Abstract

This study investigates the correlation between disaster budget, index of disaster risks and the population of 23 districts in the Aceh province, northern Indonesia. It also explores how the budget for disasters is proposed and prepared by Indonesian local governments. A descriptive quantitative approach is used to examine this relationship. Data were collected from the budgets of local governments (Badan Penanggulangan Bencana Daerah [BPBD] or local disaster management agency) and the disaster risk index. In addition, surveys were undertaken in which the respondents were the key officers in the BPBDs who are responsible for the budget and programmes to obtain detailed information about how the local government prepares their budget for disaster. By employing the Pearson’s chi-square test and the Pearson correlation test, this study revealed no significant statistical relationship between the disaster budget and the level of disaster risks among districts or cities in the Aceh province, northern Indonesia. However, results show that the total budget of the local governments has a significant positive correlation with the disaster budget. The surveys also confirm the correlation between the total budget of the local government and disasters as the same budgeting procedure is applied. The result generalisability might be limited as this study only focused on one of Indonesia’s provinces, Aceh.Keywordsdisaster risk; disaster relief planning; disaster budget; local government; tsunami; Indonesia.

Highlights

  • Indonesia is well known for high disaster risks, over the last two decades

  • There has been a greater call on improving the role of local governments in disaster management (DM), including DM financing, the present study finds a contradictory situation

  • The allocated disaster budget (DB) in BPBDs in the Aceh province, northern Indonesia, is relatively small compared to the local government budget

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Summary

Introduction

Indonesia is well known for high disaster risks, over the last two decades. The country is situated in the highest disaster risk area known as the Pacific Ring of Fire where the three tectonic plates of Indo-Australia, Eurasia and the Pacific are located (Australian Broadcasting Corporation International Development 2017). There are approximately 20 earthquakes per day recorded within the Indonesia region (Australian Broadcasting Corporation International Development [ABCID] 2017). It is the earthquakes and other natural disasters such as landslides, forest fires, floods and volcano eruptions that are frequently faced by the Indonesian people. These disasters cost the lives of many people and severely affect the economy across the domestic regions. These disasters cost the lives of many people and severely affect the economy across the domestic regions. Phaup and Kirschner (2010) report that Indonesia experienced infrastructure losses of approximately $4.5 billion in the Indian Ocean earthquake and tsunami of 2004

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