Document

ACTIVITY CONCEPT NOTES # 2 | ARRISING FROM THE DSF WORK PLAN 2009-2011

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DECENTRALIZATION SUPPORT FACILITY ACTIVITY CONCEPT NOTE 2/2009

Summary: As part of the Government’s strategy to reduce regional disparities, this activity is designed to lead to better-informed and better-managed policy making for regional development. This is to be achieved by assessing the suitability, availability, and validity of relevant data; analyzing policy making processes; and determining how best to develop more effective policies for regional development. A core component of the project will be to develop Bappenas capacity and to achieve cross-ministerial consensus on new approaches.

Activity Title

Capacity Building for Regional Development Policy Formulation

Counterpart agency and key government contacts

The counterpart agency and main beneficiary of this activity is Bappenas, Directorate for

Regional Development.

The main government contact is Ir. Arifin Rudiyanto, MSc., PhD, Director of Regional

Development, Bappenas.

Duration

June 2009 – December 2010

Background and Rationale

1. This Activity Concept Note envisages that activities for the project ‘Capacity Building for

Regional Development Policy Formulation’ will take place over two phases over a period of

18 months. A budget of US$150,000 has been approved by the DSF MC (Management

Committee) and this will be utilized for Phase 1 (6 months). Phase I covers a review of

regional development policy to date, an assessment of development data and an

assessment of policy making processes. Input will be provided for the upcoming RPJM. Upon

completion of Phase 1, and contingent upon a satisfactory review from the DSF MC, further

approval will be sought for Part 2 (12 months). This will build upon the foundations laid in

Part 1 by providing capacity building training for national level government staff and

formulating regionally specific development strategies. This Activity Concept Note describes

all activities (Part 1 and Part II) but only Part 1 will be procured with the approved budget.

2. Indonesia faces huge challenges of development management in its regions. With

development indicators across regions and over time showing considerable variation. For

example, regional gross domestic product data shows that disparity of per capita provincial


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income is relatively large.1 Resosudarmo and Vidyattama (2006) show that despite some

convergence in per capita regional GDP between the poorest and richest provinces in the

period 1993 to 2002 severe disparities persisted.

3. The table below shows per capita regional GDP in each region (the provincial average is

given in each region). Per capita regional GDP includes mining, which affects Papua and

Kalimantan more than other provinces. Without including the mining sector in 2002 per

capita regional GDP in Papua is US$491 and Kalimantan is US$1214 (1983 prices). Of note is

the very low per capita regional GDP in Nusa Tenggara, Maluku and Sulawesi and the

comparatively high per capita rates in Sumatra, Java-Bali and Kalimantan. Inter-provincial

differences in GDP per capita (not shown) can also be very high.

Table 1: Per capita regional GDP, 1971-2002

Region

Per capita regional GDP

(provincial average in each region, USD, 1983 prices)

1971 1983 1996 2002

Sumatra 453 823 1083 905

Java-Bali 262 455 984 956

Kalimantan 351 1045 1428 1599

Sulawesi 167 279 529 583

Papua 231 672 1060 1160

Nusa Tenggara 116 175 328 415

Maluku 249 312 575 460

Source: Resosudarmo and Vidyattama (2006)

4. Growth rates have varied considerably between the regions even over the past few

years as indicated below. Except for 2005, west Indonesia has consistently grown faster than

east Indonesia from a much higher base.

Table 2: Regional GDP growth rates, 2004-2007

Region 2004 2005 2006 2007

Sumatra 2.93 3.57 5.26 4.96

Java & Bali 5.38 5.74 5.77 6.17

Kalimantan 3.01 3.92 3.80 3.14

Sulawesi 5.69 6.26 6.93 6.88

Nusa Tenggara, Maluku & Papua (5.26) 13.97 (4.06) 5.04

West Indonesia 4.72 5.16 5.64 5.85

East Indonesia 2.00 6.43 3.02 4.50

National 4.25 5.37 5.19 5.63 Source: Badan Pusat Statistik (2009)

1 Resosudarmo and Vidyattama, 2006, ASEAN Economic Bulletin 23.1 (2006) 31-44.


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5. Inter-regional disparities are not only demonstrated through divergence in economic

indicators but also by variations in standards of service delivery. For education, enrollment

rates vary widely and regional differences remain more pronounced than differences in

income levels2 . While junior high school enrollment rates vary widely between provinces,

variations are even bigger differences within provinces. Graph 1 shows provincial enrollment

rates (district and city averages) plus highest and lowest enrollment rates within provinces.

