Study on the Readiness of the Regional Government of South Sulawesi for the Mamminasata Urban Railway Project with Non-State Budget/Regional Budget Financing

Abstract

Non-Budget Financing The government raises alternative sources of financing to be used to contribute the financing strategic national infrastructure projects that have commercial value and have an impact on improving the Indonesian economy. One example of this scheme is PPP (Government and Business Entity Cooperation). The purpose of this study was to see the readiness of the South Sulawesi regional government in the Mamminasata Urban Railway Project with Non-State Budget / Regional Budget Financing. It is believed that the Public-Private Partnership Scheme with Business Entities (PPP) was believed to be alternative financing that can improve infrastructure development and the efficiency of development implementation which creates the quality of a product and service in the distribution of capital and risk as well as the competence of human resource expertise together. It was hoped that the PPP Project in the construction of the Mamminasata Urban Railway Infrastructure could become a way out in Non-State Budget / Regional Budget financing and become a solution by the National Mid-Term Development Plan (NMTDP) and Regional Mid-Term Development Plan (RMTDP) to achieve the construction of a 3258 Km railway line. The suggestion put forward into this study is the government needs to establish a transportation management body that integrates all modes of transportation and manages commercial areas following the authority of the PJPK in increasing revenue for an investment return on Availability Payment (AP).