Our Experience
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TUSK ADVISORY EXPERIENCE
institutional
Institutional Set Up
Revitalization of Committee for Acceleration of Priority Infrastructure Delivery or Komite Percepatan Penyediaan Infrastruktur Prioritas (KPPIP)

CLIENT’S SITUATION:
Indonesia infrastructure faces multiple issues such as poor project preparation and delay in land acquisition. In 2001, the Committee for Acceleration of Infrastructure Delivery (KKPPI) was developed. Nevertheless, KKPPI was ineffective due to its limited authority for coordination, minimum involvement in implementation, and lack of capacities. As the solution, Committee for Priority Infrastructure Delivery (Komite Percepatan Penyediaan Infrastruktur Prioritas/ KPPIP) was established via Presidential Regulation No. 75/2014 to focus on the preparation and delivery of infrastructure projects which are of national priorities.

ACTIONS:
Tusk Advisory was involved since the initiation of KPPIP and the development of the Presidential Regulation on Acceleration of Priority Infrastructure Delivery (Presidential Regulation No. 75/2014). Since then, Tusk has had significant roles in the establishment of KPPIP institution, such as creations of organization structure and standard operating procedure, development of Pre-Feasibility Study quality guidelines, development of criteria for determining priority projects, ensuring stakeholders’ inclusivity in the development of action plans to ensure timely delivery of priority projects, and managing the debottlenecking efforts.

RESULTS:
Tusk has successfully supported CMEA in obtaining the ratification for KPPIP’s Presidential Regulation in 2014. In addition, Tusk has been supporting KPPIP in stakeholders’ coordination meetings which resulted to the Priority Project List for 2015 consisting of 22 priority projects across various infrastructure sectors. On Tusk PMO roles, Tusk is developing all of the required quality guidelines and standard operating procedures that are currently adopted by KPPIP. Moreover, Tusk is successfully coordinating the debottlenecking efforts for several priority infrastructure projects, resulted in accelerated delivery of those projects.

Setting Up PT Indonesia Infrastructure Finance (PT IIF)

CLIENT’S SITUATION:
PT Indonesia Infrastructure Finance (IIF) is a private non-bank financial institution under the Ministry of Finance of the Republic of Indonesia, Regulation (PMK) No. 100/2009, professionally managed, with a focus on investing in commercially feasible infrastructure projects. The establishment of IIF is a key element of strategic development by Government of Indonesia and development partners among international financial institutions to address the constraints on the flow of private investment in infrastructure.

ACTIONS:
Tusk’s original mandate was to achieve what the previous consultants who had been on the assignment for over 18 months could not achieve i.e. a signed shareholders agreement between the Government and the founding shareholders, namely IFC, ADB and DEG and the drawdown of the initial equity of US$ 10 million. Tusk established a Working Group (WG) consisting of shareholders and all stakeholders. Tusk acted as the Secretariat and also coordinated the output of 4 law firms and 2 HR and Recruitment firms separately hired by the shareholders.

RESULTS:
Within 2 weeks of our appointment, the Founders Agreement was signed – which set out what the founding shareholders aimed to accomplish. Within 6 months of our appointment, the Shareholders Agreement was signed and Tusk was appointed as interim managers and its then director Dr. Emil Dardak was appointed as PT IIF’s first and interim President Director pending the recruitment of the permanent management team. Tusk handed over the management of PT IIF to its permanent CEO in July 2010.