Activity Concept Note # 5

ACTIVITY CONCEPT NOTES # 5 | ARRISING FROM THE DSF WORK PLAN 2009-2011

DECENTRALIZATION SUPPORT FACILITY ACTIVITY CONCEPT NOTE 5/2009 Summary: This activity builds institutional capability at different levels of government for the better horizontal and vertical integration of sectoral, development, and spatial planning. It does this by: a) examining means for the better vertical integration with national spatial plans of sectoral and development plans produced at different levels of government; b) examining means for the better horizontal integration of local government spatial and development plans (for contiguous areas); c) designing and delivering training programs to institutionalize the necessary capabilities at different levels of government; d) analyzing relevant organization and management systems and making recommendations for their improvement; e) to begin with, undertaking this work in a small number of pilot provinces and districts; and f) producing a plan for the scaling-up of such institution building nationally.

Activity Title Institution Building for the Integration of National-Regional Development and Spatial Planning

Counterpart agency and key government contacts  Bappenas, Directorate for Spatial Planning and Land. Bappenas is the key beneficiary as outputs from this project will support efforts to improve development policy related to regional development.  Bapak Deddy Koespramoedyo, Director of Spatial Planning and Land, Bappenas.

Duration July 2009 –July 2010

Background and Rationale 1. National, provincial and district/city levels of government are responsible for making sectoral plans, development plans and spatial plans. These plans should be integrated horizontally within each level of government and also aligned vertically to ensure that plans across levels of government are coherent. The task of achieving such integration and alignment is extremely challenging as it involves many players often with competing demands. At all levels of government insufficient integration is evident and vertical alignment between levels of governments is lacking1. For metropolitan areas specifically, Friedman (1999)2 notes that vertical and horizontal conflicts are evident in many Asian

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Based on comments from Bapak Deddy Koespramoedyo, Director of Spatial Planning and Land, Bappenas Friedman J. (1999). The Governance of City-regions in East and Southeast Asia. Paper presented to International Conference on Cities in Asia, December, Hiroshima, Japan.

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cities. Firman (2008)3 focuses on how to overcome these problems of coordination for the Jakarta metropolitan area. While the challenges of coordination in the capital are specific rapid growth in other urban areas makes initiatives to overcome these challenges relevant elsewhere.

2. A planning system is “a system of laws and procedures that set the ground rules for planning practice” (Healey, 19974). A national planning system is, of course, highly complex and seeks, by various legal and other means, to accommodate conflicting interests within a limited fiscal capacity. In the context of this ACN, planning is more narrowly defined as those practices which produce planning documents. By these we refer to development planning documents at three levels of government (primarily the 5-year medium term development plan), spatial plans and sectoral plans.

3. A useful definition of spatial planning comes from the European Regional/Spatial Planning Charter: "Regional/spatial planning gives geographical expression to the economic, social, cultural and ecological policies of society. It is at the same time a scientific discipline, an administrative technique and a policy developed as an interdisciplinary and comprehensive approach directed towards a balanced regional development and the physical organization of space according to an overall strategy." 5 4. Spatial planning, more simply stated, is about where, physically, to concentrate limited resources. Planners need to select priority areas, both spatial as well as sectoral, so as to concentrate resources and to develop agglomeration effects as it is impossible to develop everywhere at the same time (Luiz, 2003)6.

5. For a definition of development planning, reference is made to Indonesian Law 25/2004: “The national medium term development plan is an elaboration of the vision, mission and program of the president which is guided by the long-term development plan. [This] contains the national development plan, policies and programs from ministries……and cross-regional programs. [It] also contains the macro economic framework which details complete economy including fiscal policy direction in work plans which are the indicative regulation framework and funding framework.” (UU 25/2004, Article 4, Clause 2).

6. Decentralization has seen the devolution of a wide range of responsibilities to local governments. Increased responsibility to manage far greater fiscal resources and to deliver services has led to increased demands on local governments to develop the capacity to plan effectively. The progress of the implementation of decentralization has been variable across 3

Firman T. (2008). In Search of a Governance Institution Model for Jakarta Metropolitan Area (JMA) Under Indonesia’s New Decentralization Policy: Old Problems, New Challenges. Public Administration and Development 28, 280-290.

