to ensure the inclusions, it is however possible that details falling under each section of the Toolkit may need fine-tuning. Feedback is welcome.
We urge GCAs to make maximum use of this Toolkit to navigate with ease the planning and preparation of PPP projects for evaluation and also proceed with qualitative improvement in management of contract activities. Bappenas remains steadfast to conduct high quality and credible national development planning to fulfil the vision of an advanced Indonesia that is sovereign and independent, based on the ideals of cooperation and partnership. This Toolkit amply demonstrates our commitment to this vision.
Signed/-
Mrs. Novie Andriani
Director for Innovative and Strategic Financing
Directorate of Financing Development
Deputy of Funding Development
Ministry of National Development Planning/Bappenas, Indonesia
24 November 2025