The data clearly shows variance between provinces and an even wider variance within

provinces.

Graph 1: Net Enrollment Rates in Junior Secondary School by Province

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Source: World Bank estimates based on 2007 Susenas data

6. For health, outcomes vary widely across Indonesia. The graph below illustrates the wide

divergence across provinces (data not available for all provinces) in two key health

indicators – infant and child mortality. The y-axis shows deaths per thousand births.

2 Investing in Indonesia’s Education (2007), World Bank Group.


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Graph 2: Infant and child mortality rates

Source: Investing in Indonesia Health (2008), World Bank. Data from 2002/3

7. The government of Indonesia has undertaken many efforts to address shortfalls in basic

service provision and a major current initiative concerns the issuance of nationwide

minimum service standards as regulated by Government Regulation No. 65/2005. Minimum

service standards are to be issued to cover each of the obligatory functions of local

governments and additional financing provided through the Dana Alokasi Khusus

mechanism to achieve these standards. The DSF will provide support for both of these

government initiatives which have implications for the regional development policy3. As

minimum service standards are implemented it will be important to assess the extent to

which disparities in public service delivery are reduced.

8. Inter-regional development disparities are of great concern to the Government of

Indonesia (GoI) – for reasons of equity but also for reasons of national sovereignty. GoI is

keenly aware that feelings among ordinary citizens of social and economic exclusion are

crucial to such calculations.

9. Like many developing countries, Indonesia has experienced a tumultuous development

path over the last few decades. The early years of 1960s saw the economy slip into crisis

with spiraling inflation, followed by a period of relative stability. The exploitation of oil and

gas reserves coincided with the spike in the world price of oil leading to huge government

revenues which were used in part to finance a far reaching development program that had

tangible benefits for most Indonesians all over the archipelago. Whilst never attaining the

giddy growth highs of the so-called tiger economies, growth was steadily aided by huge

inflows of foreign investment and supported by an authoritarian political system. External

shocks and inflationary pressures at times undermined continued growth but it was not until

3 See: DSF Concept Note on Institutional Building for Improved Public Service Delivery.


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the onset of the Asian crisis in 1997 that swift reversals in economic development were

experienced which wiped out years of development gains in the space of a few months.

10. The onset of decentralization in 2001 through the implementation of Law 22/1999 saw

the devolution of a wide range of responsibilities to local governments. By 2001 recovery

was well under way and in 2004 the decentralization agenda was entrenched through a

major revision of the decentralization law. Substantial fiscal resources are now controlled by

regional governments, especially at the district and city level of government. 30% of total

state expenditure was transferred to the regions in 2008 although regional expenditure as a

percentage of total national expenditure is even higher as regional revenues are

supplemented by locally generated revenue. Total government spending has risen

substantially in real terms since 2001.

11. This fiscal transfer has been accompanied by political decentralization whereby district

and city heads of governments are elected directly.

12. Predictably perhaps, the results of decentralization to date have been mixed and many

local governments have not yet been able to realize the better development outcomes that

should be associated with increased fiscal resources and greater local autonomy over

expenditure decisions. Significant inter-regional disparities remain. Data on intra-regional

disparities in Indonesia are not widely available, but comparative experience from other

countries shows that such differences can be exacerbated by decentralization, usually

through partial distribution (capture) of services and resources by local elites (Manor,

19994). Questions of intra-regional disparity in Indonesia may prove to be of increasing

socio-economic and political significance in the future.

13. Regional disparity represents an ever present challenge in most countries. Comparative

evidence shows that the challenges are most pronounced in large developing countries that

are unitary states. (Shankar and Shah, 2001)5. Shankar and Shah conclude that in such

states regional development policies have not resulted in convergence in regional incomes.

