The development of Science and Technology is emphasized to improve
national welfare and self-reliance. It is implemented systematically to
lay a foundation for all potentials of achievements, productivity and creativity.
The success of science and technology must be supported by the development
of innovative culture and courage to take risks responsibly with the awareness
of the need to make positive changes at anytime. The actors of science
and technology should be religious and willing to listen study and cooperate
with their partners. They should be professionals and abide to the highest
standard of integrity, ethical behavior and work manners.
Prominent achievements during one year of Development Reform Cabinet
include the Strategic Policy of national Science and Technology Development
for the period of 2000-2020. In managing the benefit, development and mastering
of science and Technology for national development, a print out documentation
has been made.
The strategic policy for the development of science and Technology is
in accordance with its benefit, development and mastering to support national
development. It is also formulated according to the need of the Indonesian
nation to catch up on science and technology directly and systematically
to promote self-reliance and national welfare. The management of the strategic
policy for science and technology development is in harmony with policies
or other sectors. To anticipate the fast development and changes presently
and in the future, the formulation of this policy is made flexible and
Based on the main task and function of Science and Technology today
and in the future, a Strategy Plan of science and technology have been
issued. With this document as guidelines, the stakeholders and customers
of science and technology would know the position, aims and how to achieve
the aims in measuring the progress of its performance.
The description of national science and technology condition shows unreliable
products of research institutions lack of coordination of research programs
and lack of good relationship among research institutions, universities
and the industries, showing a tendency to benefit import licenses. These
facts show the need for a national science and technology system for legal
framework of the bill of "sipteknas" (national science and technology system).
The national science and technology system is created by a pattern of
relationship among elements that have certain functions in its development
and efficient use. This system consists of various elements such as the
implementors of: research and development, education and training executives,
technology innovation and diffusion executives and the policy maker element.
The aims and targets of the Low of Sipteknas are:
1. bring the community individually or institutionally to their awareness about the responsibilities
to strengthen science and technology capability to improve national welfare,
and strengthen Indonesia's position in the global competition;
2. lay down an institutional order, so that the creators of the science and technology
capability elements could systematically development and interact to produce
a maximal driving force to achieve the aims of national development:
3. lay down regulations and foundation of rights and duties to manage a balance
between the need to protect the individual or company's interest the society's
interest in the efforts of science and technology, and the need of a guarantee
that bath the individual and company's interest should be part of the society's
4. explain the government's task in supporting science and technology
development for the stability of the national science and technology system.
National Main Priority of Science and Technology The National Research
Council has formulated the National main Priority of research and Technology
(punas Ristek) which is in accordance with the Strategic policy of National
science and Technology Development (2000-2020).
The National Main Priority
Research and Technology is focused on the development of human resources as
the executor of science and technology its benefit the enhancement and adoption
of science and technology, and the increase of research, development and engineering
activities to support national development.
Incentive System Development
The aims of the incentive system are :
1. to use available natural resources to strengthen small and medium industries:
2. encourage linkages between the medium and small industries and big industries:
3. encourage the active role of the technology institution to assist the medium and small industries
with professional information and technology services;
4. assist the creation of a more competitive technology of the industries and other technological
5. encourage a conducive climate for the enhancement of a strong
industrial structure and the creation of the three pillars of industry:
the industry-university - technology institution.
Intellectual Property Rights
Considering that in the globalization era intellectual property right,
particularly patent, would be more important in the world competition,
on August 10, 1998, ajoint cooperation was signed between the Department
of justice and office of the minister of state for Research and Technology
on the Intellectual Property Rights. Developed countries are protecting
their products with the Intellectual Property Rights, there fore in 1994
Thailand applied for 600 licenses, Germany 49,000 licenses, USA 109,000
licenses and Japan 320,000 licenses. In the same year, from Indonesia only
75 compared with the 200 million population, applied for patent right.
To inform the people about property rights, promotion activities have
been done in research institutions, universities (ITB, ITS, IPB, ATMAJAYA-Yogyakarta),
and industrial companies (PT. IPTN, PT. INTI, PT. PINDAD, PT. Krakatau
Steel) the office of the minister of Research and Technology has also promoted
the establishment of Property Rights units in the research institutions
of non-ministerial government institutions (regional government institutions)
and universities, to handle research selections of intellectual property
that have patent potentials, get access to patent information, the correspondence
for applying patent and the marketing of patent right, with the expectation
that each research institution makes an annual target to apply rights for
patent according with "its core competence".
