3rd Asia Pacific International Conference on Industrial Engineering and Operations Management

Public-Private Partnership in the Provision of Street Lighting Equipment in Bandung City

Kurniadi Kurniadi, Syafei Ibrahim, Harris Purnama & Wiedy Yang Essa
Publisher: IEOM Society International
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Track: Operations Management
Abstract

As of 2018, Bandung city has approximately 28,000 Street Lighting Equipment (SLE). Government
constraints in providing funds to optimize SLE lead to limited government ability to optimize SLE.
However, with the opening of the tap of the private sector's involvement policy in managing SLE
infrastructure, there is the potential to optimize SLE. The problem in implementing the SLE PPP project
is determining a suitable PPP scheme for providing SLE in Bandung. The obstacles include investment
development schemes, the SLE database, and weak coordination between stakeholders. This research
uses a qualitative approach. Determining the object of the study is carried out utilizing purposeful
samples. While data collection techniques by performing observation, interview, documentation
tracing, and audiovisual. Test reliability and validity using triangulation techniques. The resulting
research concluded that the provision of SLE in the city of Bandung is to involve business entities in
designing, building, financing, operating, and maintaining SLE infrastructure assets which will later
become investments of the Bandung City Government. Alternatively, in other words, the PPP scheme
suitable for the provision of SLE Bandung City is to use the Design-Build-Operate-Maintain (DBOM)
type using the available payment return mechanism. The problem faced in implementing the SLE PPP project is determining a suitable PPP scheme for the provision of SLE in the city of Bandung. The obstacles faced include investment development schemes, the SLE database, and weak coordination between stakeholders. This research uses a qualitative approach. Determining the object of the study is carried out utilizing purposeful samples. While data collection techniques by performing observation, interview, documentation tracing, and audiovisual. Test reliability and validity using triangulation techniques. Result research concluded that the provision of SLE in the city of Bandung is to involve business entities to design, build, finance, operate, and maintain SLE  infrastructure assets which will later become investments of the Bandung City Government. Alternatively, in other words, the PPP scheme suitable for the provision of SLE Bandung City is to use the DBOM (Design-Build-Operate-Maintain) type using the available payment return mechanism.

Keywords: Public-Private Partnership, Street Lighting Equipment, Availability Payment, Bandung City, DBOM

 

Published in: 3rd Asia Pacific International Conference on Industrial Engineering and Operations Management, Johor Bahru, Malaysia

Publisher: IEOM Society International
Date of Conference: September 13-15, 2022

ISBN: 978-1-7923-9162-0
ISSN/E-ISSN: 2169-8767