4 Healey, P. (1997) Collaborative planning: shaping spaces in fragmented societies (London: MacMillan) 5 Prospects of development and of spatial planning in maritime regions. European Conference of Ministers responsible for Regional Planning (1983) European Union.

6 Luiz J. M. (2003). The Relevance, Practicality and Viability of Spatial Development Initiatives: A South African Case Study. Public Administration and Development, 23, 433-443.

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Indonesia with some regions performing well and others poorly (Firman, 2008). A lack of clarity over the functions of different levels of government impeded successful implementation (Firman, 2008 and Brodjonegoro, 20067) although Government Regulation No. 28 on Division of Functions has gone some way to clarifying this.

7. Decentralization is expected to lead to the creation of more appropriate development plans, which are better aligned with local needs and aspirations. However, as Firman (2008) states this has led local governments to consider their jurisdictions as being under their full control with resources available at their exclusive disposal. As a consequence they do not need to consider the larger area within which the district or city is located and they are yet to realize the potential of these development resources to improve public service provision.

Azis (2003) goes as far as to claim that if local governments are authorized to do their own planning and development in a decentralized system then potential economic externalities are forfeited. During the Soeharto era, the national government could easily intervene to address vertical coordination problems; yet under decentralization the environment has grown much more complex (Firman, 2008).

8. Local governments, at both provincial and district/city levels, create medium-term development plans (RPJMD8). They do not necessarily cover the same timeframe as the national plan; indeed many seem to cover the period from 2006 to 2010. Local governments are not required to issue the RPJMD as local regulations (Perda) but usually issue them as bupati/walikota regulations. RPJMD generally reflect the local government’s leader’s (bupati or walikota at district and city level) vision for the five year development of the region. Local governments also make spatial plans which are required to be passed by the local parliament into law which necessitates approval from both the provincial and national government. Law 26 2007 specifies that local development plans are to refer to (‘saling mengacu’) spatial plans at both national and regional levels.

9. Given the complexity of ensuring coherent planning within a local government and between levels of government many local governments have yet to realize their potential in terms of effective and integrated planning. This is manifested through a lack of integration between development and sectoral plans with the regional spatial plan. Regional spatial plans are supposed to inform development plans and vice-versa and local government yearly work plans are also supposed to reflect spatial plans. Plans are supposed to be crossreferenced to ensure consistency and clarity, yet in practice development plans drafted by a local government administration, as led by a newly elected bupati/walikota, do not sufficiently refer to existing spatial plans. The result is that spatial plans are often not implemented thereby contributing to haphazard development.

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Brodjonegoro B. (2006) Decentralization as a Fundamental Policy to Enhance the National Economic Growth and to Reduce Interregional Disparity in Indonesia. Acceptance Speech of Professorship in Economics, Faculty of Economics, University of Indonesia, 18 March, Jakarta.

8 Rencana Pembangunan Jangka Menengah Daerah

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10. Local governments are supposed to align their plans with national level plans. National sectoral plans need to be reflected in local spatial plans, yet, as explained below, the lack of integration at national level between sectoral and spatial plans makes this very challenging.

The result is that spatial maps between levels of government are inconsistent. The information is inconsistent and different formats are used, making comparison difficult.

11. The national government expends considerable resources to develop plans, as expressed through sectoral plans, development plans and spatial plans. While considerable effort is exerted at national level to ensure that sectoral ministries’ plans are adequately reflected in the medium term development plan (RPJMN) there remains a lack of integration between the development plan and the spatial plan at national level, a problem compounded by the different time frames used. The medium term development plan runs for five years from 2010-2014 and the spatial plan was issued in 2008. For planning to be truly effective there must be integration of sectoral and development plans with spatial plans. If sectors such as forestry and infrastructure develop plans that are not adequately reflected in the national spatial plan the consequence will be chaotic spatial development.

While this concept note does not present evidence that this is the case in Indonesia a somewhat cursory look would seem to suggest so. The above paragraph states that regional governments do not sufficiently integrate their plans with national level plans. By the same token the national government has yet to provide the framework, mechanism and support to ensure that there is proper alignment between levels of government. In other words, it works both ways.

