Menkominfo and the Future of Indonesian Telecommunications

Communications and Information Minister Johnny G. Plate (Menkominfo) has been named a suspect in a corruption case involving the alleged embezzlement of funds from the Telecommunications and Information Accessibility Agency (BAKTI) of Communications and Information Ministry (Kemenkominfo) project. The estimated loss to the state is Rp 8 trillion (US$536.7 million). This incident is ironic in light of Indonesia's aspiration to become a global telecommunications hub.

The telecommunications industry in Indonesia has undergone rapid development, making it one of the fastest-growing sectors in Asia. The communication and information sector contributes Rp 748.75 trillion to the GDP. It is not surprising many parties seek to profit from this business. The chaotic implementation of policies and the involvement of various parties at each stage of telecommunications project planning in Indonesia have created opportunities for criminal practices. As a regulator and policy operator, it is inappropriate for the Menkominfo to exploit this situation.

Major cases

Menkominfo is embroiled in the case of BAKTI under Kemenkominfo. BAKTI is an initiative aimed at accelerating the development of information and communication technology infrastructure in underdeveloped, frontier and outermost regions (3T). In a Kemenkominfo press release in 2021, Menkominfo Johnny G. Plate was quoted as saying, "It is BAKTI's duty to serve the country, with the development targeted to be completed by early 2023 through the construction of base transceiver stations (BTS)."

During the planning process, Kemenkominfo set a target to build 4,200 BTS towers. It appears this program is what has led to the subsequent issues. The results of the audit conducted by the Development Finance Comptrollers (BPKP) indicate a significant loss to the state due to the use of BAKTI Kemenkominfo funds, which include the preparation of supporting studies, price markups and payments for unbuilt BTS towers.

If proven guilty, Menkominfo has clearly betrayed the spirit of "serving the country". Furthermore, Menkominfo has also undermined efforts to improve the quality of telecommunications in Indonesia amid the intense global competition in communication technology.

Indonesia's lag

Indonesia is currently making efforts to overcome its lag in the rapid development of global communication technology. According to the Global Monitor institution analysis, there has been a significant expansion in telecommunications infrastructure investment in Indonesia between 2019 and 2023.

The growing interest in digital access, particularly via mobile devices, has prompted telecommunications operators to expand their wireless networks and infrastructure into previously inaccessible areas.

Also read:

> Johnny Plate: Between Political Battles and Law Enforcement Image

However, there is still a need to further enhance the scale of investment and infrastructure development. Indonesia is an archipelagic country with a population not only concentrated in the main islands. The high consumer demand has exceeded the readiness of existing facilities, especially in remote and inaccessible regions like the small islands scattered across maritime regions in Indonesia.

Due to insufficient coverage by BTS and fiber-optic cable networks, island and inland regions become areas without proper communication infrastructure. It is crucial for the entire Indonesian territory to be well-connected via reliable communication technologies that can effectively serve the population.

Awaiting technology

Unfortunately, Indonesia has not fully capitalized on the potential of this technology.

Building BTS in the 3T regions is the Kemenkominfo's solution to ensure that telecommunication services can be accessed by everyone. We are also aware that in previous years, the Kemenkominfo had the Internet Access for Villages program. Efforts to align with the global telecommunications trend by implementing 5G infrastructure have also been undertaken.

The utilization of other technologies, such as satellite usage for digital data exchange, navigation, weather monitoring, environmental monitoring, as well as surveillance of maritime and forestry areas, is a common practice in Indonesia.

Meanwhile, the use of small satellites (smallsats) is part of the global community's endeavor to provide communication access to remote areas. Unfortunately, Indonesia has not fully capitalized on the potential of this technology. The government is preparing for the launch and operation of large satellites, HBS and Satria, in 2023.

However, the opportunities for utilizing smallsats in Indonesia are still far from being realized, despite the successful development of small satellites such as Lapan-A-1, Lapan-A-2 and Lapan-A-3. Moreover, independent small satellite launches have been carried out by Indonesian students in January 2023, with the satellite named Surya Satellite-1 (SS-1).

In the United Nations Subcommittee on the Peaceful Use of Space (LSC-COPUOS) meeting, the representative of the Indonesian government proudly introduced these smallsats and emphasized Indonesia was committed to collaborating on the development of international regulations for the operation of small satellites. This commitment should be respected as an effort to promote the growth of telecommunications in Indonesia and serve the community.

Also read:

> Note from the Communications & Information Ministry

> Prosecutors Confident of Enough Evidence

On the commercial front, smallsat technology has already been developed by companies such as Hiber, Planet (SkySat, Planetscope), Astrocat, Capella Space and SpaceX (Starlink). SpaceX, in particular, aggressively markets satellite access to residential consumers in remote areas, which has gained popularity in Australia and New Zealand.

Starlink utilizes smallsats orbiting 550 kilometers above Earth and claims to transport data faster than larger satellites located at higher altitudes. Starlink deploys a constellation of thousands of small satellites in close orbit. As a result, Starlink can provide service to remote areas that were previously inaccessible.

Indonesia should be able to develop and operate similar technologies to expand access for populations in remote and island regions.

Political will

However, the hope of being connected anywhere in Indonesia has not yet been achieved. There do not appear to be thorough discussions regarding the use of communication technology in Indonesia, neither by the government nor the relevant institutions. Instead, the National Aeronautics and Space Institute (LAPAN) has been integrated into the National Research and Innovation Agency (BRIN), and its central role is no longer evident.

Space scientists and satellite experts also encounter challenges in conveying significant ideas concerning Indonesia's telecommunications that could be more empowering. Perhaps the telecommunications issue in Indonesia is being exploited by politicians to instill fear regarding data security and national sovereignty.

It is not enough to rely on heroic slogans of "serving the country" while corruption continues to persist.

Ultimately, communication technology is becoming merely a tool to promote superficial nationalism that rejects the presence of "foreign" technology as a threat to national identity.

There needs to be maturity in addressing the development of communication technology in Indonesia. It is not enough to rely on heroic slogans of "serving the country" while corruption continues to persist.

The future of Indonesia's telecommunications needs to be managed by individuals of integrity who understand technology is constantly evolving, and every nation must adapt and utilize it for the collective interest.

DOK. IRFAN WAHYUDI

Irfan Wahyudi

Irfan Wahyudi, the third vice dean for Research, Publication and Cooperation, Faculty of Social and Political Sciences, Airlangga University

This article was translated by Tenggara Strategics.