BANDUNG, August 1 (EngineeringDaily) -- As current Indonesian president Susilo Bambang Yudhoyono prepares to finish out the final months of his second term in office, his administration leaves a number of priority public projects on hold with no projected dates for completion.

The projects in pending status include plans for the revitalization and development of basic material industries as well as sea and fishery industries. Plans to increase small and medium enterprises’ (SMEs) quantity and quality are also awaiting further action.

Another delayed project crucial to local economies is the development of a special economic region in Palu in Central Sulawesi Province and Bitung in North Sulawesi Province. The operation of an innovation center for palm oil (PIKS) in Sei Mangkei of North Sumatera Province and a national innovation center for rattan (PIRNAs) in Palu in Central Sulawesi Province were also scheduled to begin sometime this year.

Industrial Minister M.S. Hidayat said this situation is due to both external and internal factors. The external factors, Hidayat said, are those such as a slow-moving bureaucracy and the complicated procedures necessary to move the projects forward. “Some projects can not be finished properly because they are hindered by the need to produce new regulations to support them,” he said.

To illustrate, Hidayat gave the example of a plan to develop some industrial parks. This project was forced to a halt because of lack of support from another ministry. “To prepare new industrial parks, we need basic infrastructure. But other ministries who have the responsibility to develop this infrastructure are also having their own problems.”

Hidayat added that a similar situation also affected his plan to develop the basic material industries. This plan is highly dependent on the investment of the chemical industries, including petrochemical. “If this sector can become well developed, it may urge the development of various down-stream chemical industries,” he said. “Unfortunately, investors have long been awaiting incentive decisions from another ministry.”

As for internal factors, Hidayat admitted there are coordination problems between the Industrial Ministry and other related ministries. “In the future, the Industrial Ministry has to be proactive in synchronizing programs from the early stages, long before they reach the execution stage,” he said.

By Ismail Al Anshori