West Papua has a lot of biodiversity and nature. From various sectors, Papua is quite superior and has a lot of resources so that people’s livelihoods in Papua are also quite diverse, including the industrial sector. Bintuni Bay is an industrial area with strategic project status.
The Ministry of Industry will consistently accelerate the development of the Bintuni Bay industrial area on the island of Papua. They will try to make it happen as a form of support in the development of Bintuni Bay by the government.
This is certainly a good start in the modernization of industry in West Papua. They will carry out priority industrial areas and receive extra attention from the government to overcome obstacles in realizing development.
Industrial development in Papua has several challenges that must be faced in the development of KI Bintuni Bay. This is the land acquisition process in Onar Baru village and the certainty of the allocation of the gas produced.
The land acquisition process should be carried out by the local government as a form of commitment to the development of the local area. The government of Teluk Bintuni will also convey that this development will be realized soon.
West Papua Industrial Development Starts With the Construction of Bintuni Bay
The parties involved will ensure that the location to be built in Bintuni Bay is safe and sterile. The indigenous people there are also enthusiastic in welcoming the presence of this industrial area which will advance the island of Papua.
This project has reached the preparation stage and has completed a desktop analysis study. To proceed to the next stage, several conditions must be met for the sake of sustainable development.
The Ministry of Energy and Mineral Resources confirmed the certainty of gas allocation of 90 mmscfd until 2035 for the raw material for the methanol industry which will be established at KI Teluk Bintuni. We need to be considered the certainty of the continuity of gas supply.
This must achieve the target for the next 20 years so that this project is attractive to potential investors, both domestic and foreign. The certainty of this gas allocation must be stated in a memorandum of understanding on gas supply guarantee support that will be signed.
The Ministry of Industry also expects support from related institutions to be able to build regional connectivity in West Papua, especially at development sites. Infrastructure support needed for development is ports, roads, and bridges.
The facilities provided are expected to increase regional competitiveness in the PPP process. it is planned to be built at the end of 2024 and this support is highly expected as a concrete manifestation of the work of the Indonesian government.
The Government’s Efforts in Carrying Out the Modernization of West Papua
The real form of Indonesia’s work carried out by Papua is to create a better life for the people, especially in West Papua. This development is a form of collaboration from the directorate of service in the development of the fertilizer and methanol industry.
This effort is also at the same time to create a prosperous and better community life. The provincial government asked that the presence of the bintuni industrial area could increase economic growth and provide a multiplier effect in the region.
The Papuan government said economic growth in this region was supported by the upstream oil and gas sector. The presence of the upstream oil and gas sector has a very significant impact on the Papua region.
This upstream oil and gas activity with a large investment value in Papua is an example of the BP Tangguh project. However, it is hoped that the presence of large upstream oil and gas investments can have a big impact on the community.
The Bintuni Bay industrial area is mainly supported in upstream oil and gas but has not reduced poverty levels. Resources originating from the land of Papua are often misused and played arbitrarily by business people.
Industrial Development Sites Must be Closely Monitored in Order to Help the Local Economy
Currently, several industrial sectors in West Papua are often misused and their resources are taken for granted. People living in the surrounding areas are still affected by poverty and the economy is difficult.
Currently, in Teluk Bintuni Regency, which is the location of the development project, there are still areas that do not have electricity. For this, the community hopes that the central government will accelerate development so that resources can be utilized.
The development of this industry is also expected to not only accelerate the availability of electricity sources but is also expected to absorb local human resources. The community wants this to be followed up with their respective portions.
Based on government data, the investment potential in Bintuni Bay from 2017-2022 has reached US$13.5 million. This is certainly a good thing to project the workforce needs to reach 11,000 people and hope to be absorbed by the people of West Papua.