12. A third, geographic, dimension to this picture of alignment of planning between and integration within governments is provided by spatial planning aspects which cut across jurisdictions. Clearly, there is often a need to develop integrated spatial plans that encompass more than one local government, whether it be provincial governments or district/city governments. At present, while national law articulates that cross district spatial planning issues are resolved at provincial level and cross provincial issues at national level in reality there is a lack of cooperation between jurisdictions and the mechanism to resolve issues at a higher government level is not working effectively. This has been further compounded in recent years since the acceleration regional separation (pemekaran). Recent local initiatives may point the way forward. Current initiatives include district cooperation in Central and East Java. A previous initiative in Jabotabek9 undertaken by Badan Kerjasama Pembangunan (Development Cooperation Authority) was undermined due to a lack of clarity on the sharing of financial responsibilities.

13. At the national level institutional responsibility for creating planning documents is spread across national government. Each sector is, of course, responsible for drafting planning documents. Most sectors draft long, medium and short term plans covering twenty, five and one year plans respectively. Sectoral plans are articulated as government 9

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The metropolitan area of Jakarta, Bogor, Tangerang and Bekasi.

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works plans (RKP – Rencana Kerja Pemerintah). Bappenas has a coordinating role and is responsible for drafting the national long and medium term plan preparation (RPJPN and RPJMN10). Sectoral plans are to be reflected in this (and vice versa). Bappenas (Directorate of Spatial Planning and Land) is responsible for preparing policy input, coordinating, synchronizing of drafting and evaluation of national spatial plans as well as monitoring and evaluating their execution11.

14. Spatial plans at national level are drafted by a BKTRN12, a cross-ministerial body with legal powers as articulated in Presidential Decree No. 4 2009). BKTRN’s main tasks are to prepare national spatial planning policies and to ensure the execution of the national spatial plan in an integrated manner and reflected in sectoral development programs and regional development programs. BKTRN is chaired by the Minister for Economic Coordination and cochaired by the Ministers for Public Works and Home Affairs. The Minister of Bappenas is the secretariat. There are 10 additional members, including ministers from the department of defense, agriculture, forestry, sea and fisheries and foreign affairs. The coordination role that BPTRN plays across ministries is crucial; yet even such a legally empowered body with high level representation has struggled to ensure that sectoral plans and spatial plans are integrated.

15. The Ministry of Public Works (Directorate General for Spatial Planning) is responsible for providing technical support for the spatial plan which reflects its role in national infrastructure development and the need to plan infrastructure development spatially.

Ministry of Home Affairs (Directorate General for Regional Development) is involved in planning at the regional level and is currently drafting guidelines for local governments to use when drafting regional (district/city and provincial) development plans.

16. The complexity and diffusion of institutional responsibilities has resulted in a lack of clarity and purpose in the directions from central government to regional governments.

17. Given the complexity of the inter relations between planning documents at different levels of government a diagrammatic representation is useful and this clearly shows where the activity described in this concept note will seek to intervene.

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The key development planning documents are the 5-year RPJM (Rencana Pembangunan Jangka Menengah) and the 20-year RPJP (Rencana Pembangunan Jangka Panjang), which are drafted at national, provincial and district/city levels of government.

11 See: Tugas, Pokok dan Fungsi Direktorat Tata Ruang dan Pertanahan (www.bappenas.go.id) 12 Badan Koordinasi Penataan Ruang Nasional (Government Agency for the Coordination of National Spatial Planning). See: http://www.bkprn.org/v2/

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Graph 1: Inter connections between plans within and between levels of government

18. Legal framework. Development plans, spatial plans and sectoral plans are legal documents. The long term development plan (RPJPN 2005-2025) is articulated in Law 17 2007. The medium term development plan is articulated in Presidential Decree No. 7 2005.

The RPJMN for 2010-2014 is being finalized and should be approved by the president by the end of 2009.

19. National sectoral plans generally follow five year (Renstra – Strategic Plans) and one year (RKP – government work plans) cycles. The government work plans for 2010 are being finalized and should be approved by parliament before the end of the year.

