Governance in Directorate General Highways: IndII Findings and Proposals

William D Paterson

IndII Wrap-up Conference

14 June 2011

Outline of Support to Road Sector under IndII

DGH Governance:

Budget Policy and Reform – MTEF-PBB

Road Network Development

Project Delivery and Implementation

Management Systems

Road Safety Program

Sub-national Roads Management

Road Sector: Economic Challenges

0.00 1.00 2.00 3.00

Trip time (hr/100 km)

Vietnam

Indonesia

China

Thailand

Malaysia

High Land Transport Costs – Low

Connectivity of Economic Centres

0 2 4 6 8

Developing Asia

ASEAN

Indonesia

China

Thailand

Malaysia

Singapore

Low Competitiveness in

Infrastructure, Roads (GCI 2011)

Demand growing 8-10% pa to support growth

Key centres congested, large areas under-developed

0 0.2 0.4 0.6 0.8

Expressway Density (km/1000 pop.)

Malaysia

China

Philippines

Thailand

Indonesia

Vietnam

INDONESIA

Backlog in Expressway Development

Issue 1: Medium-Term Expenditure Framework and Performance-based Budgeting

•Review of performance, needs, and planning

•Recommendations on applying MTEF-PBB

•DGH achieves significant work and budget execution • but network obsolete, condition static, impacts uneven across regions, high demand to improve substandard roads

•Funding tripled• but output flat, treatment increased and costs tripled

•Preservation adequately funded if policies optimal • but development is under-funded

•Technical policies and practices make inefficient use of budget:•Planning of service levels and capacity

•Design, procurement and implementation of works

Policy Issue 2: Connectivity and Road Network Planning

• Slow travel, high transport costs in economic corridors

• Large backlog in expressway development

• Short-term incremental widening with minimal geometric, structural, and safety improvements

• Ribbon development and difficult land acquisition

Current Issues

• Approach for developing national road master-plan

• Review of expressway and network studies

• Analysis of four trunk route corridors – E & W Sumatra, N and S Java

• Capacity analysis of BPJT

Study scope

Issue 2–Connectivity and Planning - Recommendations

• Increase Budget Allocation for Network Development – prioritise large 2012-14 increments (IDR 10T) to road development

• Expressways

• Accelerate land acquisition using additional budget

• Expand BPJT capacity - to accelerate processing of projects

• Provide budget for Viability Gap Funding to attract PPP investors

• Drive expressway plan by connectivity and mobility requirements

• Trunk Routes

• Use corridor studies to determine optimal 20-25 year standard for arterial roads and build into pipeline of projects

• Modernise assets through road renewal program, updating structural and functional aspects with road widening

• In low traffic regions adopt modern alignment for baseline plan

Issue 2:Improving Connectivity – Corridor Plan Example

DEVELOPMENT OF ROAD CAPACITY IN EASTERN SUMATRA CORRIDOR - 2010 TO 2029

ARTERIAL NATIONAL ROAD WIDTHWidth (m)

14

12

10

9

8

7

6

5

4

NR Link 101 102 103 104 105 106 107 108 109 110 111 112 113

Origin B Aceh Lhokswe Langsa Medan Tebing Tg R Prapat Sp Batang Dumai Pekanba Pem Reba Jambi Palembg Buj Tenuk Bakauhuni

Arterial length km 644 694 754 443 0

Distance fr S km 2536 1892 1198 443

EXPRESSWAYDual C'way

Renstra period color code

Baseline

2010-2014

2015-2019

2020-2024

2025-2029

NR Link 101 102 103 104 105 106 107 108 109 110 111 112 113

Origin B Aceh Lhokswe Langsa Medan Tebing Tg R Prapat Sp Batang Dumai Pekanba Pem Reba Jambi Palembg Buj Tenuk Bakauhuni

Exwy length km 460 564 610 380 0

Distance fr S km 2014 1554 990 380

0

10

20

30

40

50

60

70

80

90

1 2 3 4 5 6 7 8 9 10 11 12 13

Ave

rage

Tra

vel S

pee

d k

m/h

2030 2025 2015 2010 2020

1.8 3 3 33 1.7 3.6 02.6

47.9

58.6

20.2

7

1.5

0

0

10

20

30

40

50

60

70

80

R1 R2 R3 R4

5-Ye

ar S

pend

ing

esti

mat

e (I

DR

T)

RENSTRA PERIOD

Financing Plan

Rd Presv Rd Widening Exwy GOI Exwy PrivSec

0

10

20

30

40

50

60

70

2010 2015 2020 2025 2030

TRA

VEL

TIM

E (h

r)

Connectivity: Travel Time from South to North

B Aceh

Medan

Pekanb

Palem

Boukh

0

10

20

30

40

50

60

70

2010 2015 2020 2025 2030

TRA

VEL

TIM

E (h

r)

Connectivity: Travel Time from South to North

B Aceh

Medan

Pekanb

Palem

Boukh

1.8 3 3 33 1.7 3.6 02.6

47.9

58.6

20.2

7

1.5

0

0

10

20

30

40

50

60

70

80

R1 R2 R3 R45-Y

ear

Sp

en

din

g e

stim

ate

(ID

R T

)

