The Indonesian government is preparing the tender for the construction of the West Semarang Drinking Water Supply System worth IDR 1.10 trillion (approx. USD $83 million). Sri Hartoyo, Director General of Human Settlements of the Ministry of Public Works and Housing, said the winner of the project is targeted to be announced before the end of 2017. Hartoyo added that authorities are now still in preparation for the procurement of business entities.

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Indonesian coal miner Adaro Energy is not only keen on diversifying its business by including the power generation sector to its portfolio (hence having become an integrated energy company) but it is also eager to add the water treatment sector to its portfolio. This is in line with the central government's program to enhance the nation's clean water supply across the Archipelago.

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Lately, concerns have arisen that Jakarta, the capital city of Indonesia, and its immediate surroundings are threatened to experience a clean water crisis by 2025. Clean water, which is produced by two private operators - PAM Lyonnaise Jaya (Palyja) and Aetra Air Jakarta - currently totals 18.7 m3 per second. However, by 2025, demand for clean water will reach 41.3 m3/second as the population of Jakarta is estimated to grow to 14.6 million people from 9.6 million currently (the unofficial figure is possibly much higher).

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The Indonesian government wants to enlarge the role of foreign participation in the country's infrastructure development. Through a proposed revision of Presidential Regulation No 36/2010 regarding the Negative Investment List (Daftar Negatif Investasi), foreign investors will have more room for investing in Indonesia's infrastructure sector within public-private partnership schemes (PPP projects). The Indonesian government needs more foreign participation as the current state of the country's infrastructure is inadequate.

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The profile of PT Akasha Wira International Tbk (previously known as Ades Waters Indonesia) is added to our Indonesian Companies database. Akasha Wira International is engaged in the production and distribution of bottled drinking water and beauty care products in Indonesia. The company currently produces and markets bottled drinking water under the trademarks of AdeS and AdeS Royal (owned by the Coca Cola Company), Nestlé Pure Life (owned by Nestlé SA), and Vica Royal.

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Indonesia's Supreme Court (Mahkamah Agung) released a verdict on Tuesday (10/10) in which it orders the government to protect and manage the supply of water to citizens, hence stop the privatization of the water supply in Indonesia. This is a slap for the government which had been actively inviting private investment in the nation's infrastructure sector, including the water supply.

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One of the solid growing markets in Indonesia that remains untapped is the water purifier market. Although Indonesia holds six percent of the world’s fresh water resources, the quality of Indonesia’s public piped water is inadequate (contaminated with E. coli, fecal coliforms and other pathogens). Moreover, roughly 80 percent of the Indonesian population lacks access to piped water hence relying on river water for drinking, washing and bathing. However, the water of most Indonesian rivers do not meet drinking water requirements.

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