20. The law on national spatial planning is enshrined in Law 26 2007 and Government Regulation 26 2008 articulates the current national spatial plan. This replaced Spatial Planning Law 24/1992 which could not adequately accommodate the changes resultant from the implementation of Law 25/1999 and Law 32/2004 on Regional Governance. The national spatial plan remains current but may be subject to revision.

21. In line with these decentralization laws, Law 26/2007 stipulates explicitly the authority of provincial governments and of district and city governments in regard to spatial planning.

The new law also seeks to increase transparency and accountability and stipulates minimum standards of service in spatial planning. The 2007 law also emphasizes the importance of public participation in spatial planning and provides more detailed regulations than the previous spatial planning law, including the rights, obligations and forms of public participation in spatial planning.

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22. Government Regulation 26/2008 on National Spatial Planning articulates the national spatial plan. In keeping with Law 26/2007, this regulation aims at more effective and sustainable spatial planning. The focus is on: better harmonization between natural and manmade resources; better integration between planning at national, provincial and district/city levels; reducing negative environmental impact; more emphasis on sustainable development to improve welfare; and a better balance between regions and across sectors.

It is stipulated in GR 26/2008 that regulations regarding spatial planning should now be passed by the provincial governments within one year of the national decree (i.e. by April 2009) and by all local governments within two years (i.e. by April 2010). However, many provinces, if not all, have failed to meet this deadline and Bappenas assesses that many district/city governments are also unlikely to achieve this target. There is a need and demand from the regions for more clarity and direction on how to proceed with the preparation of effective development and spatial plans and this project goes towards fulfilling this need.

23. At district/city level spatial plans are at different stages of legal drafting. Some are being revised to adhere to the new law on spatial planning, while some have already been adopted as local regulations and others are still awaiting the revision process to start.

Regional and national spatial plans do not follow the same time frame and this has compounded the coordination and integration problems. The central government has recommended regional governments to produce transitional spatial plans so regional plans can move onto the same time frame as the central government.

24. As well as the national spatial plan there are also specific spatial plans for islands (for Java-Bali, Sumatra, Kalimantan and Sulawesi) which have been endorsed at the provincial level but are yet to be accorded legal status. The Ministry of Public Works has been instrumental in helping prepare the island spatial plans. Recently, the ministry has prepared and distributed guidelines and manuals for local governments to prepare their spatial plans.

Similarly, MoHA has recently provided directives for local governments to prepare local regulations on spatial plans.

25. Other relevant laws include Law 25/2004 on National Development Planning System and PP 8/2008 on Stages, Drafting, Supervision and Evaluation of the Execution of Regional Development Planning.

26. Currently, there is a lack of regulations governing inter-regional cooperation and integration of planning documents, between provinces, between districts/cities and between provinces and districts/cities, especially concerning the division of financing responsibilities.

27. Activity rationale. Better planning will lead to better development outcomes. Although the investment is relatively small the prospects for leveraging a significant improvement in regional planning are very strong. The DSF log frame states that the overarching goal of the

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DSF is effective decentralization and improved service delivery. By better synchronizing planning between different levels of government and within and between local governments this project strengthens the decentralization system by developing mechanisms to integrate planning. With a better coordinated approach to planning citizens benefit through improved service delivery.

28. The activities described in this note are designed to improve the integration of spatial and sectoral/development planning at national level, to improve the alignment between spatial planning at different levels of government, to improve the integration of development and spatial plans at regional levels and to improve cross jurisdiction spatial planning. It will do this by: a. Providing institutional support to BKPRN, through the Bappenas, Directorate of Spatial Planning and Land Affairs, to develop integration between the national spatial plan and sectoral plans. b. Consult with regional stakeholders to elicit input for national level planners. c. Provide support to regional stakeholders to align spatial plans with higher levels of government. d. Provide training and support to regional stakeholders to better enable them to integrate spatial plans with sectoral/development plans. e. Study regional innovation in cross border spatial planning cooperation.

29. The 4 key planning issues to be addressed in this project are: (1) The lack of alignment between national sectoral/development plans with the national spatial plan; (2) the lack of alignment between different levels of spatial planning, including the lack of integration between line ministries’ sectoral plans and local spatial plans; (3) the lack of synchronization between spatial plans and development plans within a local government leading to a poorly executed spatial plans; and (4) the lack of coordination in spatial planning between neighboring local governments, both provincial as well as district/city.