RENSTRA PERIOD

Financing Plan

Rd Presv Rd Widening Exwy GOI Exwy PrivSec

TRANS KALIMANTAN NATIONAL ROAD PROGRAM

8

Jalan yang belum terbangun digambarkan dengan garis putus-putus

Samarinda

Balikpapan

Banjarmasin

Palangkaraya

Pontianak

Nunukan

EnttikongPutusibau

Aruk

Simanggaris

Tayan

Malinau

Tj. Selor

Ng Badau

KONDISI SAAT INI

Jalan yang belum terbangun digambarkan dengan garis putus-putus

Samarinda

Balikpapan

Banjarmasin

Palangkaraya

Pontianak

Nunukan

EnttikongPutusibau

Aruk

Simanggaris

Tayan

Malinau

Tj. Selor

TARGET 2010 - 2014

Ng Badau

PANJANG

(KM)

PANJ. RENC.

PELEBARAN

2010 - 2014

(KM)

2010

(KM)

2011

(KM)

2012

(KM)

2013

(KM)

2014

(KM)

1 Lintas Selatan (min 6 m) 3,299 1,450 145 305 385 378 237

2 Lintas Tengah (min 4,5 m) 1,684 670 45 35 192 191 207

3 Lintas Utara (min 4,5 m) 1,521 270 - 3 94 91 82

4 Lintas Perbatasan (min 4,5 m) 477 390 2 40 136 114 98

NO NAMA LINTAS

KONDISI SAAT INI SASARAN 2010 - 2014NO CORRIDOR CURRENT CONDITION TARGET FOR 2010 - 2014

CAPACITY

LENGTH EXPANSION PLAN 2010 2011 2012 2013 2014

(KM) 2010 - 2014 (KM) (KM) (KM) (KM) (KM)

(KM)

1 South-Cross Corridor (6 M min. width) 3.299 1.450 145 305 385 378 237

2Middle-Cross Corridor (4,5 M min. width)

1.684 670 45 35 192 191 207

3North-Cross Corridor (4,5 M min. width)

2 270 - 3 94 91 82

4Border-Cross Corridor (4,5 M min. width)

477 390 2 40 136 114 98

>= 14 m

>= 7 m

6 m

4.5 – 6 m

Not Connected

Sea Port

Width

Policy Issue

– should 6m width std be

skipped?

(1) Widen to full 7m std for NR

Arterial; or

(2) Build new 7 m road on future

highway alignment.

Policy Issue 3: Project Delivery and Implementation

• Premature asset failure

• Short design life built into standards and regulations

• Overloading prevalent but not addressed in design

• Average costs higher than comparators

• Maintenance ineffective, largely force account

Current Issues

• Update design guide to extend pavement life, and address overloading

• Incorporate life-cycle costing to optimise budget needs

• Improve procurement of civil works and supervision

• Assess management of road maintenance

• Support DGH trial of performance-based contracting

Study scope

Issue 3 –Results on Project Implementation

• Strong direction and interaction with DGH Bintek and Balai

• Revision to Pavement Design Guide:

• Long-life designs (low maintenance)

• Catalog approach for greater reliability

(based on detailed analysis and life-cycle costs)

• Strong foundation and drainage for long life

• Overloading incorporated in design

• Flexible, rigid, reconstructed, and recycled pavements

• Larger procurement package size improves cost and quality

• Balai want to automate road condition surveys for better data

• Options for improving management of routine maintenance

• Economic justification for raising legal axle load limit

Options Looking Forward:(1) Planning for Road Network Development

Help Bipran to:

• Build a comprehensive process for planning road network development, with expenditure forecasts and pipeline of projects

• covering strategic roads, arterial roads, trunk routes, and expressways (incremental widening would be discontinued)

• Prepare long-range capacity expansion profiles for the six economic corridors, including pipeline of projects and financing plan

• Develop an optimal 20-year strategy and performance indicators for development of the expressway and arterial road networks

Assist BPJT to:

• Build capacity for processing the enlarged expressway development program; and

• Prepare transactions requiring viability gap funding

Options Looking Forward:(2) Asset Management & Project Implementation

Help Bintek to:

• Authorise and incorporate the new pavement design guide into practice, provide related training and monitoring

• Prepare road renewal strategies for heavily trafficked corridors in Balai 3, 4 and 5 including heavy-duty pavements

• Develop tools and indicators to assist the asset management and monitoring of arterial roads, including: actual and expected age of pavement, automated road surveys, etc.

Assist 1 to 3 Balais to:

• Conducting automated road surveys, related quality assurance and data management, and preparation of the 3-year rolling road preservation programs for the budget years 2013, 14 and 15.

• Apply new project design methods, contract preparation and supervision in selected heavy traffic corridors.

Options Looking Forward:Approach for Support to DGH and MPW

•Facilitate delivery of DGH MTEF program:• Working with Directorates

• Demonstrating applications and reforms through outputs

• Supporting MTEF budget preparations in 2012, 2013 & 2014

•Progressive engagement:• Hold-points for review after initial stage and annual stages

•Governance:• Building reliable data & information database for shared use

• Facilitating deployment of new strategic KPI for travel time, asset age and activity costs

• Launching public disclosure – possibly under CoST Initiative

• Support MPW administrative reform measures

IndII Support to DGH

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