Rather, income disparities have continued to grow. They note that federal states have been,

perhaps paradoxically, more successful at equalizing economic difference between regions

despite their more limited policy options.

14. Development has long been focused on Java-Sumatra-Bali. Kalimantan, in particular,

seems to be benefiting from a new wave of economic expansion in Indonesia. Despite the

GoI’s efforts to spread development across the country, particularly through the use of the

central transfers from the balancing fund development, development continues to proceed

at an uneven rate. Resource-poor regions have suffered in particular as they are excluded

4 Manor, J. 1999, The Political Economy of Democratic Decentralization. Washington, DC: World Bank

5 Shankar and Shah, 2001. Bridging the economic divide within nations: A scorecard on the performance of regional

development policies in reducing regional income disparities, Washington, DC: World Bank.


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from natural resource revenue sharing transfers. Development has also been poor in some

regions in eastern Indonesia and in sparsely populated regions (e.g. Maluku and Papua).

15. The World Development Report 20096 has far reaching implications for regional

development policy. The main message is that economic growth will be unbalanced (within

and between countries) but that development can still be inclusive. The report proposes

that spatial transformations will be necessary to achieve this in terms of population density,

reduced distances between workers and economic opportunities and reduced economic

divisions. The report has a number of implications for Indonesia’s approach to regional

policy which will need to be considered within a framework of policy formulation.

16. Given the complex pattern of development across Indonesia in recent decades, the

successes and failures of development policy and the ever present issue of regional disparity

now is the time to take stock and to reexamine the policy environment surrounding regional

development from fresh perspectives. The implementation of decentralization remains the

key development issue facing Indonesia. Significant authority has been devolved to local

governments but many local governments have limited capacity to execute these new

functions effectively. While local governments are now key actors in regional development

policy there remains lack of clarity in divisions of authority between levels of government on

regional development policy issues. Although this project focus on national policy for

regional development the impact, realized and potential, of local governments on regional

development policy needs to be bourn in mind. Since the onset of decentralization new

challenges have emerged, such as environmental pressures for sustainable development,

the commonly stated desire for wider stakeholder participation in development and the

impact of globalization on regions. Economic, social and political pressures will continue to

evolve requiring sustained and appropriate policy responses to meet these challenges.

17. The activities described in this note are designed to illuminate and improve

development policy leading to the reduction of inter-regional disparities in Indonesia. It will

do this by:

a. Assessing the empirical bases of policy making: what data are currently available?

What is the quality of such data, in terms of validity and recency? What gaps exist?

b. Examining the extent to which such empirical data inform the policy making process.

c. Analyzing the ways in which regional development policies are made and applied and

considering how such policy making may be improved.

d. Devising a program of professional development for key Bappenas staff to better

enable them to initiate and develop policy reformulations for regional development.

e. Consulting with stakeholders from each of the 7 regions to elicit substantive regional

input.

f. Formulating regionally nuanced development policies.

6 World Development Report 2009, Washington DC: World Bank.


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18. Bappenas has provided a geographic framework within which to assess regional

planning and, based on that, to develop new concepts and approaches. Within this

framework the country is divided into seven major islands/island groups: Sumatra; Java-Bali;

Kalimantan; Sulawesi; Nusa Tenggara; Maluku; and Papua.

19. The Government’s long term and medium term development plans detail the targets

and approaches to be used. A central feature of the Government’s Long-Term National

Development Plan 2005-2025 is ‘realizing development that is more equitable and just’. GoI

is currently preparing the next Medium-Term Development Plan (RPJMN7) for 2010-2014.

Bappenas is drafting three major documents for the RPJMN 2010-2014. This activity will,

among other deliverables, provide input for the third document paper (Pembangunan

Berdimensi Wilayah - Development with a Regional Dimension) which will provide a regional

perspective on development planning. The first document in the series concerns the macro

framework for planning and the second concerns sectoral planning.