30. The first three components are interlinked. Without such a national level focus support provided directly to regional governments would be useful but would not address key failings in the planning system. Improving vertical alignment in spatial planning would be useful in itself but would not address the key issue that spatial plans at regional level are often not implemented.

31. The first component seeks to improve alignment at the national level by working with Bappenas and BKPRN (Bappenas is the secretariat). The activity will also provide feedback from regional stakeholders to national level planners and this can be taken on board by national planners. The second component seeks to better align spatial planning at all three levels of government. The third component provides direct support to regional governments to better integrate sectoral/development plans with spatial plans. This should improve spatial planning in the regions. The final component explores regional initiatives in cross

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jurisdiction spatial planning cooperation and establishes whether and how such initiatives can be scaled up.

Goal and Objectives 32. The goal of the project is to build central and local government institutional capacity for the increased integration of development and spatial planning.

33. Its purpose is to improve vertical coordination in spatial planning and to improve horizontal integration and synchronization between sectoral/development and spatial plans (at both national and regional levels) in order to produce integrated regional sectoral/development plans and spatial plans.

34. The objectives of this project are: a. Improved integration between national spatial planning and national sectoral/development. b. Improved alignment of spatial planning between national, provincial and district/city governments. c. Better integration of cross-sectoral plans into the regional spatial plans. d. Better integration between local spatial and sectoral/development plans. e. Better coordination between neighboring districts/cities in making spatial plans

Scope of Services 35. The scope of services outlined below encompasses all activities to be completed within a time frame of 12 months. a. Map the institutional structure of development (including sectoral) planning and spatial planning at national level. Assess the legal framework with a view to establishing the context to which it helps or hinders the development of integrated planning. Undertake a review of the management of spatial and development planning in other countries. b. Provide an expert consultant to work with Bappenas and BKPRN to explore and help execute ways to improve alignment of sectoral/development and spatial planning. c. Provide recommendations as to how to improve integration at national level. This may cover both institutional as well as technical solutions. Develop a strategy for implementing the recommendations, after wide ranging consultation and support from national ministries and local governments. d. Provide input for the RPJMN. The RPJMN 20010-2014 is expected to be signed by the President by the end of December 2009 and final inputs are required by October 2009. The consultants/implementing agency is expected to work closely with Bappenas to ensure that Bappenas’ requirements for input can be met. e. Select target local governments. The focus will be on a small number of provinces but the Implementing Agency should establish ways of including district and city governments within the pilot provinces. Criteria for selection and final selection to be

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f.

g.

h.

i.

j.

k.

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made in consultation with Bappenas’ Directorate of Spatial Planning. Selection may be aligned with other relevant DSF projects also in consultation with Bappenas.

Map the national/regional structure linking development and spatial planning functions.

Identify the shortfalls in the present system and provide recommendations as to how to address these shortfalls. Lessons from international experience should be considered where relevant. Draft recommendations on how to address these problems. Develop a strategy to implement the recommendations after wide ranging consultation and support from national ministries and local governments.

Assess the institutional framework for producing, integrating, aligning and executing planning documents at regional levels. Provide recommendations as to how integration and alignment can be improved and identify those areas most likely to respond well to limited interventions. The implementing agency may consider both technical as well as institutional solutions encompassing human resources, processes and policies. A technical solution may include the introduction of more specific guidance, including revised document formats and standard formatting for spatial maps.

Create a training and development curricula to address the medium term training needs of national level government officials involved in linking sectoral and spatial plans. This may include officials from the Government Agency for the Coordination of National Spatial Planning as well as official a drawn from ministries, as appropriate.

The Implementing Agency will be expected to develop such a comprehensive training plan which may run beyond the life of the project and to deliver key aspects of it within the life of the project.

Establish a technical working group. The working group will include cross ministerial representatives and may also include key actors, including local government representatives and non-governmental actors (e.g. Ikatan Ahli Perencanaan – Association of Planning Experts), universities and also private sector representatives.

The working group will provide technical input designed to improve alignment and integration. Draft of technical input as needed to achieve greater alignment.

