Bisnis Indonesia held a panel discussion titled Jalan Tol Dorong Pemerataan Ekonomi dan Mengefisienkan Transportasi di Riau (Toll Roads Supporting Economic Quality and Transportation Efficiency in Riau). The discussion, in cooperation with PT Hutama Karya (Persero), will discuss the economic effects of Pekanbaru-Dumai (Pekdum) toll road project that is set to operate next year.

Previously, Bisnis interviewed Riau Governor Syamsuar and discussed Pekdum toll road development and activities of the local government to improve the connectivity of the region with neighbouring countries, such as Malaysia and other Asean countries. Here is the interview.

How is the current development of Pekanbaru-Dumai toll road?

It is currently as expected. After Pekanbaru-Dumai toll road, there will be more developments to other areas, such as Pekanbaru-Padang, Pekanbaru-Jambi, and I heard that there will be a toll route to Medan.

Not only toll roads, the government is also committed to build railways in Riau. Then, we here at the Regional Government are currently boosting and accelerating the Dumai-Malaka RORO (Roll on roll off) program. This program is an agreement among three countries, known as the Indonesian-Malaysia-Thailand Growth Triangle (IMT-GT).

How far is Dumai-Malaka RORO development?

We hope that it can be finished in line with the schedule that has been set by Indonesia and Malaysia, which is in the third quarter of 2020. Hopefully this program can be realised. Riau is already appointed as the economic hub for Sumatra and the Asean market. Hence, from 4 to 6 December 2019, we will attend the Vietnam Summit that will discuss the development of the economic cooperation among Sumatra in Indonesia with other Asean countries. There, we will also offer economic potentials, Sumatra’s natural resources, and Riau as the connector for connectivity between countries.

With Riau set as the economic hub of IMT-GT, is there any potential that Riau would be the base for production and industry of neighbouring countries?

Nothing is impossible, including becoming a base for production and industry. Previously, we had met with various related parties, including Malaysian Consulate, Malaysian Ambassador, and Malaysian Foreign Affairs Vice Minister.

From those meetings, there is a statement and an intention from Malaysian players to invest and run their business here.

The support of infrastructure that is boosted by the government, such as toll roads, railways, and RORO services will improve the economy of Riau, Indonesia, and other Asean countries.

What is the benefit of being set as the economic hub of Sumatra and Asean for Riau?

Riau will be the gateway for economic activity all over Sumatra. Hence, Sumatra Governor is involved at the discussion on IMT-GT economic cooperation in every country.

Yesterday, in Jakarta, we held a discussion with Finance Minister Sri Mulyani about the potential fiscal incentive, tax relief, as a form of support for the investors investing in Riau.

What is your view on the panel discussion that is held by Bisnis to discuss Pekdum toll road?

We are certainly supporting this activity as Pekanbaru-Dumai toll road is expected to be the backbone that supports economic activity in Sumatra, not only Riau. The toll road will connect economic centres and resources in Riau, such as the regencies and the cities around Pekanbaru with the coast, which is the port city of Dumai.

Besides that, if Sumatra toll road is connected from Aceh to Lampung, Riau will be the gateway that connects products from various areas of Sumatra in order to meet the demand of various Asean countries, especially Malaysia, Thailand, Singapore, and others.

Through this discussion, we also hope that every element, from the Regional Government, businesses, academicians, MSME (Micro, Small, and Medium Enterprises), and the public can learn the positive impact for the regional economy and the efficiency that will be experienced by toll road users.