Investment Projects

Ready to Offer
To Promote Regional
Investment Potentials
North Sumatera Invest (NSI) Day 2023
Medan, 6 November 2023

Ministry of Investment /
Indonesia Investment Coordinating Board
(BKPM)
 Sustainable Investment Projects
Curated and Prepared with pre-Feasibility Study
Pre-FS
Objective
1
Spatial Based
Project Information
• To build master data of investment opportunities that contain
comprehensive information needed by investors.
Output
• To eliminate various uncertainty factors often faced by
investors before stepping to the construction phase, such as the
‘clean and clear’ land status, availability of raw materials, and
workforce.
4 Display

2 Strategy
• BKPM conducts the preparation of potential projects from 34 provinces.
• The targeted projects refer to the list of major projects in the 2020-
2024 Medium-Term National Development Planning (RPJMN), the
Info Memos &
Infographics

Presidential Regulation on National Strategic Projects (PSN), and other

national policies.
The investment projects are
expected to have direct

3 Output and Target

• Pre-Feasibility Study, includes: analysis of legal, administrative, and
technical aspects; economic feasibility; social and environmental
impacts; business model schemes; government and stakeholder support.
impacts to 17 SDGs, with
top 5 goals:

• Total 2020-2022: 69 projects in 34 provinces.

2
 69 Investment Projects with total value of ~ USD 12.3 billions*
Covering six priority sectors and located throughout Indonesian archipelago
*) IDR 192.44 trillion (USD1 = IDR15,600)

 regionalinvestment.bkpm.go.id

Tourism Manufacturing Economic Infrastructure Food & Renewable

12 Projects Industry Zones 6 Projects Agriculture Energy
~USD 370 M 26 Projects 14 Projects ~USD 3.15 B 9 Projects 2 Projects
(IDR 5.78 T) ~USD 5.4 B ~USD 3.1 B (IDR 49.17 T) ~USD 283 M ~USD 55.1 M
(IDR 83.96 T) (IDR 48.25 T) (IDR 4.42 T) (IDR 860 B)

3
 WHY INDONESIA
69 Ready-to-Offer Sustainable Projects with Pre-FS

 regionalinvestment.bkpm.go.id
4
 15 Investment Projects Ready to Offer in Sumatera

No. Project Location Sector Investment Value Year

(IDR Billions)
1 Ladong Industrial Park Aceh Economic Zone IDR196 2020
2 Industry of Aluminum Extrusion North Sumatera Industry IDR3,860 2021
3 Toba Resort & Natural Park North Sumatera Tourism IDR245 2021
4 Industry of Medical Gloves North Sumatera Industry IDR367 2022
5 Horticulture Commodity on Siam Madu Oranges North Sumatera Food & Agriculture IDR171 2022
6 Industry of Textile Dyes West Sumatera Industry IDR189 2021
7 Industry of Crude Palm Oil Riau Industry IDR228 2020
8 Smelter Grade Alumina Refinary Riau Islands Industry IDR7,580 2020
9 Wire Rod Aluminum Manufacturing Riau Islands Industry IDR3,610 2020
10 Industry of Wing in Ground Riau Islands Industry IDR878 2022
11 Industry of Cooking Oil Jambi Industry IDR2,260 2021
12 Industry of Coal Based Mono-Ethylene Glycol (MEG) South Sumatera Industry IDR19,510 2021
13 Integrated Sugarcane Plantation & Processing South Sumatera Food & Agriculture IDR1,060 2022
14 4-Star Resort & Convention Center Bangka Belitung Tourism IDR307 2021
15 Pesawaran Industrial Park Lampung Economic Zone IDR578 2021
TOTAL IDR41,039
Total investment projects ready to offer in Sumatera are estimated amounting to IDR 41 trillions (USD 2.6 billions) and comprising industrial sector IDR
38.5 trillions (USD 2.5 billions), economic zones IDR 774 billions (USD 50 millions), food & agriculture IDR 1.23 trillions (USD 79 millions), and tourism
IDR 553 billions (USD 35 millions).
 4 (FOUR) INVESTMENT PROJECTS IN NORTH SUMATERA

Total investment projects in North Sumatera is amounting to IDR 4.6 trillions (USD 298
millions) and comprising of industrial sector IDR 4.2 trillions (USD 271 millions), tourism
regionalinvestment.bkpm.go.id
IDR 245 billions (USD 16 millions), and food & agriculture IDR 171 billions (USD 11 millions).
 Aspects to Evaluate in Conducting Pre-FS on
Investment Projects Ready to Offer

Social &
Legal Technical Business Financial Environment Inherent Risk

• Land legality: • Supporting • Product • Investment • Environment • Risk

specific infrastructure: specification, value: capital impact analysis identification,
location, roads, airport, installed expenditure, • Social & culture risk
seaport.
status, area, capacity working analysis allocation,
• Supporting
owership, etc. utilities: • Market capital • Demography & risk
• Spatial Plan electricity, clean analyses, • Profitability human mitigation
• Regulations & water, waste target analysis resources (i.e. natural
Permits treatment, gas, market, (NPM, FCF, analysis disaster, force
etc. competitors, CAGR) • Other social & majeur, other
• Topography, pricing environment risks affecting
landscape, etc
• Financial
• Business indicators impacts business &
• Other technical operational)
aspects model & (IRR, NPV, PP)
partnership • Capital
structure &
funding

Legal & technical aspects are fundamental. Projects must

meet both aspects before preceeding to further aspects
Working Duration: 6-10 Months
 IPRO = IKEA ?

A great marketing strategy on how to combine various items (aspects) to create a value-added product which is easily
understood by potential buyers (investors)
 Business Match-Making (1)

Integrated Banana Processing Industry in West Java

From Left to Right:

Manager PTPN XII in Malang, Mayor of Malang Regency, Director of PT. Cakra Global Sinergi
 Business Match-Making (2)

Integrated BananaAluminum
Integrated ProcessingIndustry
IndustryininWest
WestKalimantan
Java

Business Dinner with PT. Ketapang Bangun Sarana & Representative Agents of Guangdong Gaodeng
Aluminum Co., Ltd & Geely Automobile
Thank You
PPP Project Pipeline

Source: Bappenas, 2019