Provide training and support directly to the target local governments to build local institutional capacity to align national and regional plans (vertical) and integrate regional sectoral/development plans and regional spatial plans (horizontal). A training curriculum will need to be developed based on a needs assessment. Support may include technical support to local governments in how to implement new technical input such as technology transfer in the area of thematic spatial mapping.

Organize consultations and workshops as necessary to elicit input, achieve stakeholder support for the project, to disseminate results and to achieve stakeholder support for making the necessary changes at national and regional levels of government. Effective 2-way communication between levels of government will be essential to the success of the activity.

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l. Assess current initiatives on inter-district spatial planning cooperation and assess options for replicating and institutionalizing initiatives. Several initiatives have been taken by local governments to establish and strengthen inter-district cooperation.

This project will seek to develop this kind of cooperation and seek ways to find sustainable solutions to improving inter-regional cooperation, perhaps including through strengthening the role of the provincial government. A key example is the cooperation in the Jakarta metropolitan area as mandated in Law No.29 2007. m. Create a database on planning documents. The Implementing Agency, in consultation with the client, Bappenas, will develop a list of documents to be uploaded and establish a mechanism through which the database can be maintained and documents updated. Before launching, a communication strategy will need to be designed to ensure all stakeholders are served by the database.

Deliverables 36. This covers deliverables over the course of 12 months. a. An inception report which covers: a literature review, highlighting the current management of spatial and development planning in Indonesia and in other countries; an assessment of the current legal framework; an assessment of the current status of spatial and development planning at national and regional levels; an institutional mapping of the key players involved at national, provincial and local levels, an assessment of the constraints to integrated planning at national level; and an identification of the institutional support needed at national level to improve integration at national level and alignment with regional spatial plans. The inception report will also detail progress made towards creating a cross-ministerial consensus on how to move ahead with this agenda. Close cooperation with Bappenas is necessary to ensure that the inception report meets the requirements of the activity to provide input for the RPJMN. October 2009. b. A strategy paper, including an institution building plan, with cross-ministerial buy-in to improve the integration of development and spatial planning at national level and integration with regional spatial plans. December 2010. c. A training and development curricula to address medium term training needs at national level. February 2010. d. A strategy paper including a needs assessment and key technical requirements for regional governments to improve alignment of spatial planning between national and regional governments (vertical) and between sectoral/development and spatial planning within regional governments (horizontal). February 2010. e. Report from pilots in provinces and districts/cities. This should cover (i) an assessment of current planning systems in these target regions and constraints faced with regard to ensuring vertical and horizontal alignment, (ii) report on outcome of TA support to build capacity in planning integration and alignment, and (iii) problems and constraints faced in introducing harmonized formats for various planning

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documents, such as thematic maps, and an assessment made as to how to overcome such constraints. June 2010. f. Report on initiatives in inter-regional spatial planning cooperation and recommendations on how to improve inter-regional spatial planning cooperation on a wider scale. June 2010. g. Web-enabled database on development plans and spatial plans. June 2010. h. Final report (accepted by Bappenas/DSF). July 2010.

Sustainability 37. The project implementing agents will be expected to work in a manner conducive to ensuring sustainability. Above all, this implies a particular approach in delivering project objectives. The idea is not to produce a sophisticated ‘study’ recommending a highly complex model of planning that does not fit within the well-established practices and resources available in the country.

38. Instead, the focus of this project is to build in-country capacity (both within government and non-government agencies), to progressively improve planning techniques, and dove-tail development and spatial plans through the use of more harmonized documents.

39. An important criterion for assessing the success of the project will thus be the technology transfer aspect – the extent to which capacity within the country has been enhanced with regard to more effective integration of national-regional development and spatial planning techniques.

40. For the long term success of this project it is essential to involve throughout the process local organizations, such as universities, NGOs and the private sector, so that training capacity is enhanced.

Gender 41. It is incumbent on implementing agents (firms and individuals) to consider carefully the gender ramifications of the work that they do, and to demonstrate in their work plans how they will do this and in their reports what progress is being made. One way of ensuring that more than merely the form of gender sensitivity is observed (as happens in so much development assistance) is to consider the question in terms of relative distributions of power and influence between men and women, and the way in which access to services – such as health and education – can distort the social construction of such power and influence. To help with making gender central to the projects it supports, the DSF Executive can provide access to recent publications on gender and, in some instances, to relevant expertise within the Bank.

