INFRASTRUCTURE [RESEARCH CLUSTER [
About the Australia Indonesia Centre The Australia-Indonesia Centre was established by the Australian government in October 2013 to focus on creating a multi-stakeholder network between Australia and Indonesia that generates research excellence and high-impact relationships for the mutual benefit of both nations. Hosted at Monash University, the Centre is a $25 million collaboration funded by the Department of Foreign Affairs and Trade, Department of Education and four Australian universities: Monash University, Australian National University, University of Melbourne and University of Sydney. The collaboration also includes the research contributions of seven leading Universities in Indonesia under a relationship with the Ministry for Research, Technology and Higher Education: Universitas Indonesia, Institut Teknologi Bandung, Institut Pertanian Bogor, Universitas Gadjah Mada, Universitas Airlangga, Institut Teknologi Sepuluh Nopember and Universitas Hasanuddin. The Centre brings together these leading research institutions with business, government and communities in both nations to build stronger relationships and cultural understandings, and to create lasting impact from collaborative research. To this end, the Centre has invested in a small number of large, bilateral research clusters, including an Infrastructure Research Cluster, with close links to PT Teluk Lamong - port of Surabaya and the East-Java Department of Transport. 3
TO RESEARCH, UNDERSTAND AND CONSIDER THE BUILT, POLITICAL, SOCIAL AND NAT URAL ENVIRONMENT TO PLAN EFFECTIVELY, IN BOTH COUNTRIES, BUILDING OF LARGE SCALE MARITIME INFRASTRUCTURE TO MEET INCREASING NATIONAL, REGION AL AND GLOBAL DEMAND.
TOO SMALL Building sustainable, resilient ports and cities Indonesia is undergoing massive economic growth. That s going to place huge requirements on the nation s infrastructure, including ports and transport. And a changing climate increases the risk of environmental disasters. The Australia-Indonesia Centre has developed a suite of projects that will help the country create the resilient infrastructure it needs to grow. Take ports for example: maritime trade is vital to the island nations of Indonesia and Australia to maintain connections between cities within and without. The Port of Melbourne is Australia s busiest port, handling 36 per cent of the country s total national container trade, and the movement of goods through the Port is expected to quadruple by 2035. Indonesia s busiest port, Tanjung Priok, moved around two-anda-half times the container traffic as Melbourne in 2014, and is set to become much busier. Indonesia s economy is predicted to be the fourth-largest in the world by 2050. That growth will require a massive boost in urban and port infrastructure. That s why Indonesian President Joko Widodo plans to create 24 new ports over the next four years, along with thousands of kilometres of road and rail. But ports need to work with the environment they re built into, and both countries need to improve efficiency and accessibility for goods and passengers to move between land and sea. The Australian and Indonesian governments have recognised railways, roads, and ports as important areas for investment over the next 20 years. Rapidly growing urban centres and their populations will also need to address issues such as supply of goods, congestion, and the challenges of a warming world. Well-planned cities and passage of goods to and from these centres will be vital. It is immediately clear that without consideration for transport from the port to the roads and rails, a new port may not bring about the economic impact that it was designed for. Efficiencies can also be brought about by exploiting new technologies in asset management and operations. Population masses will be attracted to the vibrant economic environment resulting from increased port activities and will put further demands on infrastructures in the areas surrounding the port, including the demand for living spaces and a clean water supply. In addition, appropriate policies and processes will need to be developed and adopted to face the new demands, challenges and advancements in technology imposed on infrastructures with economic development. The Australia-Indonesia Centre Infrastructure Cluster is asking questions like: How can goods and passengers travel efficiently between land and sea? How can one make the best use of existing infrastructure? Do we need to build new ones? Is the best information available to inform policies? 6 With these considerations in mind, discussions held with potential stakeholders led to the following key themes for the Infrastructure Cluster: Resilient transport systems (road, rail) Infrastructure policy and process Disaster mitigation Technological enhancement to asset management. 7
