No abstract

This study aims to explore the critical success factors of the Water Public-Private Partnership (PPP) Projects in developing country with evidence from Indonesia. We all know that water is a basic need and therefore it becomes very important for the governments especially in the developing countries to develop and formulate a comprehensive water policy to deliver and manage the water services in the most appropriate manner as well tackle several challenges such as budget and project efficiency. In this context, PPP is a promising scheme to address the water problems, hence it becomes important to reveal the success factors of water PPP projects. An Analytic Hierarchy Process (AHP) questionnaire built from delphi methods is used to capture the perception of the relevant stakeholders in relation to the success factors. The results of this study show the most critical success factors in PPP water projects is the support and acceptance of the stakeholders from the community, whereas the private and public entities are the the second and third important factors. These findings contribute to the success of the PPP stakeholders by enhancing the policy-making decision process and by executing the water policies to support the development of PPP in the Water Sector.

The construction of Jakarta MRT Phase I has been carried out by using funds from foreign debt. Meanwhile, Jakarta MRT Phase II or other local infrastructure projects are still waiting for new funding scheme. One alternative is municipal bonds. This study investigate the possibilities of using municipal bonds to finance urban infrastructure project with the case study of Jakarta MRT Phase I. The analyzed use three perspectives including financial aspect, legal aspect, and Jakarta financial capacity aspect. Financial analysis using discounted cash flow (DCF), net present value (NPV) and internal rate of return (IRR). Secondly, study literature is used in the legal analysis by exploring specific regulations regarding the municipal bonds. Finally, the Jakarta Regional Budget and Jakarta Budget Audit Report is examined to get insight and depth information regarding its financial capacity. The result is municipal bonds are feasible as the source of financing Jakarta MRT Project.

The implementation of the fiscal decentralization concept in Indonesia has completed with the issuance of the Village Law and Village Fund Program. Nevertheless, some problems arose in the application. This study aims to map the issues and to build a relationship model based on institutional theory, using content analysis and triangle approach interviews. The study concludes that the Village Fund is profoundly affected by the coercive element that is sourced from the authority of the government to regulate and supervise the program. The coercive then influence the normative in which the regulation frame and strict implementation lead to the difficulties to fulfill the administrative requirements. It then affects the cognitive element on how to make sustain and executable planning of the Village Fund Program, which leads to poor planning, so that difficult to be executed. As it is mandatory, the program is still run improvised that makes the output utilization was low.       

Purpose This study aims to examine the performance of government projects financed by the issuance of Indonesia Sovereign Sukuk (SBSN Project) from stakeholder theory perspective and propose policy recommendations to improve its effectiveness as a government financing instrument. Design/methodology/approach The authors applied a qualitative interpretive approach in this study by conducting content analysis using stakeholder theory. Big data from official webinars about Indonesia Sovereign Sukuk issuance on the internet were used and coded by qualitative data analysis software. Findings The results reveal the stakeholders’ concerns regarding the project implementation. The cluster analysis confirms that technical ministries are the instrumental stakeholders who have the authority and tools to achieve SBSN Project success. The authors propose inclusive policy recommendations for each stakeholder, such as establishing an SBSN Project Master Plan, presuming disincentive to use project extension facility and setting up a comprehensive approach to assist working units in technical ministries in project preparation, development and service delivery. From the perspective of sustainability, the Government of Indonesia should focus more on education to the local community as end-users, value creation to integrate SBSN Projects with other financing schemes and regulation to ensure the effectiveness of a reward–punishment mechanism. Practical implications The findings of this study may be useful to the Government of Indonesia, especially the Ministry of Finance, in determining and establishing moving forward policies that are relevant and contribute significantly to the sustainability of the Sovereign Sukuk programme. Originality/value This study is one of a few studies exploring Islamic public financing instruments, with its originality lying in the examination of the SBSN Project performance from an academic approach, specifically stakeholder theory. This study uses big data available from the public domain to formulate proposed actions to achieve a sustainable SBSN Project programme.