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Program Management, Execution and Implementation 42. Management role of the DSF Executive. Our policy is to employ the best qualified and experienced individuals and firms to implement the projects we finance; to provide them with clear objectives and guidelines concerning the work that needs to be done; and to be available to help wherever it is requested; but not to interfere or ‘micro-manage’ the project.

43. The effectiveness of this policy therefore rests heavily on how well the selection of individuals and firms is done and on the quality of the documentation and briefings concerning what is required of implementing agents.

44. The DSF Executive will gauge project progress on the basis of the periodic reports that it receives from implementing agents. It will monitor the achievement of agreed activity milestones and project objectives. It will liaise with government counterparts as necessary, to obtain their feedback, and provide periodic assessments of project status, most generally through the DSF quarterly reports.

45. Mode of execution. This activity will be World Bank executed (i.e. expenditure will be off government treasury, and incurred directly by the DSF).

46. It is proposed to divide this work into two sections and contract individual consultants for six months to perform the national institutional strengthening role and an implementing agency for the regionally focused work for twelve months.

47. Consultants will be contracted to perform the support role for BKPRN and Bappenas.

They will focus on developing institutional capacity at the national level. All the regional government level work will be performed by an Implementing Agency. This arrangement offers two advantages. Firstly, the national focus of the activity lends itself to an individual consultancy arrangement because it is proposed to provide day-to-day support to BKPRN through the provision of technical expertise. A small team of consultants, probably three, will also conduct the institutional mapping, review key concepts in spatial and development planning and assess relevant international experience at integrating the two. The consultant team will also provide recommendations as to how to improve integration at national level and develop a strategy for implementing the recommendations. Secondly, by contracting individual consultants work can begin expeditiously. Given the time frame for inputs for the RPJM this arrangement makes it possible to meet Bappenas deadlines. Procurement for an Implementing Agency will take much longer meaning early deadlines would be missed.

48. An implementing agency will be needed for the main part (regionally focused) of the activity as the scope of services necessitates an institution with sufficient resources (technical experts, administration, finance). A QCBS (Quality Cost Based Selection) method will be used for the selection process. A consortium of organizations may submit a proposal clearly delineating tasks.

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49. Bappenas and DSF will jointly prepare a Terms of References for consultants and an Expressions of Interest for the Implementing Agency. Bappenas and DSF will jointly select candidates.

50. Consultant and implementing institution. The consultants listed below will be contracted by the World Bank as Short-Term Consultants to perform the national level i9nstitutional strengthening role, working with BKPRN and Bappenas. It is expected that 2 consultants will be needed. One lead consultant and two support consultant will be contracted.

51. The Lead Consultant will have overall responsibility for all the national level work and will be responsible for ensuring that work is synergized with the implementing agency contracted to perform all other tasks. He/she will have the following qualifications: a. A master’s degree, preference to PhD in a relevant subject preferably spatial planning. b. Over ten year’s work experience specifically in planning issues in Indonesia and, ideally, knowledge of relevant international practices in integrated planning. c. A highly-regarded academic in his/her field with a substantial body of published work. d. An excellent grasp of current developments in spatial planning, preferably with papers published in this field. e. An in-depth knowledge of government structure and processes surrounding planning and an extensive network within central government, ideally with Bappenas, Ministry of Public Works and sectoral ministries. f. Demonstrated experience of institutional strengthening in Indonesia. g. Substantial experience of leading small working teams and a demonstrated ability of working successfully with a range of stakeholders and an ability to bring together stakeholders to a shared platform.

52. The two Support Consultants will take direction from the lead consultant and he/she will have the following qualifications: a. A master’s degree in a relevant topic, preferably in planning. b. Over five year’s work experience specifically in planning issues in Indonesia. c. An excellent knowledge of government structures and processes related to planning at the national level and a good understanding of challenges at the local level. d. Excellent analytical writing skills.

