Multiplier Effect of Energy Infrastructure on GRDP: Horizon in 3 Production Areas in East Kalimantan–Indonesia

Abstract

The Earth is experiencing a climatic decline that exposes the degradation of the atmosphere. Unfortunately, failure to observe economic growth is not realized by developing markets, which accumulate and exhaust energy resources expansively. Therefore, this article aims to investigate the effect of electricity distribution, gas consumption, and clean water on GRDP which is addressed in three objects (Samarinda–Bontang–Balikpapan). The data interpretation technique uses panel data regression. With a time selection from 2016–2021, the results of the analysis verify several vital points, including: (1) The distribution of electricity and clean water has a positive effect and increases GRDP, but in Samarinda, the distribution of electricity has a significant impact (ρ <0.05) and clean water not significant (ρ> 0.05); (2) From Bontang, the increase in distribution of electricity and clean water also had a positive effect and significantly increased GRDP (ρ <0.05), but only gas consumption had a negative – insignificant effect on GRDP (ρ> 0.05); and (3) In Balikpapan, gas consumption has had a positive–significant impact on GRDP (ρ <0.05), where clean water gas has a positive but not significant increase in GRDP and an increase in electricity distribution has a negative–not significant impact on GRDP (ρ> 0.05). In fact, Indonesia as a nation equipped with abundant natural resources is less aware of managing and driving integrated development. That way, energy demand must be balanced with equity policies that protect the environment, restrain greed, and purify nature without overexploitation of natural resources.

Is GRDP a mediating factor in enhancing local tax revenues due to ICT development in Indonesia?

“…The issue of choosing a suitable tax information system collaborator for a local tax department can result in inefficient tax collection in local government (Fu, Xue, Xu, & Yang, 2019). Gross Regional Domestic Bruto (GDRP) is one factor that can measure a region's economic development (Hilmawan & Clark, 2021;Isyandi & Trihatmoko, 2022;Lestari, Hasid, Busari, & Ananda, 2022). Additionally, regions that obtain economic resources frequently succeed.…”

Energy Operations for Resident and Its Implications for Economic Growth: Indonesia’s New Capital City as a Case Study

“…The irony is that, for example, those who live on the island of Borneo are quite distorted by the integration of development which sucked up the government budget in the old capital city. At the same time, the overcrowded human routine on the island of Java also presents problems that never stop, for example: a decrease in the level of happiness in life, a decline in welfare due to fast-moving levels of competition and slower-moving employment opportunities, triggering crimes and criminal acts, pollution, health threats, clean water crises, and other concrete matters that urge the implementation of relocation (Busari et al, 2022).…”

“…Constraints in water, gas and electricity generators have not been maximized in East Kalimantan. Poor land-river infrastructure makes it more difficult and isolates energy commodities from one area to another (Lestari et al, 2022). In addition, Hayakawa et al (2020), Suharso and Ahyudanari (2020), and Wijaya et al (2020) show that transportation costs are expensive and spatial distances are far apart, also draining time and finances.…”