Indonesian Political, Business & Finance News

E-government helps regional governments revive economy

| Source: JP
E-government helps regional governments revive economy

Fitri Wulandari, The Jakarta Post, Jakarta

The application of an integrated information system in public
sector, or known as e-government concept, can help regional
governments boost revenues, as simplified administration
procedures can save costs and promote a more efficient and
transparent business climate, a necessary condition to lure
investors.

"It helps in many things. It increases transparency,
simplifies procedures and reduces all the hustle and bustle
investors must do when doing a business," said Giri S.
Hadihardjono, chairman of the Indonesian Information and
Communication Society (Mastel) at a conference on Thursday.

At the Indonesian International Telecommunication Media and
Information Technology Exhibition and Conference, the
administrations of Batam Island and Takalar regency (in South
Sulawesi) were praised for their success in the application of
information and communication technology in improving public
services.

Batam has been developing a one-stop-service concept in
issuing permits and civil records for its citizens and businesses
(called UPT) since last year. It has also developed a visitor
registration system (called DALDUK) for foreign visitors.

Citizens and companies in Batam can get 18 types of civil
records and permits ranging from family registration card,
marriage certificate and divorce certificate to a building
development permit, trading business permit and billboard
installation permit under the one roof.

While DALDUK helps the government in registering visitors who
come to and from the island. The system is placed in every entry
point such as seaports and airports.

Alex Rusli, a researcher with Systemic Group who is studying
Batam's two e-government projects, said the government has
started to see the benefits of having such a computerized
information system.

"They said it is easier now to track visitors, to provide
detailed profiles of Batam citizens for investors, and to project
regional demand," Alex told The Jakarta Post.

Investors, Alex said, particularly telecommunication business,
was benefited with the system. It provides information on Batam's
consumer profiles.

Takalar is a story of a region that has managed to improve
public services and even increase its revenue despite lack of
industrial and natural resources.

Former Takalar regent Zainal Abidin had initiated the idea of
'one-stop-service' to provide fast and efficient public service.
Called as SIMTAP, it integrated representatives of all agencies
and departments whose tasks were providing public services.

People of Takalar can access services in one process starting
from registration, filling in requirements, paying fees and
issuance of their desired permit.

All data required for the issue of permits were stored in one
database, accessible to officials in-charge of the process, and
their superiors, as well as to third parties, such as NGOs,
journalists, public and potential investors.

Zainal said, the application of SIMTAP in 2000 had increased
public awareness to comply with the government's regulation.

The number of processed applications for permits and ID cards
had increased by 250 percent from the previous year level, he
said.

The increased permit applications has generated additional
revenue of Rp 800 million more than the initial investment to
setting up the system of Rp 350 million.

This is because SIMTAP reduced the high-cost economy of doing
backdoor deals which happened in the past when registering for
permits and ID cards.

Realizing the potential of e-government, the government is now
preparing a road map for its implementation nationwide.

Djoko Agung, the assistant deputy for E-Government Development
Affairs said the road map aims to develop a nationwide network
that links regional and central governments.
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