53. The implementing institution(s) will have the following qualifications: a. Demonstrated expertise in development planning and spatial planning at both national and regional levels in Indonesia. Knowledge and experience of international experience will be an added advantage. b. Demonstrated capacity to run an activity of this scale with the necessary human resources to manage a project of this complexity.

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c. Substantial experience working with the Government of Indonesia, preferably with Bappenas and also working with local government, preferably at provincial level as well as district/district. d. Substantial experience delivering Technical Assistance to national and regional governments in Indonesia. e. Substantial experience in the monitoring and evaluation of projects/activities. f. Demonstrated ability to deliver results within the given time frame.

54. Qualifications required for key positions within Implementing Agency: a. Project leader: At least a master’s degree, preference given to PhD in a relevant subject, preferably in planning. Over ten year’s work experience specifically in regional planning issues in Indonesia. Demonstrated grasp of key issues with preference given to those with a relevant publication history. Substantial management experience and demonstrated ability to manage a project of this complexity. b. Regional project leaders: Each province will have an assigned regional project leader.

This individual is expected to display substantial experience in planning issues in that province or similar. Demonstrated ability to lead a provincial based team of facilitators and trainers. An in-depth understanding of regionally specific spatial and development planning issues and processes. In-depth knowledge of relevant national legislation. c. Regional facilitators: Demonstrated ability to deliver high quality technical assistance to local governments. Sufficient knowledge of planning issues.

Procurement and Implementation Schedule 55. Procurement and Implementation schedule for this project: Procurement  July 2009: ACN approval from Management Committee. Preparation of Terms of Reference and selection and consultants. Preparation of Request for Proposals and advertising in national media.  August 2009: Evaluation of proposals, finalization of contract with implementing agency.

Implementation (Consultants)  August 2009: Literature review. Legal framework review. Institutional mapping at national level. Access relevant international practice.  September 2009: Input for RPJM. Formulation of strategy for strengthening national integration and functioning of BKPRN (to improve sectoral/spatial integration and vertical spatial alignment).  October 2009: Coordination with Implementing Agency. Development of crossministerial consensus for better integration at national level.

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ACTIVITY CONCEPT NOTES # 5 | ARRISING FROM THE DSF WORK PLAN 2009-2011

 November 2009: Delivery of activities for strengthening of BKPRN. Coordination with Implementing Agency.  December 2009: Regular coordination and reporting to Bappenas’ Directorof Spatial Planning and Land Affairs.  January 2010: Assessment of impact and recommendations for future engagement.

Implementation (Implementing Agency)  September 2009: Inception phase. Selection of pilot provinces.  October 2009: Assessment of planning documents, constraints to integration and alignment in pilot districts/cities.  November 2009: Institutional mapping at regional levels and links with national level.

Preparation for work in target local governments. Cooperation with national consultants.  December 2009: Preparation for database on development documents.  January 2010: Consultations with stakeholders in local governments to assess vertical and horizontal constraints to greater integration between spatial and development planning.  February 2010: Assessment of local initiatives in inter-regional spatial planning cooperation. National workshop linking national and regional planners to discuss constraints and solutions to lack of alignment.  March 2010: TA delivery in local governments.  April 2010: Assessment of inter-district cooperation models.  May 2010: Database completed.  June 2010: National workshop (end project). Database launched. Draft reports on both national and regional level assistance.  July 2010: Close project, final report.

Budget 56. Estimated budget breakdown for this activity: Item

16

Estimated Cost (USD)

Description

Lead Consultant

26,400 120 days

Support Consultants (2)

32,000 100 days

National workshops (2) and meetings

80,000

Regional Consultations (3 provinces)

60,000

Travel, accommodation, per diems

50,000

Drafting of support program at regional level Assessment of local inter-regional initiatives in spatial planning cooperation

30,000 30,000

ACTIVITY CONCEPT NOTES # 5 | ARRISING FROM THE DSF WORK PLAN 2009-2011

Item

Estimated Cost (USD)

Provision of regional level support

100,000

Regional level consultations and assessment of planning documents Monitoring and Evaluation

50,000

Total Budget

Description

25,000 483,400

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ACTIVITY CONCEPT NOTES # 5 | ARRISING FROM THE DSF WORK PLAN 2009-2011

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