Infrastructure Cluster Key Themes 1. There and back again: improving transport and connectivity The purpose of this research theme is to predict the capacity of the port, road, rail infrastructure the annual number and tonnage of containers (in twenty-foot equivalent unit, TEU) that can be exported and imported under difference configurations of the road and rail infrastructure. The aim is to facilitate the development of a tool that can be used by infrastructure planners as they consider different options and investments at various stages of planning, construction development and operations of the port. The project will enable planners make decisions that enable the targeted flow of containers to be handled at the Teluk Lamong terminal. It will enable alternative configurations to be explored efficiently by modeling optimal utilisation of the infrastructure and resources in each configuration. The results will also be useable for port-road-rail management when the port is operational. 2. Infrastructure policy and process This theme will aim at providing evidence-based solutions and improvements to the portal cities of Indonesia in the areas of major infrastructure project governance, policies, engagement, operations and processes. The key objectives in this theme are to provide evidence-based research that will address efficient port development issues related to overcoming delays in the major infrastructure project initiation, enhancing project decision making for the selection and evaluation of projects in Australia and Indonesia and improve overall efficiency in the arrangement of project finance, project governance and selection of appropriate procurement strategies, and increasing the return provided by investment in infrastructure. 3. Technological enhancement to asset management This theme will be devoted to the development of novel methods in identifying track maintenance requirements using measured rolling stock dynamic data. The aims is to deliver sophisticated and innovative engineering solutions that enable efficient monitoring of rail infrastructure assets. The outcomes of this will impact upon the efficient management and maintenance of rail tracks and will lead to increased productivity, reliability and availability of portal facilities and operations. 4. Disaster Mitigation This theme is aimed at assessing performance of critical infrastructures in port and its development area under normal port operation and under a seismic event. The assessment will be based on existing conditions of the structures that may be subjected to deterioration due to exposure to marine environment. Issues associated with the port development such as deep soil sediments, poor quality of backfill and effects of natural environment on the structural conditions will be addressed. Infrastructure Cluster Leads Professor Wing Kong Chiu Deputy Head of Department of School of Mechanical and Aerospace Professor Colin Duffield Professor and Civil Discipline Leader Department of Infrastructure Dr Hera Widyastuti Head of the Transport Laboratory Department of Civil Professor Iswandi Imran Professor of Department of Civil and Environmental Professor Sigit Priyanto Professor of Transport Department of Civil 8 9
PROBLEMS Social, environmental and connectivity risks and impacts caused by: - lack of institutional coordination - information asymmetry resulting in poor sustainability - high freight costs - lack of investment Lack of forward development caused by: - inadequate codes & standards, - planning - funding and finance - lack of maintenance resulting in increased vulnerability of structures to natural hazards, high maintenance costs and shorter life spans of asset Trends and Challenges SOLUTIONS BENEFITS Enable integrated development of portal cities faced by both Australia and Indonesia s growing maritime sectors Establish resilient and efficient portal transport to and from the Port Deliver integrated solutions which address social and environment demands in areas of rapid development and transitioning land use Reduced environmental impact and increased ecosystem services in areas of the port, connecting transport and city development Increased reliability and availability of port facilities during operations, and resilience of infrastructure services during disasters Identified fundamental frontier sciences required to extend knowledge generated Reduced freight costs and effective delivery of new approaches to integrate the port to cities in Java New opportunities for business and innovation in the port and city More engaged and capable workforce CSIRO was invited by the AIC to apply its foresighting approach to assist research planning for the Infrastructure Cluster. By identifying megatrends and megashocks towards 2030 and beyond, foresighting enables the Cluster to be evidence-based and anticipatory, and to identify a clear pathway to market, adoption and application. The over-arching goal of the AIC Foresighting Project is to support the development of priority research areas of shared interest between Australia and Indonesia, and to promote integration, synergy and learning amongst the Cluster teams. The full megatrend report is available from the AIC website, www.australiaindonesiacentre.org. Environmental Risks and Opportunities This megatrend describes the increasing risks and associated costs from climate change and disasters, as well as the inevitable growth in demand for natural resources and infrastructure due to the rise in the global population and its mobility. Global warming is projected to continue into the future. This will result in ongoing changes in the Australian and Indonesian climate and oceans, including increased climate variability. Globally, there is a positive trend in the number of reported disasters, with most being weather and climate-related. The economic impact of disasters is also expected to increase. Together with the growing demand for the planet s natural resources, these changes will increase pressure to upgrade existing and build new infrastructure in order to support development. These efforts will have to take account of projected environmental change and the scarcity of natural resources. International Gateways This megatrend focuses on the projected rapid economic growth and shifting political power from the West to the Asian region. This trend will be accelerated by the formation of the ASEAN Economic Community in 2015. Globalisation will require the assimilation of markedly different political, cultural and trading traditions. Indonesia will probably become the world s 4th largest economy by 2050, with Australia ranked 28th. To take advantage of these opportunities, and to remain competitive, both Indonesia and Australia will need to invest in new infrastructure and improvements to existing networks. In Indonesia this will require rapid improvement in port and shipping infrastructure, particularly in the eastern islands. In Australia, urban areas will need to account for a projected 50-70% increase in freight traffic. 11