20. Development plans, at both national and regional levels, are elaborated into and

synchronized with spatial planning, in terms of substances as well as timeframes. Spatial

plans are used as a reference to the spatial implications of sectoral and cross-sectoral. The

DSF will shortly begin implementation of a project on the integration of development and

spatial plans at national and regional levels8 and reference should be made to this.

21. Although this project represents a modest investment the prospects for leveraging an

eventual significant redirection in regional development policy are very strong. This can be

achieved by working closely with Bappenas staff, investing in developing staff capacity and

developing the necessary consensus within government to affect policy change.

Goal and Objectives

22. The goal of this project is to contribute to a significant reduction in inter-regional

disparities through better-informed and better-managed policy making for regional

development.

23. The purpose is to build within Bappenas sustainable institutional capability to: (1) assess

the empirical basis of existing Indonesian policy on regional development and the policy

making process and make recommendations for improvements; (2) disseminate the results

and begin to develop a cross-ministerial consensus on new policy approaches and the policy

making process; and (3) propose policy recommendations and new approaches to regional

development planning that are more appropriate and effective.

7 Rencana Pembangunan Jangka Menengah Nasional (5-year national development plan)

8 See: Concept Note: Institutional building for the integration of national-regional development and spatial planning


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24. The objectives are to:

a. Provide a brief historical overview of regional development since 1967 (from the first

New Order 5 year development plan). A particular focus will be on the transition

period from the late 1990s and government initiatives to promote regional

development.

b. Identify currently available data, data gaps and provide an assessment of available

data and how data are used for policy making on regional development.

c. Provide an assessment of government regional development policy and policy

making processes.

d. Disseminate policy review results.

e. Develop the in-house capacity of Bappenas to assess and improve regional

development policy by improving the skills of key Bappenas staff.

f. Assess regional development policy, issues and priorities in the 7 regions and develop

a strategy paper for each region and provide a thorough detailing of the policy

implications.

Scope of Services

25. The scope of services outlined below encompasses all activities to be completed within

a time frame of 18 months. The first part of this project will be conducted in a time frame of

6 months within a budget of US$150,000, as approved by the DSF MC. Upon successful

completion, the DSF will seek continued MC endorsement to complete the remaining

activities over the course of an additional 12 months.

Part 1: a. Write a paper on “Regional development in Indonesia: A review of experiences and

achievements”. Bappenas has requested a major stock-taking of regional

development planning in Indonesia over the course of the last four decades. This will

be used as input for the national RPJM 2010-2014. The consultants will need to work

very closely with Bappenas to ensure that priorities are set and that deadlines for

submission of input for the next RPJMN can be met. This will mean that the

consultants will be required to focus on providing input by September 2009. Work

will continue after this deadline and it is expected that further coordination with

Bappenas will yield additional input by December 2009 whereupon the RPJM is to be

signed by the President. This paper will begin with a literature review. This review

will encompass national and international sources, as deemed appropriate. Given the

wide scope of the review and the limited time frame it is essential that the

consultants present a succinct review of the relevant literature. The literature review

will focus on regional development policies and approaches.

b. This project aims to affect policy change. To achieve this it is necessary to assess how

regional development policy is made and a key part of this is to be provided by

conducting an evaluation of available data. The Consultant will conduct an evaluation

of national level data and also data specific to the regions. It is probable that the


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focus will be on the seven island regions, as identified by Bappenas, but the

Consultant is expected to consider the rationality of this geographic division. This

data assessment will include an identification of what data, including maps, are

available, data accuracy, what is missing, how it is collected, where it is stored and

how (or whether) it is used to inform development policy.

c. To effect policy change it is necessary to establish how best to intervene in these

complex policy making processes. Therefore, the consultant will be expected to

develop and execute a well-thought out strategy for conducting an assessment of

policy-making processes which will lead to an assessment of how policy is created,

how it is implemented, and recommendations for improvements.

d. Assessment of current regional development policy. This will be needed at both the

national level and also how it has impacted on the seven regions.

e. Conduct a skills needs assessment within Bappenas. This will involve an identification

of Bappenas staff who perform key functions related to regional development policy

and also an identification of which functions are to be targeted by a capacity building

intervention that will best lead to enhanced institutional performance. The

consultant will also be expected to draft a strategy for a program of capacity building

to be executed in Part 2.

f. Consult widely within national government and involve other stakeholders as

necessary.

g. Consult with stakeholders from the 7 regions to elicit input on regional development

policy to date and initial input for the formulation of future regional development

policy.