Currently, the tracing of rights information has become one of the
criteria in the Integrated Superiority Research or Partnership Superiority
Integrated Agribusiness Prograin
for Regional Superior Commodity
This program is aimed at increasing production activities through the
improvement of making efficient use of land potentials and regional agroclimate
by encouraging production activities that is based on the people's economy
and are as the same time increase regional superior commodities. A budget
of RplOO billion was approved by the Limited Coordinating Meeting of Economic
and Financial Affairs (Rakortas Ekuin) decision makers on December 2, 1998.
In the previous plan, the budget was to come from the interest of State-owned
companies (BUMN) certificate of deposits, but finally, it was decided that
the budget would come from PT. Permodalan Nasional Mandiri in stages.
A pre-feasibility study has been conducted for six commodities: soybean,
banana, palm oil, nila fish, fodder industry/fish powder and beef-cattle
in the provinces of East Java, West Java, Lampung and West Sumatra.
For the .next step, the feasibility studies for the six commodities
mentioned above will be carried out. It a will be financed by accomoanving
budget that has been orooosed to Bappenas.
HOUSING AND SETTLEMENT
The main aim and target of development of housing and settlement are
to create communities who are capable to meet their housing needs in healthy,
safe, harmonious and productive settlements.
The policy and strategy cover the development of decent housing and
settlement, affordable by all layers of the community, with the low-income
groups given first priority, the sustained development of housing and settlement
with environmental concept, in a balanced urban and rural development directed
to create a stable national settlement system.
With the spirit of reformation, the government has formulated activity
programs of which the initial steps are assessing and reviewing available
policies and decide if any new programs are required especially regarding
institutional matters, financing and management. Approach and attention
to the low-income group is by way of constructing very simple houses (RSS)
and simple houses (RS) in sufficient quantity at affordable prices. Credit
for constructions of RSS and RS is made available by the Home Ownership
Mortgage Scheme (KPR).
In addition the government also provides dispensation on licensing,
taxes, etc. Other facilities in the development of housing and settlement
include empowerment of the community by way of providing facilities,
socialization, guidance, direction so that the people are.
more capable to develop their own housing and settlement. These activities
also include the housing development in slum areas and fishermen settlement,
and the integrated housing development in rural areas, and others.
Improvement of Housing and Human
The target of national development in the field of housing and settlement,
is to meet the need of housing of the law income group in the society.
As an effort to reach the target during the Development Reform Cabinet,
the government determines the types of the very simple and simple houses
(RSS) and (RS) which is covered by a government subsidy.
In 1998/1999 (until June 1999) 100,000 units of RS/RSS were built. With
this development, the target of the sixth Five-Year Development Plan (Repelita
VI) have increased from 600.000 to 700.000 units. In 1999/2000, 100,000
units of RS/RSS will be built by the government.
Meanwhile, group-based housing development is organized to construct
houses by the community themselves through empowerment efforts in the form of
formal and informal organizations such as cooperatives, associations (paguyuban), etc.
In 1998/1999 the program of P2BPK has been realized in II provinces,
consisting of 2,728 units of RS/RSS. The program of Simple multi level
Housing (RUSUNA) has built 1,414 units housing.
On the other hand, renovation of slum areas and fishermen settlements
has become a priority in the human settlement in the less developed villages
which is caused by lack of facility, particularly in the slums, fishermen
area and the transmigration locations.
In 1998/1999, the government has coordinated efforts to improve 134
slums and fishermen areas of 2,749 ha in 14 metropolitans and big cities.
Renovation of medium and small cities has been carried out in 137 areas,
covering 2,000 ha in 107 cities.
In the framework of assistance program for public Works facilities and
basic infrastructure (PSD-PU) to maintain an affordable price of RSS for
the low-income group of society, in 1998/1999, public works facilities
and basic infrastructure have been constructed to support the development
of 100,000 units of low cost housing consisting of 20,000 units of simple
houses and 80,000 units of very simple houses.
Realizing the limitation of funds for the development of housing and
settlement provided by the government, as the main source of budgeting,
has brought about consequences to mobilize funding sources from the community.
This is in line with the basic management principle in the housing and
settlement sector, that the development of house and settlement is also
a community responsibility.
With this fact, the funding sources of housing and settlement fund should
come from the community. Currently efforts are being considered to collect
funds from the community in two warp.
Firstly, through the TP3 (Savings of Company Employees for Housing
Development) which is collected from the companies where they work.
Secondly, through the Secondary Mortgage Facilities (SMF) which is currently
being formulated. It is expected, that when the economy has recovered from
the present crisis, the SMF would already be effective to provide funds
for housing and settlement development.