Infrastructure Small Projects In 2014, the AIC funded 24 small projects up to the value of $20,000 AUD, 4 of which related to the Infrastructure sector. In 2015 infrastructure project teams held successful workshops in Indonesia which brought together expertise in the fields sustainable urban water management and smart cities, collected rail data during site visits to Indonesia and developed important stakeholder relationships with local government and non-government organisations. AIC Small projects are due for completion in 2016. Professor Rebekah Brown Professor Budi Setiawan A socio technical investigation of Jakarta s opportunity for leapfrogging towards sustainable water management to identify common and distinct principles and practices Professor Murimuthu Swami Palaniswami Professor Ary Setijadi Prihatmanto Australia Indonesia Joint Workshop on Smart Cities Coming Ready or Not Technology and Innovation This megatrend outlines the rapidly changing social world and the associated challenges for infrastructure. Indonesia s population is increasing, as are incomes with the rising consumer class. Urbanisation is one of the main drivers of increasing incomes. The rapid growth and development of urban centres will impose challenges relating to urban planning, water supply, urban congestion, social disadvantage, climate change and adaptation, and pressures on public finance. Rising costs will mean that there will be an emphasis on doing things better, creating a critical link between education and infrastructure for both Australia and Indonesia. These rapid social changes will create new opportunities for industries and individuals, as well as magnifying geopolitical tensions, risks to health, security and the environment. This megatrend describes opportunities for economic development that also tackle emerging environmental risks. Going green will be a focus for repairing and revitalising physical infrastructure, together with the rise of innovative materials and technological solutions that have the potential to transform the sector. Innovation in the Internet which enables things to be connected anytime, anyplace, with anything and anyone will emerge. However, application of such digital innovation will also increase the risk of critical system failure and cybercrime that will need to be addressed through improving human capacity to manage risk and security systems. ITS MELB UI Professor Wing Kong Chiu Dr Hera Widyastuti Professor Colin Duffield Dr Sari Wahyuni Asset Life Improvement of Rail Infrastructure Effective structuring and packaging of funding and financing arrangements for the delivery of infrastructure in the newly declared special economic zone in the City of Palu, Central Sulawasi 12 13
Ways to get involved Join our Cluster Participant Network: If our cluster sounds like something that you too would take pleasure in being part of whether by participating actively, or supporting our researchers and research students please contact us and we can discuss ways for you to be involved. There are a number of ways we could use your support and in return provide you with: - Regular updates on progress and results of Infrastructure Cluster research - Invitations to exclusive network events involving government, business and community stakeholders in both countries - Opportunities to actively participant in our research and to have your say on what we are doing and how we are doing it - Daily news about policy, finance, economics, trade and commerce, culture and research breakthroughs in both countries In addition to the benefits enjoyed by those in the Cluster Participant Network, the Australia-Indonesia Centre will help raise the profile of significant investors through exclusive network introductions and promotion. INVEST IN A SUSTAINABLE AND PROFITABLE FUTURE: If you are interested in having a stake in shared solutions to shared Infrastructure challenges in Australia and Indonesia, then the Infrastructure Cluster team would love to hear from you. Contact us at: infrastructure@australiaindonesiacentre.org The team welcomes support from corporate, government, industry bodies and angel investors through a variety of ways: Invest at the Cluster level and hold a stake in a portfolio of activities Invest at the project level and hold a stake in associated technologies and intellectual property emerging from the research Support a student Attend our workshops or events Speak at an event or host a workshop 14 If you would like to learn more please sign up to the AIC newsletter at www.australiaindonesiacentre.org/ 15
+61 3 9903 1296 research@australiaindonesiacentre.org infrastructure@australiaindonesiacentre.org Level 8, Building S, Monash University 900 Dandenong Road, Caulfield East, 3145 /AustraliaIndonesiaCentre @AusIndCentre www.australiaindonesiacentre.org