Part 2: h. A major part of this work is to shape and redirect policy; therefore significant

resources need to be focused on not only disseminating the results of the study but

also to elicit input and create a sense of cross-ministerial buy-in. Clearly, high level

government endorsement will be required and it is hoped that the coming RPJM, as

approved by the incoming president, will lay out the foundations for a redirection of

policy on regional development.

i. Consult widely with local government representatives, regional experts (including

from universities) and private sector representatives. This will continue throughout

the course of the project and will need to be conducted in the regions as necessary.

j. Conduct a training program for Bappenas staff working in the field of development

policy for regions. This is to develop in-house capacity within Bappenas to conduct

future assessments and reformulations of regional development policy.

k. Develop a specific strategy for each of the seven island regions (or as geographically

appropriate) based on their major characteristics and development issues. It is

expected that the consultant will take an ambitious approach and seek to determine

development strategy, policy and approaches that are suitable for the seven

identified regions. This is a complex task which will be informed by the preceding


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work. This work is expected to offer an actionable way forward for regional

development to be further elaborated by the respective regions themselves.

Deliverables

26. This covers deliverables over the course of 18 months. Part 1 covers the first 6 months with the approved budget of US$150,000.

Part 1 (July-December 2009) Time

Inception report detailing strategy for Part 1 of the project and progress to date.

Within two months of project inception

Review paper, including literature review Within three months

Policy Paper for Bappenas. This paper will provide input for the RPJM 2010-2014.

Within 3 months

Assessment of policy data Within 4 months

Assessment of policy making processes and current regional development policy

Within 6 months

Training needs assessment and strategy for Bappenas staff training program

Within 6 months

Paper on input from national and regional stakeholders

Within 6 months

Part 2 (January-December 2010) Time

Inception report detailing strategy for Part 1 of the project and progress to date.

Within 14 months

Report on training program for national level government officials

Within 16 months

Strategy papers for each of the 7 regions. Draft within 12 months, final within 16 months

Final report 18 months

Sustainability

27. The Consultant will be expected to work in a manner conducive to ensuring

sustainability, that is, in a way that ensures that the capabilities required to carry out the

work are institutionalized with Bappenas. This will be done through formal education and

development, but should also be a central feature of the analytical and consultancy work

that is done, perhaps using action learning or a ‘buddy’ system as a means of achieving this.

The prospects for sustainability and institutionalization will clearly be increased by the

extent to which that work is done in line with local conditions and aspirations; is actionable;

and fits within the national development agenda.

Gender

28. It is reasonable to suppose that the effects on women of regional development

disparities in Indonesia are different from and probably more severely felt than those


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experienced by men. Therefore, it is incumbent on implementing agents (firms and

individuals) to consider carefully the gender ramifications of all activities undertaken in this

project. It is expected that issues surrounding gender will be given prominence within the

deliverables and that recommendations for future actions will contain a clear gender

component. Due consideration should also be given to the gender implications of regional

development policy, in order that better development outcomes for women may be

realized.

Program Management, Execution and Implementation

29. The role of the Government of Indonesia/Bappenas Capacity Building for Regional

Development Policy Formulation is as sponsor/owner of the program with responsibilties for

steering, monitoring of program implementation, coordination with the consultants and

submission of program documents to the DSF MC. The DSF Executive will be responsible for

hiring individual consultants to perform the work commisioner by Bappenas, facilitation of

program implementation, and assistance with program monitoring, quality assurance, and

along with Bappenas submission of program documents to the DSF MC. The consultants are

responsible for implementing the program according to the Terms of Reference;

coordinating with Bappenas on a regular basis and submitting reports/deliverables to

Bappenas and DSF according to schedule for review. See table below for a summary of roles

and responsibilties.

Directorate for Regional Development: sponsor/owner of program; responsible for steering, monitoring of program implementation, coordination with consultants and submission of program documents to DSF MC. DSF Executive: responsible for contracting consultants; facilitation of program implementation, assistance with program monitoring and quality assurance, and along with Bappenas, submission of program reports to DSF MC. Consultants: implementation of the program according to the Terms of Reference, coordination with Bappenas on a regular basis and submission of reports/deliverables to Bappenas and DSF for review.

30. Based on the decision of the Bappenas Directorate for Regional Development the

activity ‘Capacity Building for Regional Development Policy Formulation’ will be “Bank

executed” (responsiblity of the World Bank) through the constracing of short-term

consultants. Under this mechanism, the DSF Executive is responsible for ensuring that

procurement follows World Bank procedures9 and that the results of the program meet the

specified standards.

31. A small team will be formed with representatives from Bappenas and representatives

from the DSF Executive to select qualified consultants. The DSF Excecutive will be

9 Procurement in Bank Executed programs will follow the Guidelines: Selection and Employment of Consultants by

World Bank, Revised October 2006 using the World Bank e-procurement system.


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responsible for issuing consultants contracts. During program implementation Bappenas’

Directorate for Regional Development and the DSF Executive will evaluate the reports

submitted by the consultants and monitor activities as appropriate.

32. Our policy is to employ the best qualified and experienced individuals and firms to

implement the projects we finance; to provide them with clear objectives and guidelines

concerning the work that needs to be done; and to be available to help wherever it is

requested. The effectiveness of this policy therefore rests heavily on how well the selection

of individuals and firms is done and on the quality of the documentation and briefings

concerning what is required of consultants.

33. It is crucial to the success of this project that communication from the consultants

directed both to DSF and to identified government counterpart, in this instance Bappenas.

All DSF activities are derived from direction given by our management structure which

comprises members from three government ministries and donor representatives. Activity

proposals are developed closely with government counterparts and the government is not

just the endorser of the project but also the main beneficiary. Therefore, close cooperation

is essential with government counterparts throughout the life of the project.

34. The DSF Executive will gauge project progress on the basis of the periodic reports that it

receives from consultants. It will monitor the achievement of agreed activity milestones and

project objectives. DSF provides a quarterly report to its partners (GoI and donors).

35. Mode of execution. This activity will be World Bank executed (on-budget, off-treasury).

36. It is proposed to proceed with Part 1 of this project using individually hired consultants.

This has several advantages: work can commence expeditiously without a potentially

protracted procurement process (thus enabling RPJM deadlines to be met); the type of work

in Part 1 lends itself to very well qualified consultants and doesn’t require institutional

support; and given the limited budget of $150,000 we can get better value by hiring

individual consultants and avoiding institutional overhead costs. It is likely to require several

consultants under a team leader. It is proposed to hire a team leader first to start work

quickly and to identify suitable consultants in consultation with him/her.

37. Procurement options for Part 2 will be assessed later. An initial assessment is that an

institutional setting is advisable given the scope of services and larger budget implied. Given

the range of services to be delivered in Part 2 it is possible that some institutions will submit

joint bids.

38. Consultants’ qualifications. The lead consultant will have the following qualifications:

a. A PhD in a relevant subject preferably related to development planning. b. Over ten year’s work experience specifically in regional development issues in

Indonesia. c. A well-regarded academic in his/her field with a substantial body of published work.


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d. An excellent grasp of current and historical regional development issues, preferably with papers published in this field.

e. Excellent analytical writing skills with a demonstrated ability to write concisely about a complex topic.

f. Substantial experience of leading small working teams and a demonstrated ability of working successfully with a range of stakeholders and an ability to bring together stakeholders to a shared platform.

g. Ideally, a strong record of working with regional government representatives.

39. Additional key personnel (for Part 1).

a. Regional economics development specialist: Demonstrates an in-depth

understanding of regional economics, particularly the island based regional economic

development model. Eligible candidates must have relevant academic qualifications

especially related to economics development (at least M.A). Has over 5 years work

experience (government, non-government, policy research) in regional economic

issues in Indonesia. Ideally, has a strong record of working with regional government

representatives.

b. Decentralization/regional development specialist: Demonstrates an in-depth

understanding of regional issues and a demonstrated ability to assess regional

development opportunities. Has knowledge of maritime based economic issues a

clear advantage. Eligible candidates must have relevant academic qualifications

especially related to planning/ development study (at least M.A). Has over 5 years

work experience (government, non-government, policy research) in regional

development issues in Indonesia. Ideally, a strong record of working with regional

government representatives.

c. Capacity building specialist: Demonstrates an expertise in conducting capacity

building needs’ assessments. Has substantial experience in designing and managing

capacity building programs for government staff.

40. Additional anticipated staffing needs (for Part 2)

a. Sociologist: Demonstrates an in-depth understanding of islands in Indonesia

including: societies’ behavior and cultures of each island in order to explore the

human capital opportunities and threat to island development. Eligible candidates

must have relevant academic qualifications especially related to regional sociology

(at least M.A). Has over 5 years work experience (government, non-government,

policy research) in regional sociology issues in Indonesia. Ideally, has a strong record

of working with regional government representatives.

b. Environmental specialist. Demonstrates an in-depth understanding of regional issues

specifically related to the island context Indonesia. Eligible candidates must have

relevant academic qualifications especially related to environment (at least M.A).

Over 5 years work experience (government, non-government, policy research) in

regional environment issues in Indonesia. Ideally, a strong record of working with

regional government representatives.


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c. Specialist on international/regional (Southeast Asia context) economics.

Demonstrated expertise in being able to understand and develop strategies for the

regional development in an international context. Eligible candidates must have

relevant academic qualifications especially related to international economics (at

least M.A, preference PhD). Over 10 years relevant experience and for international

candidates at least 5 years in Indonesia. Ideally, a strong record of working with both

national and regional government representatives.

d. Local experts (seven): Regional specialists from the local government and academic institutions who have an in-depth understanding of the regional development issues in their own region. One for each region: Sumatera, Sulawesi, Kalimantan, Java-Bali, Nusa Tenggara, Maluku, Papua.

Procurement and Implementation Schedule

41. Procurement and Implementation schedule for this project :

June 2009: MC approval of Activity Concept Note. Preparation of Expressions of

Interest. Posting on World Bank E-Consult system and in national media. Evaluation

by DSF/Bappenas. Contracting of Team Leader. Identification of support consultants

and contracting.

July 2009: Beginning of project. Identify stakeholders, conduct consultations, and

begin review paper. Begin assessment of regional development data, policy

processes and current policy.

August 2009: Submit draft review.

September 2009: Presentation of Inception Report, including final Review paper and

submission of draft paper for RPJM input deadline (30 September).

October 2009: Drafting of paper on assessment of data, policy processes and policy.

November 2009: Submission of draft paper on assessment of data, policy processes

and policy. Review of draft RPJM, as requested.

December 2009: Submission of final paper on assessment of data, policy processes

and policy. Presentation of Part 1 to Bappenas, ministries and regional government

representatives. Dissemination and consultation.

January 2010: Finalization of procurement for Part 2.

February 2010: Consultations.

March 2010: Development of regional strategies. Capacity building for Bappenas

staff.

April - July 2010: Development of regional strategies. Capacity building.

August 2010: Submission of draft report of regional development strategies.

September 2010: Finalization of 7 strategies. Submission of draft report on training

program.

October 2010: Submission of report on regional strategies. National workshop.

Submission of final report on training program.

November 2010: Follow up and revisions.

Dec ember 2010: End of project, final report.


15

Budget

42. A summary of the main categories for Part 1 is as follows:

Estimated Cost (USD)

Description

Consultant Services

Individual Consultant

32,500 Lead consultant

20,000 Regional economics development specialist

20,000 Decentralization / regional development specialist

20,000 Capacity building specialist

Training and Workshop

30,000

Operational Expenses 20,000 Travel

Total Budget 142,500


16

Document

Documents

regional gdp

regional disparities

development indicators

assessment of development

assessment of policy

managed policy

bappenas capacity

project capacity building